Desktop PCs: The First Link

Desktop computers form the most visible component of the IT infrastructure in

enterprises. And the most troublesome. When you think desktops, you think

upgrades, obsolescence, manageability… Given the rapid rate of obsolescence

and the fast development, keeping users happy is becoming increasingly difficult

for CIOs. Every user wants the latest desktop (currently the Pentium 4),

irrespective of what the actual need is.

Latest, hottest, fastest



Is it imperative for you to buy the latest offering available in the market,

whether the users in your organization need the same or not? Not really.

However, since the budget per PC remains the same and new products are available

within expected budgets, it is best to go in for the latest offering. What

becomes critical in determining your final brand of choice is the software that

is bundled along. Do your new machines need to be preinstalled with Windows 2000

or Windows 98? The decision will depend on which platform you have standardized

within your organization and can also help reduce the cost per desktop.

Upgrade or junk



Standardization is the name of the game. The problem of disparity in the

desktops in an organization can be best tackled by having certain predefined

desktop specifications. For instance, in the case of Cyber Media (the publisher’s

of Dataquest), we have fixed the minimum specs. All PCs in the organization have

to meet these specs and if they don’t, we replace the system. The minimum

specs need to be upgraded considering the advantage of falling prices, new

application needs and lack of hardware availability that use outdated RAM.

Branded or assembled



The choice is between branded and assembled machines. The CIO has a huge

range of brand options– MNCs like IBM, Compaq and HP, the Indian brands like

HCL and Zenith. Branded PCs offer reliability, quality and support. Of course,

these are far more expensive than assembled machines. A low-end assembled PC

would cost you Rs 18,000 to Rs 25,000. This is at least 20-30% less than a top

brand, which would cost anywhere between Rs 25,000 and Rs 55,000, depending on

the configuration and the add-ons. Moreover, you are likely to get a better bulk

discount through dealers of assembled products. Even if your organization buys

from a big vendor, the services offered need not necessarily come from the

vendor–they will probably be outsourced to your neighborhood dealer. But

whether outsourcing is done or in-house expertise is banked upon, assembled

desktops will be a good choice as price advantages will be significant.

Consider the case of Cyber Media. Our purchases are a mix of assembled PCs

and HP Brios, but all machines meet the minimum functional specs requirement.

Besides, since we have outsourced our IT management to Samtech, which has a

tieup with HP, it is easier to maintain the mix of assembled and HP machines.

Had Cyber Media outsourced its IT infrastructure to another company, like, say

IBM, the new purchases would necessarily have had to be IBM machines.

Choosing a desktop, therefore, depends largely on the needs of the users and

the applications to be run on the machine. Also, most vendors will configure a

system to meet your specifications, allowing you to add or delete options

according to your needs. The business user should factor processing power,

manageability, serviceability, and total cost of ownership (TCO) into the buying

decision.

Standardization leads to manageability



The first step in managing desktops is to standardize. This will help in the

long run to further reduce costs by doing most of the work remotely over the

network, by the service vendor. Centralizing most processes proves to be

cost-effective. System management tools will automate the process, but you need

to ensure that any equipment you buy is compatible with the other systems you

have. It is best to avoid users tinkering with their machines so that the

network remains trouble free. Centrally managed initiatives aim to provide a

standard, tinker-proof PC for corporate use. Be on the look out for suppliers

that support such useful initiatives and minimize TCO.

This would include the cost of setting up, configuring and networking a

machine, as well as maintaining it, upgrading the hardware and software, and

dealing with users’ queries. These additional costs add up to several times

the price of the machine. Suppliers selling to the corporate market often bundle

a service element into the total PC package, allowing your in-house IT staff to

concentrate on other things. If you don’t have a big team of skilled support

staff in-house, it may be cheaper to pay for outside help, as a professional

service organization should have the tools and experience to do the job quickly

and cost-effectively.

TEAM DQ

Buying Tips

Negotiate:

You can get volume discounts even from branded PC players, apart from

better support terms and extended warranties. Also, vendors may

provide on-site support for sufficiently large orders (say 50 plus

PCs)

Technical Support/Warranties: Warranty

periods and restrictions will differ from manufacturer to manufacturer

with some vendors not covering components such as monitors, keyboards

and other peripherals. Also, the vendor will resort to solve technical

issues through other, cheaper means, such as over the phone or via the

Web. Your team may end up opening the system and installing

replacement components. Or else, you may have to lug the box to

service depots. Alternatively, some vendors commit on-site technical

support for your system or on-site service at no extra charge. Try to

get uptime commitments from vendors.

Budget Management: While

the best offering may just cost a few thousand rupees more, you need

to check whether users really need it. If usage is limited to word

processing and surfing the net, it does not make sense to go in for

such systems.

Price Comparison: When

you compare quotations from different vendors, check on what is

bundled with the PCs. There is a lot more bundled with branded PCs as

compared to assembled machines. Make sure you compare the net costs of

the offerings.

The Fine Print: Read

the fine print for hidden costs, especially where warranty options or

‘free’ services are being offered.