Philips LCD Monitors User's Manual
Contents
1. Saving of up to 10 can be achieved on an annual bas s when using Philips KOD MOn ton with Philips SmartManage asset management tool Wh ite Pap eC 4 When LCD Monitors can reduce lotal Cost of Ownership For turther information about Philips professional monitors please contact us via www professional philips com October 2005 Authors E L van t Hoff amp PT H C van Laer PHILIPS White Paper October 2005 When LCD Monitors can reduceTCO 2 Content I Introduction 3 2 Monitors vital part of the desktop configuration 3 3 Defining Total Cost of Ownership a 4 The TCO of an LCD monitor 5 4 Acquisition phase J 4 2 Deployment phase 6 4 3 Operation phase 6 4 4 Retirement phase 1 5 Philips solution for reducing TCO costs 8 5 1 Reducing TCO with Philips LCD monitors 8 5 2 Making further TCO savings with Philips SmartManage 9 6 The TCO of Philips LCD monitors p 6 1 Specifications overview 2 6 2 TCO breakdown 3 7 Significant TCO savings with Philips monitors 14 Specifications are subject to change without notice Trademarks are the property of Koninklijke Philips Electronics N V or their respective owners 2005 Koninklijke Philips Electronics NV All rights reserved PHILIP White Paper October 2005 When LCD Monitors can reduceTCO 3 Introduction Controlling total cost of ownership TCO has been the goal of every good IT manager for the last 10 years IT managers are well awa2. S Philips SmartManage Remote site b Figure 7 Typical IT infrastructure including multiple LCD monitors Includes anti theft measures The popularity and compact size of Philips LCD monitors also make them a ready target for thieves SmartManage will indicate if displays are moved from their assigned locations by providing a warning message to a designated manager or e mail account If a monitor is stolen the enabled security function can also prevent its use at another site Maximizing power saving With constantly rising energy costs organizations need to maximize the power saving capabilities of their assets Philips LCD monitors already deliver energy savings of 20 per cent higher than the industry average However large numbers of unattended LCD monitors even in standby mode will have a significant energy consumption after working hours On the other hand switching those unattended LCD monitors on and off manually is time consuming and uneconomic SmartManage provides an efficient tool that enables corporate IT staff to meet this universal power management need from a single central location Adjustment without using physical monitor controls The performance and settings of individual monitors can be adjusted using the SmartManage client without touching the physical monitor controls In addition IT staff can remotely return all LCD monitors especially when unattended to factory default settings without the need t
3. Table 2 Monitor TCO cost breakdown of Philips versus industry average The above calculations are based on a number of assumptions that have been verified with various IT managers Some of the assumptions have been derived from Gartner reports about the TCO costs of desktop PCs The most important of these are listed below General Energy costs per kW hour EUR 0 065 e Disposal costs per kg EUR 0 50 e LCD monitor theft rate 1 e Man hour costs of senior engineer EUR 80 e g network manager purchasing manager etc Man hour costs of junior engineer EUR 60 e g installation engineer helpdesk agent etc Related to Gartner e Annual operating costs of well managed PC EUR 450 e Annual downtime costs of well managed PC EUR 500 e Annual operating costs of unmanaged PC EUR 75 e Annual downtime costs of unmanaged PC EUR 105 LCD monitor ratio of PC 5 PHILIPS White Paper October 2005 When LCD Monitors can reduceTCO 14 Related to Philips SmartManage and smart TCO LCD monitors e Deployment time saving 25 e Energy saving 80 Reduced theft rate 80 7 Significant TCO saving with Philips monitors As described earlier awareness in user organizations of the importance of monitors in the Total Cost of Ownership picture is often limited In many cases administrators cannot even be sure of the locations of their monitor assets and these devices despite their important cost contribu tion are
4. even though the new user will require his or her own settings LCD Monitor LCD Monitor 33 31 eo ue PC unit ars 69 Figure 2 Price breakdown of typical PC set up Figure 3 Power consumption breakdown of a typical PC set up 3 Defining Total Cost of Ownership Total Cost of Ownership TCO is a business model to help organizations determine the total cost of procuring owning using and disposing of assets over time TCO attempts to capture all the costs of IT related investments throughout their life cycle Four life cycle phases are distinguished see Figure 4 Figure 4 The 4 phases of Total Cost of Ownership e Acquisition needs assessment end user surveys vendor evaluation planning and procurement e Deployment site preparation de installation of existing equipment installation and configuration of new solution on site testing user training and validation e Operation day to day usage end user support moves amp changes hardware and software maintenance warranty handling asset management power supply etc e Retirement removal and disposal of equipment at the end of its useful life PHILIPS White Paper October 2005 When LCD Monitors can reduceTCO 5 Each of these phases has different cost implications and their relative importance varies from equipment to equipment For example the costs of evaluating and selecting new technology such as wireless LAN are typically higher than those related to desktop PC
5. often treated more like consumable accessories As this white paper shows Total Cost of Ownership is complex and involves many individual elements extending through all the life cycle phases of an asset It is much more than simply a question of low initial cost The initial cost contribution of monitors may be relatively low but like other assets with multiyear useful lives the initial investment is often relatively insignificant compared with all the other costs arising through the life cycle This is why it is important to consider the total life cycle costs when considering the purchase of new monitors Philips aims to address all cost relevant factors in tts LCD monitors providing enterprise users with effective process based solutions to control and reduce their life cycle costs on a structural basis As calculated in section 6 Philips LCD monitors together with Philips SmartManage provides a saving of more than 12 5 on annual basis compared with industry average monitors This saving is illustrated in figure Il The latter also shows that the relatively modest initial investment required to purchase and deploy SmartManage is quickly recovered in practice 350 000 00 E a Industry average 300 000 00 Acquisition Deployment Philips 250 000 00 a O Operation Retirement 200 000 00 150 000 00 100 000 00 50 000 00 0 00 Figure Il TCO cost savings with a Philips monitor solution Phi
6. stocks to deal with occasional hardware defects Reducing TCO during Retirement phase TCO implications of product disposal are often neglected during acquisition but are playing an increasingly significant role in life cycle costs Like all Philips products monitors are designed with all applicable sustainability issues in mind Philips has introduced the EcoVision environmental action program to address all environmentally relevant issues This includes EcoDesign environmentally conscious product design which is measured in terms of five key Green Focal Areas energy consumption product weight use of environmentally relevant substances packaging and recycling amp disposal This means Philips product designers analyze every stage of the product life cycle and integrate environmental considerations in their design goals Particularly important at end of life are aspects like product weight and RoHS compliance both of which have a direct impact on disposal costs and these are inherently addressed by the Philips EcoDesign principles 5 2 Making further TCO savings with Philips SmartManage Network management tools from different suppliers have been designed to allow management from a single central point of all key devices such as PCs laptops servers databases routers and firewalls However up to now none has included end users LCD monitors To meet this need Philips has joined forces with Altiris a leading vendor of systems man
7. want to assure themselves that the vendor with whom they choose to do business has a long term commitment to product develop ment and customer support plus the sound financial base to last the distance in today s fast chang ing business environment and these are areas in which Philips has proven credentials Reducing TCO during the Deployment phase l Deployment is more than simply placing new 3 products on end users desktops and Philips POWERSUPPLY Perfect Panel recognizes the importance of its contribution to asmooth Deployment phase It starts with K quick reliable delivery in line with the cus Kensington tomer s deployment schedule On site Philips iii devoted considerable attention to packaging d that meets customer demands compact for Green Design easy transport designed for quick unpacking seal Tectia and product access re usable if necessary Low and produced with environmental awareness Karasana to generate minimal waste streams consist ing of recyclable materials only As far as the product itself is concerned Philips monitors Figure 6 TCO saving features of Philips LCD monitors are plug amp play enabling direct PC connection and operation without complex installation procedures The built in power supplies allow immediate connection to mains outlets without the need for external adapters The result is fast efficient implementation by IT support staff even for larger numbers of monitors and m
8. What measures are in place to prevent hardware theft e What are the operating hours per monitor and what are the replacement criteria e What is the warranty expiry date White Paper October 2005 When LCD Monitors can reduceTCO 4 Some additional facts and figures about monitors underline their importance in the overall costs picture For example e The purchase cost of an LCD monitor Is often more than 50 of that of a standard PC see Figure 2 e 35 of the power bill of a typical desktop configuration is accounted for by the monitor The PC itself only consumes twice as much see Figure 3 e The theft risk of an LCD monitor is at least 3 times that of a PC Like laptops LCD monitors can easily be removed and are also in great demand The theft rate of LCD monitors is estimated at per year e The technical lifetime of a monitor can easily be extended to more than 5 years while a PC is very often written off after 3 years e PCs are identified with asset tags and managed by a central system Monitors are often considered as consumable accessories One more possibly surprising example when employees leave or move to other departments their PCs are always returned to IT for a sanity check and to reload standard settings But the monitor just stays on the desk awaiting Its new user Important settings like brightness and contrast which are strongly related to users individual preferences are left unchanged
9. ace to allow such third party companies to check availability and place orders PHILIPS White Paper October 2005 When LCD Monitors can reduceTCO 6 4 2 Deployment phase Companies typically order their new monitors in batches stock them at a central point and deploy them on a department by department basis Then the installation engineers go to work often during the weekend They move from office to office to unpack install test register and validate all the individual monitors A number of criteria are important to facilitate this process e Order to delivery time LCD monitor deliveries may be affected by component shortages and vendors should be able to give reliable delivery commitments in line with the deployment schedule e Packaging unpacking should be quick and easy Compact box size saves space when monitors are held in stock before deployment It also means more units can be loaded on a trolley and there is less packaging material to dispose of Or if the company prefers to keep packaging for possible future moves less storage space Is required e Rapid replacement should be guaranteed for any units that are dead on arrival e Documentation must be clear and complete including a simple quick start up guide The power supply should be built in no external adapters The product can then be plugged directly into a mains power outlet saving installation time e Cable management should be neat and easy with provis
10. agement software to create SmartManage an IT asset management tool that saves time effort and cost at every stage of the product life cycle SmartManage is included as standard in the Philips LCD monitors and provides a valuable business productivity solution for enterprise IT managers in performing remote LCD display monitoring management security and end user support over their networks SmartManage starts by enabling IT staff to manage their monitor assets and can be expanded to implement all network manage ment tasks from PCs to servers and other hardware See also figure 7 Formerly IT staff had to walk from department to department to manually compile monitor audit reports adjust or restore settings verify the physical presence of display devices communicate with end users and provide technical support By allowing IT staff to conduct security checks compile asset data implement standard settings transmit instant messages and deal routinely and efficiently with technical issues over the corporate LAN SmartManage saves enterprises manpower and money thereby making a significant contribution to reducing the Total Cost of Ownership of LCD monitors PHILIPS White Paper October 2005 When LCD Monitors can reduce TCO 10 e __ SmartManage Cm 3 ad Remote site a Network components accessible with standard e asset management platform J es ON Se yy lt i G LCD monitor accessible with
11. de available next to standard single on site swap This extra service reduces the hidden costs of users complaining of not getting their original monitors back It also saves administration costs because there is no need to enter new monitors into the asset management system the original monitor Is returned quickly after service e On site swap minimizes the cost of downtime and reduces the costs of on site spares Note that most companies normally keep on site spares stocks to allow fast response to hardware failures e Helpdesk facilities should be available to users in their own local language Quality e Pixel policy a Perfect Panel guarantee is recommended to eliminate possible user dissatisfaction and hidden costs of end users complaining about faulty pixels PHILIPS White Paper October 2005 When LCD Monitors can reduceTCO 7 Power consumption e The monitor represents up to 35 of the total power costs of desktop equipment so monitor power con sumption should be as low as possible e A centralized power shutdown mode is recommended PC power management places the monitor in standby mode further power savings typically 3 to 8 watts can be achieved by shutting down monitors individually or collectively from a central location especially useful during weekends holiday periods and employee illness Security to prevent hardware theft e A built in Kensington lock should be a standard feature enabling companies to preve
12. f a laptop A monitor without enough brightness contrast or color depth will cause eyestrain and reduce productivity A monitor with faulty pixels will cause irritation generate help desk calls and eventu ally result in a warranty claim meaning extra IT support costs and temporary downtime for the _ end user In other words as far as end users are AR i il At concerned the monitor is what provides their fi a window on their application and on the con tent of their work which makes it a strategically important tool for them However for II departments monitors are often not given the importance they deserve Key pur chase criteria are mostly based on size design price display performance warranty conditions and specific features such as I O capabilities and on screen display facilities Features affecting life cycle costs are often overlooked Companies may have a good idea of where their PCs and other IT devices are located at any time but can rarely answer this and many other vital cost determining questions about their computer monitors Figure The monitor is the vital visual interface with the end user and the dominant component at the workplace e How many monitors are being used in the organization e What are their brands and configurations e Where are they located e Which monitors are being leased and which are owned e What is the impact of all installed monitors on the total power bill e
13. inimal disruption to end users at their workplaces E Out of box experience Reducing TCO during the Operation phase Low power consumption high reliability and excellent customer support are the pillars of the Philips approach to minimizing TCO during the Operation phase Where power consumption is concerned Philips monitors meet the industry s most stringent standards in both operating and standby modes Reliability is expressed on the one hand by high MTBF Mean Time Between PHILIPS White Paper October 2005 When LCD Monitors can reduceTCO 9 Failures applying to the entire product Specifically for the display panel consistent fault free performance over the product lifetime is assured by Philips worldwide Perfect Panel policy based on ISO 13406 2 Class standard Perfect Panel is a guarantee that LCD panels will be completely free of pixel defects eliminating the problem of bright or dark dot defects on the display throughout the warranty period If a display panel has even a single bright or dark dot defect Philips will replace it free of charge through its industry leading service network This is the industry s first defect free LCD display policy and by itself will eliminate many of the helpdesk calls by end users Also important Is the fact that Philips monitors have a 3 year warranty as standard with a 48 hour swap service avail able in selected countries so customers do not need to hold local spare
14. ions to manage the routing of cables for power PC VGA DVI connection mouse and keyboard e Plug amp play options comprehensive OSD On Screen Display features are recommended including reset to factory settings auto adjust and self diagnosis to allow quick secure installation e Usability should be intuitive with no training required The quick start up procedure should be sufficient e Asset registration software should be provided allowing monitor details to be registered in a central reposi tory rather than on paper An integrated asset management solution will simplify both the registration process and later access to asset data 4 3 Operation phase The operation phase is obviously the most costly in terms of TCO End users are using their monli tors day in day out and expect first rate quality and full time operation In particular monitor downtime must be reduced to an absolute minimum as this can outweigh all other costs in case of high failure rates and long repair cycles The operation phase can also involve business changes employee turnover closure and reloca tion of departments renewal of lease contracts theft of equipment etc The better a monitor Is prepared to handle these frequent events the lower the costs will be over time Warranty and service e Aminimum of 3 years warranty is highly recommended This minimizes depreciation costs and maximizes busi ness continuity e Double swap should be ma
15. lips is constantly working with suppliers customers and regulatory authorities on a continuous improvement basis to ensure that its monitors provide optimum cost solutions to the needs of both end users and the enterprises in which they work PHILIPS PHILIPS www professional philips com
16. management system This provides the ability to reduce audit and main tenance cycle times ease administrative burdens secure all the Philips displays in the end user environment and reduce Total Cost of Ownership Figure 9 Example of SmartManage administration interface COED Pager Loft Rows per page al 3 F Apply changes mmadiatety E NERA a has ren saved ec lips B2B Series Flat Panel Monitor and NVIDIA RIVA TNTA MONAKI S Figure 10 Two examples of the SmartManage end user interface y Product z Product Information Information BE m Figure 9 shows an example of a SmartManage administrator interface screen and Figure 10 shows two typical end user menu screens White Paper October 2005 When LCD Monitors can reduceTCO 12 6 Calculating CO costs of LCD monitors A computation of the direct and indirect costs compiled on an annual basis over a period of three to five years provides a total cost of ownership figure The results can be quite telling This section compares the costs of owning 500 Philips 17 LCD monitors model 70B with those of 500 industry average displays with the same size and comparable display performance specifications 6 1 Specifications overview The table shown below provides an overview of the key specifications that affect the total cost of ownership It is assumed that both monitor types are within the same price range and that the other brand vendor like Philips i
17. monitors e handle dead on arrivals e manage power bill e register moves amp changes e register in asset mgt tool e update asset data e remove and dispose monitors store or dispose packaging material Figure 5 Typical activities during the life time of a LCD monitor 4 1 Acquisition phase The identification comparison selection and purchase of new LCD monitors that best meet all a company s needs right through the life cycle can be a time consuming task Valuable time and effort can be saved by choosing a display vendor with the right processes in place to simplify all the steps during the acquisition phase e Product information should be easy to find and complete preferably on line This applies not only to spec sheets but also to approval certificates user guides technical drawings warranty statements and compatibility overviews e The vendor should actively support the evaluation process with for example test samples testimonials benchmark data review reports and white papers e Product pricing should be unambiguous and where necessary transparent Information about the vendor should be provided on request supported by financial data organization structure long term strategy global presence and related pricing warranty and supply conditions sustainability policy etc e The product should be available through the customer s preferred reseller or system integrator Simple effec tive procedures should be in pl
18. nt the theft of LCD monitors e An alarm feature to alert central IT or corporate security in case a monitor is disconnected is highly recom mended This is an excellent alternative for companies that do not want to use space occupying Kensington cables and is also an effective way to catch the thief before he or she leaves the building e The ability to lock a monitor as soon it is disconnected from the PC will further reduce hardware theft In house theft is often done repeatedly by a single individual Someone who steals a monitors and finds that it does not work at home will not steal another one A prominent sticker stating the presence of anti theft measures will help to reduce theft further Asset management e Monitoring of operating hours this is recommended on a centralized basis preferably automatically by means of a software asset management system This will eliminate time consuming manual logging and possible unreli ability or inconsistency of data entered by end users e Remote configuration centralized control is recommended to facilitate restoration of default or preferred set tings without the need for constant local intervention by support personnel 4 4 Retirement phase Organizations are increasingly faced with the hard costs of disposing of IT equipment at end of life This also applies to LCD monitors even though these costs are now only a quarter of those for monitors based on conventional CRT technology Du
19. o spend significant time and manpower for on site adjustment rounds Addresses essential corporate IT management needs SmartManage allows IT staff to manage their monitor assets remotely and efficiently Its wide range of functions including power on off display settings asset reports monitor security and instant communication with users address some of the essential needs of the modern corporate IT management environment In this way SmartManage significantly reduces the administrative and asset management workload and by doing so makes a major contribution to reducing Total Cost of Ownership How SmartManage works SmartManage uses a new bidirectional communication protocol the Display Data Communica tions Command Interface DDC CI standard to allow Philips LCD monitors to communicate with the Altiris agent on the client computer and the asset management system A typical SmartManage configuration is shown in Figure 8 White Paper October 2005 When LCD Monitors can reduceTCO 11 SmartManage lt gt SmartManage administrator DVI cable Altiris Notification Server 4 Altiris NS Agent Figure 8 SmartManage configuration set up Centralized management and control In addition information about every SmartManage compatible display including serial and model numbers operating hours settings status and cost relevant is transmitted automatically between displays and the asset
20. ps monitors have always offered outstanding display and ergonomic performance The result ing high levels of user comfort and convenience translate into optimum employee productivity and satisfaction However today s business environment also demands stringent cost control and as already explained this means much more than simply looking for the lowest possible initial cost Section 5 1 below describes specific ways in which Philips processes and LCD monitor products are focused on helping user organizations to reduce their TCO Section 5 2 then describes how further savings and efficiency gains can be made by using the Philips SmartManage asset manage ment tool 5 1 Reducing TCO with Philips LCD monitors The main ways in which Philips enables users to reduce TCO with its business processes and LCD monitors during the individual life cycle phases are outlined below Reducing TCO during the Acquisition phase Controlling TCO during the acquisition phase is related more to vendor processes and effective ness in dealing with the customer which for Philips means actively facilitating and supporting the customer s evaluation selection and procurement processes This extends from convenient availability of the required information data and documentation right up to effective distribution through the channels favored by the customer Also included is attractive and competitive pricing communicated on a transparent basis Finally customers will
21. re that the costs incurred after the initial deployment of a PC network can add up to 80 per cent of total IT costs But when they are controlling TCO most decision makers still focus primarily on their PCs software and IT infrastructure Little attention is given to the life cycle costs of LCD monitors despite the significant role that these play in both user satisfaction and productivity Philips has adopted an overall strategy focused on optimizing the life cycle costs of LCD monitors Rather than concentrating solely on reducing the initial purchase costs Philips is the first supplier to address the specific needs of each life cycle phase The result is a range of outstanding LCD moni tors together with an asset management tool that helps companies to substantially reduce their TCO costs This white paper aims to provide an overview of the life cycle costs of LCD monitors and of all the individual factors that can influence those costs and how these cost relevant factors can best be addressed Identifying and understanding the components of life cycle costs Is the first step towards controlling and reducing them 2 Monitors vital part of the desktop configuration End users operate their PC software by using a keyboard and a mouse but more importantly by looking at their monitors The monitor is what they see in front of them day in day out as shown in Figure while the PC is often stored under the desk or in a docking station in case o
22. ring this end of life phase time is often lost in tracking the physical location of all deployed monitors Moreover companies often decide to retain a couple of monitors for special purposes and may face difficulties in selecting those that are best suited for this post life use These poten tial difficulties should be addressed by a number of measures to reduce the administrative work load on end of life disposal for example including e Asset tracking through asset management software that allows easy tracking of monitors and identification of their locations e Operating hours registration allows determination of which monitors should be disposed of and replaced first and which can be retained for post life use e Weight restriction low weight monitors provide small savings on disposal costs but big environmental benefits e RoHS compliance like all the other parts of the desktop configuration LCD monitors should comply with the European directive on Restriction of Hazardous Substances ROHS which takes effect from July 2006 This limits the permissible concentrations of lead and other toxic substances Customers should assure themselves that the products they purchase are RoHS compliant in relation to their own substainability programs as well as possible environmental certification requirements PHILIPS White Paper October 2005 When LCD Monitors can reduceTCO 8 5 Philips solution for reducing TCO costs Phili
23. s Also note that TCO measures costs and not the return on investment or value derived from the investment For example TCO will determine the cost of owning an LCD monitor but not the added value and direct user benefits of a new 19 monitor with Perfect Panel specifications and outstanding display performance 4 The TCO of an LCD monitor Companies consider the purchase of new LCD monitors to replace old CRT models or to upgrade their installed base with state of the art technology The reason for doing this is often driven by the need to standardize on a higher screen size or to help end users work more productively Reducing TCO is often not considered This section explains why companies should put TCO high on their list of purchasing criteria for LCD monitors For each life cycle phase a number of recom mendations are given for minimizing TCO These recommendations are by no means exhaustive the focus is on TCO related issues Figure 5 shows the specific cost relevant activities involved in each life cycle phase identify needs e stock received order prior support end users e track installed park select suppliers deployment e handle defects and manage determine monitor quality evaluate samples deliver on site and unpack warranty claims status plan deployment e install and configure e cater for hardware theft e select monitors for extended purchase selected e validate functionality e register moves amp changes usage
24. s a well known company with a sound financial position and a long term strategy within the LCD displays market Philips 170B Industry average Panel size and resolution 17 1280x1024 17 1280x1024 Monitor price ex VAT EUR 250 EUR 250 Asset management user licence ex VAT EURE 48 hour on site single swap zero dead pixels pixels Power consumption Central alarm after cable pull out Monitor lock after cable pull out Remote life cycle management Remote asset tracking Remote operating hours registration Monitor weight RoHS compliance 50 not yet Table Key specifications of Philips 17 monitors compared with industry average W O no O O O O O PHILIPS White Paper October 2005 When LCD Monitors can reduceTCO 13 6 2 TCO breakdown This section provide a TCO calculation for both monitor types over a lifetime of 5 years A cost breakdown Is presented in the table below This is a simplified calculation limited to measurable figures Philips Monitor Industry average Monitor deployment costs 15 000 00 20 000 00 Asset management deployment costs 1 280 00 Annual IT management amp helpdesk costs 11 250 00 12 500 00 Annual service costs due to warranty expiration 2 975 00 3 125 00 Annual up time power consumption 040 00 1 625 00 Annual idle time power consumption Annual TCO 262 346 77 300 574 50 TCO saving achieved with Philips 38 227 73 12 7
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