Transcript Slide 15

Validation and Findings
Designed specifically for:
INLAND BUSINESS SYSTEMS
1500 North Market Blvd.
Sacramento, Ca. 95834
Email: [email protected]
July 18, 2015
Mare Island Technology
3 Positive Place
Vallejo , California
Dear Mr. Smith,
Inland Business Systems, a Xerox Company, specializes in office technology workflow assessment and
optimization. We have been committed to our customers since 1977. We are uniquely positioned to help
organizations understand true cost breakdown, asset deployment, usage patterns and volumes that result in the coauthored development of sustainable work practices and monitoring of workflows for continuous improvement.
We have successfully led companies as well as small organizations - in every industry from healthcare to education
- to achieve better financial results, improve operational efficiency and reduce environmental impact.
I would like to thank you for allowing us the opportunity to assess your office workflow and learn more about your
company culture, mission, challenges and opportunities involved in your organization. We have evaluated your
workflow and have developed the following analysis and recommendations that represent the combined efforts and
consensus of both Inland Business Systems and Mare Island Technology. Our objective is to provide Mare Island
Technology with an unsurpassed solution and build a reliable partnership with your company. We hope that the
thoroughness of this proposal will confirm the certainty that our partnership will be beneficial for you and Mare
Island Technology
As you review the following information, please feel free to contact me with any questions.
I may be reached at 925.752.3167 or by E-Mail at [email protected] .
Thank you again for your time.
Sincerely,
Annaliza S. Zhivago
Senior Major Consultant
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Executive Summary
Inland Business Systems (IBS) will serve as a consulting partner for Mare Island Technology on two
initiatives:
1. Assess Mare Island Technology entire workflow infrastructure. The IBS 360° Assessment will
deliver clear visibility into how well your company culture aligns with your business process
initiatives. It will also evaluate technology deployment, usage patterns and volumes, overall cost
of ownership, general workflow practices, process administration and sustainability practices.
2. Design and implement a long-term strategy that meets your current objectives as well as your
future initiatives and goals.
This proposal was developed to help Mare Island Technology achieve the following goals
and future goals:
1. Build a relationship with one vendor that can handle all hardware, software and
other collaboration needs.
2. Design and implement a long term strategy that addresses your current objectives
and long term goals.
3. Identify all of the direct and indirect costs associated with technology acquisition,
operation and maintenance.
4. To obtain a solution that provides detailed tracking and accounting of normal
business printing that will provide information to your banner financial system, for
accounting purposes.
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What is IBS360
IBS 360°™ is a revolutionary review that measures the core areas required to achieve true workflow
optimization. It is a multi-source, co-authored approach that delivers a comprehensive snapshot,
providing clear visibility into a Company’s core business areas. Integrated reporting tools deliver
concrete, actionable guidelines for complete alignment between your technology and business process
initiatives.
Company Culture
Sustainability Practices
Key factors have been identified
and associated with the overall
cost of ownership
Process
Administration
Processes are streamlined
and automated according
to internal, state and
federal requirements
Workflow Practices
How well your company
culture aligns with your
technology investments and
business process initiatives
Technology
Deployment
The right numbers and right
types of assets are in the
right locations
Usage Patterns
And Volumes
Assets are being utilized at or
near capacity
How efficient and effectively
information flows and
communication occurs
Overall Cost of Ownership
Key factors have been identified and
associated with the overall cost of ownership
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Company Culture
• Mare Island Technology invests a significant number of employee hours getting
various toner types for multiple printer models, using multiple budgets.
• Users have added printers at will and have started to use them as their main
print devices resulting in high toner cost, underutilizing the current multi
functions that are in place.
• Currently Mare Island Technology uses multiple
vendors/drivers/models/supplies for various output devices resulting in multiple
invoices and points of contact.
• Mare Island Technology is paying approximately $43,483.08 a year to their
copier and printer fleet. This is not including the cost of HP printer labor and
cost of replacing the printer if it cannot be fix.
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Data Collection Process
Technology Data Collection Process
1. All known devices were touched and meter reads were obtained twice by trained IBS staff.
2. Volumes were accurately measured by device over the time of the assessment and compared
against actual invoices to verify accuracy.
3. Interviews were taken with users where applicable.
4. Financial data was obtained by auditing purchases.
1) All known devices were
touched and had meter reads
taken twice by trained IBS staff.
2) Volumes were accurately
measured by device over the
time of the study and compared
against actual invoices over a 2
month period to verify accuracy.
4) IBS consulting team played an
important role by searching all
other known and unknown
vendors for printing supply items
and providing invoices for them
over the same period.
3) Financial data was obtained by
pulling invoices for the prior 12
months.
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Current Technology Overview
Total •2
Copiers
Total •47
Printers
Total
Faxes
•4
Total •53
Devices
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Observation Overview
Core Area
Current Concerns
Company Culture
Printers have been purchased
through unknown budgets.
Employees and students print to
the printers, not multi functions
devices.
Current Technology
Overview
Some obsolete devices, print
color on their stand alone color
printers for collateral. Everyone
has their own printer.
Usage Patterns &
Volumes
High volume per month on
printers that cause high
expenses. Employees / student
print to their own printer .
Overall Cost of
Ownership
Multiple vendors for service and
supplies.
Workflow Practices
Print to the laser jet for black and
white, print to the color laser jet
if need color, and go to the
Konica if need to make copies.
Sustainability
Practices
No sustainability acts are in
place.
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Cost Analysis
Current Scenario MFD’s (Copiers)
Black & White
Copier
Color Copier
KM 1050 e Lease
B & W = 150,000 @ .0039
Total Cost
$1,575.74
585.00
$2,160.74
Xerox 7675 Lease
B & W =20,000 @.01015
Color = 1,500 @ .0879
$ 428.00
203.00
131.85
$ 762.85
COST PER MONTH
HP B & W Print Volume
HP Color Print Volume
TOTAL COST
$ 2,923.59
25,000 per month
1,500 per month
$700.00
TOTAL MONTHLY EXPENSES: $ 3,623.59
Mare Island Technology currently:
•Produces 150,000 total pages per month on KM 1050e black and white.
• Produces 8,000 black and white pages and 1500 color pages from Xerox 7675.
•Utilize 47 HP printer units deployed consisting of:
• 4 color laser jet = produces 1,500 color prints
• 43 black and white =produces 25,000 b & w prints
•Utilize 4 stand alone fax machine
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Proposed Solution
Xerox D110, Xerox 7545 with Print Management on 47 HP
Printers
Inland Business Systems proposed the following:
1. Install XEROX D110 to replace KM1050e
Include an offline folder to be utilize by the office

Include 150,000 b &w copies/print per month
2. Install XEROX 7545 with fax to replace Xerox 7675

Include 8,000 b & w copies/print per month

Include 1,500 color copies /print per month
3. Put all 47 HP Printer in Smart Print Program at low cost

Include 25,000 b & w prints

Include 1,500 color prints
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Overall Cost of Ownership
Proposed Solution
Xerox D110, Xerox 7545 with Print Management on 47 HP
Printers
Monthly B&W Included on XEROX D 110Copiers
Monthly Color Included on XEROX 7545
Monthly B&W Included on Xerox 7545
150,000
1,500
8,000
Monthly B&W Included on HP Printers
Monthly Color Included on HP Printers
25,000
1,500
Yearly Overages Charge for Xerox D110 (1.8 M) .0035 per click
Yearly Overages Charge for Xerox 7545
After 96,000 b & w
@.008
After 18,000 color
@.065
Yearly Overages on HP B & W Printer (300,000)
Yearly Overages on HP Color Printer (18,000)
Total Proposed Monthly Cost
Total Monthly Savings
@.014
@.11
$ 3,176.70
$446.89
(Current Cost from KM 1050, X7675 and 47 HP Printers=$3,623.59)
Xerox Solution will save Mare Island Technology $ 5,362.68 annually!
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Financial Summary
60 Months FMV Lease
Current System
Proposed
KM 1050 E
Xerox D110
Xerox 7675
Monthly Lease
Xerox 7545
Monthly Lease
$ 2,003.74
$ 2,661.70
Maintenance for 2 Equipment
Include 150,000 black and white for Xerox D110
Include 8,000 b & w for Xerox 7545
$919.85
Includes 1,500 color copies for Xerox 7545
TOTAL : $2,923.59
TOTAL : $2,661.70
HP Printers Cost
HP Printers Cost
25,000 b &w print
25,000 b & w print
1,500 color print
1,500 color print
$700.00
OVER ALL TOTAL COST
$515.00
OVER ALL TOTAL COST PROPOSED
$ 3,623.59
$3,176.70
Savings Per Year : $446.89 x 12 = $5,362.68
see pg. 10
Plus additional Savings ---$2,923.59 if equipment will be upgrade in June .
1st Monthly will start in August that will save MIT $2,923.59 for the month of July. This will
include no financial obligation to MIT to pay the remaining lease for the current copiers.
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Solutions Overview
EDUCATION SOLUTIONS
We offer innovative solutions that enhance the learning experience of students while enabling better
management of resources.
Cost Tracking and Access Control
Our solutions make it easy for schools- to recover campus-wide print and copy costs, make printing
convenient without compromising security, and encourage responsible printing.
Through our workflow solutions, schools can easily track, analyze or charge for every page output
by any student, faculty member, staffer or guest on any desktop printer, network multifunction
printer, or walk up copier. School can track the amount and type of output be device to determine
how to optimize its device fleet.
Cost Effective Color Printing
Our solid ink technology enables educational institutions to take advantage of high impact color for
pennies, often for no more than it costs to print black and white. The unique three-tiered meter
plans classify documents based on the actual amount of color used—no more paying for full-low
color documents. This provides the best of both worlds greater impact and less cost.
Environmental Sustainability
Solid ink also enables more environmentally responsible printing.
Less waste, non-toxic ink, less packaging requiring less energy to transport, and less energy
required by the device, all contribute to reducing a school’s carbon footprint– saving the
environment and providing another important lesson to students
.
.
Increased productivity
Lets user print documents anywhere, anytime. Virtual access to all documents for printing.
Unconscious Connectivity.
Ability to print inside & outside firewalls.
Reduce waste
Allows user to print the latest version at the latest possible moment.
More convenient with USB KIT
Print what you need, were and when you need it.
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Next Steps
Demo of Equipment (Completed)
4-18-2012
Proposal Meeting with MIT Staff
5-31-2012
Board Meeting (Tentative)
6-12-2012
Deliver Equipment
6-20-2012
Installation and Pull –out of KM 1050e
6-20-2012
Set-up and Training
6-21 to 23-2012 (Office Staff) tentative
Continued Training as needed
8-2 -2012 (Teachers) tentative
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IBS Contacts
Annaliza Zhivago
• Sales Consultant
• Cell 925.752.3167
Matt Mettzler
• Director of Print Management
• Office 916.710. 5394
Mike Chulick
• Production Specialist /Analyst
• Office 916.765.9467
Joseph Pesetsky
• Vice President of Service
• Office 916.928.0770
Ken Barnes
• Vice President of Sales
• Office 916. 928.0770
James Koppert
• President of Inland Business Systems
• Office 916.928.0770
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