Performing a TCO Study with the CoSNGartner Tool

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Performing a TCO Study with the CoSN-Gartner Tool
TCO and Beyond

• The CoSN-Gartner TCO Tool
• and
• Moving to the Value Equation
• Rich Kaestner
• k12tco_at_alyrica.net

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Our Panel

• Rich Kaestner K-12 TCO Consultant and K-12 TCO
  Tool Support Specialist
• Bill Rust Research Director, Gartner
• Dr. Jo Campbell - Assistant Superintendent,
  Council Bluffs Community School District
• Dr. Eric R. Hamilton - Deputy Director for
  Learning Technology, US Air Force Academy

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Agenda

• Total Cost of Ownership and the CoSN-Gartner TCO
  Tool
• What TCO analyses does/doesnt do - Rich Kaestner
• Beyond TCO
• Gartners initiatives Bill Rust
• Projecting cost/value in acquiring implementing
  new software solutions Dr. Jo Campbell
• Measuring student learning and technology
  investment returns Dr. Eric Hamilton

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Total Cost of Ownership

• Understanding Where You Are
• to Help Plan Where You Are Going
• All of the costs associated with deploying,
  operating and maintaining a computer network
• Analysis methodology used by businesses since the
  late-1980s
• A way of understanding real costs to make good
  decisions on costs of technology investments

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Why School Districts Should Monitor TCO

• Evaluate technology initiatives
• Provide management oversight
• Document direct and indirect costs
• Measure and improve technology initiatives
• Plan effectively for technology implementation
• Articulate the business case for technology
  investments
• Reassure policy makers that dollars are being
  used wisely

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TCO Should Not Be Evaluated in a Vacuum

• Success should ultimately be measured by
  whether those educational goals have been met
• Schools need to understand their educational
  goals and how technology will support their goals
  something a TCO analysis helps with
• The business of schools is education

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TCO Can Help Schools Meet Educational Goals

• By tracking tech support
• To minimize time computer and network is down
• To minimize troubleshooting interruptions for
  teachers
• By tracking the adequacy of professional
  development
• To ensure teachers are prepared
• To ensure teachers are integration tech into
  curriculum
• By tracking the pros and cons of various
  implementation and support strategies

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The CoSN-Gartner TCO Assessment Tool

• Simplified version of Gartner biz model adapted
  for K-12
• Defines data required for valid TCO assessment
• Provides calculations and some analysis
• Allows school leaders to input information
• Technology hardware/software and costs
• Direct Labor
• Indirect Labor

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CoSN-Gartner TCO Tool Output

• Total Costs a summary of direct and indirect
  district and per client costs
• Asset Metrics a breakdown of pervasiveness of
  client computers
• Asset Cost Metrics amortized costs of computer
  and network hardware
• Direct Labor Cost metrics an overview of
  district wide and per client direct labor costs
• Direct Labor Staffing metrics illustrates the
  number of client computers supported per support
  staff and average support staff costs

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Using the TCO Tool- Seek help and Support

• k12tco_at_alyrica.net

- Provide Feedback Ideas
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TCO One Side of the Equation

• TCO is the first step
• Measures current technology costs
• Allows cost planning for new initiatives
• But
• Does not measure value of technology investments
• (Value Cost ROI)
• Some thoughts on determining value and ROI

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Agenda

• Total Cost of Ownership and the CoSN-Gartner TCO
  Tool Rich Kaestner
• Beyond TCO
• Gartners initiatives Bill Rust
• Projecting cost/value in acquiring implementing
  new software solutions Dr. Jo Campbell
• Measuring student learning and technology
  investment returns Dr. Eric Hamilton