Techaisle Blog

Insightful research, flexible data, and deep analysis by a global SMB IT Market Research and Industry Analyst organization dedicated to tracking the Future of SMBs and Channels.

Power of Dell for the SMB and Midmarket IT Stack

The question of whether an SMB IT buyer benefits most from a strategy of working with a single or primary supplier responsible for integration and management of all resources, or whether it is better to procure individual components, systems and services from a larger group of ‘best of breed’ suppliers, is nearly as old as IT itself. The question is especially important to SMBs, which generally have limited internal resources, and would benefit from third party integration and streamlined procurement processes. Techaisle has observed a trend towards a more holistic procurement strategy as small businesses encounter increasing requirements for cross-product integration supporting digital business practices and develop greater appreciation for the value of a trusted technology advisor.

Preference for a single supplier

Over time, Techaisle’s SMB research has consistently found that a large proportion of SMB buyers would be comfortable dealing with a single primary vendor if that firm was able to supply all of the technology required to deliver on the full scope of IT/business requirements. Taken as a whole, the commentary from those in favor of a single supplier strategy highlight three imperatives:

  1. Breadth of product portfolio matters
  2. Services matter
  3. Economics matter

The SMB IT solution stack

Figure below illustrates the Techaisle SMB & Midmarket IT solution stack. It is comprised of four main sections. At its core, the stack defines an SMB’s core systems (compute infrastructure) requirements. The software stack is positioned at the top of the systems components. The left-hand side of the figure highlights major categories included in the services stack. The right-hand side of the figure contains many of the major categories that comprise the security stack. A clearly-defined IT stack matters to a definition of what the ‘art of the possible’ looks like in the SMB IT world.

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Older vs Newer PCs – Cost and Productivity Impact for SMBs in Asia-Pacific

Increasing profitability, improving workforce productivity and reducing operational costs are among the top five business issues for SMBs in the Asia/Pacific region. Cost is sometimes a tricky item to nail down as too often SMBs focus on short term costs. In most cases this approach is absolutely valid but it can lead to situations that cost them more. The choice between maintaining older PCs and replacing them with newer PCs is one such area. Techaisle, conducted a Pan-Asia survey of 2156 SMBs in five countries to understand the comparative differences in costs of maintaining older & newer PCs and associated quantifiable productivity lost and the impact of newer PCs. Findings from the survey, commissioned by Microsoft & Intel, and driving Microsoft’s “Make the Shift Campaign” in the Pan-Asian region, uncovers that the cost of upkeeping a PC older than four years can be used to purchase at least two new Modern PCs.

The study reveals that the cost of owning a 4 year or older PC by an SMB is US$2,736 which is 2.7 times the cost for a PC that is less than 4 years old. The study also revealed that an average of 112 hours is lost due to downtime of an older PC, a number that is 3.1X of newer PCs. This is a “stealth” cost that drains cash flow and adds to the operating cost of an SMB which they can hardly afford. Cost implications vary for SMBs of different sizes.

Cost of owning an older PC

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SMB Productivity improvement: finding hard numbers in soft benefits

We know that productivity is a very important business goal for your organization. And that not only employee productivity but also group and organizational productivity is of importance. The IT industry is abuzz with discussion of how to improve productivity – and the number of suggestions is logarithmically proportional to the number of IT suppliers. But you need to find that trusted advisor, an unbiased supplier who can sift through the hype. We know that there is an ongoing change, a shift towards business value & employee empowerment. These refer to the new priorities among SMBs to invest in tools and technologies that allow their users to make better business decisions, improve market reaction time and better serve their customers. In other words, SMB firm leaders like yourself, are looking to improve return on Human Capital as a way forward.

Drilling down beyond the hype – how can you use technology to augment your organizations’ ability to compete tasks and decrease process friction?

Productivity

Techaisle found that SMB business leaders are believers in the connection between technology and productivity: 55% see “creating processes that constitute a better way of doing business” as a key benefit of IT, 57% credit IT with “facilitating better automation of core business processes,” just over half report that IT creates “better coordination across functional areas,” and an even 60% state simply that technology “improves employee productivity”.

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Techaisle Take – HPE vs Dell SMB IT solution stack

Comparing Dell and HPE offerings and ecosystems against the Techaisle SMB IT solution stack model

Techaisle’s latest report is designed to help SMB buyers and suppliers identify IT stack requirements, and to compare the offerings and ecosystems of the two current market leaders, Dell and HPE, against Techaisle’s definition of essential SMB & midmarket business technologies. The report is structured in three parts:

  • The IT stack: the report begins by outlining the technologies that SMBs require – and require integration across – in order to support current and emerging business requirements
  • Vendor comparison: an evaluation of Dell and HPE offerings, including core products, non-core products and partner-delivered capabilities, against the stack requirements
  • Evaluating stack suppliers: advice on how to use the stack comparison, and additional Techaisle research findings, to evaluate Dell and HPE strengths
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