I hope this inaugural edition of the Executive Technology Briefing finds you well. This newsletter’s goal is to give you insight into your technology purchases. I will examine the costs, options, and value of business technology systems. I promise to keep it brief and packed with valuable information.
How can you reduce your technology spending next year?
If the budget is looking tight, there are a number of ways to minimize your technology spending. Here are a few ideas:
· Rely on remote support: GCS’ remote support technologies can cut onsite service trips dramatically. Most GCS clients already use this extensively. You can certainly use it more. Let us know you need to reduce costs. We’ll rely more heavily on remote support.
· Proactively replace server hardware: Waiting until a server fails can double or triple the service costs of replacement.
· Lease the necessary upgrades: With our extensive leasing options you can spread payments over a three or four year term including all service, hardware, and software. Also ask your CPA about important tax benefits of equipment leasing.
· Qualify for Microsoft discounts: When you purchase 5 Microsoft products at any one time, you qualify for steep discounts on all additional purchases for a 2 year period. Email me for more information.
· Provide employee training: Why do some users require hours of support per month while others require none? Support costs are much lower for users with greater technical skills. Even a little training can have a big impact
Is your fiscal year end approaching?
I hope you are burdened with excess profits! If so now is a great time to upgrade your 3 or 4 year old desktops or notebooks. Windows XP will become much more difficult to acquire in the near future. The benefits of Windows Vista do not outweigh the learning curve for the majority of users. I strongly suggest upgrading your aging desktops and keeping Windows XP while you still can. Most clients will want to skip the Vista operating system altogether. Unfortunately most current copies of Windows XP cannot be transferred to a new PC – they are forever tied to one computer. You will have to buy another copy with your next PC. Call or email me for a quote on your computer upgrades.
Help with building an accurate IT budget.
Many of my clients struggle when creating a technology budget. Here are some simple rules that will dramatically increase your accuracy. If you need more detail I’m happy to help with annual budgets or 3-5 year technology plans. I can even provide itemized estimates for planned upgrades or replacements.
· All equipment has a limited life span and will be replaced every 4 years.
Computer: $1200
Laptop: $1500
Server: $3000-$7500
Printer: $150 - $5000
· Every employee change (hire, fire, desk move, etc) will require 1 to 4 service hours
· A new employee will cost at least $2000 in new technology
Computer: $1200
Microsoft Office:$400
Setup: $300
Phone: $200
· On average an employee will cost about $50 per month in technical support services
· Subscription services such as virus scanning, warranties, etc can add up to thousands of dollars per year.
o Virus scanner annual costs: $25 per user
o 1 Year Service Contract(Warranty) on Network Equipment: $350
o Internet connection should be $200 - $600 per month
o Phone Service – between $200 and $1000 per month for 5 to 45 lines. If you’re still paying more than $600 per month for a PRI – let me know.
