There are more and more options for hardware devices that can be used in a business environment. In the past, the only option was to select from a small handful of enterprise grade devices. Today, it is quite different. Not only are there more enterprise devices but many also consider consumer grade devices to meet their business needs. And at first glance, the lower cost consumer devices appear to bring a higher ROI. However, it is important to consider that up-front costs are just the tip of the iceburg - it's important to look at the total cost of ownership before making that final decision.

 

Total Cost of Ownership (TCO)

When making a buying decision, it is important to consider all of the associated costs. These include actual expenses (now and in the future) and opportunity costs.

Up front Cost - While this can vary, typically consumer devices have a lower upfront cost.

Average Lifetime – Enterprise devices are built to withstand continual use in harsh environments and therefore last longer than their consumer counterparts. There could be significant future costs associated with replacing consumer devices due to breakage, failure or other disruptions.

Downtime – Time is money and enterprise devices provide more consistent performance with less downtime due to overheating or failed components.

Additional Protection – Consumer devices are often not constructed to resist drops, water or dust. So it is common to outfit these devices with a case or other accessories to increase its resistance to these factors. This provides additional options for the user but also an additional cost.

Warranty / Service – Manufacturers of business grade products know the importance of providing ongoing warranties and service. Most enterprise hardware will allow for many different options to ensure quick repair if damage does occur. While these services come at a cost, they also reduce replacement costs and minimize downtime.

Implementation and Training – A cost that many may overlook is the human resources required to implement and train their workforce. There is no clear winner in this category because it depends on the devices being considered and the workforce in question. For many, using a consumer device that is the same or similar to a device they use personally will mean an easy transition. However, the same could be said about the enterprise device if it is similar to the other hardware components that the business has already trained the employee to use.

 

Increased options have created a very competitive market which can be beneficial to your company. But too many choices can make it hard to feel confident that the best decision was made. Regardless of whether you decide to use a consumer or enterprise grade device, take the time to consider the total cost of ownership. Making a wise long term decision will ensure that the company is investing wisely in hardware that drives company initiatives.

 Co-contributor: Joe Easton