
These are summarized in Table 2-1  and described in detail below.
Table 
| Type of Consolidation | Definition | Potential Benefit | 
| 
 | 
 | 
 | 
| Centralization | Relocate to fewer sites | Reduction in administration costs | 
| 
 | 
 | Increased reliability and availability | 
| 
 | 
 | Lower operation costs | 
| 
 | 
 | Improved security and management | 
| 
 | 
 | 
 | 
| Physical Consolidation | Replace with larger | Reduced hardware and software costs | 
| 
 | servers | Improved processor utilization | 
| 
 | 
 | Reduced facilities costs (space, power, A/C) | 
| 
 | 
 | Lower operations costs | 
| 
 | 
 | Improved manageability | 
| 
 | 
 | 
 | 
| Data Integration | Combine data from | Reduced storage management costs | 
| 
 | multiple sources into a | Improved resource utilization | 
| 
 | single repository | Reduction in administration costs | 
| 
 | 
 | Improved backup/recovery capabilities | 
| 
 | 
 | Enhanced data access and integrity | 
| 
 | 
 | 
 | 
| Application Integration | Consolidation of | Reduction in administration costs | 
| 
 | multiple applications | Increased reliability and availability | 
| 
 | onto one server | Reduced facilities costs (space, power, A/C) | 
| 
 | platform | Lower operation costs | 
| 
 | 
 | Scalability | 
| 
 | 
 | 
 | 
Centralization
Server consolidation means different things to different people. As shown in Figure 
| London | Zurich | Toronto | Zurich | |
| Sydney | Hong | Los | Hong | |
| Kong | Angeles | Kong | ||
| 
 | ||||
| Figure  | 
 | 
 | ||
Centralization involves relocating existing servers to fewer sites, for example, taking 20 servers scattered over three floors in your building and moving them
