


Selling TCO to the CEO
How to cost-justify Windows NT with top
management
By Shari L. Jones
By now, you're probably well aware of the technical
benefits Windows NT 4.0 Workstation and Server bring to your IT
environment. But how do you sell those benefits to the CEO of your company
in his or her language? How do the technical benefits of Windows NT 4.0
translate into a total cost of ownership (TCO) that is well-received by
your CEO?
In this article, we will examine some of the technical
reasons behind Windows NT 4.0's popularity. But more important, we will
explore the business justifications you can take to your CEO.
Translating Technology to
Economics
In a recent Computerworld survey, 102 corporate IT
managers were asked which operating system they expect will provide the
greatest cost savings over the next year. To realize TCO savings, 45% of
Computerworld's respondents named Windows NT Server as the operating
system they would choose, and Windows NT Workstation got 41% of the
vote.
Windows NT 4.0 offers several technical benefits,
including the following:
- The familiar Windows 95-like interface.
- Greater administrative control of desktops.
- The security of Point-to-Point Tunneling Protocol
(PPTP).
- Multiplatform support via Client Services for NetWare.
- Dial-up networking, with channel aggregation.
A Familiar
(Inter)face
Windows NT Workstation 4.0's user interface and
features closely resemble the familiar Windows 95 interface. This
interface enables you to provide a consistent user interface for all your
organization's Windows-based, 32-bit desktops and servers. The Windows 95
and Windows NT 4.0 interfaces include the following:
- Start Button.
- Taskbar, shortcuts.
- My Computer.
- Network Neighborhood.
- Recycle Bin.
But what does this mean to your CEO? From a business
perspective, how can your organization benefit from having a common user
interface? Let's look at it from a training and administration standpoint.
Windows NT 4.0 allows your organization to better manage its platform
training costs. Your end users can make an easier transition from Windows
95 to Windows NT 4.0, with little or no training. The user interface for
Windows 95 and Windows 98 is so similar to that of Windows NT 4.0 that
little end-user training is necessary. And to anticipate your
organization's future technology migrations, Windows NT 4.0 will prepare
your end users for a move to Windows 2000 Professional. Windows 2000
Professional is expected to implement an updated version of the Internet
Explorer 4.0 shell-integration interface, but incorporating some of the
same features as Windows NT 4.0. Windows NT 4.0 also brings the stability
of Windows NT to the desktop. A smooth transition from one desktop
environment to another minimizes disruptions in workflow. It also eases
the frustration experienced by nontechnical employees when a familiar,
comfortable technical environment is altered.
Maintaining
Control
Windows NT Server allows your organization to
maintain tight control over the desktop environment.
Your organization can realize greater cost savings by
implementing a tightly managed Windows NT Workstation network. Windows NT
4.0 allows administrators to restrict users' privileges and minimize, if
not eliminate, their abilities to change desktop and network settings. You
can limit your end users' configuration - or administrative - rights on
their desktop machines. This minimizes configuration problems that may
arise when end users have the equivalent of administrative privileges on
their computers. A tightly-managed network allows administrators to handle
the majority of configuration for end users, thus minimizing the
possibility of errors and providing consistency within the desktop
environment. When end users have the ability to change network settings
and other configurations with their systems, your network administrators
spend valuable time making multiple, and expensive, visits to correct
needless mistakes.
Windows NT 4.0, according to a study by Technology
Business Research Inc. (TBR), also is shown to reduce help-desk costs by
up to $483 per user per year. Windows NT 4.0 can reduce the number of
help-desk calls by 15% to 29%. The study was based on approximately 9,600
PCs, with a reduced call volume of approximately 1,200 calls per month.
Windows NT 4.0 also enables easy remote administration.
Installation is also simplified with Windows NT 4.0 when
upgrading to Windows NT Workstation. Enhancements to the setup procedure
include an easy-to-use interface, improved hardware detection,
installation wizards and a series of tools that make it easy for corporate
customers to deploy Windows NT Workstation on multiple systems.
A Secure
Transaction
The Point-to-Point Tunneling Protocol (PPTP)
provides a way to use public data networks, such as the Internet, to
create virtual private networks (VPN). These VPNs connect client PCs with
servers using protocol encapsulation to support multiple protocols over
TCP/IP connections. Data encryption provides privacy for safely sending
information over nonsecure networks. PPTP also extends dial-up networking,
enabling remote access while securely extending VPNs across the Internet -
ideal when you have a large number of remote users, such as a distributed
salesforce.
So what's the selling point to your CEO? Your data
traveling across the Internet is more secure than ever before. Even if
your competition, or a hacker, intercepts the TCP/IP packets as they
travel across the Internet, the contents of the packets will be encrypted
so that your data is protected. Even if information flows across an
unsecured network, your data is protected.
Crossing to the Other Side of the
Tracks
Windows NT Workstation 4.0 includes an enhanced
version of Client Services for NetWare, which now supports Novell
Directory Services (NDS). NDS enables Windows NT Workstation 4.0 users to
log on to Novell NetWare 4.x servers running NDS, to access NetWare's file
and print services.
Client Services for NetWare is integrated into Windows NT
Workstation, providing key Novell features such as the following:
- NDS authentication.
- Ability to browse NDS resources.
- Ability to print to NDS print queues.
- Full support for processing NetWare log-in scripts, NDS
property pages and NDS passwords.
What does this mean for your organization's business? The
answer is simple: Hardware and software between two operating systems are
compatible so your organization spends less on hardware and software
procurement costs. In addition, your IT department doesn't have to figure
out a way to link two disparate operating systems because some Windows
users need access to NetWare servers. Also, it can help in the migration
of your company network from NetWare to Windows NT. You don't need to take
down and replace all your servers at one time, which is risky. Instead you
can take a safer approach and migrate one department at a time.
Aggregation for
Maximization
Dial-up networking in Windows NT 4.0 provides
channel aggregation that enables users to combine all available dial-up
lines. For example, you can combine two or more standard modem lines and
two or more Point-to-Point Protocol (PPP)-compliant ISDN channels,
attaining speeds of up to 128K bit/sec. This allows you to combine ISDN
lines with analog modem lines for higher throughput.
What does this do for your business? It allows your end
users to achieve higher transfer speeds and increased bandwidth. What's
the selling point to your CEO? Simply put, your organization is spending
less money transferring information, and less time waiting for such
information, by sending more information more quickly.
Productivity Plus Performance Equals
Profitability
Windows NT 4.0 has proven that it provides a
more stable 32-bit operating environment than previous Windows
environments. A Microsoft study ("Windows NT Workstation: The Business
Case for Windows NT Workstation 4.0 Today") indicates that Windows NT 4.0
increases productivity by up to $2,133 per user per year through better
performance. The Microsoft study also indicates that NT 4.0 reduces
end-user downtime costs by as much as $73 per user per year in terms of
improved reliability. The selling points for your CEO are obvious
here.
Sold
While technology
features and benefits of Windows NT 4.0 speak loud and clear to you as an
IT manager, CEOs speak a different language. Money talks. And if you can't
justify the technological advantages of Windows NT 4.0 in terms of a
reduced total cost of ownership, you may as well be speaking a foreign
language. Your CEO may understand technology very clearly and relate to
your technical jargon, but that's not what he wants to hear to justify
Windows NT 4.0 implementation. Your best approach is to support your
technical claims with solid business cost savings and a low TCO.
About the author Shari Jones is a
consultant for a large international consulting company. She is a
technical writer and freelance journalist and covers all areas of the
high-tech industry.
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