Who Counts Your Beans?

September 27, 2007

Just like any company, the search for ways to increase revenues and lower costs to make more money never ends. In the increasingly competitive hosting environment, raising prices is rarely an option but finding ways to cut costs while making the experience better for the customer can and must be done on an ongoing basis.

We have achieved some success to date with the provisioning of nearly 10,000 servers; however, the end game is far greater as the ultimate goal is to become a multi-national corporation serving markets all around the world. In the hosting space, you don't really have a choice, you either innovate and get bigger or you get out. The complexities are just too great to have the luxury of maintaining the status quo. The technology landscape is littered with companies that started reading their own press clippings and got fat, dumb and lazy. And keep in mind that copying your competitors only delays the inevitable; the "me-too" companies eventually go away. In the technology world, you must innovate and push the envelope to survive.

While we are constantly looking for new and better ways to serve the customer, a great deal of time is spent improving internal reporting systems. I work with a management team that understands the importance of budgeting and tracking various financial and operational metrics. To that end, we have made a substantial commitment in systems and people to gather data to help make the best decisions for us and most importantly, for our customers.

I would love to reveal all the data we have at our fingertips but for competitive reasons, I don't want to give away too much but let me leave you with this tidbit: I wonder how many of our competitors' CEOs can, from his/her desktop, drill down to any one of 10,000 servers in multiple data centers and know exactly how profitable each individual server is with the click of a mouse.

The best companies in the world are all supported by world-class accounting and finance departments providing pertinent financial and operational data to all its stakeholders. The right information gives you a tremendous advantage over your competition.

Find someone good to count and analyze your beans. Wal-Mart did and turned the world of retail on its head. With a little luck, we might be able to do the same to hosting.

-Mike

Comments

September 28th, 2007 at 1:39pm

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September 29th, 2007 at 1:23am

[quote]I wonder how many of our competitors’ CEOs can, from his/her desktop, drill down to any one of 10,000 servers in multiple data centers and know exactly how profitable each individual server is with the click of a mouse[/quote]

Sounds like someone likes analytics as much as I do. Great job in getting some new business indicator quantifiers implemented.

You can count my beans anytime. :) Or if you just want to chat about counting beans, I am available for that as well. Kudos Mike.

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Comments

September 28th, 2007 at 1:39pm

Web Hosting Blogs: The Big List

Our big list of blogs writing about the hosting industry.

September 29th, 2007 at 1:23am

[quote]I wonder how many of our competitors’ CEOs can, from his/her desktop, drill down to any one of 10,000 servers in multiple data centers and know exactly how profitable each individual server is with the click of a mouse[/quote]

Sounds like someone likes analytics as much as I do. Great job in getting some new business indicator quantifiers implemented.

You can count my beans anytime. :) Or if you just want to chat about counting beans, I am available for that as well. Kudos Mike.

Leave a Reply

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