Device as a Service vs. Leasing
With the pivot to remote and hybrid work, both Device as a Service (DaaS) and leasing are gaining traction as an affordable way to streamline workforce enablement. Though Device as a Service (DaaS) and leasing devices may seem like the same thing, and are often used as synonyms, they have some very distinct differences, benefits, and drawbacks.
The main difference between Device as a Service (DaaS) and leasing are the services. With each, you get the same hardware at an affordable monthly subscription rate. A Device as a Service (DaaS) model also includes a variety of services, software, and accessories for a monthly fee, including Enterprise Mobility Management (EMM) and Managed Mobility Services (MMS), to effectively power your mobile initiatives with zero burden.
Device as a Service (DaaS) Pros and Cons
- Predictable billing – Device as a Service (DaaS) simplifies every aspect of device management in one payment.
- Support included – As equipment ages, the cost of repairs increases and so does the cost in time as employees encounter issues due to older devices. Decrease your total cost of ownership and take advantage of the latest device features.
- Contract flexibility – As your business needs change, you have the freedom to make changes to your contract and free yourself from a carrier subsidy.
- Simplified lifecycle management – From procurement and provisioning to management, maintenance, and support, Device as a Service (DaaS) covers it all. This allows you to focus on your business objectives rather than device management.
- Expanded services and support capabilities – This service model also includes expanded services beyond the realm of many in-house IT staffs, including security and compliance reporting, inventory monitoring, network analytics, remote device management, and software updates.
- Plan ahead – As with anything new, you’ll have to get buy-in and support from those within your organization who are responsible for implementing this new model and this can be tricky.
- Procedural changes – One of the biggest concerns is determining what process changes need to be implemented, such as the turn-in process when it comes to things like device serial numbers, and how to establish best practices.
Leasing Pros and Cons
- Similar to the Device as a Service (DaaS) offering, leasing provides you with the ability to effectively manage your device spend with a budget-friendly monthly fee. Other advantages of the device leasing model are:
- Degree of certainty – No wondering who’s upgrade eligible. Everyone gets a new device at the same time when the lease matures.
- Two-year commitment – By agreeing to refresh every two years, users get the newest devices, decreasing your spend over time.
- Option to own – By choosing to “rent to own,” you have the benefit of the monthly payments instead of a large upfront cost, and you own the devices outright in two years.
- When it comes to disadvantages when leasing devices, unfamiliarity and buy-in when transitioning to a new business model are the same as with the Device as a Service (DaaS). But leasing also has its own list of obstacles.
- No support or services – Agreements include implementation and professional services, but they don’t include proactive services such as patching, updating, monitoring, maintenance, and helpdesk support.
- Relies on internal resources – IT still has to track assets from multiple vendors, generate reports from disparate systems and ensure timely return in order to avoid end-of-term penalties and buy-out fees.
- Lack of flexibility – You have to wait until the end of the leasing contract to increase or decrease the number of devices. If you have devices that aren’t being used, you still have to pay the monthly cost.
The Verdict: Why We Recommend Device as a Service (DaaS)
Device as a Service (DaaS) streamlines the entire mobile device management process. This is particularly important as organizations transform their business models to rely more heavily of mobile devices. With a greater influx in devices, Device as a Service (DaaS) becomes a best practice in enhancing productivity, enabling internal resources to focus on business outcomes and alleviating CapEx pressures with the ease of manageable OpEx subscriptions.
Device as a Service (DaaS) Use Cases
- Budget constraints – The upfront costs of purchasing new hardware can be shocking. It’s even harder to explain to people outside the mobility space the necessity for such a large investment.
- Carrier decoupling – Companies starting to decouple more and more from their careers, realizing they’re paying too much.
- Remote working – Remote and hybrid work models, mean moving from PCs to iPads and tablets to enhance productivity and user engagement.
- Hardware refresh – Ensure your users always have the current models with no upfront costs or the costs of supporting old hardware.
- Understaffed resources – Don’t need the same level of IT expertise and the staff you do have can focus on driving business.
Stratix Mobile DaaS can provide you with the hardware and operations management you need—at one predictable price—to fit your business needs.