service providers and oems - better together in serving big business

accelerate your ambition accelerate your ambition

Many organisations are looking for the value that only an OEM and a service provider can deliver together. One such area

where cooperation has more benefit is in reducing costs.

Service Providers and OEMs – Better together in serving big business

accelerate your ambition

One in a series of 6 insights related to: Secrets and strategies

to long-term cost savings on the network

Total cost of support

Only 15% of run costs actually go towards visible expenses paid to a OEM or systems integrator for maintenance. The remaining 85% goes towards “below-the-line” expenses: processes, productivity, and the actual running of the network itself.

Those that take the total cost of support into consideration – not just the 15% attributed to third-party maintenance contracts – are most likely to win the battle.

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Focus on the 85% To achieve real downwards shifts in cost, the business has to look at the much larger 85% share of the total cost of support, and ask itself how to drive more efficiency into the operations.



This type of work is best done by a service provider with a solid history in systems integration, because this operational focus is where its expertise lies.


Role of the OEM

OEMs acknowledge system integrator’s capabilities and some help client organisations identify and collaborate with the service providers that are recognised as the best in the industry at delivering this strategic value



While the market slowly wants to become more OEM neutral and is increasingly moving towards as-as-service models, it doesn’t mean organisations want to stop buying equipment from technology leaders OEMs are critical in terms of their product expertise and ongoing innovation.


The choice of partner is key

Multi-vendor systems integrator are in a much better position to have a discussion that involves identifying where exactly the business needs support, and where not, and how to optimise technology spend in relation to service levels. It’s an end-of-life discussion, rather than a refresh discussion.



Most OEMs see the value of systems integrators and service providers with multi-vendor capabilities as their best route to. It affords them the chance to still be part of the client-and-service provider discussion with clients that are increasingly moving towards a multivendor estates.’


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Look for partners with global coverage, local expertise and a broad spread of technology-related skills.

Many service providers can only offer pockets of expertise with certain technologies, and/or in certain geographical regions. This isn’t always ideal, because it would fragment the services environment.


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While the depth of relationship that the service provider has with the most

dominant OEM in your environment is important, it should always be balanced

with a breadth of relationships with alternative suppliers.


Copyright © 2014 Dimension Data

In Closing … Organisations don’t want service on

every device any more. They still want the product and innovation expertise that OEMs can bring, but

they also need a services specialist to aggregate the related support services on their behalf in order to get the best of

both worlds. This is possible with the right partner.

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Related articles to Secrets and Strategies to long-term cost savings on the network:

3 tough Questions to ask your ICT Support Provider

Outsourcing your network Lock, Stock and Barrel in Bite Sized Chunks

The Messy Costs of Multi-vendor Management

Lowering your network support costs can’t be done blindfolded

Gorillas on your list – a diversified OEM Environment can lower your risk

http://www.dimensiondata.com/Global/Latest-Thinking/Three-tough-questions-to-ask-your-ICT-Support-Provider/Pages/Home.aspx

http://www.dimensiondata.com/Global/Latest-Thinking/Outsourcing-Your-Network-Lock-Stock-and-Barrel-or-Bite-Sized-Chunks/Pages/Home.aspx

http://www.dimensiondata.com/Global/Latest-Thinking/Muddle-in-the-middle-the-messy-costs-of-multi-vendor-management/Pages/Home.aspx

http://www.dimensiondata.com/Global/Latest-Thinking/Lowering-your-network-support-costs-can't-be-done-blindfolded/pages/home.aspx

http://www.dimensiondata.com/Global/Latest-Thinking/Gorillas-on-your-list-a-diversified-OEM-environment-can-lower-your-risk/Pages/Home.aspx

service providers and oems - better together in serving big business

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