Cloud computing alone offers the potential of maximizing performance and efficiency, while reducing costs and minimizing energy use. And, you can benefit from it today.
Some energy savings estimates are impressive. According to a report by the Carbon Disclosure Project (CDP) (https://www.cdproject.net/en-US/Pages/HomePage.aspx), U.S. companies will use up to 70% of their IT spend on cloud computing innovations over the next decade, which translates into carbon savings of 85.7 million tons by 2020. This is an equivalent of $12 billion U.S. per year.
Why cloud computing? Cloud computing is founded on the idea of saving. Space is saved because IT resources live somewhere else as opposed to your facility. Unlike space-filling, energy inefficient servers in house, cloud computing allows you to pay only for the services that you use.
Let’s look at the following number, 30%. This number represents the total amount of operating expenses which could be energy related in your organization. By simply moving to cloud computing, a company seeking to reduce energy consumption and energy expenses can also cut their carbon emissions drastically.
Here’s how. Because IT resources reside somewhere else instead of inside your building and are used only when needed, electricity consumption is minimized. This leads to reduced carbon emissions and better energy efficiency. But, the way energy is managed needs to change. And, facility managers need to adopt a more proactive energy management approach.
Companies are turning to energy efficient strategies to minimize the energy needed to manage all their data. But, there are holes to fill. For example, Greenpeace International reports that companies not only need to measure how efficiently they’re using electricity, but also ensure that the electricity chosen to manage their cloud is clean.
A new way to manage energy, called Energy Management Information Systems (EMIS), can be useful in ensuring a truly green cloud. This is because EMIS can be cloud-based like customer relationship management (CRM) and enterprise resource planning (ERP) solutions, while also providing full visibility over energy data usage across the enterprise. And, energy resources which aren’t so clean and efficient can be identified and used less.
The most cost-effective tools provide deep insights into energy processes. To cut energy costs and improve your bottom line, you’ll need to have benchmarking and KPI analysis, flexible data formats, and energy efficiency ROI calculators built in to measure, analyze, and report on past and present energy performance. The addition of environmental impact reporting facilitates monitoring and reporting on the progress of sustainability goals.
If you don’t have total control over energy usage, then getting on the cloud is the smart move. Are you making smart decisions on your energy consumption?