Many businesses choose to use managed print services (MPS), outsourcing their printing environment in order to streamline operations, reduce waste, and lower costs. However, this can be sabotaged by a number of hidden expenses that you may not even be aware of. It is crucial to correctly identify and address these hidden costs, in order to reach the full benefits of MPS.
1. Underestimating Actual Usage
One of the most common ways to waste money stems from underestimating actual print usage. Many companies base their MPS contracts on a usage estimate, and this often turns out to be lower than the actual volume printed. This discrepancy can lead to you exceeding your contract limits, which may result in overage fees or the need for additional services.
Solution
Conduct a thorough print audit before entering into an MPS contract. This should include a detailed analysis of current print volumes, types of documents printed, and usage patterns across different departments. This will allow you to negotiate a contract that reflects your real usage.
2. Overlooking Indirect Costs
Indirect costs may include things like time spent troubleshooting printer problems, ordering supplies, or dealing with downtime. Many businesses fail to account for these costs, but they add up significantly over time.
Solution
Choose an MPS provider that offers comprehensive support services, proactive maintenance, and quick response times for repairs. This will ensure that problems are addressed promptly, minimizing the indirect costs caused by print-related tasks.
3. Inadequate Device Management
Inadequate management of printing devices can cause many issues. If your MPS provider does not regularly monitor and maintain all devices, outdated firmware, inefficient energy usage, and low-performance equipment can all go unnoticed. This leads to higher energy costs, increased downtime, and constant device replacements.
Solution
A good MPS should be continuously monitoring and proactively maintaining all devices. Regular firmware updates and performance assessments can identify and resolve issues before they start to cost money.
4. Supply Chain Inefficiencies
MPS providers often manage the supply of consumables such as ink, toner, and paper. Inefficiencies in this supply chain can lead to unnecessary expenses. Overstocking can tie up storage space and result in wasted supplies, while understocking can lead to rush orders and higher shipping costs.
Solution
Work alongside your provider to establish an optimized supply chain management process. Provide accurate forecasting based on real usage data, and ensure that deliveries are timed to minimize storage needs.
5. Environmental and Compliance Costs
Increased consumer and government awareness of environmental impact, as well as tightening regulations, mean that businesses need to consider these factors in their MPS strategy. Non-compliance with regulations such as improper disposal of waste or using non-certified equipment can result in fines. Energy-inefficient devices also cost more over time, due to increased energy consumption.
Solution
Choose a provider that prioritizes compliance and sustainability. Eco-friendly printing solutions such as energy-efficient devices, recycling programs, and responsible supply chains can reduce long-term costs and increase profit.
6. Inflexible Contracts
Long-term, inflexible MPS contracts can cost your business money if change becomes a necessity. For example, if your print volume decreases, you may find yourself locked into paying for a higher level of service than you actually need. Contracts that do not allow for easy scaling of services can lead to inefficiencies and wasted resources.
Solution
Negotiate flexible contracts that allow for your business needs to change over time. Ensure that you are able to review and adjust your service levels without significant penalty. Look for providers that offer several service plans, not just one.
Save Money with Your MPS Provider
MPS can offer significant cost savings, printing solutions, and efficiency benefits, but hidden expenses have the potential to undermine these advantages if not properly managed. By addressing the most common costs, you can maximize the value of your MPS contract and enjoy the full benefits.
Com Pro offers managed print services designed to save your business money, not introduce even more expenses. We provide printing solutions to enhance efficiency, as well as onsite and remote support to keep your devices online – and we do it all on a predictable, bi-monthly payment schedule with no hidden fees. Explore our managed print services today to learn more.