Corporates log on to hardware outsourcing

VADODARA: If you thought outsourcing was limited to just software, server maintenance and business processing, it’s time for a rethink. The phenomenon is catching up in installing computer hardware at both corporate level as well as with smaller players.

Companies now prefer to outsource computer hardware and other related gadgets. Vadodara alone has at least three players with over 300 computers each as well as other players engaged into renting computers. The service providers are mainly from the unorganised sector, but their clientele includes names ranging from local software developers to ABB and Larsen & Toubro.

“Renting and maintaining computer systems is a new concept in India. In developed countries, big IT players are involved in it. Outsourcing of hardware services is emerging very fast in India as companies want to focus in their core areas and do not want the burden of one more department,” said Kishor Lodhia, promoter of city-based Equipment Rental.

Mr Lodhia said his clients are based in other cities like Ahmedabad and Bangalore. Mr Lodhia says equipment rental service providers may get organised soon.

To keep abreast with rapidly-changing technology as well as to increase project-based operations, large companies are taking services from suppliers offering equipment on lease.

On the other hand, small outfits prefer renting gadgets like computers, printers, laptops and projectors due to uncertainty in the business as well as lack of funds to set up the entire office at a time. Companies also prefer to hire computers in case of emergency as formal procedure to buy computers usually takes a long time.

A senior official in the IT department of L&T, Vadodara, said, “Our projects have a time-frame. It is not advisable to have permanent computer hardware set up for small-time projects. We also prefer not to disturb our regular system set-up and hire computers.”

Companies also rent laptops for people visiting outside on short-term assignments. The rent for Pentium III & IV ranges from Rs 1,000 to Rs 1,400, which is negotiable for customers needing considerable number of computer systems for longer period.

“The configuration of computer systems is changing very rapidly and technology is getting obsolete. In such situation, people do not want to invest in computers and find customers for second hand systems to sell them at throwaway prices after every two years,” said an owner of 375 computers who is based in Vadodara near the railway station.