Best Practices for Copier, MFP and Printer Fleet Management Ken Weilerstein Research Director.
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Transcript of Best Practices for Copier, MFP and Printer Fleet Management Ken Weilerstein Research Director.
![Page 1: Best Practices for Copier, MFP and Printer Fleet Management Ken Weilerstein Research Director.](https://reader036.fdocuments.net/reader036/viewer/2022062518/5697bf9c1a28abf838c93717/html5/thumbnails/1.jpg)
Best Practices for Copier, MFP and Printer Fleet Management
Ken Weilerstein
Research Director
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Printer Management Blind Spots
Few know exactly what equipment they have Fewer still monitor supplies or post-acquisition
spending Few know what users are operating what
equipment and how they are using it Most pay only intermittent attention to fleets Organizational responsibility is splintered Fairly low level of concern — not perceived as a
serious problem or an opportunity
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Money is tight . . .
Scale back new projects
Put major investments on hold
Localized deployments
When the economy returns . . .
Time to upgrade
Roll projects forward
Enterprisewide deployments
Economic Contraction — What to Do?
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Through 2005, enterprises that actively manage their printer fleets can save between 10 percent to 30 percent of their overall printing costs (0.8 probability).
Strategic Planning Assumption
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Through 2008, enterprises will spend between 1 percent and 3 percent of their revenue on document output(0.8 probability).
Strategic Planning Assumption
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Savings Opportunity($M)
0.5-4.5
2-18
5-45
10-90
20-180
50-450
Company Size ($M)
500
2,000
5,000
10,000
20,000
50,000
Printing Spending($M)
5-15
20-60
50-150
100-300
200-600
500-1,500
How Big Is the Opportunity?
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Three Main strategies
Right-size the fleet
Control the purchasing
Monitor and manage the fleet better
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Strategy No 1 — Right-Sizing: The Promise and the Problem
The Promise
A smaller but up-to-date and well-integrated fleet will cost less to operate and do a better job of meeting user needs.
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By 2005, there will be 10 percent fewer document output devices (copier, printer, MFPs and fax machines) installed in U.S. corporations (0.8 probability).
Strategic Planning Assumption
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Update Aging Printer Fleets
Many printers are more than five years old
Few enterprises have a retention schedulefor printers
Supply costs are declining
Speed and durability are increasing
Replenishment intervals are increasing
There is no MIB or power management on the oldest printers
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Digital Copier
Network Printer
Multifunction Systems Copy Print Fax Scan
Are MFPs the Answer?
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Copiers
Printers
Fax Machines
Scanners
Functions
ScannerPrinter
Fax ModemWith Phone
LineNetwork
Connection
(Via print protocols)
(Via e-mail)
Scanner + Printer = Copier
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IT Discovers the Benefits of MFP
Fewer mouths to feed (supplies, service, maintenance)
Fewer assets to acquire and track
Space and power savings
Shared finishing and paper supplies
Moves documents faster and at lower cost
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Desktop Color Printers Inexpensive to buy
Expensive to run
Color is often used to print even draft documents
Coming in under the radarof IT departments
Put Desktop Printers in Their Place
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Cost Range(Cents per Page)
5-12
9-20
2-6.5
0.8-1.5
1-2
OutputCategory
AreaCoverage
Workgroup Color
Desktop Color Inkjet
DesktopMonochrome
Workgroup/ Departmental Office
ProductionMonochrome
20%
20%
5%
5%
5%
Supplies: The Main Cost Factor
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Shared PrintersNo impact on ratios
Security via password
Suitable for small percentage of private documents
Personal Printers1-1 printer-to-user ratios
Security via proximity
Suitable for very high levelsof private documents
Private Printing via Password
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Rising Speeds, Falling Costs
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Right-Sizing Pitfalls
Wrong balance of copiers and printers for enterprise’s needs
Deployments based solely on user-device ratios
Personal printers return from the ashes
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Right-Sizing: The Promise and the Problem
The Promise
A smaller but up-to-date and well-integrated fleet will cost less to operate and do a better job of meeting user needs.
The Problem
Enterprises must understand their needs to achieve the right mix of equipment and to maximize the savings and productivity benefits.
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Right-Sizing: The Promise and the Problem
The Promise
A smaller but up-to-date and well-integrated fleet will cost less to operate and do a better job of meeting user needs.
The Problem
Fleet managers need good data to make the case to LOB managers for removing personal printers and replacing personal color printers with workgroup models.
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By 2005, 60 percent of all enterprises will have begun an enterprisewide effort to optimize document output fleet spending through changes to their purchasing and asset management policies(0.8 probability).
Strategic Planning Assumption
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Output Fleet Outsourcing: The Promise and the Problem
The Promise
Lower costs and offloadthe management.
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Supplies Costs
To whom it may concern:
The purpose of thisThe purpose of thisletter is to thank youletter is to thank you
for your business overfor your business overthe past year.the past year.
VP MarketingVP Marketing
Traditional Product Purchase
Service Purchase
Maintenance Costs
Cost per Page
Capital Costs
To Save, Buy Pages, Not Devices
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Lease Cost/Page*Machines 0.03Service 0.01Supplies 0.01Total 0.05
MFP Lease vs. Outsource
Outsource Cost/Page*
0.03/page**
At 0.03 per page,At 0.03 per page,outsourcing would save outsourcing would save
$1.08 million over 36 months$1.08 million over 36 months
*Average volume is 1.5 million per month 50 Machines Total**Includes cost of machine, service and supplies
Spreadsheet Exercise:Financial Case Study
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Output Fleet Outsourcing: The Promise and the Problem
The Promise
Lower costs and offload the management.
The Problem
Enterprises need better data on page volumes to ensure cost savings and cost data to justify the change.
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Leverage MFPLeverage MFPTechnologyTechnology
Leverage MFPLeverage MFPTechnologyTechnology
Get Ahead of the Get Ahead of the Color Tidal WaveColor Tidal WaveGet Ahead of the Get Ahead of the Color Tidal WaveColor Tidal Wave
Eliminate Some Personal Eliminate Some Personal PrintersPrinters
Eliminate Some Personal Eliminate Some Personal PrintersPrinters
Use Assessments Use Assessments for Guidancefor Guidance
Use Assessments Use Assessments for Guidancefor Guidance
Use Selective OutsourcingUse Selective Outsourcing to Buy Pagesto Buy Pages
Use Selective OutsourcingUse Selective Outsourcing to Buy Pagesto Buy Pages
Eliminate Aging Eliminate Aging EquipmentEquipment
Eliminate Aging Eliminate Aging EquipmentEquipment
Fleet Management Initiatives
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Office Document Assessments: The Promise and the Problem
The Promise
ODAs will give us the information we need to guide and justify our fleet management efforts.
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Enterprise ClassReduce page countsManage workflowPeople/process focus
Ad Hoc ClassReduce cost per pageManage fleetEquipment focus
A Tale of Two Assessments
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Enterprise ClassCareful data collectionInterviews, cross-checksLarge sample
Ad Hoc ClassHasty data collectionEstimatesSmall sample
A Tale of Two Assessments
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Enterprise ClassStrategic tool$50,000-$150,000CIO sponsoredPay more, save more
Ad Hoc ClassSales toolFree or contingentBuyer sponsoredPay less, save less
A Tale of Two Assessments
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ODA Pitfalls
Focusing too much on short-term cost
Scope of ODA does not match the role or goals of the sponsor and is never acted on
Confusing quality of presentation with qualityof research
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Office Document Assessments: The Promise and the Problem
The Promise
ODAs will give us the information we need to guide and justify our fleet-management efforts.
The Problem
Most ad hoc ODAs lack the scope and integrity to allow the full range of savings and improvements
We really need a movie, not a snapshot
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Printer Management Blind Spots
Few know exactly what equipment they have Fewer still monitor supplies or post-acquisition
spending Few know what users are operating what
equipment and how they are using it Most pay only intermittent attention to fleets Organizational responsibility is splintered Fairly low level of concern — not perceived as a
serious problem or an opportunity
![Page 34: Best Practices for Copier, MFP and Printer Fleet Management Ken Weilerstein Research Director.](https://reader036.fdocuments.net/reader036/viewer/2022062518/5697bf9c1a28abf838c93717/html5/thumbnails/34.jpg)
Meet the Output Czar
Provides permanency and continuity
Coordinates output actions across IT, facilities/administration, purchasing and LOB units
Applies best practices uniformly acrossthe enterprise
Monitors ongoing fleet efficiency as needs change
Coordinates output efforts with BPR, CM and other enterprise initiatives
Really cares about output
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What the Output Czar Is Not
Manager of all of the people that support and service the output fleet
Partisan advocate of one department
Temporary position
Budget owner for all output spending
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Closing Recommendations
Right-size your output fleets today — deployments can begin with a pilot and scale up
Purchase competitively and consider cost-per-page purchasing
Choose your output document assessments carefully Make fleet management and usage tracking an
ongoing process Appoint an output czar and align your output fleets to
the changing needs of the enterprise and strategic initiatives
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Best Practices for Copier, MFP and Printer Fleet Management
Ken WeilersteinResearch Director