What Price PC?

On The Flip Side

With all the recent emphasis on TCO, some believe the real value new technologies bring to businesses is being left behind. When considering a new technology, your first concern shouldn't be cost savings but what the equipment can bring to your business, says John MacGilvary, chief analyst with Datapro Information Services Group, an information technology research and analysis firm in Delran, New Jersey. Buy new technology because it enables you to do something you couldn't do before or because it gives your business added flexibility or a competitive edge. In fact, the best solutions may not be the cheapest. Consider the case of the notebook computer. True, they're much more expensive to implement than desktop computers. But the high initial costs often pale in comparison to the benefits companies receive: added flexibility and increased productivity.

Once you've purchased the right technology, you can truly begin to find effective ways to trim your TCO. What it all boils down to is looking beyond the typical information systems areas to find the waste. Then, chances are the opportunities to cut TCO will land right in your lap.

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This article was originally published in the October 1997 print edition of Entrepreneur with the headline: What Price PC?.

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