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Need for Space
The Chennai edition of Dataquest CIO meet debated on the multi-pronged infrastructure issues in mid-sized enterprises and for most of the companies managing the data center space is a big challenge
Shrikanth G
Monday, February 08, 2010
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Managing the IT infrastructure is not an easy task. Even while large enterprise IT teams spend considerable time in managing the hardware and apps, the scene at mid-size enterprise are no different. What are some of the infrastructure pain points of mid-sized enterprise and how are they managing and optimising on the IT spend? This is what the Chennai edition of the DQ-CIO meet on ''Optimizing IT Infrastructure: Power of Simplicity explored. A panel consisting of key verticals such as healthcare, manufacturing, distribution and IT discussed the infrastructural challenges and strategies they have adopted.

Challenges galore
The road to infrastructure management is full of challenges and the common thread that unites them all is the need for more data center space. Data center space and connectivity are some of the challenges we face at Redington India said Clynton Almeida, CIO of the company. This in fact set the tone for the entire breadth of discussions as all the panelists seconded Clynton when it comes to scaling the data center space which happens to be one of the biggest infrastructure pain areas.

For organizations like Sankara Nethralaya, one of leading Ophthalmic Hospitals in the country and a research entity, consolidation of servers topped the IT heads agenda. We have a large ERP and it calls for an enterprise wide access to IT. Moreover the IT resources have to be available pan organization and this is indeed a big challenge said M K Manavalan, DGM-IT at Sankara Nethralaya.

When talking about challenges the panelists agreed that often times some of the solutions become difficult as in some instances the management has the perception that IT as a cost center. This poses some budgetary constraints when it comes to scaling the infrastructure. However the panelists also agreed that such a perception can be addressed by putting in place a cost effective IT plan leading to optimal utilization of resources. Reflecting on that Viswanathan, manger IT at EBM Nadi International said that his key priority these days is to bring down the IT costs and at the same time creating an effective plan that will enable IT resources available to all the group companies. A consolidated IT backbone will lead to greater efficiency, observed Viswanathan.

Typically the mid-sized enterprises have also created a lot of silos among themselves and the IT heads have started on consolidating these disparate IT assets. Here many said integration as major challenge. For instance N.Tamilvel, IT Head at Take Solutions termed integration as his main challenge in addition to data center space. He said that he is looking at a panacea by consolidating all the data centers that will create a more robust and agile infrastructure backbone.
But all IT infrastructures are made with the enterprises core business demands.  IT supports the business and it does not exist in isolation. For N.Varadarajan, senior GM, IT at Madras Cements, aligning IT with business is one key challenge. He says that as business demands keep growing and the IT requirements also change. Scaling the infrastructure during recessionary times when management puts a cap on new purchases and when the things look up there is sudden pressures on new IT purchases. Instances such as these put the CIO in dilemma.

Agreeing with Varadarajan the CTO of Mafoi Consulting Solutions N.Visweswaran said that rationalizing the data center and expanding the infrastructure as the business expands is a challenge and it needs to be effectively countered by the IT staff. For companies like Real Image Media Technologies there are some unique problems as well like managing the access to internet and controlling the sites accessed by users topped his list of challenges.
Combating the pain areas

While most of the IT heads averred that budgets allocated to IT needs to be judiciously spent at the same time they were pretty honest in accepting the fact that there is whole lot needs to be done when it comes to entering in to SLAs with the vendors. Veteran IT heads like Varadarajan suggested that SLAs can be better managed when the users enter into short term agreements with vendors instead of long term multi-year deals. He also suggested that multi-vendor contracts in the areas of connectivity will greatly help in bringing down the costs and also makes for proactive business continuity.

Many mid-sized enterprises also have problems in measuring the SLAs on a day to day basis and panelists like Manavalan observed that measuring SLAs on all IT services is difficult on daily basis. But companies can create more measurement benchmarks by making the SLA document more transparent and more tuned to managing the downtimes. Clynton Almeida suggested that IT heads need to clearly communicate their service expectations and must put in print both the cost and service implications in the event of a downtime.

Some of the pain areas can also be managed by creating a fine balance between outsourcing and in-sourcing. According to Visweswaran of Mafoi, he said that mission critical areas needs to be managed in-house while non-core IT functions can be outsourced. All the panelists agreed to this thought and suggested that both have its merits and one of the biggest challenges in insourcing happens to be managing the IT departments skillsets.

At the end of the day, when we pick up the threads from the discussions the panelists and the other mid-sized companies in their own enterprise have adopted various strategies in managing the challenges -whether it is data center space or managing SLAs or taking the call on outsourcing-they have put in place a model that suits and works best for them- given the budgetary constraints.

The key takeaways from the Chennai event:
  • Data center space is a big challenge- the solution lies in consolidation and virtualization
  • Creating a cost effective IT infrastructure architecture
  • Creating more robust Internet security practices leading to better access and control
  • Aligning business with IT is a big challenge
  • SLAs are pretty important but more can be achieved if the SLA document is specific and matches the unique requirements and the service expectations needed
  • Cloud computing is major focus area and can solve some of in-premise infrastructure issues by making IT as a service

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