If you are thinking about a new on-premise IBM i Server, you will want to read this.
I am amazed how frequently I encounter IBM i users that have
- Bought servers with WAY more resource (memory, disk, core performance) than they will need – costing $50,000 to $200,000+ more than you need to spend,
- Paid for stuff they don’t use – costing you $3,000 -$15,000 more than you should pay,
- Are charged over list price for their IBM server – costing you $5,000-$20,000 too much.
How come this happens?
- The Case Of The Server That’s TOO BIG
We are IBM Business Partners. I hear my peers complain how business and profits have fallen off over the last decade. IBM servers are way more powerful so they last much longer. IBM servers are way less expensive for huge performance gains so the resellers make far less profit then they used to.
Consequently, many sell servers that are way too big. For example, I was recently talking to a plumbing distributor in the Midwest that had an IBM i 740 (this is a P20 software tier server) with 16 cores and they only using 5 cores for 25,000 CPW. They were planning to upgrade to a new 770 with 24 cores to get 30,000 CPW. I was shocked. I explained if they wanted to save money they could 1) either turn on 1 more core for $15,000 or get an 8286-41A 8 core server that would offer the same level of performance as the proposed 770 and cost $300,000 less!
The poor buyers don’t know enough about the IBM i servers and their options to insist on better values.
How to protect yourself? Ask your IBM BP to present other multi-core models for price comparison. You can price S812 servers with 6 & 8 cores and S824 servers with 8 & 12 cores to compare beside 850, 870 and 880.
2. The Case Of The Server That Has Stuff You Don’t Need
Last year I worked with an Iowa-based manufacturer. They had completed our POWER Assessment Checklist. They also sent me a rack configuration and a software listing. As I reviewed the assessment with the client, I asked why they had PowerVM (needed for LPARs) when they NEVER had any LPARs, and DB2 Web Query (which they never used), and BRMS (an advance tape backup solution) that they never use. They explained that the incumbent BP had always provided this….even when not needed.
Once I excluded all of these unneeded software items and related software support, this client realized a $10,000 savings over a 3 year period.
This IBM user had never had an IBM i expert judiciously review what they had to understand what could be eliminated without affecting their server performance…and save BIG!
How to protect yourself? Run IBM i command GOLICPGM to review the licensed software you have. Is there software you do not use, such as PowerVM when you do not have LPARs, BRMS when you just conduct simple backups, or DB2 Web Query?
Request your IBM BP to get a detail configuration listing to review all the features and all the software to determine if you have all that you need…and not MORE than you need.
Don’t know how to read this report? Let us help. This report has over 1000 line items. Unless you know what to look for, it is easy to miss features or not understand what you are looking at.
3. The Case Of Servers Sold Above List.
Just the other day a Business Partner I know was complaining about how crummy the market is and how small the margins are. He boasted that he makes up for it by selling the server ABOVE IBM list…so he can make more money.
Shocking!
How to protect yourself? Request your IBM BP to present you a detailed configuration listing which includes all the hardware and software features. This listing shows the IBM list prices.
Or, get 2 other bids.
Unless you are an IBM i expert with comprehensive knowledge of the product and the pricing tool, you probably have no way to know you are a victim of one of these approaches.
Let me prove our IBM expertise to you.
If you are willing, share your configuration with me for a free audit.
I can tell you if you are getting a fair deal.
I can also suggest options to get you better value by changing aspects of your configuration or eliminating stuff you don’t need.
What’s in it for me?
I confess I have a selfish motive.
I would hope that you would be so impressed with my team’s IBM i expertise that a few readers may invite us to do business with them for their next server.
NO COST NO OBLIGATION Assessment
Let us prove to you that you are getting the right server at the best value.
A server configuration checkup costs you nothing.
And, if you want us to show you how to save, we can do that too.
Call me at 800-333-2669 x 204 or drop me an email blosey@source-data.com.
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