Jun 28, 2021

DAAS - The five biggest misconceptions

Have you ever thought about Device as a Service? One year ago, we launched our own DAAS solution. Experience has taught us that some misconceptions about DAAS are more common than others. In this blog, we try to eliminate these misconceptions and inform you as much as possible.

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  1. 1. “DAAS is the same as IT leasing.”

Leasing is part of DAAS, but there is a big difference, which is the many services we offer in a Device as a Service solution. These include the configuration, repair, maintenance, replacement and disposal of the devices. With these services, we try to unburden our customers as much as possible. 
Furthermore, we take over the devices after the term of 36 months with DAAS Compute and 24 months with DAAS Mobile. So you don't have to worry about anything (operational lease). If you switch to a DAAS solution, we can take over your old hardware with our trade-in service. This service allows you to reinvest the residual value of the (old) devices.  

  1. 2. “OPEX is only interesting for financially weak organisations”

Are you replacing the devices in your company every three to five years? That is quite an investment every time. With DAAS, you use an OPEX model, changing from a traditional hardware purchasing model to a model based on operational costs. What is the difference?  

  • Operating Expenditures (OPEX) are recurring or operational costs. Hiring a consultant is a good example of OPEX. You hire the expertise you need at a pre-agreed hourly rate for a certain number of hours. 
  • CAPEX are your capital expenditures. Think about investing in products. The purchase of devices for your employees falls under CAPEX.

Taking a printer as an example, the purchase (owning) falls under CAPEX and the annual costs for paper and ink under OPEX (using).
For some organisations, Device as a Service seems more like a solution for organisations that are struggling financially and cannot fund the full amount of hardware at once. They consider DAAS as a lease model, but that’s not right.

The task of IT has become much more complex because the business itself can deploy all kinds of new technologies. My experience from customer interviews shows that 2/3 of business and IT leaders recognise this trend. Half of them also indicate that employees authorise their own tablets, smartphones and laptops.This shows that many departments are taking control of their own IT needs. And the customer survey also shows that IT has little say in this centralisation, which automatically means that the IT department is losing control. While many leaders understand the benefits of this trend, more than half say it complicates IT's work. It will double the cost of IT, create a lack of ownership for IT and certainly not make it safer.


Tia Maksud, CoE Proposition & Service

Device as a Service is just that, a service. With DAAS you pay a monthly fee, but that fee includes hardware and services. Ultimately, it has nothing to do with the financial health of your organisation, but with the breathing space that you give your IT team. Thanks to DAAS, your IT team can focus more on IT innovation, taking internal processes to a higher level.

  1. 3. “I will no longer have any work if our organisation chooses DAAS”.

Purchasing and managing devices are time-consuming tasks within your IT team. To be exact: about 60%. This often results in a lack of time for analysis, review of internal processes or room for innovation. DAAS does indeed take over a portion of your workload: we take care of the purchase, configuration, roll-out and maintenance of compute and mobile devices. But DAAS also frees up space so that you can focus on what is really important. 
Deloitte conducted a study with organisations that use an XAAS solution. (XAAS: also called "Anything as a Service". XAAS is the collective name for offering the use of an ICT product or service). This led to an important conclusion: by using an XAAS solution, organisations gain access to advanced features and technologies, innovate faster and focus more on their core business. In the survey, the vast majority indicated that XAAS has helped them with business processes, products/services and improving business models. Six out of ten even indicate that XAAS gives them a competitive advantage. Conclusion: you will certainly have enough work if your organisation chooses DAAS. Your workload will be somewhat different, but the most important thing is that you will be able to focus on important projects. Your way of working will change from reactive work to proactive work.

  1. 4. “DAAS is only beneficial for IT.”

As mentioned earlier, DAAS has advantages for the IT team, but HR and Finance also benefit from Device as a Service. By using Device as a Service, you offer your employees the latest and fastest models. This has a major impact on employee satisfaction. DAAS also provides a clear overview of IT expenditure.  

  • HR: Employees have different requirements and needs when it comes to devices. The expectations of Millennials and Gen Z are very different from those of Baby Boomers. Likewise, an IT employee has different expectations than a sales employee. Therefore, it is necessary to build a standardised model with different bundles that are segmented in terms of personal characteristics and function groups. In this way, the freedom of choice for the end user is increased. They can choose certain devices within one bundle. By giving the employee the choice, you immediately increase the employee satisfaction and productivity. This makes the HR manager's search for new talent a lot easier, because the War for Talent is not over yet.
  • Finance: With DAAS you keep an overview of your IT expenditure. You can compare it with your Spotify or Netflix subscription: you pay a fixed amount per workplace per month. That amount includes the costs of hardware and additional services. Curious about the financial advantages of Device as a Service? You can read it here.
  1. 5. “If I choose a DAAS solution, I am obliged to renew a large number of devices.”

No, you are not bound to renew a large number of devices at once.  Are you still doubting whether DAAS is a solution that suits your organisation? That's not a problem. We often start with a pilot project to see if DAAS meets your expectations. 
Is everything going as desired? Fine, then it is very easy to scale up again. This allows you to renew the devices within your organisation in small steps. You can already start from 30 devices.

Is your question not addressed here? Don't hesitate to contact our DAAS expert for more information. He will be happy to help you.

Kristof Neubauer 

Consultant Workspace

 T +32 11 39 78 10
printing.direct-be@bechtle.com

 

 

 

 

 

Kristof Neubauer 

Consultant Workspace

 T +32 11 39 78 10
printing.direct-be@bechtle.com

 

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Published on Jun 28, 2021.