Your First Step To Converting Your Analytical Warehouse To a Private Cloud

So your organisation has decided to commence discussion with your vendor to move your current analytical platform to a private cloud service. How do you go about making the first step? What areas do you need to consider?   How far do you go in converting existing functions to an outsourced service? How do you go about constructing a new service agreement around an Analytical Warehouse as a Service (AWaaS)?

Many organisations want to develop a data warehouse environment that have the flexibility in provisioning for additional capacity with the certainty and predictability of cost. They also wish to avoid the lumpy capital expenditure associated with large platform upgrades and refreshes.   Most of the focus has been in changing the financial arrangements, converting from a capital expenditure model to an operating expense model (rent instead of buy).

However, there are various factors that need to be considered if one is to fully leverage the opportunities presented when converting to a private cloud service model. To add to the complexity, it is not uncommon for various stakeholders to have different interpretation of what a new service should cover.

The following article shares a framework that Teradata uses to help in developing a new cloud service construct. The framework is used in developing an initial position – a straw man –to clarify requirements and intent beyond the new service. The straw man provides a foundation to build the new service contract.

The figure below summarises the nine levers to consider in designing your AWaaS.






Each lever is discussed further below.














Who will be responsible for day to day operations of the warehouse environment including DBA, backup, network, batch jobs, program tuning, administration, fault management etc. ?










A higher Flex capacity increases risk and will therefore increase provisioning cost for the vendor.













Most clients provide shared a data centre facilities. Future transition to Vendor hosted Cloud offerings should also be considered. 
















Organisations that have rudimentary capacity planning processes can seek support from the vendor and include this as part of the service contract.


















Longer period generally reduces cost and needs to include direct cost and included service features.










Our experience working with other organisation on several of his AWaaS type arrangement is that each client is unique. Defining the requirements and target state is an iterative process as both client and vendor better understand the implications of the service construct.

The form below is an example of a completed initial description. Having this straw man will help in developing a common understanding and can highlight conflicts and inconsistencies.








This framework was very helpful in our initial discussions with organisation who wish to explore their options.   Having this framework helped both clients and vendor better understand the requirements and to commence co-operate design of a new service solution.

Renato Manongdo is a Senior Financial Services Industry Consultant at Teradata ANZ and is also the practice lead for Business Value Measurement in Asia Pacific. Connect with Renato Manongdo on Linkedin.



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