Defining an up-to-date TCO Model

I am currently writing a TCO piece for MatrixStore against tape, optical and other disk based solutions. TCO studies are rarely independent and naturally favour the client who paid for the study or the organisation that the person writing the report works for (like me … Tape booo, MatrixStore yeaah).

We at Object Matrix would welcome an open forum on calculating TCO with other Vendors but realistically that is not going to happen. Martin also rightly pointed out that defining what should be included in a TCO model will be a challenge so I have decided to bullet point the core elements of a TCO model that I will use and I would ask others to contribute…

TCO Model Traditional Elements

  • The Analysis period (should include time to ingest and exit not just time content sat on media @ianhf)
  • Initial storage requirements
  • Annual growth requirements
  • Base hardware and software costs (RRP or Discounted @timothyburton)
  • Capacity % utilised of storage media
  • Capacity upgrade Unit Size and frequency (@ianhf)
  • Annual predicted % change in cost of media
  • Media Rotation costs (tape and spindles) @thesharmanator
  • Verification of written data costs / proof of ongoing authenticity
  • Replication cost (comms link vs manual actions)
  • Networking costs/Bandwidth utilisation (LAN/SAN etc). Network hog for minimal gain? (@ianhf)
  • Employees required / costs / % annual change
  • License costs/transferable? (@ianhf)
  • Training/Certification costs of operational/support staff (from @Hugh_Waters)
  • Energy usage / energy cost rises / better future energy efficiency % changes
  • Servicing costs / employee training
  • Failover facilities
  • Floorspace (from @storagebod)

Non -Traditional Elements that must be included

  • Annual value to company of assets being available online | Efficiency | Revenues
  • Annual depreciation or gain of asset value (@ianhf)
  • Energy cost of staff managing the solution
  • Estimate lost revenues following data loss
  • Cost of downtime (staff etc) following data loss (from Mark Wood)
  • Exit Costs (moving away from the solution and secure disposal) (from @storagebod @ianhf)
  • Maintenance costs | changes to firmware/drivers of connected systems (from @storagebod)
  • Cost of disruption of firmware / software upgrades (via @ianhf)
  • Costs of verifying end-to-end supportability (from @storagebod)
  • Application integration/certification costs (from @storagebod)
  • Cost of ongoing infrastructure interoperability validation between 3rd parties (via @ianhf)
  • Cost implications of Re-purpose existing tin or buying 2nd hand (from @skirrid)
  • Cost of restoring content (from @timothyburton)
  • Cost of disaster recovery options (from @timothyburton)
  • Flexibility of license model per site, per node or per asset (@ianhf)
A while back we plugged most of this info into a spreadsheet which we are updating also. Its an open sheet for people to put in their own values. When ready we will publish and ask for feedback (good or bad).
The View from OM
The truth is out there…