Article

Building a Cloud Cost Model for Microsoft Dynamics: How to Compare On-Premise with the Cloud

by Rob Curls
Solutions Consultant, Concerto Cloud Services,

As applications and supporting infrastructure age, there comes a time to decide how to move forward. The cloud is at the forefront of each one of those decisions today. With general public cloud offerings like Office 365, comparing costs of existing applications to their newer cloud counterparts is straightforward.  But for other applications like a Microsoft Dynamics ERP or CRM solution, the model is more complex due to the range of factors: the conversion of existing licensing, the alignment of support, data security and customizations, the complexity of the solution architecture, and more.

Different cloud models offered as Infrastructure as a Service (IaaS) add to the challenge of comparing the costs. Some providers charge based on incremental server sizes (e.g., small, medium, and large). These offerings may also have a transmission charge for data that traverses their internet connections. With these IaaS models, you may be extending your network topology and adding requirements to integrate the cloud applications with on-premise data. These transmission charges can also result into an organization moving more applications into their cloud ecosystem. 

This example illustrates the importance of understanding all of the components of a cloud offering and selecting a model that will support both the current and future plans of an organization.

The Components of a Cloud Deployment

A private cloud is most often recommended for Microsoft Dynamics ERP for security and performance reasons, as well as for highly customized deployments of Microsoft Dynamics CRM. This type of deployment starts with a base price for the application's environment and infrastructure and then adds in the appropriate system resources and software licenses. There are four areas to assess in a cost comparison for a private cloud deployment of Dynamics:

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About Rob Curls

As a Solutions Consultant for Concerto Cloud Services, my primary focus is educating customers on technologies that are available and designing solutions that will achieve their strategic objectives. With a focus on cloud solutions, my responsibilities include architecting complex workloads utilizing best of bread technology and service providers, developing and presenting in person and online presentations and demonstrations with customers and industry experts, as well as working with our team to ensure we stay on the cutting edge as a cloud service provider.

With more than 14 years of technology experience, I have a diverse background which has enabled me to work in challenging industries such as Healthcare, Professional Services, and Defense. I've consulted organizations ranging in size from small start ups to large globally dispersed organizations, and I'd love the opportunity to sit down and discuss your needs.

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