Adding transparency. Taking away IT leasing confusion for leading accountancy firm.
IT leasing can be complex for the major corporates that have expanding and contracting workforces – full, part-time and temporary staff working on multiple devices out of multiple locations in the UK. Or even around the globe or hot-desking at client offices, their own home offices and even cars when they are on the road.
Finding the right partner has become increasingly challenging when the IT leasing industry has in recent years earned itself a reputation for creating confusion and lack of clarity.
Indeed, it is little wonder that the IT director for one of the biggest and oldest-established names in professional accountancy services believed that all IT leasing providers were leading businesses a merry dance because of a lack of a transparent IT leasing solution. But he changed his tune when he was introduced to what he later described as a ‘21st century leasing solution’. What he first described as just ‘another leasing company’ has now become a long-standing strategic and collaborative partner – a journey that is testament to how a perception can and has been changed.
The fact that so few IT leasing companies transparently advise on end-of-life timescales and processes has meant that many companies have reversed their outsourcing models and switched back to buying the equipment themselves.
Many IT leasing companies over-focus upon promoting the cheapest leasing rates because customers are too often seduced by lower monthly cost. The IT leasing industry has for too long relied upon customer inertia and many leasing companies have poor reporting systems or are not forthcoming about the end of lease period so that clients continue paying well beyond the primary contract term.
The ’21st century leasing solution’ is so described by the IT director because it provides customers with an online asset register of the IT equipment that any member of the customer team can review at any time. It also provides a transparent IT leasing schedule – giving a quarterly consolidation of invoices as opposed to customers having to agree hundreds of supplier bills. This simply is an easier to manage solution for all parties and helps to reduce cost over the period of the lease. Pre and post-lease analysis highlights what a client is predicted to spend compared to what is actually paid at the end of term.
The crystal-clear approach is a game-changer for the customer’s IT, finance and procurement directors because of its emphasis upon the whole life-cycle costs of the equipment. All customers receive a 90-day notice of the end of a lease agreement in order for them to make an intelligent decision about end of lease solutions – return, refresh or buy-out.
As a result of this approach, more than 90% of customers have returned for upgrades on equipment because of the openness and transparency of the business model that certainly added up for the accountancy firm looking for a 21st century leasing partner.