Regardless of how you look at it, information technology defines the modern enterprise and is a top priority for all. In 2025 alone, worldwide IT spending is expected to increase by 9.8% from 2024, totalling $5.61 trillion, with spending on devices and software experiencing double-digit growth. Meanwhile, South Africa’s IT industry, made up of large international, startups, and core technology providers, is set for growth thanks to several factors, including a competitive services sector and a strong business process outsourcing industry.
With so much capital being pumped into enterprise IT, local businesses cannot afford to waste time, money, and resources on suppliers that fail or refuse to deliver on their promises. Any hardware procurement scheme must be the outcome of a stringent selection process, one that not only gives businesses the chance to identify and fulfil their digital needs but also contributes to building a resilient supply chain and sourcing solutions that provide added long-term value to the organisation.
Selecting the right supplier
From the get-go, businesses’ supplier selection process should include evaluating all aspects of the potential relationship between the two entities. These relationships not only reflect the organisation’s goals and ambitions but can have a strong hand in influencing its efficiency, competitiveness, and ability to remain agile and competitive in rapidly changing market conditions.
Key considerations in any IT supplier selection process include:
- Cost/Comparison: The cost of IT hardware solutions never just includes the upfront purchase costs. Businesses need to scrutinise the full pricing structure provided by suppliers and determine whether they provide long-term value, as well as compare price offerings from different suppliers to get the best bang for their buck.
- Reliability/Support: The best suppliers are the ones that exceed your expectations. Businesses need to ensure their suppliers offer not just high-quality enterprise hardware solutions, but that they themselves offer a high level of aftersales support and honour all product warranties.
- Capacity/Scalability: Not every IT vendor is big enough to fulfil every business’s needs. Businesses need to work with those who can meet both their present and future needs and scale distribution and delivery in a timely manner.
- Communication/Troubleshooting: Businesses should consider the communication channels that are available for them to reach supplier representatives and their turnaround times for troubleshooting and resolving problems.
In recent years, the criteria for selecting IT suppliers have broadened to include new and increasingly important factors. These include environmental responsibility, such as whether a supplier is actively working to reduce carbon emissions through innovation, and cultural compatibility, which refers to how well a supplier’s values align with those of the organisation. These considerations not only help uphold a company’s brand reputation but can also pave the way for deeper collaboration throughout the supply chain.
The questions every business should ask their IT suppliers
Depending on the size and scale of the organisation, and the subsequent scale of the solutions, IT hardware can be as simple as purchasing a standalone solution off the shelf, or as complex as having to onboard the entire organisation and familiarise staff with new systems. Whichever the case, all businesses set out to succeed and must therefore conduct their due diligence when working with new suppliers.
Some questions to always keep in mind:
- “Will you provide all the necessary hardware, software, licenses, and support and maintenance necessary to ensure system uptime?”
- “Do you use subcontractors, and can they be trusted to deliver solutions and results?”
- “Will you be responsible for system installation and configuration procedures?”
- “Will you train our staff to use these systems?”
- “What is included in your service-level agreement (SLA)?”
One of the most important aspects of any business-supplier relationship is longevity. Businesses need to prioritise partnerships with suppliers who will continue to support them, and their enterprise needs well after the initial purchase.
Technology must always come at the right cost
With so many stories and scandals nationwide surrounding IT procurement, and organisations spending more than they need to on hardware, it’s up to businesses, both big and small, to lead by example.
At the heart of any supplier selection process is scrutinising whether a particular product or solution comes in at the cost that businesses need them to and whether they deliver the quality, reliability, and value respective of that cost. By working with trusted technology vendors, enterprises across South Africa can digitally transform themselves and build resilience throughout their supply chains.
- Werner Joubert, Commercial SYS Director (South Africa & SADC) at ASUS