• Advertise
  • Contact Us
  • About Us
  • Supplier Directory
  • Login
  • Subscribe
  • Logout
  • My Profile

  • CORONAVIRUS
  • LOGISTICS
    • Air Cargo
    • All Logistics
    • Express/Small Shipments
    • Facility Location Planning
    • Freight Forwarding/Customs Brokerage
    • Global Gateways
    • Global Logistics
    • Last Mile Delivery
    • Logistics Outsourcing
    • LTL/Truckload Services
    • Ocean Transportation
    • Rail & Intermodal
    • Reverse Logistics
    • Service Parts Management
    • Transportation & Distribution
  • TECHNOLOGY
    • All Technology
    • Artificial Intelligence
    • Cloud & On-Demand Systems
    • Data Management
    • ERP & Enterprise Systems
    • Forecasting & Demand Planning
    • Global Trade Management
    • Inventory Planning/ Optimization
    • Product Lifecycle Management
    • Sales & Operations Planning
    • SC Finance & Revenue Management
    • SC Planning & Optimization
    • Sourcing/Procurement/SRM
    • Supply Chain Visibility
    • Transportation Management
  • GENERAL SCM
    • Business Strategy Alignment
    • Education & Professional Development
    • Global Supply Chain Management
    • Global Trade & Economics
    • HR & Labor Management
    • Quality & Metrics
    • Regulation & Compliance
    • SC Security & Risk Mgmt
    • Sustainability & Corporate Social Responsibility
  • WAREHOUSING
    • All Warehouse Services
    • Conveyors & Sortation
    • Lift Trucks & AGVs
    • Order Fulfillment
    • Packaging
    • RFID, Barcode, Mobility & Voice
    • Robotics
    • Warehouse Management Systems
  • INDUSTRIES
    • Aerospace & Defense
    • Apparel
    • Automotive
    • Chemicals & Energy
    • Consumer Packaged Goods
    • E-Commerce/Omni-Channel
    • Food & Beverage
    • Healthcare
    • High-Tech/Electronics
    • Industrial Manufacturing
    • Pharmaceutical/Biotech
    • Retail
  • REGIONS
    • Asia Pacific
    • Canada
    • China
    • Europe
    • Latin America
    • Middle East/Africa
    • North America
  • THINK TANK
  • PODCASTS
  • VIDEOS
  • WHITEPAPERS
Home » Hotel Group Sees Big Savings in Moving Data Center into Cloud

Hotel Group Sees Big Savings in Moving Data Center into Cloud

December 3, 2008
CIO

A year in which the economics of the travel and hotel industries are so bad that business analysts keep making comparisons to the months immediately following the Sept. 11, 2001 terrorist attacks in New York is not generally the time most IT people would be comfortable putting together a disaster recovery plan for the first time. Most would be in their offices, sweating over spreadsheets, looking for ways to trim spending a bit more, or push a project to drive down operational costs.
Chad Swartz, senior manager of IT operations at the Preferred Hotel Group, spent most of the year planning disaster recovery and ended up with a big cost-saving strategy for the Chicago-based firm.
Preferred, which specializes in group-travel sales, booking conventions, conferences and corporate outings into its network of luxury hotels, is moving its relatively tiny data center into the cloud.
The company signed up earlier this year for a hosted server-and-software service. Under the plan, the host will supply 10 virtual servers--seven on full-time duty and three in reserve for spikes in demand--each with a pre-configured amount of disk space, memory and processing power, as well as a set amount of bandwidth, Swartz says. Actually, the provider will supply double that eventually; one set for the production environment and an identical one that is physically located in a different data center, as a disaster-recovery hot site.
The service will cost about $16,000 per month for the whole kit-and-kaboodle. That compares favorably to the $210,000 Preferred was going to have to pay to refresh its own aging servers this year, plus $10,000 per month in co-location and bandwidth fees, Swartz says.
"Everyone is checking their budgets now," says Swartz. "If you go to the board, is it an easier sell to say we need to spend $200,000 in capital costs and $10,000 a month? Or just pay a $10,000 implementation cost and $16,000 per month? The cloud environment is going to explode, if just for the cost savings."
Source: CIO

RELATED CONTENT

RELATED VIDEOS

Retail
KEYWORDS Retail
  • Related Articles

    A Measured Approach to Moving Into the Cloud

    IoT Tech Expo: True Value of IoT, 5G, Blockchain, AI, Big Data and Cloud Lies in Their Convergence – and Cyber Security Underpins Their Potential

    Datamonitor: Manufacturing Sees Big Increase in Use of SaaS

CIO

Why Is My Gargantuan IT Project Not Working?

More from this author

Wake up to Coronavirus Updates and the latest Supply Chain News!

Subscribe to our Daily Newsletter

Timely, incisive articles delivered directly to your inbox.

Popular Stories

  • Coronavirus-watch-Armada

    Virus Update: Biden Seeks $1.9 Trillion for Relief Bill; India to Supply Millions of Vaccine Doses to Neighbors

    Coronavirus
  • U.S. and China Trade

    How China Won Trump’s Trade War and Got Americans to Foot the Bill

    Global Supply Chain Management
  • Obtaining Adequate Supplies of PPE in the Pandemic

    Watch: Obtaining Adequate Supplies of PPE in the Pandemic

    Coronavirus
  • AT&T

    How the Pandemic Has Altered AT&T’s Global Sourcing Strategy

    Coronavirus
  • Chip Shortage Hits Global Automakers

    Chip Shortage Hits Global Automakers

    Coronavirus

Digital Edition

Scb home issue 27

2020 Supply Chain Innovator of the Year

VIEW THE LATEST ISSUE

Case Studies

  • LSP Saves Customer $1.5 Million a Year With MPO Global Inbound Management

  • Auto Supplier Wows Key Client Using riskmethods Supply Chain Savvy

  • Integrating Shipping and Compliance Saves Conglomerate Millions

  • How a Consumer Goods Giant Upped Its On-Time Delivery Performance

  • LSP Wows Global Client, Quickly Advances to Become End-to-End Provider

Visit Our Sponsors

6 River Systems ArcBest Armada
aThingz BluJay Burris Logistics
DSC Logistics DCSA (Digital Container Shipping Association) DHL Resilience360
Genpact GEP Honeywell Intelligrated
Infor Logility Magnitude Software
MPO Old Dominion Oliver Wight
OpenSky Ports America Purolator
QAD Precision Red Classic Riskmethods
TGW Systems Transportation Insights Watson Land Company
Westfalia Technologies Workjam Yang Ming
  • More From SCB
    • Featured Content
    • Video Library
    • Think Tank Blog
    • SupplyChainBrain Podcast
    • Whitepapers
    • Webinars
  • Digital Offerings
    • Digital Issue
    • Subscribe
    • Manage Your Subscription
    • Newsletters
  • Resources
    • Events Calendar
    • SCB's Great Supply Chain Partners
    • Supplier Directory
    • Case Study Showcase
    • Supply Chain Innovation Awards
    • 100 Great Partners Form
  • SCB Corporate
    • Advertise on SCB.COM
    • About Us
    • Privacy Policy
    • Contact Us
    • Data Sharing Opt-Out

All content copyright © 2016 - 2018 Keller International Publishing Corp All rights reserved. No reproduction, transmission or display is permitted without the written permissions of Keller International Publishing Corp

Design, CMS, Hosting & Web Development :: ePublishing