By Justin Kutniewski

In keeping pace with the trends of our current data center boom, you’re likely to see an intense focus on newness. New construction, new designs, new technologies and new power solutions are all top of mind for operational leaders as we all try to keep up. But some of the biggest gains can come from refurbishing existing data center spaces. This is especially true for enterprise data centers or colocation companies.

While conversations around new construction are inevitable, the value opportunity of retrofits and existing upgrades tend to be overlooked. Unfortunately, the buzz around new construction often means retrofit programs are under-resourced. When plans are put into action, they’re often led by existing management teams who operate the business day-to-day and don’t have the time to take the 10,000 foot view of improvement results. This strategy means moving quickly without substantial data or insights and can mean driving down the wrong path for your specific facility.

As you determine the best course for your business, try to find partners focused on those refurbishment projects versus solely construction since the work streams are very different. Creating a focus on improvements can lead to long-term benefits, and doing this with the above points in mind can make the entire process quicker, easier, and more cost-effective.

Here are a few ideas to improve and accelerate your existing data center retrofit plan and accelerate success across your operations:

• Define qualified project partners. The team leading your retrofit should be unique to this project, since that’s how many great retrofits differentiate themselves from new builds. For the most part, people working in this space focus on one side or the other of the coin, so you need a true leader with expertise and a singular focus on retrofits. Retrofitting existing data centers can be significantly less costly than building greenfield. Upgrading components like cooling systems, power supply, and IT infrastructure often requires less capital expenditure. The team executing the work should be seasoned with the challenges of upgrading an operational data center. This requires meticulous planning to avoid disruptions, which can be complex and resource intensive.
• Separate the budgets. A budget set aside specifically for retrofits will be a massive asset in tracking the progress and investment put into the project. Separate this budget from new construction and also set up the objectives and KPIs you’ll deliver on completion. Track those successes and report on all retrofits as one unit, not buried inside of existing operations.
• Track separate KPI’s. The value statements and measurements of success for a retrofit should be separate from the business-wide statistics. Make this a value change for the company and evaluate the value of a new building versus those of existing upgrades. Find out the specifics of your business to see which drives more bang for your buck, and align your future strategy with that. A few bits to consider:
  • Scalability. Older infrastructures might have physical and technological constraints that limit scalability and future expansion.
  • Technological Constraints. Retrofitting might not fully address the integration of newer technologies, which can be a limitation if the existing infrastructure is significantly outdated and/ or underpowered.
  • Compliance. Facilities being retrofitted may be required to meet the latest industry standards and regulatory requirements. Upgrading older systems to meet these standards may provide added complexities for the project.
  • Total Cost of Ownership (TCO). Evaluate the TCO, including initial costs, operational expenses, and potential savings from improved efficiencies and reduced downtime.

• Choose upgrades strategically. Similar to buying an older home with “good bones,” choosing to upgrade an existing data center can be a smart investment depending on your goals. Main components that have longer life cycles like distribution switchgear and emergency power generation only need scheduled preventative maintenance for extended periods of time. This allows the more critical equipment to be refreshed. This could mean utilizing modern UPS and battery systems, state-of-the-art power distribution and cutting edge DCIM and building management systems. All these can be replaced and updated while the rest of the data center continues to function. It does take very detailed planning and there is slightly greater risk, but if done properly the benefits definitely outweigh the exposures.
• Be ready to lay out the benefits. When considering upgrades or discussing them with your team, know how to articulate the wins of refurbishing existing facilities. Modernization projects can be planned and executed in phases, minimizing disruptions to ongoing operations and client services. Retrofitting allows the reuse of existing structures and materials, aligning with green initiatives and reducing environmental impact. The carbon offset could be significant since the project doesn’t require extensive land disruption activities. Upgrading an existing facility is often faster than constructing a new data center from the ground up, providing quicker returns on investment. Existing data centers also tend to be located in strategic locations with established connectivity, making upgrades more practical. These locations will have an established utility power capacity agreement in place.
  

The decision between modernizing existing data centers and planning new constructions hinges on a thorough evaluation of financial, technological, environmental, and strategic factors. Both approaches have their merits and challenges, and the optimal choice depends on the specific circumstances and long-term objectives of the organization. Don’t get lost in the buzz of new data center construction without considering what your specific facility needs, and weighing the potential costs and benefits of each option.

Justin Kutniewski is National Sales Executive of Mission Critical at Concentric. He can be reached at [email protected].

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