Technology Sectors
Improving the ‘TCO’ of video surveillance systems
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Karen Krivaa |
Satisfying the call for more security with shrinking budgets is something almost every security-conscious government organization struggles with today.
Fortunately, there are ways to get more for less. As systems require ongoing expenditure throughout their lifecycle, it is critical to examine not only their acquisition costs, but also their Total Cost of Ownership, or TCO. And the larger the deployment, such as those in military installations, airports and critical infrastructure, the more relevant TCO becomes.
A long-term assessment is much more accurate
TCO is the sum of all costs associated with the system, both capital expenses (CAPEX) and operational expenses (OPEX), over a defined period of time.
Here’s an example. A mid-range video surveillance server costs about $3,000. To calculate its TCO over a five-year period, let’s assume the estimated OPEX-per-server footprint is around $1,000 annually, which includes all associated expenses such as installation, floor space, maintenance, power and ventilation. Over a five-year period the TCO is $3,000 + $5,000 (5 x $1,000) = $8,000. We can see that the OPEX component is substantially higher than the CAPEX.
This shows the importance of using TCO as the criteria for analysis and cost comparison as opposed to CAPEX only.
Steps to reduce TCO
Yes, it is definitely possible. A good start is to minimize the CAPEX component. That begins by negotiating the best deal possible for acquiring the equipment. First, though, you should take a closer look to see if your system specs meet certain requirements that in the long run can substantially reduce your TCO.
Performance matters
It is critical to verify that servers can support up to 512 Mbps of recording, in addition to 256 Mbps for live and playback operations. This allows you to serve hundreds of video channels on a single server, decreasing the number of servers you need for substantial CAPEX savings.
Hybrid solutions elevate analog cameras with value-added services
Organizations with existing analog cameras can now get many of today’s advanced features with the significant benefits of hybrid smart video recorders. Hybrid recorders offer a wide range of video value-added services that improve video quality and integrity, and increase operational efficiency with state-of-the-art management and IT-friendly capabilities. They also allow organizations to migrate their systems cost-effectively, based on convenience and budget allowance, without major rip-and-replace costs.
Saving OPEX
As suggested above, if you’ve reduced the number of servers and storage devices with extreme-performance solutions, you’ve automatically reduced your solution’s footprint. Reduce the number of servers your solution uses by 70 percent and you’ll reduce the solution’s footprint by the same amount and save 70 percent in OPEX costs annually.
Reduce your maintenance costs
Since it is a significant portion of an organization’s expense, acquiring a surveillance solution with low maintenance overhead is preferable. Ensure that your system features things like easily-deployed software, and automated software distribution tools to reduce the maintenance load when performing updates and upgrades.
The green factor
Legacy systems consume more electricity and generate higher CO2 emissions. Moving to a new generation of solutions, which are both space- and energy-efficient, will save a significant amount of power and result in a greener environment.
The big picture is not only more accurate, it is also brighter
Despite the budget crunch and stricter security procedures and requirements, there is light at the end of the tunnel. Advanced systems with an overall reduced TCO are now available to government deployments and that can improve costs, performance and operations.
Karen Krivaa is product management director of NiceVision for NICE Systems. She can be reached at:
