How to measure the real
cost of losing equipment
When you lose your wallet,
the last thing you think of is how much it is
going to cost you to replace your wallet. The
same is true when equipment (and especially a
computer) is stolen.
Our mothers always told
us, "An ounce of prevention is worth a pound of
cure." They were right.
Think about what it
really costs to replace equipment:
The price of the replacement hardware.
The price of replacing software.
The cost of recreating data (if it is possible
at all. who ever keeps perfect backups?).
The cost of lost production time or instruction
The loss of customer good will (lost faxes,
delayed correspondence or billings, problems
answering questions and accessing data).
The cost of reporting and investigating theft,
filing police reports and insurance claims.
The cost of increased insurance.
The cost of processing and order for
replacements, cutting a check, etc.
If a thief is ever caught (!), the cost of time
involved in prosecution.
effectively self-insure for common equipment
losses, so a theft may mean not being able to
replace equipment at all, at least without
effecting department or program budgets.
Doesn't it make sense to use an ounce of