| system | 💰 | 💸 | 🛠️ | | --------------------------------- | --- | ----- | --------- | | merit market system (cloud-based) | $0 | $30k | 400 hours | | merit market system (on-premises) | $5k | $5.9k | 500 hours | ### Assumptions - development, maintenance, and security are managed by community members - the knowledge for system maintenance is internally sourced, avoiding the need for external training - automation minimizes routine system monitoring, focusing labor on audits and emergency responses ### Merit Market Technology (cloud-based) - the system is fully cloud-hosted, eliminating hardware and on-premises infrastructure costs. #### Labor: 400 Hours/year | task | hours/year | notes | | -------------------- | ---------- | ---------------------------------------------------------------------- | | software maintenance | 100 | updates and bug fixes as needed for evolving user needs. | | system audits | 150 | periodic checks to ensure data integrity, compliance, and performance. | | user support | 100 | addressing user queries, onboarding, and feedback management. | | emergency response | 50 | responding to critical issues like downtime or potential breaches. | | total labor (hours) | 400 | a lean yet robust allocation for a cloud-based merit system. | #### Operating Costs: $30k/year | component | annual cost ($) | justification | | ----------------- | --------------- | ----------------------------------------------------------- | | cloud hosting | $20,000 | scalable server space, bandwidth, and data storage costs. | | software licenses | $5,000 | tools for monitoring, auditing, and maintaining the system. | | data backup | $5,000 | ensures continuity and resiliency in case of failure. | | total annual cost | $30,000 | lean and efficient for community needs. | #### Initial Costs: $0k → $0k/year #### Benefits Of A Cloud-based System 1. scalability: adjusts dynamically to accommodate changes in user volume. 2. cost efficiency: removes the need for significant hardware investments or replacements. 3. resiliency: cloud providers ensure high uptime and disaster recovery capabilities. 4. community-driven development: encourages skill-building and participation within the community. ### Merit Market Technology (on-premises) - uses a raspberry pi cluster or similar low-power, cost-effective hardware to host the system - system is internet outages but may use external storage (e.g., offsite backups) for disaster recovery #### Labor: 500 Hours/year | task | hours/year | notes | | -------------------- | ---------- | ------------------------------------------------------------------ | | software maintenance | 100 | updates and bug fixes as needed for evolving user needs. | | system audits | 150 | periodic checks to ensure data integrity and performance. | | user support | 100 | addressing user queries, onboarding, and feedback management. | | emergency response | 50 | responding to critical issues like downtime or potential breaches. | | hardware maintenance | 100 | regular hardware checks, updates, and repair as needed. | | total labor (hours) | 500 | focused on keeping the system operational and secure. | #### Operating Costs: $5k/year | component | annual cost ($) | justification | | -------------------- | --------------- | ---------------------------------------------------- | | power & cooling | $1,000 | electricity for raspberry pi cluster and networking. | | backup storage | $2,000 | external storage for disaster recovery. | | network connectivity | $1,000 | basic internet for updates and remote access. | | maintenance supplies | $1,000 | replacement parts, cables, and tools. | | total annual cost | $5,000 | highly cost-effective for a localized system. | #### Initial Costs: $5k → $900/year | component | initial cost ($) | lifespan (years) | amortized cost/year ($) | justification | | ---------------------------------- | ---------------- | ---------------- | ----------------------- | ----------------------------------------------- | | raspberry pi cluster | $2,000 | 5 | $400 | low-cost hardware with redundancy. | | networking equipment | $1,000 | 10 | $100 | basic router, switch, and cabling. | | uninterruptible power supply (ups) | $1,000 | 5 | $200 | ensures system continuity during power outages. | | external backup drives | $1,000 | 5 | $200 | secure data redundancy and recovery. |