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The reduction in demand for IT products and services as businesses cut spending is constricting supplier innovation and reducing choice for IT project leaders.
Research by BT Global Services indicates that 80% of UK managers are preparing to sweat their IT assets. While 75% acknowledge IT has helped to fight the recession, only 10% plan to invest in new technologies to achieve business growth in the next year.
This reduced spending is limiting the ability of IT companies, particularly smaller ones, to meet end-user demands for new technology to cut costs and improve efficiency. This has a knock-on effect for businesses because they are heavily reliant on off-the-shelf products and development services from suppliers.
Sweating your assets can be a good thing in some respects in terms of value, however you need to balance that with the operating costs both in terms of power and support. The older the device, the more prone to failure it will be either as a result of the operating system or the hardware, it will typically be less efficient in terms of performance per watt, I also wonder if ’sweating’ your assets doesn’t do more damage in the enterprise by:
There is of course what I refer to as the bell shaped server support curve, initially the server might be a bit high maintenance as it’s integrated, as the shares, the application code ’settles’ in it’s new environment, you then typically have a year or two where the costs/delivery is kind of the same. As the server gets older though, the operating system, the layered components need updated, your support costs start to raise, you might get a disk or hardware failure, and it ‘becomes high maintenance’, as you might need to apply a new operating system service pack, upgrade the firmware/drivers (including your Emulex/Q-Logic cards). The increase in costs arises as the system needs more regular maintenance both of the operating system (disk space, patches/configuration changes), and from service organizations that charge more for older servers. Don’t get me wrong, those olden days DEC Alpha servers will last for the next three thousand years, your Compaq Proliant 2500R file server might still be fine, but long term whether it’s an unexpected outage resulting from hardware failure, or from your hardware/software support contract. An interesting article, do check it out.
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