BYOD (Bring Your Own Device) has been predicted to be one of the top technology trends for 2013 and many continue to sing it's praises based on the potential cost savings it offers. While many agree that BYOD have huge advantages for enterprises, there are some that feel differently. Opponents of BYOD say that going back to corporate -owned devices and plans is the better financial decision.
The truth is that while there are certainly key cost benefits to switching to a BYOD policy, there are also some major cost impacts that many companies are unprepared for. For example, you may lose volume discounts, get hit with expensive early termination fees, or need to pay for additional security measures to protect your corporate data on individually-owned devices. All of these add up, and may ultimately outweigh any savings a BYOD policy promised if you are not mindful.
To make sure that your BYOD savings outnumber the costs, keep these three things in mind when making your decision:
1. Discrepancies in pricing are common. The price one company pays versus another can vary greatly. This makes discerning fair market value very difficult and complex. Mobile security vendors and mobile device management companies are aware of this and will try to get the highest profit margin for service if you have no pricing insight. Avoid overpaying and gain leverage by benchmarking pricing before negotiations.
2. BYOD is new technology. This means that vendors and carriers will try to find ways to make up for any losses they face when enterprises move large numbers of users from their plans. To lessen the impact, they may introduce new fees, lower or eliminate discounts, or charge higher prices. Make sure you stay on top of any new provider changes that could negatively affect your costs.
3. Most companies are not 100 percent BYOD. Most still use some corporate-owned devices and still have carrier and vendor contracts to manage, on top of managing their BYOD strategy. If you will also be adopting a hybrid policy, remember to always keep your long-term BYOD goals in mind and negotiate any carrier contracts for optimum cost savings.
The truth is that while there are certainly key cost benefits to switching to a BYOD policy, there are also some major cost impacts that many companies are unprepared for. For example, you may lose volume discounts, get hit with expensive early termination fees, or need to pay for additional security measures to protect your corporate data on individually-owned devices. All of these add up, and may ultimately outweigh any savings a BYOD policy promised if you are not mindful.
To make sure that your BYOD savings outnumber the costs, keep these three things in mind when making your decision:
1. Discrepancies in pricing are common. The price one company pays versus another can vary greatly. This makes discerning fair market value very difficult and complex. Mobile security vendors and mobile device management companies are aware of this and will try to get the highest profit margin for service if you have no pricing insight. Avoid overpaying and gain leverage by benchmarking pricing before negotiations.
2. BYOD is new technology. This means that vendors and carriers will try to find ways to make up for any losses they face when enterprises move large numbers of users from their plans. To lessen the impact, they may introduce new fees, lower or eliminate discounts, or charge higher prices. Make sure you stay on top of any new provider changes that could negatively affect your costs.
3. Most companies are not 100 percent BYOD. Most still use some corporate-owned devices and still have carrier and vendor contracts to manage, on top of managing their BYOD strategy. If you will also be adopting a hybrid policy, remember to always keep your long-term BYOD goals in mind and negotiate any carrier contracts for optimum cost savings.
About the Author:
Joseph B. Kappernick specializes in helping Fortune 500 companies save money. He recommends that you visit NPI Financial to learn more about telecom cost management service
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