Migrating Oracle EBS to OCI – TCO Benefits and Beyond

December 1, 2020

Beyond the benefits of being straightforward to migrate, easier to manage, and more flexible to scale, Oracle E-Business Suite on Oracle Cloud Infrastructure is cheaper than running it on-premises or in other cloud systems. Along with TCO benefits, there are several reasons which make OCI a convincing proposition for EBS on-prem customer.

In Gartner’s latest scorecard, OCI has got an impressive 63% jump as compared to other leading cloud providers. Cloud decision-makers and architects can read more to make an informed decision to consider Oracle in their next cloud IaaS decision for HA/HP or mission-critical workloads list Oracle EBS.

TCO calculation is an important exercise in your EBS migration strategy planning, and once completed, an analysis important to be presented to your CFO.

It will be important to note that every environment is different and hence to know the quantum of benefits for your organization, you will need to get your environment assessed by IT Convergence experts. Being an Oracle MSE cloud partner, we are certified experts to help you with an assessment of your EBS environment. We can simplify what may seem like an ordeal exercise for you.

In this blog you to learn:

  • 5year TCO for E-Business Suite on Oracle Cloud (300 users)
  • 5year TCO for E-Business Suite on Oracle Cloud (600 users)
  • Beyond the TCO benefits

5-year TCO for E-Business Suite on Oracle Cloud (300& 600 users)

A 5 year TCO analysis by Oracle*, found that operating EBS in Oracle Cloud Infrastructure can be up to 42% -46% less than running it on-premises for 300 to 600 users respectively which you can further read here. Significant savings come from eliminating upfront hardware, ongoing facilities, IT administration, and support costs. This analysis did not account for continued Managed services of EBS on OCI from an Oracle MSE Certified partner as you can pick and choose what you need from a bundle of services.

Oracle EBS – 300 users – Save up to 42%* Assumptions

Oracle: 5 OCPU per environment compute, 4 OCPU DB, 7.5TB storage (includes backups), 2 1Gbps FastConnect, 2 Load balancer.

On-Premises: 24 cores, 192 GB RAM, 9 TB usable flash storage, OS support for 12 cores, Enterprise hypervisor costs for 12 cores.

Oracle EBS 600 users – Save up to 46% Assumptions

Oracle: 10 OCPU per environment compute, 8 OCPU DB, 9TB storage (includes backups), 2 1Gbps FastConnect, 2 Load balancer.

On-Premises: 48 cores, 384 GB RAM, 18 TB usable flash storage, OS support for 24 cores, Enterprise hypervisor costs for 12 cores


Get your EBS assessment now.

Beyond the TCO Benefits

Beyond cost, customers have experienced improved agility and streamlined infrastructure while migrating to OCI which can be read in this ebook. The following are the key benefits of running Oracle E-Business Suite on Oracle Cloud Infrastructure:

  • Manages and reduces capital expenditure (CAPEX) by ensuring the datacenters you maintain are efficient while eliminating server hardware and taking advantage of cloud flexibility where possible.
  • Results in 30% increased performance, 2-10 times faster reporting.
  • Provides high availability with Recovery Time Objective (RTO) < 4 hours and Recovery Point Objective (RPO) < 4 hours.
  • Maximizes your solution availability using Oracle Real Application Clusters (RAC) or Oracle Database Exadata Cloud Service in the cloud.
  • Provides rapid “in-place” technology refresh and patching.
  • Provides proactive monitoring of usage and costs.
  • Provides near-instant scaling up or scaling down (to handle business growth or workload bursts at month-end).
  • Provides federated identity with your existing systems.
  • Helps reduce audit length and cost; security and compliance overhead for IaaS is Oracle’s responsibility.

By running Oracle E-Business Suite on Oracle Cloud Infrastructure:

  • Transform large, irregular CAPEX expenditures to predictable operating expenditure (OPEX).
  • “Pay as you go” based on usage.
  • Bring your own Oracle licenses to Oracle Cloud Infrastructure to leverage your existing investments, including monitoring, operational runbooks, skills, and workflow.

We can help you accelerate this process through our extensive experience in planning and proprietary migration methodologies. Contact us

Optimize TCO While Leveraging an Oracle MSE – Services to Pick and Choose

The above TCO calculations cover infrastructure components, however, moving traditional on-premises Oracle EBS environments to an Oracle Cloud Infrastructure does not eliminate tasks to manage and optimize for maximizing cloud your investments.

The complexity of Oracle workloads, and more specifically the contracting, architectural design, and implementation of these workloads, requires expertise that most companies may not have internally.

The cost associated with these services can only be accounted for on a case-to-case basis depending on various environmental scenarios. Hence it is advisable to know how to leverage Oracle Cloud certified partner to assess the TCO for cloud, migration, management, and optimization services

Conclusion: TCO Assessment While Planning EBS to OCI Migration

It is advisable to involve an Oracle Cloud certified MSE partner in your strategic planning exercise for EBS to OCI migration where TCO calculation is an important exercise. At IT Convergence we will ensure you do not get any surprises while accelerating your Oracle Cloud Infrastructure migration journey and also maximize value for your cloud investments.

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