Instructional and Instructional and Information Technology Information Technology

ServicesServices

The Technology Refresh The Technology Refresh ProgramProgram

OverviewOverview HistoryHistory Logic of 3 Year Refresh CycleLogic of 3 Year Refresh Cycle Financial IssuesFinancial Issues The FutureThe Future ConclusionConclusion QuestionsQuestions

HistoryHistory Campus commitment to Campus commitment to

technology.technology. 1994 –Campus needed a Plan.1994 –Campus needed a Plan. Maximize purchase by financingMaximize purchase by financing 2002/03 – There are now 1626 2002/03 – There are now 1626

systems on program.systems on program. Plus a plan to upgrade other Plus a plan to upgrade other

student labs.student labs.

Refresh ComputersRefresh Computers

0

150

300

450

600

1995 1996 1997 1998 1999 2000 2001 2002

FacultyStaffStudentAux.

***1995 – 1997 are estimates within categories but totals are accurate***1995 – 1997 are estimates within categories but totals are accurate

Refresh Computers by TypeRefresh Computers by Type

0150300450600750900

1050120013501500

1995 1996 1997 1998 1999 2000 2001 2002

MacPCLaptops

Refresh Cycle – Why 3 Refresh Cycle – Why 3 Years?Years?

Technical Optimum – 2 YearTechnical Optimum – 2 Year The whole campus on a similar The whole campus on a similar

platform.platform. Computers less expensive.Computers less expensive.

There are disadvantages…..There are disadvantages….. Not enough staff, very disruptive to Not enough staff, very disruptive to

users.users. Department purchases of Department purchases of

peripherals/software would be peripherals/software would be outdated to quickly.outdated to quickly.

4 Year Refresh4 Year Refresh The advantage -implementation costs The advantage -implementation costs

lowlow Surprisingly, the annualized cost of Surprisingly, the annualized cost of

computers higher.computers higher. Maintenance is higher or impossible.Maintenance is higher or impossible. Securing older systems difficult. Mac Securing older systems difficult. Mac

computers are impossible.computers are impossible. IITS support costs would increase.IITS support costs would increase. New peripheral problems in fourth year. New peripheral problems in fourth year.

0500

100015002000250030003500

2Year

3Year

4Year

Computer Cost

Total Cost

AnnualizedCost

3 Years- The best 3 Years- The best compromisecompromise

Laptops cannot make 4 years.Laptops cannot make 4 years. Easier to judge system specifications. Easier to judge system specifications. No need to pay a premium for a No need to pay a premium for a

system.system. Average cost per year not much Average cost per year not much

different for three year cycle.different for three year cycle. Systems maintainable for entire cycle.Systems maintainable for entire cycle. Gives IITS flexibility to help campus Gives IITS flexibility to help campus

community.community.

PC Computer Cost –Why PC Computer Cost –Why $2300?$2300?

$1250 System$1250 System Lower end CPULower end CPU

Low end 17” CRTLow end 17” CRT Limited Ram (slow)Limited Ram (slow) No Zip driveNo Zip drive Standard CDStandard CD Low end graphicsLow end graphics

$2300 System$2300 System $230 – CPU/Firmware $230 – CPU/Firmware

upgradeupgrade $360 17” Flat Panel$360 17” Flat Panel $120 256 MB Ram$120 256 MB Ram $115 Zip Drive$115 Zip Drive $130 DVD/CD-RW$130 DVD/CD-RW $70 Upgraded $70 Upgraded

GraphicsGraphics

Details of Refresh PurchaseDetails of Refresh Purchase

There are a total of approximately There are a total of approximately $1,100,000 in loan obligations over a $1,100,000 in loan obligations over a 3 year term.3 year term.

Why not pay cash? It took three years Why not pay cash? It took three years to fully fund the program.to fully fund the program.

Adding a system costs $1320 per Adding a system costs $1320 per year.year.

IITS refreshes on average about 1/3 of IITS refreshes on average about 1/3 of the campus each year.the campus each year.

Refresh Fiscal IssuesRefresh Fiscal Issues

Apple systems approx. 30% more Apple systems approx. 30% more cost.cost.

More Laptops and cost 25% more.More Laptops and cost 25% more. Both Apple and laptops systems are Both Apple and laptops systems are

also very expensive to maintain.also very expensive to maintain. Flat Panels more expensive but save Flat Panels more expensive but save

energy and spaceenergy and space

Annual Refresh Cost – Why Annual Refresh Cost – Why $1320$1320

$700-1100 Computer$700-1100 Computer $80 Software$80 Software $13 Printing$13 Printing $54 Servers$54 Servers $78 Networking$78 Networking $15 Security$15 Security $79 Handling/Installation/Training$79 Handling/Installation/Training $21 Spares$21 Spares

Financial DetailsFinancial Details

Faculty systems Faculty systems average $1370 per average $1370 per yearyear

Staff Systems Average Staff Systems Average $1145 per year$1145 per year

Student Systems Student Systems average $959 per yearaverage $959 per year

Auxiliary systems Auxiliary systems average $1230 per average $1230 per year. year.

Refresh Expense Total

Computer

Software

Printing

Servers

Network

Security

Handling/ Training

Spares/ Parts

Campus Refresh: FY 1999/00 FY 2000/01 FY 2001/02 FY 2002/03 FY 2003/04

Total Computers 1171 1,242 1561 1626 1640

Revenue          

Total Perm. Allocation $1,059,710 $1,107,730 $1,355,744 $1,405,212 $1,423,692

Annual Funds $199,616 $170,000 $264,000 $250,000 $243,000

Adds/Surplus prior year $219,000 $93,000 $83,360 $26,400 $0

Refresh Returns -$1,320       -$52,000

Total$1,477,00

6$1,370,73

0$1,703,10

4$1,681,61

2$1,614,69

2

Expenses          

Loans $1,129,200 $1,088,250 $1,148,000 $1,069,000 $1,150,000

Cash Purchases $164,598 $101,000 $230,000 $256,000 $120,000

Non-Computer Costs $171,875 $185,000 $320,000 $347,000 $355,000

Total Expenses for FY$1,465,67

3$1,374,25

0$1,698,00

0$1,672,00

0$1,625,00

0

457 Account Surplus/Deficit $11,333 -$3,520 $5,104 $9,612 -$10,308

The FutureThe Future The Good News:The Good News:1.1. Cost of computers continue to fall.Cost of computers continue to fall.2.2. TII should reduce network refresh costs.TII should reduce network refresh costs. The Bad News:The Bad News:1.1. Security Costs going up.Security Costs going up.2.2. Microsoft software pricing will rise next year.Microsoft software pricing will rise next year.3.3. Server support is going up (Disk utilization Server support is going up (Disk utilization

growing more than 50% per year).growing more than 50% per year).4.4. Mac and Laptop support twice desktop support.Mac and Laptop support twice desktop support. Conclusion: Overall costs should Conclusion: Overall costs should

remain stable.remain stable.

ConclusionConclusion1.1. 2 or 4 Year Refresh Cycles are not 2 or 4 Year Refresh Cycles are not

reasonable options.reasonable options.2.2. IITS keeps campus desktops systems IITS keeps campus desktops systems

secure, reliable and software current.secure, reliable and software current.3.3. Organized and planned program Organized and planned program

minimizes budget surprises.minimizes budget surprises.4.4. Labor costs kept to a minimum.Labor costs kept to a minimum.5.5. Maximizes teaching and learning Maximizes teaching and learning

experiences for Faculty and Students.experiences for Faculty and Students.