{"id":173448,"date":"2023-01-11T09:06:40","date_gmt":"2023-01-11T16:06:40","guid":{"rendered":"https:\/\/inbusinessphx.com\/?p=173448"},"modified":"2023-01-11T09:06:40","modified_gmt":"2023-01-11T16:06:40","slug":"how-much-is-tech-actually-costing-you-understanding-the-true-cost-of-ownership","status":"publish","type":"post","link":"https:\/\/staging.inbusinessphx.com\/?p=173448","title":{"rendered":"How Much Is Tech Actually Costing You? Understanding the True Cost of Ownership\u00a0"},"content":{"rendered":"

Many companies use the latest technology to be as efficient and competitive as possible, but research indicates a good number of them may be wasting money<\/a> on tech.<\/p>\n

One study by Gartner, a global research and advisory firm, found that companies spend $13,000 per employee annually on software as a service (SaaS), but $4,000 is unnecessary<\/a> due to overlapping solutions.<\/p>\n

Ben DeBow, author of End of Abundance in Tech: How IT Leaders Can Find Efficiencies To Drive Business Value, <\/em>says tech waste is rooted in a lack of attention, awareness, or expertise in identifying inefficiencies within technology platforms and applications.<\/p>\n

Business owners and leaders, he says, can avoid these costly problems by doing a detailed analysis before making a big tech purchasing decision. DeBow calls that approach estimating your \u201ctotal cost of ownership (TCO).\u201d<\/p>\n

\u201cYou wouldn\u2019t buy a car based on the list price alone,\u201d says DeBow, the founder and CEO of Fortified<\/a>, a next-generation database consultancy focused on planning and designing data systems for performance and scalability. \u201cYou know there are other things that go into that purchase, such as gas, maintenance, depreciation, etc. You would factor all these things in, and more, before deciding which car to purchase because you want to know the total cost of ownership of that car.<\/p>\n

\u201cWhy aren\u2019t we doing this for technology systems? If we don\u2019t start to adopt this mindset now, the cost of inefficiency and, more importantly, the cost of inefficiencies over time, will become overwhelming. My fear is that if we let things continue as they are, the millions of dollars in unforeseen technology expenses to all businesses trying to compete in today\u2019s 24\/7 always-on world will become trillions as companies migrate to the cloud. Aside from the impact on corporate bottom lines, no one wants to see a world in which the costs of technology will outweigh its benefits.\u201d<\/p>\n

DeBow offers these key points for business owners\/leaders to consider to estimate and optimize the TCO for their technology environment:<\/p>\n