Business Case Proposal For Bulk Ordering of Laptops and Computers From Overseas Suppliers For SINU

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Business Case Proposal for Bulk Ordering of

Laptops and Computers from overseas suppliers


for Solomon Islands National University

I. Executive Summary

This business case proposal outlines the advantages of Solomon Islands National University
(SINU) ordering laptops and desktop computers in bulk from overseas suppliers. The benefits
include cost savings, no customs duty, warranty of devices, and device quality and
standardization. Placing a bulk order will enable the university to equip its staff and students
with modern, reliable technology while efficiently managing its budget and resources.

II. Current Situation and Problem Statement

SINU faces several challenges in acquiring laptops and computers for its staff and students:

1. High local prices: Purchasing laptops and computers individually or in small quantities from
local vendors result in higher costs due to limited discounts and less competitive pricing. Upon
a review and comparison of pricing I undertook with a local vendor who currently supplies
SINU with desktops and laptops and then comparing the model supplied with a much newer
generation and more efficient model from an overseas supplier, I noted that the device
supplied by the local vendor is over 3 times more costly than the device from the overseas
supplier even though the overseas supplied device is a late generation and more efficient
model. I.e. for the price of 1 device bought locally, SINU can buy 3 devices from overseas.

2. Limited device options: Local vendors do not offer the latest models or a wide range of
device options, restricting the university's ability to choose devices that meet its specific
requirements. Refer SINU ICT Policy ICTC04 Standard Operating Environment Policy
specifications for SINU desktops and laptops given in section 3.1, 3.2, and 3.3 which are
summarized below:
(a) Student Desktops:
3.1.1. The approved model desktop.
3.1.2. Processor (CPU): Intel Core i5 (sixth generation or newer).
3.1.3. Memory: 16 GB RAM.
3.1.4. Storage: 512 GB internal Solid State Drive (SSD).
3.1.5. Network Adaptor: 802.11ac 2.4/5 GHz wireless adapter, Ethernet network
adaptor, and Bluetooth adapter.
3.1.6. Ports: 1 x Ethernet port, 1 x HDMI port, and 3 x Type A USB ports.
3.1.7. Monitor/Display: 24" LCD monitor.
3.1.8. Other: Computer lock.

(b) Staff Desktops:


3.2.1. The approved model desktop.
3.2.2. Processor (CPU): Intel Core i7 (10th generation or newer).
3.2.3. Memory: 16 GB RAM.
3.2.4. Storage: 512 GB internal Solid State Drive (SSD).
3.2.5. Network Adaptor: 802.11ac 2.4/5 GHz wireless adapter, Ethernet network
adaptor, and Bluetooth adapter.
3.2.6. Ports: 1 x Ethernet port, 1 x HDMI port, and 3 x Type A USB ports.
3.2.7. Monitor/Display: 24" LCD monitor.
3.2.8. Others: Computer lock.

(c) Staff Laptops:


3.3.1. The approved model laptop.
3.3.2. Processor (CPU): Intel Core i7 (10th generation or newer).
3.3.3. Memory: 16 GB RAM.

3.3.4. Storage: 500 GB internal Storage Drive.


3.3.5. Network Adaptor: 802.11ac 2.4/5 GHz wireless adapter, Ethernet network
adaptor, and Bluetooth adapter.
3.3.6. Ports: 1 x Ethernet port, 1 x HDMI port, and 3 x Type A USB ports.
3.3.7. Monitor/Display: 14" LCD monitor, resolution of 1600 x 900 or better.
3.3.8. Others: Internal Webcam, Computer lock, and Laptop case/bag.

3. Inconsistent quality and standardization: Acquiring devices from multiple vendors leads to
inconsistencies in quality and standardization, which can create compatibility and
maintenance issues.
III. Proposed Solution: Bulk Ordering of Laptops and Computers from
Overseas

By ordering laptops and computers in bulk from overseas suppliers, SINU can address the
identified challenges and reap several benefits:

1. Cost savings: Bulk ordering typically results in significant cost savings due to economies of
scale and more competitive pricing on large orders.

2. No customs duty: Solomon Islands National University has been eligible for customs duty
exemptions and SINU can capitalize on this on bulk orders of laptops and computers, which
further reduces the overall cost of acquisition.

3. Warranty of devices: Reputable overseas suppliers often provide warranties on their


products, ensuring that SINU will receive prompt support and service in case of hardware
issues or defects.

4. Device quality and standardization: Bulk ordering from a single supplier enables the
university to maintain a consistent quality and standardization of devices, simplifying
maintenance and compatibility issues.

IV. Cost and Resource Analysis

While ordering in bulk from overseas suppliers requires an upfront investment, the long-term
benefits of cost savings, warranty support, and device standardization outweigh the initial
expenditure. The university should consider the following costs:

1. Bulk order cost: The upfront cost of purchasing laptops and computers in bulk from an
overseas supplier. This means ICT Department can place one bulk order every end of
year/beginning of year for the whole year’s Desktop and Laptop needs for SINU staff and
student labs.
2. Shipping and logistics: The cost of shipping the devices from the overseas supplier to the
university, including freight charges and insurance fees should be part of the costs for the
item number 1 above.

3. Deployment and setup: The cost of deploying and setting up the devices for use by staff and
students can be automated so it reduces ICT staff time to do individual devices.

V. Recommendation

Therefore, ICT Department recommends and proposes for the Procurement, Finance, and
University Tenders Board to allow the ICT Department with the permission to source and do
bulk orders of desktops and laptops in bulk from overseas suppliers.
Specifically, the ICT Department recommends the following:

 ICT Department to source overseas supplier in line with our ICT Policy requirement for
Desktops and Laptops.

 ICT presents the shortlist of overseas suppliers to the University Tenders Board for
deliberation and approval.

 The approved Supplier details are sent to the Procurement Department.

 Finance Department to advise ICT Department when the order can be made. Either
beginning of every year or end of every year.

 ICT Department to capture needs or do forecast analysis of SINU’s Desktop and Laptop
need for the following year. ICT Department to include this in the ICT Budget.

 Finance Department to ensure total amount of money needed to make this order is
available as per ICT budget. This amount to include one off shipping and handling
costs.

 ICT department makes a bulk order Procurement Request to Procurement Office.

 Procurement Department makes the order on behalf of ICT.

Ordering laptops and computers in bulk from overseas suppliers offers Solomon Islands
National University significant cost savings and other advantages, including no customs duty,
warranty support, and device quality and standardization. Currently there is no
standardization in our desktop and laptop computer devices. SINU now has a variety of
models and even if of the same model, devices differ in other aspects which make device
management and maintenance an issue.
VI. Conclusion
In conclusion, by investing in bulk order of SINU’s staff and student labs desktops and laptops,
the SINU can efficiently allocate its financial resources, equip its staff and students with
reliable technology, and streamline its ICT infrastructure. Therefore, the ICT Department
recommends proceeding with the bulk order of laptops and desktop computers from a
reputable overseas supplier to maximize the benefits for the Solomon Islands National
University.

Sincerely,

________________________

Dean Foy
Director ICT
ICT Department
Solomon Islands National University

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