Page 33 - HSCR

Cost and Risk Factors for the TDM

On Premise/Customer Provided • Less initial investment
Cloud Service

Investment / Budget
•
Cost Factors • • • • • • • • • • Support contracts (+ increases) • • • • • • Potential greater long term costs but offset by only
Achieving financial returns – ROI, Pay Back
•
using what pay for
Technology/Hardware refresh – EOL
Software updates and management
Opex vs. Capex
Staffing (including Contractors)
Can reduce staff – rely on provider
Training
Coverage – remote sites
Managing SLAs (incl. reporting, change control)
Supplier management (multi-vendor)
Hidden costs
Business Continuity/Resilience (DR)
Helpdesk
Price increases
Developing new services
Risk Factors • • • • • • • • Retaining Staff • • • • • • • • Less risk because supplier is on hook to deliver
People security – trust (contractors)
Single supplier
Supplier stability
Lack of necessary skills
Provider expertise/capability
Technology Obsolesce
Restricted functionality
SP lock in
Reduced control, Less flexibility
Interoperability
Data Security
Full risk is on Customer to implement
Not using full capabilities of the system
Internal Redundancies