Event title here The purpose of this slides to elevate the awareness of the unseen costs of printing and imaging. This information will vary by department and organization but is designed to recognize the range of costs. For a typical enterprise printing environment (office, production and commercial printing), for every dollar spent on hard costs, there is another $9 spent on “burdened” or related costs And because these burdened costs vary by line of business or function, they are highly fragmented, invisible and uncontrolled – causing excessive waste and lost business value ALL Associates has tracked these overall burdened document costs across 2,000 global corporations for several years
Event title here Key point – Recognize that most customers focus on device/supplies acquisition costs and while important, they represent a relatively small piece of the real opportunity areas. This is a setup future slides where HP is focusing on all aspects of this model. VISIBLE HARD COSTS Includes items such as: hardware, toner and inks, paper (plain and special), click-charges, service/maintenance, power, etc. for Printers, Copiers, Multifunctional Devices, Scanners and Facsimile equipment. MANAGED SERVICE IMPACTS Modernize/standardize the fleet Balance the deployment to lower costs and improve service levels (critical to involve end-users to get buy-in) IS SUPPORT Includes items such as: help desks, second level support, installation and setup, asset management, local support staff, training, device management, output management, network management, etc. MANAGED SERVICE IMPACTS Implement remote installation, configuration, and device management, as well as proactive device management Simplified footprint with fewer devices should make end-user training easier, reduce support costs, improve network management, and improve scalability of the support organization Automate output management for mission-critical printing IS INFRASTRUCTURE Includes items such as: print servers, network connections and bandwidth, scanners, mainframe conversions and data stream transforms, print formatting software, pre-processing equipment, software, application programming & maintenance, solution assessments, testing, content management software, etc. MANAGED SERVICE IMPACTS Reduced print servers and network infrastructure Simplified footprint with integrated solutions should streamline infrastructure requirements Separation of presentation of data from applications and devices simplifies application architecture, lowers software TCO, and improves business responsiveness Print any document from any device; increase flexibility and adaptability ADMINISTRATION, PURCHASING, and FACILITIES Includes items such as: product and services selection, internal requisitions, orders, billing, RFP’s, supplies storage, restocking, supplies service centers, inventory management, vendor relationship management, facilities and real estate overhead, etc. MANAGED SERVICE IMPACTS Reduce number of invoices, suppliers, order management, and accounts payable activities. Shift of non-value added contextual activities out of the business allows headcount to focus on core activities Fewer devices frees up valuable real estate and decreases energy consumption END USER TIME Includes items such as: end user production time, including computer and output equipment interaction, waiting time, intervention activity such as paper and consumable loading, hand finishing such as collating and stapling, walking to printers, copiers, MFD’s, scanners and fax machines, etc. MANAGED SERVICE IMPACTS Make training easier (standardized fleet) Simplify device interaction and cut down on pages printed in error Simplify confidential and secure printing Integrate methods (i.e., copy, scan, fax) with other IS capabilities to save interaction time Increased environmental awareness DOCUMENT MANAGEMENT Includes items such as: filing, storage, indexing, retrieval, microfiche, COLD, scanning , binding, folders, postage, handling and distribution, mailroom, pre-printed forms, electronic forms, waste disposal, etc. MANAGED SERVICE IMPACTS Implement solutions that digitize documents to minimize physical storage requirements (meaning less real estate) and significantly improve retrieval Implement electronic capture, distribution, filing, index, and retrieval Enhance workflows, transform processes (e.g., electronic forms) Shorten workflow cycle times to increase top-line impact Reduce waste
12 related costs of printing
Costs of enterprise printingEvery $1 spent printing involves another $9 to manage it Enterprise Printing (Office, Production, Commercial) Cost of Printing 10% • Document management • End-user interaction • IT support and Costs of infrastructure managing document 90% • Administration and lifecycle procurement • Facilities Source: ALL Associates Group
Fragmented burdened office costs Visible hard costs (5–7¢) • Hardware; Consumables; Maintenance; Paper and power Document management IS support • Document storage and archival; • End user; Device management; Output Document retrieval; Document management; Network management distribution; Document capture and indexing 10% 5% IS infrastructure 5% • Network; Application programming and maintenance; Software and licensing 5% 47% Administration, purchasing, and facilities • Facilities costs; Product/service acquisition 28% processes; Contract and billing processes; Internal service delivery End user time • Computer interaction; Output equipment interaction; Preparation, collection, and finishing; Problems, errors, and mistakes
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