Is information technology a business expense or a competitive advantage?
For years now, IT executives have argued that technology purchases should no longer be considered just a capital or operating expense – in other words, a drain on the bottom line. The most effective IT departments are one of their companies’ key competitive advantages. That means the gear they buy should be looked at as an investment, not an expense.
As IT has moved center stage, total cost of ownership (TCO) has replaced CapEx and OpEx as a more useful measure of IT products.
Even still, TCO’s traditional definition – the hard costs associated with acquiring and maintaining equipment – has been expanded to give it greater relevancy. The modern definition includes factors like improvements to business processes, and faster return on investment (ROI). These factors – and others like manageability, adaptability, and resilience – give a far clearer picture of how a new piece of IT equipment will impact business.
Attaching numbers to what appear – at first glance – to be broad metrics, can be tricky. Here’s a guideline: The factors that should be included in TCO either directly benefit IT, or the users it serves.
Quantifiable factors like time saved through administrative efficiency, deferred capital purchases, and faster time to revenue (through accelerated application deployment) should be considered part of TCO. As should other measurable factors like efficiencies in data protection, scalability and support.
To help customers determine their storage solution’s TCO, we recently asked the Enterprise Strategy Group (ESG) to create a detailed guide on the costs and benefits of Nimble Adaptive Flash arrays. Among ESG’s findings:
- InfoSight™, our analytics support engine, has evolved from break/fix features to a trusted advisor that significantly improves system during the entire storage lifecycle.
- Nimble’s CS-Series arrays eliminate the need for dedicated backup windows for backup, dramatically reducing data recovery costs.
- Nimble’s SmartStack™ pre-validated reference architectures with industry leaders like Cisco, Oracle, and Citrix, accelerate deployments while mitigating the risk often associated with new technology projects.
ESG compares Adaptive Flash solutions to competing storage products in common use cases.