Q

ROI and NAS

Randy,

Can you please give me a matrix or a discussion on how to calculate ROI in a NAS environment? Any help would be appreciated.

Thanks.


Here are a few notes from a seminar we do that might help on ROI:

ROI -- Return On Investment

Calculated on a per project basis

Assessment of return on investment money for savings or gains from project implementation

For storage decision, will include:

Cost of solution (hardware and software plus implementation costs)

Savings in administration / operations

Gains in increased business, productivity, customer service etc.

Usually expressed as a % of gain with a payback period of time

ROI - Return On Investment calculation

Identify infrastructure components and their characteristics

Costs

Storage ($/megabyte)

Servers

Operational issues

Growth rates (infrastructure and staffing)

Relate operational costs and administration effort with infrastructure requirements

Quantify soft costs such as opportunity costs

There should be no difference in the method of calculation for NAS or any other storage solution. The elements should be the same.

Randy Kerns

Evaluator Group, Inc.


This was first published in August 2001

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