Over the past few years, we have found ourselves in an era of apps, big data, and AI technology. These ever-changing technological advancements have pushed companies to find a more efficient, agile, and cost-effective form of IT Management. In the past, the only choice available to businesses was to purchase, deploy, and operate their companies’ hardware and software on site, but with the availability of the Cloud, things are changing.
When considering a move from a self-managed, on-premise solution to a cloud-based option, companies should examine their Total Cost of Ownership (TCO) before making any decisions. A Comprehensive TCO analysis should include these 3 leading types of costs.
1. Capital Expenses – On-premise hardware and software
2. Operating Expenses – Services, support, and maintenance
3. Indirect Costs – Potential downtime and time-to-market delays
For your on-premise capital expenses, include hardware and software purchases that are needed to support your companies’ goals. If you will be using a new data center, a share of the buildout will need to be allotted when considering your TCO for a specific project. While hosted solutions require no capital expenditures, your infrastructure is only one piece of the puzzle.
For businesses where IT is not a core variable, operating expenses can be a major loss/win category for you, due to employment costs. While installation and setup are a one-time expense, your maintenances and management could be the main contributing factor in your overall IT costs. With a self-managed, on-premise solution, employment costs tend to account for your largest operating expense. With Crossroads managed, cloud-based services and hosting, we can act as your IT admin and network engineers, while customizing your workloads and providing ongoing support and maintenance.
In addition, there are a number of indirect costs that can affect your TCO and business as a whole. With a small to midsized on-premise IT team, can you guarantee that all of your IT bases are covered? Unexpected downtime can potentially affect your productivity, reputation, revenue, and customer loyalty. With Crossroads, you gain our extensive experience and personnel to handle any and all IT issues. Alongside our zero-gap solutions, you will have a team of US-based professionals available to you 24/7/365.
For a one-on-one consultation with a dedicated Crossroads IT advisor, contact us at 1 (888) 548-3893 or email This email address is being protected from spambots. You need JavaScript enabled to view it.. We are standing by to review with you the benefits of moving to a cloud-hosted IT managed service.