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How Ruggedness Reduces TCO for Mobile Computers

White Paper Published By: Intermec

General-purpose PDAs and ruggedized enterprise mobile computers serve different markets and functions, and also vary by size, weight and materials. But the biggest difference is their total cost of ownership (TCO). Organizations can't afford to overlook this difference in times when all costs are under scrutiny and funds for new equipment are often limited.



Tags : 
tco, total cost of onwership, pda, enterprise mobile computers, vdc, mobile devices, productivity, power management

Intermec
Published:  Jun 16, 2009
Type:  White Paper
Length:  9 pages

White paper
How Ruggedness Reduces
TCO for Mobile ComputersGeneral-purpose PDAs and ruggedized enterprise mobile computers are made for separate markets, are designed for different tasks, and also vary by their size, weight and materials. But the biggest difference between these device types is their total cost of ownership (TCO). Organizations can't afford to overlook this important difference in challenging times when all costs are under scrutiny and funds for new equipment are oftentimes limited. Despite their lower purchase price, smart phones and PDAs cost much more to own and operate than ruggedized mobile computers in service, delivery, retail, warehouse and manufacturing environments, according to independent research that studied mobile computer life cycles in these environments. In fact, the average annual TCO for consumer-oriented PDAs and smart phones used for business is 42.6 percent higher than that for enterprise-grade ruggedized handheld computers, as Figure 1 shows. Understanding TCO differences is essential to choosing the device that will provide the most value for mobile computing deployments.
Figure 1: Average TCO for Consumer-Grade and Enterprise Handheld Devices$4,500$4,000 $3,894$3,500$3,000$2,500 $2,731Average Annual TCO $2,000$1,500$1,000$500$0 Consumer-grade devices Ruggedized handheld computersDevice typeSource: VDC Research Grou p.
TCO is a major differentiator among mobile devices, and as the chart above shows, ruggedness is a major variable that determines TCO. Reliability and length of service are the main reasons why. At one extreme, consumer-grade devices often don't last a year when deployed to support mobile enterprise operations. At the other end, ruggedized mobile computers routinely last four years or more even in challenging industrial environments. Calculating TCO isn't as simple as plotting the expected life cycles and replacement costs for different devices. Replacement costs only tell a small part of the TCO story because the purchase price of a device accounts for less than 30 percent of its total cost of ownership. Lost productivity when devices fail costs businesses more than the price to repair or replace them.
Getting TCO as low as possible requires organizations to deploy the devices that will lead to maximum reliability and productivity in their work environment. This white paper will help you do that, by documenting the relationship between ruggedness and TCO, showing how ruggedized devices add value for specific work processes and environments, identifying the key differences between ruggedized and non-ruggedized devices, and providing guidance to determine what degree of ruggedness is needed for different usage scenarios.
The TCO-Ruggedness RelationshipRuggedized mobile computers provide Terminal Terminologysuperior value over common PDAs and Definitions of mobile computer categories and what makes devices rugged vary widely. smart phones in enterprise environments This white paper refers to devices in general as being ruggedized (or rugged) or non-because they can be kept in service much ruggedized (non-rugged), which makes a basic distinction between mass-market PDAs longer. The longer life cycle more than and smart phones and more specialized mobile computers developed for enterprise offsets the higher initial purchase price applications. There are important subsets within these general classifications, particularly by leveraging the initial investment over for the ruggedized category, where there are major durability differences among devices.a longer time, and by producing lower repair and replacement expenses. It is not When specific subsets and categories are referenced, this white paper follows the unusual for smart phones or PDAs to need definitions established by VDC, which is the leading research firm specializing in mobile to be replaced two or even three times computing and data collection equipment used in industrial, distribution, retail and before a ruggedized device would need field service environments. VDC categorizes mobile computers within four ruggedness to be replaced in the same environment. levels, and classifies smart phones separately. In order of ruggedness, VDC's categories 1For example, a study by VDC that are: consumer grade, durable, semi rugged and fully rugged. The first two categories compared the life cycles of ruggedized and plus smart phones are considered non-ruggedize... [download for more]

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