Data centre management and strategy
Domain 4 - Data centre management and strategy. The exam tests the commercial and organisational layer: business case, lifecycle governance, sourcing decisions, capacity and refresh planning, SLAs, risk and sustainability reporting.
Lifecycle and governance
Strategy → design → build → operate → decommission, with stage gates and a named owner at each stage. Typical roles: data centre manager, facilities/engineering, IT operations, security, compliance and finance. A RACI and a DCIM tool are not decoration - they are how capacity, change and incidents stay traceable.
The money
- TCO over 10–15 years: capex (building, UPS, cooling, switchgear, cabling, security) plus opex (energy, maintenance contracts, staff, connectivity, compliance).
- Express options as cost per kW per month so a colocation quote and a build become comparable.
- Add NPV with a discount rate, depreciation and residual value, and flag stranded capacity - power and cooling you paid for but cannot use or recharge.
Sourcing
Enterprise build, colocation, cloud, hybrid. Compare on availability SLA, achievable power density, speed of scaling, lock-in, exit and egress cost, and who carries the operational risk.
Worked example
1 MW requirement; colocation at €150/kW/month versus a build with €9M capex and €1.1M annual opex.
- Colocation: 150 × 1,000 × 12 = €1.8M per year; €18M over 10 years, €27M over 15 years.
- Build: €9M + 10 × €1.1M = €20M at 10 years; €9M + 15 × €1.1M = €25.5M at 15 years.
- Crossover is around year 12–13 on simple totals, before discounting and residual value. Duration and scale decide the answer - a 5-year horizon with uncertain growth favours colocation. Non-financial factors (control, latency, data sovereignty, in-house capability) then adjust it.
Traps that cost marks
- Comparing capex only, or ignoring energy price escalation and maintenance renewals.
- An SLA with no measurement method, reporting frequency or remedy.
- Ignoring exit cost and data repatriation in a cloud or colocation decision.
- Capacity plans that ignore hardware refresh raising kW per rack.
- Using a PUE target in a business case without saying how it will be metered.
- Overlooking sustainability and regulatory reporting obligations until after the contract is signed.