Rapid changes in computing technology have created a need for tools that provide visibility into the true costs of hardware acquisitions. Procurement professionals must understand how these costs relate to the actual purchase price. Furthermore, they must try and “see the future” on what costs might be in the later years of a contract and extrapolate those costs. Factors further complicating this process are:

• Technological jargon leading to “apples-to-oranges” comparisons
• Solutions-based systems proposals that hide true costs
• The lack of tools for the “Buy/Outsource” decision, especially tools that would optimize price-versus- performance tradeoffs
• The complex global market supply chain (Supplier, EMS, ODM, OEM, Distribution) creates a lack of visibility into true costs