Overview

To get significant benefits from IT, you need to be able to trust your IT systems. This means having confidence in the company supplying, managing, and maintaining them. Choosing the right IT supplier is an essential part of an effective IT solution. If you rely on IT for your day-to-day activities, you need to have a successful working relationship with your IT supplier.

A good relationship with your supplier can help ensure that your existing systems run smoothly and also help you identify and develop new applications. Your IT supplier can provide you with expert advice, guidance, and support to help you to make the most of your IT systems.

The Different Types of IT Suppliers

Unless you have extensive IT expertise in-house, it's generally best to use a single supplier for all hardware, software, services, and support. This can help to simplify your IT operations, reduce costs, and improve efficiency.

If you buy from multiple suppliers, you'll have to decide which one is responsible when there's a problem—unless you have a service provider prepared to support your whole system. This can lead to confusion, delays, and additional costs.

Selecting the Right IT Supplier

When selecting an IT supplier, consider the following factors:

- Reputation and experience: Check the supplier's reputation online and ask for references. Find out how long they've been in business, their experience in your industry, and their track record of delivering successful IT projects.

- Technical expertise: Ensure that the supplier has the necessary technical expertise to support your IT systems. Check their certifications, qualifications, and experience in implementing and supporting IT systems.

- Customer service: Evaluate the supplier's customer service and support. Check their response times, support channels, and customer satisfaction ratings.

- Cost: Compare the supplier's prices with other suppliers. Consider the total cost of ownership, including hardware, software, maintenance, and support costs.

- Scalability: Ensure that the supplier can scale their services as your business grows. Check their ability to provide additional resources, support, and services as needed.

Review the proposals thoroughly and prepare a shortlist.

Compare proposals on a like-for-like basis. Take into account:

- Financial viability: Check the supplier's financial stability, credit rating, and insurance coverage.

- Implementation track record: Check the supplier's experience in implementing IT systems, their success rate, and their ability to meet deadlines.

- Quality and relevance of reference sites: Check the supplier's references, case studies, and testimonials. Ensure that they have experience in your industry and with similar IT systems.

- Project management capability: Check the supplier's project management methodology, tools, and techniques. Ensure that they have a clear understanding of your project requirements and can deliver on time and within budget.

- Ability to understand your business: Check the supplier's ability to understand your business needs, goals, and objectives. Ensure that they can provide tailored solutions that meet your specific requirements.

- Technical knowledge and expertise: Check the supplier's technical knowledge and expertise in IT systems, software, and hardware. Ensure that they have the necessary skills and certifications to support your IT systems.

- Confidence in the supplier: Check your confidence in the supplier's ability to deliver on their promises. Ensure that they have a clear understanding of your project requirements and can provide effective solutions.

Please rank the suppliers and kindly exclude those that do not meet your technical requirements or exceed your agreed budget.

IT System Maintenance

System maintenance and management are essential parts of managing risks. Your IT supplier will probably offer you a range of hardware maintenance contracts. Many suppliers can monitor problems remotely and take action to prevent a system failure.

Hardware maintenance contracts typically include:

- On-site maintenance: The supplier will send a technician to your site to repair or replace faulty hardware.

- Remote monitoring: The supplier will monitor your IT systems remotely to identify potential problems before they occur.

- Preventative maintenance: The supplier will perform regular maintenance tasks to prevent problems from occurring.

Software maintenance contracts ensure any new software you buy is compatible with your existing equipment and operating system. Many IT software suppliers offer maintenance contracts when you purchase their products.

Software maintenance contracts typically include:

- Software updates: The supplier will provide updates to the software to ensure that it remains compatible with your existing equipment and operating system.

- Bug fixes: The supplier will provide bug fixes to resolve any issues with the software.

- Technical support: The supplier will provide technical support to help you to resolve any issues with the software.

IT System Cost Evaluation

System management is usually the biggest cost over the lifetime of an IT system. It includes installation, upgrades, expansion, maintenance, support, training, and the time your staff spend dealing with system problems.

Initial costs could include:

- Consultancy: The cost of hiring a consultant to advise on the selection and implementation of the IT system.

- Hardware costs: The cost of purchasing the hardware required for the IT system.

- Software license fees: The cost of purchasing the software required for the IT system.

- Software configuration and customisation work: The cost of configuring and customising the software to meet your specific requirements.

- Installation: The cost of installing the IT system.

- Staff training: The cost of training your staff to use the IT system.

- Infrastructure costs: The cost of upgrading your infrastructure to support the IT system.

- Compliance with health and safety law: The cost of ensuring that the IT system complies with health and safety laws.

Ongoing IT management costs could include:

- Software support contracts: The cost of maintaining a software support contract to ensure that the software remains up-to-date and secure.

- Hardware upgrades: The cost of upgrading the hardware to ensure that it remains compatible with the software and meets your evolving business needs.

- Expansion of memory, disk size, communications capacity: The cost of expanding the IT system to meet your evolving business needs.

- Support: The cost of providing technical support to your staff.

- Maintenance and replacements: The cost of maintaining and replacing the IT system.

- Compliance with health and safety legislation: The cost of ensuring that the IT system continues to comply with health and safety laws.

- Staff training: The cost of providing ongoing training to your staff.

- Costs of consumables: The cost of purchasing consumables, such as printer cartridges and paper.

- Communications charges: The cost of communicating with your staff, customers, and suppliers.

Negotiating the Contract for Your IT System

Make sure you're completely clear about exactly what the contract with your supplier includes. Hidden extras can be expensive.

Check whether you'll receive:

- On-site service calls: The supplier will send a technician to your site to repair or replace faulty hardware.

- Preventative maintenance: The supplier will perform regular maintenance tasks to prevent problems from occurring.

- Remote monitoring and diagnosis of system problems: The supplier will monitor your IT systems remotely to identify potential problems before they occur.

- Telephone support: The supplier will provide technical support over the phone.

- Warranties: The supplier will provide a warranty to cover repairs or replacements.

- Software upgrades: The supplier will provide upgrades to the software to ensure that it remains compatible with your existing equipment and operating system.

- Software support: The supplier will provide technical support to help you to resolve any issues with the software.

- User training manuals: The supplier will provide user training manuals to help your staff to use the IT system effectively.

When purchasing IT services, you should draw up a service-level agreement (SLA) with the supplier, which specifies precisely what you expect from the supplier.

A typical SLA should cover:

- Scope: The scope of the services to be provided.

- Service availability: The times when the service will be available.

- Response times: The time it takes for the supplier to respond to a problem.

- Escalation procedures: The procedures for escalating a problem.

- Record keeping: The procedures for keeping records of problems and solutions.

- Performance review: The procedures for reviewing the supplier's performance.

- Supplier obligations: The supplier's obligations, such as providing spare parts and maintaining equipment.

- Customer obligations: Your obligations, such as providing information and cooperating with the supplier.

- Termination of agreement: The procedures for terminating the agreement.

By following these guidelines, you can choose the right IT supplier and manage your relationship with them effectively. Remember to regularly review and evaluate your IT supplier's performance to ensure that your IT systems are running smoothly and efficiently.