By Philippe Julio on May 24, 2008
IT Value Benefits are beyond Costs reduction, contributing to increase company's profitability
It's not easy to prove that an infrastructure gives business value to a company. I will try to answer at this difficult question.
To measure the IT infrastructure performance it is necessary to understand the performance indicator concept..
What is Key Business Value ?
- Focus on Industry : Bank/Finance, Government, Retail, Telco, Manufacturing...
- Business Value is Large : Stakeholder Value, Customer Value, Employee Value, Partner Value, Supplier Value, Managerial Value, Societal Value
- Key Business Indicators : Profitability, Revenue Growth, Customer Satifaction, Market Share, Cross-Sell Ratio, Marketing Campaign Response Rates, Relationship Duration...
- Common Language Management
- IT Portfolio
- IT Maturity
- Business/IT Alignment
- Intellectual Properties
- IT Process Automation
- IT Performance
- Service Level Agreement
- Key Metrics = Key Performance Indicators (KPIs)
- Technical performance indicators : CPU, I/O, SAPS, SpecInt, TPC-H, Availability Ratio, Time To Repair, Data Loss Ratio...
- Financial performance indicators : TCO, ROI, Depreciation...
- Ecological performance indicators: Space, Watt, CO2, RoHS Ratio, WEEE Recycling Ratio...
The Performance Lever is specific key performance indicator, it increases the system performance and it interacts with key indicators
It is a functional indicator, not technical !
- #Concurrent Users Indicator is a Performance Lever (Business Indicator)
- #CPU and #I/O are Key Performance Indicators
- Calculate #CPU = f(#Concurrent users)
- Calculate #I/O = f(#Concurrent users)
- Start a Provisioning Process automatically
- with #CPU and #I/O Values
- Activate #CPU and #I/O Cards with Capacity on Demand Process
- Integrate a new Web server with xVM Ops Center and N1 Service Provisioning System process
- Put technical captors in different points of the infrastructure via scripts, software…
- Gather technical, financial and ecological indicators values
- Integrate the native indicators values into the CMDB (My SQL for example because it's free software)
- Calculate the complex indicators with native indicators
- Analyse the results with reporting tool (StarOffice Calc for example because it's not a expensive solution)
- Compare the results obtained to the awaited results.
- Build a dashboard for CIO, IT Managers
- Infrastructure update with analysis results