By Kieran Byrne, Architect & Engineering Manager at Axis Communications
Security systems create value. They protect property, help reinforce health & safety benefits within the workplace, streamline processes, and deliver additional business benefits through creative uses of the advanced sensors they contain. But the only way to generate a true return on investment is to weigh up those potential benefits against the total cost of ownership (TCO) of the system – all of the costs expected over its potential lifecycle, which could be ten years or more.
Calculating TCO is not straightforward. A system’s benefits and operational requirements will be different for every business. But it is vital: one must be aware of every possible cost to bring a system’s operational load into focus from the very beginning and minimise the risk of unforeseen expenditure.
What does a security system really cost?
Acquisition costs typically account for around 30% of a system’s TCO, with the other 70% involved in its continued operation, maintenance, and later decommissioning. A new security system requires investment in hardware, but the off-the-shelf cost of cameras is only part of that 30% initial outlay.
Just how much hardware is required can only be determined by creating a detailed system design, considering all requirements surrounding camera coverage, access control points, additional hardware, bandwidth calculations, and the network and power infrastructure required to operate the system. Considering TCO this early on allows all potential hardware features to be investigated, which leads to smart conclusions to streamline the number of individual devices.
A ceiling-mounted dome camera could be split and de-warped into multiple distinct views[1], for example, or the output of a single high-resolution sensor could be divided into multiple points of interest to help security personnel cover large areas with maximum clarity. The fewer individual devices are involved in a security network, the lower ongoing running costs will be, and the simpler the process of administering the network as a whole.
Direct and indirect running expenses
IP camera security systems constantly draw power, and demand network bandwidth to offload footage, both of which contribute to a system’s TCO. Reducing the number of individual devices is one way to reduce this load, but an investment in better camera technology may pay dividends.
Many network cameras draw minimal power, or employ compression techniques which reduce their bandwidth and storage requirements without causing any reduction of quality or image fidelity. Image processing and analytics can be performed on-camera, on the network edge. Fewer servers means lower power draw, system administration load, and overall cost.
The right security system – or a timely upgrade – could help remove indirect TCO costs, too. Why pay to light up a dark area, for example, when an infra-red camera, a radar sensor, or a camera sensor sensitive enough to maintain colour vision even in very low light would eliminate the need for additional illumination? TCO must be considered in the context of a whole business – not just its security function.
Maintenance and ongoing expenditures
Surveillance systems must be maintained and protected over their lifetime. Working with reliable third parties for hardware supply, installation, and maintenance can reduce the TCO impact of potential system downtime – but it is most important to select and invest in quality hardware with high reliability and strong warranty, support, and upgrade programmes, even if this adds a little to initial purchasing costs.
Surveillance networks need these assurances – but they also need them to be straightforward to administer because any time spent managing a security system contributes greatly to its TCO. Look for systems with simplified licensing plans, user-friendly device management, and an easy route to firmware upgrades and software maintenance. Anything to maximise uptime and reduce time-consuming manual tasks.
Expansion and decommissioning expense
Don’t forget that plans change and businesses grow over time. Planning for the unexpected is just as important as creating a detailed outline of known variables. Ensure, then, that any selected platform is ready to accept additional hardware and software when called for – a flexible system will have a lower overall TCO than one which requires significant retooling to make changes happen.
It is also vital, even at the beginning, to consider decommissioning as part of TCO. The smoother the process of deregistering, sanitising and recycling security hardware, the better, particularly in these times of growing demands on environmental compliance.
Adopting a more wide-ranging perspective, and using a TCO model in the buying process, can help evaluate competing offers more effectively. Often this reveals a truth which would otherwise have been hidden: the benefits of a high-quality solution that may be more expensive upfront can save costs and deliver greater value in the long term. Clarity of vision from the outset is the key to maximising ROI, and a smarter, safer world.
[1] https://newsroom.axis.com/en-gb/news/multidirectional-panoramic-cameras
