Question: BitTech Pte Ltd ( BitTech ) , with headquarters in Singapore, operates a computer server farm in Texas, USA. It has some 4 , 0

BitTech Pte Ltd (BitTech), with headquarters in Singapore, operates a computer server farm in
Texas, USA. It has some 4,000 servers mining Bitcoin cryptocurrency. However, with Bitcoin
values fluctuating wildly, intense competition and increasing operating costs, the company has
decided to pivot its business to cloud services and to relocate its servers to Asia.
Table 1 below shows technical data over the last 6 months in 4 countries that BitTech is
evaluating for the suitability of migrating its servers.
Table 1. Technical Data for Server Operation in 4 Countries
The table above shows the electrical voltages that the power supply companies in the various
countries can provide. Availability indicates how many hours in a month where there is no
power outage. BitTech works on the basis of 365 days a year over 12 months. Some fluctuations
in voltage values and availability days are normal. The table shows measured values over a 6-
month period.
The servers are sensitive electrical equipment and require stable power from the data centre
that houses the servers. To operate reliably, the data centres used by BitTech must be rated at
22 kV with a tolerance of 6%.
As an example, consider a data centre that is rated at 10 kV with a tolerance of 10%. This
means that it can only operate the servers if the power supplied varies between 9 kV and 11 kV
with a long-term average of 10 kV.
BitTech also noted that the electricity rates in Indonesia, Malaysia, Singapore and Vietnam are
$0.16, $0.14, $0.25 and $0.15 per kWh, respectively. These rates are expected to remain
relatively unchanged for the foreseeable future.
BitTech prides itself of its ability to provide services at a guaranteed availability of at least
99.95%. For added assurances, it also requires the power suppliers to match this level of
availability.
In the industry, the Percentage Availability metric is defined as System Available Hours / Total
Calendar Hours expressed as a percentage. Thus, if a system is available for service for 657
hours in a month, the Percentage Availability would be computed as 90% per month.
[Hint: 90%=0.90=657 hours /(24 hours x 365 days /12 months)]
(a) You are required to develop appropriate models to analyse the questions that follow.
Your answers must be justified quantitatively. All such models must contain formulae
and functions. Hardcoding is not allowed.
(i) Which countr(ies) are not technically feasible for the migration of the servers?
Explain, with reference to your model, why these countr(ies) are not suitable.
(ii) Show, using your model, which countr(ies) are potentially suitable. Identify the
most ideal country. Justify why.
(iii) The CTO of BitTech suspects that there are errors in some of the availability
hours for Vietnam in Table 1. The affected values are all misstated by the same
X number of hours. The long-term availability should be 99.99%. Using
Solver or otherwise, show which values are incorrect and state the value of X.
Explain how you derive your answer.
Help to construct an excel model based on the information given above.
 BitTech Pte Ltd (BitTech), with headquarters in Singapore, operates a computer

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related General Management Questions!