Data center migration, how to choose construction model

The data center migration, it is realized that the traditional model to the construction of large project shortcomings, our country has introduced many advanced project management mode in foreign countries, including PPP, BOT, construction mode, project management mode, and has been widely used in the projects of government. For the independent data center operators, especially the new inbound in the industry, are these mainstream models suitable for building data centers?
The first is the PPP model, namely the government and social capital cooperation, the government has investment, operation and management capacity of social capital in a competitive way, the two sides in accordance with the principle of equal consultation contract, by the social capital to provide public services, the government based on the public service performance evaluation results to social capital to pay the price.

Secondly, the BOT model, namely, construction - Management - transfer, is a way for private enterprises to participate in infrastructure construction and to provide public service to the society.
These two kinds of models, generally suitable for public services, the government is often used for roads and bridges and other infrastructure construction, the characteristics of the project is often a large amount of investment, long construction period, capital returns slow, for independent IDC operators in the construction of data center is not appropriate.
It is suitable for data center construction, and can guarantee the fastest reliability of data center delivery mode. It mainly includes agent construction mode and EPC mode.
Agent construction model, refers to the owners in accordance with the law by means of bidding, choose professional project management unit or construction unit, responsible for the management of project investment and construction work of the organization, after the completion of the project delivery to the owners, the owners pay a certain proportion of the construction unit management fees standard system. The introduction of agent construction system can effectively solve the problems of professional managers and professionals, and experience is insufficient. This mode is a major direction for the development of data center construction business in China.
The other one is the EPC project management mode, namely "design procurement construction" (Engineering-Procurement-Construction) general contracting model, refers to the construction unit as owners of construction contracts for the general contractor, by the general contracting unit contract design, the whole construction project procurement, construction, and the construction project contract quality safety, schedule, cost, and is responsible for the development and construction units to submit a final to comply with the contract, to meet the use function, with the use of the conditions and the final acceptance of the construction project contract model.
For the construction of data center projects, the EPC model has the following advantages compared with the generation model.
1, the overall project investment and risk control mode: bidding agent model generally adopts the investment rate, the total project investment is generally 3-5%, on behalf of the construction management company is not directly on the total investment risk responsibility, subcontract procurement and main equipment procurement price control power shortage. In the EPC mode, after the owner has determined the project plan and the delivery standard, the general contractor will quote the total price through competitive bidding, and make full investment control on the basis of total cost.
2, the management process is simplified: under the EPC mode, the owner no longer needs to split the data center into dozens of sub contractors and organize dozens of bidding procurement processes, which greatly reduces the management cost and audit pressure. And the large EPC general contractor can often use the existing framework contracts, quickly select suppliers and subcontractors, so as to speed up the progress of the project.
The general contractor, 3 large can mobilize resources for the procurement of equipment demand throughout the project summary after sporadic negotiations with scale Jicai, price and supply chain control, to control the total investment and can realize the EPC contract low price, the owners and the general contractor of the EPC to achieve win-win cooperation.
4, as the owner, get rid of the complex affairs in project procurement and construction process, we can focus more on the quality control and operation preparatory work of the project delivery, and turn the business capability into the company's profit as early as possible.
Of course, there are also shortcomings in the EPC model, and the rights and obligations of both parties are bound to be constrained through a reasonable contract clause.
From a vacant site to a data center put into operation, the general project construction period is 2 years or more. When adopting the EPC mode, the cycle can be controlled in 1 and a half years or shorter.