This month our 2-Minute Training focuses on the financial impact of old computers. Watch the video or read the transcript below.
My name is Joshua Peskay and this is a 2-Minute Training on the true cost of a slow computer.
It’s hard to set aside money to buy new computers when the existing computers, when the existing computers that you have are still working. But are those computers really working?
Let’s do the math.
Let’s take Maria. Maria is a full-time employee for your organization and let’s say she’s earning $50,000 dollars per year. That equates to approximately $25 per hour. Maria’s computer is six years old and perhaps it’s gotten a bit slow. It freezes from time to time and she has to restart it once or twice a day. Let’s say this slow computer is costing her 15 minutes per day. A full-time employee will work 260 days per year, so in total, that equals 3900 hours per year or 65 hours per year in lost productivity. In dollars, that equates to $1625 dollars per year in lost productivity.
$50,000 salary per year
15 minutes per day in lost productivity
$1625 per year in lost productivity at Maria’s salary
If Maria earned $75,000 per year, it would equal $2437.50 per year in lost productivity. Due to the slow computer, it is costing your organization nearly $2500 each year in lost productivity. If you are a non-profit organization, you can get refurbished computers from Techsoup for as little as $400. If you’re not a non-profit organization, or if you prefer to buy new computers for your organization, a new computer can cost as little as $600-800 direct from the manufacturer.
Let’s say we buy a $1000 new computer for Maria. We’re still in a positive return on investment after only 8 months.
New PC - $1000
Productivity gain of 15 minutes per day
ROI After 8 months: $1080
ROI After 3 years: $4875
These financial numbers only take into account, the literal lost time in productivity. It doesn’t take into account morale loss because of poor technology, which is actually a significant factor in employees leaving an organization. The cost of employee turnover is exponentially higher than that productivity loss. So do the right thing. Invest in technology. It will help your personnel do their jobs at their highest capacity.
New computers can be purchased directly from RoundTable Technology, but regardless of where you decide to buy, current clients should reach out to their account manager with any questions. We’d be happy to review the specifications of the computers you plan to buy.