Homework SourseWhat are some of the factors to consider when estimating the
Solution
Total cost of ownership (TCO) which takes in account the costs of buying, installing, operating and supporting a VoIP system over the period you own the system. 5-6 years is taken useful for making the calculations.we can predicts some of the cost but calculation give us the exact value and give us the rough idea.
The concept of TCO is not new, TCO is sum up all costs – purchase, use, maintenance, one-time, recurring – over a set period of time.
eg- TCO equation for a car purchase is:
TCO = (Cost of purchase) + (Cost of maintenance) + (Cost of fuel) – (Resale value)
Similarly in VoIP system’s TCO equals the sum of its three cost components:
TCO = (Acquisition Costs) + (Monthly Recurring Costs) + (Annual Maintenance Costs)
So the three main factors on which TCO of VoIP depend is :
1) (Acquisition Costs)
2) (Monthly Recurring Costs)
3) (Annual Maintenance Costs)
1) Acquisition Costs
An acquisition cost is any cost that is paid up front. For VoIP, acquisition costs are more than just equipment purchases. They include system installation and employee training. Remember that with VoIP, voice and data are carried over the same connection so there are usually charges related to the provisioning of that connection.
2) Monthly Recurring Costs
With VoIP, monthly recurring costs cover both voice and data service and can take different forms. Some service providers charge per minute usage fees for local and long distance calls, along with a fixed monthly cost for data. Others bundle these charges together into a single monthly fee that offers unlimited data access and either a block of voice minutes for shared use by everyone in your company or unlimited voice minutes.
3) Annual Maintenance Costs
Annual maintenance costs have been a given in hardware or software purchases for years. Companies often charge 10-20 percent of the purchase cost of these products each year to guarantee technical support and product updates.This is done so that good quality of service can be provided.
