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Total Cost of Ownership (TCO)
TCO refers to the sum of expenses incurred by a process or system. In order to accurately estimate the
total cost of a new system you must take into account some of the following factors in addition to the purchase price of the system.
Some of these factors include:
| Licensing |
The cost of the system as it will be installed. This will often increase as your network and user base grow.
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| Support |
The cost of both yearly support contracts and employees. |
| Training |
The cost of both formal training and lost productivity. |
| Implementation |
The cost of transitioning to the new system, including both consulting expenses and employee time. |
| Depreciation |
Computer systems typically have a life cycle of 2 - 7 years. After this cycle is complete, nearly all investment in the system is lost.
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| Related Software |
The TCO of client software used with the system. This is not only the purchase price and licensing, but all
of the expenses listed above.
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Paisley Systems can significantly lower your TCO for our managed solutions, and in most cases, provide them at a fixed cost.
We'll demonstrate using the examples listed above:
| Licensing |
All of our products include unlimited use licensing. |
| Support |
Management and support are provided at a fixed cost based on predetermined service levels. |
| Training |
As our systems are fully managed, there is a very shallow learning curve if any at all. |
| Implementation |
This expense is lower through our experience and efficiency. |
| Depreciation |
Our systems can be leased or purchased. |
| Related Software |
As our systems are designed to integrate with existing systems, there is no need to purchase client software.
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