It’s Time To Start Planning Your Final 2022 IT Purchases
Key points in this article:
- If you are planning on purchasing and replacing hardware and software licensing, do so before October 31st.
- Supply chain issues and holiday demand will delay the procurement and delivery of critical items.
- If you want to get the depreciation for these equipment purchases this year, you need them delivered in 2022.
You’re Running Out Of Time To Make Your IT Purchases
Planning to make IT purchases in 2022? Now’s the time to get those orders in.
Thanksgiving and the holidays are just around the corner. Any hardware you want to purchase and use before the end of 2022 (and secure depreciation) will be affected by ongoing supply chain issues and the usual holiday rush.
Supply Chain Issues Mean Longer Waits For Business Hardware
This results from demand and supply chain shocks, including a global chip shortage, labor shortages, manufacturing disruptions from COVID, and higher demand. Independent of the cause, the impacts continue reverberating throughout the global economy.
Manufacturers that rely on these components (Lenovo, Dell, HP, Cisco, etc..) are anticipating delays in the fulfillment of new hardware and products. They expect the effects of the shortage to last at least through the remainder of 2022.
Please prepare for potential delays and longer-than-normal lead times for hardware for the foreseeable future.
Supply Chain Delays And Chip Shortages—What’s Causing All The Trouble?
While chip manufacturers fail to produce a sufficient supply of these critical components, prices will inevitably go up. TSMC planned to hike its prices in line with the limited amount of components it can produce.
This has resulted in a bidding war among major manufacturers. As globally active brands like Toyota and Apple compete for vital components, they’ll have to pay much higher prices. Add to that increases in shipping costs and higher wages for labor, along with inflations, and costs continue to climb. Those expenses will be passed along to consumers like you.
Even Cisco has noted that prices will continue to rise for crucial components in IT infrastructure. These types of resources are critical in most technologies, making the effects of their scarcity far-reaching.
While prices may be high now, they’re only bound to increase over the next year. As the shortage continues and demand continues to climb, prices will increase. That’s why you need to start placing orders for the hardware you’ll need next year and the year after. The longer you wait, the more it will cost you.
Unfortunately, despite this direct motivation, many businesses struggle to think ahead with their IT…
Businesses Are Bad At Technology Planning
93% of surveyed businesses recognize that IT is strategically and operationally critical (Wakefield Research), but very few are doing anything to plan their IT: properly
- 66% find that the amount they’re budgeting towards IT isn’t enough to keep up with what they need from it.
- 77% of those with less than 100 employees have found that their investments in IT are too limited
- A third of those surveyed said that less than 10% of their strategic planning was about IT
That’s why you need to ensure you’re planning your budget correctly. That means knowing your priorities and how to invest in them.
3 Key Considerations For Your Technology Planning
You cannot afford to underinvest in your cybersecurity. Even a single breach can cost you tens of thousands of dollars. That’s why you must ensure your cybersecurity technologies are up-to-date and capable of mitigating modern threats.
Track Tech Lifecycles
Do you know how old your computers are? At a certain point, they will reach End Of Life, which means that you won’t get the developers’ bug fixes or security updates any longer.
Over time, the security and reliability of these systems will make your computers vulnerable:
- Your computers could be infected by malware
- Your antivirus won’t be updated
- Your online banking transaction protection may expire, and
- Your financial data could be exposed to theft.
That’s why you need a detailed schedule of your hardware and operating systems’ lifecycles to plan for new purchases and upgrades.
Supply Chain Issues
Don’t forget that new technology is in high demand, and the available supply is especially low. This is due to both the pandemic and a shortage of critical components. Any new technology purchases you will make will likely take much longer to fulfill.
Don’t Put Off Your IT Budget
With IT shifting from just another piece of equipment in the office to the core of operations and a key aspect of how you defend your business, you should designate it as a central part of your budget.
This also means that you must assess and clearly define how IT aligns with your business objectives to decide what you’ll need for the coming year(s).
Proper IT budgeting will help you lay a foundation for success in the future. Using the right IT solutions can help you:
- Accelerate your business growth
- Increase your operational effectiveness
- Ensure optimal productivity from your employees
- Overcome operational challenges
- Increase collaboration and communication
Need Expert Assistance With Hardware Procurement?
While you may not need new hardware right now, you will eventually, and the sooner you begin planning, the better.
The 4it team will help—we can assess and determine the state of your current hardware and help you plan.
While there are no guarantees regarding the availability of supply, the more foresight you have in this process, the smoother it will be. If you have any questions whatsoever, don’t hesitate to get in touch with our team.