How much is slow costing us?

Yes I’m still talking about the Taiwan earthquake and resultant Internet mess. And the fact I am still on it means I am starting to get angry. And if you deduce that when I say I am starting to get angry it means I will huff and puff but do nothing but write on my blog pounding my keyboard a little harder, then you are correct-a-mondo.

At any rate, I had been invited by Hingemedia super head chief editor gadget head in, err, chief Adel to contri to P.W.I.T., (Philippine Week in Technology), the resulting acronym possibly recognizant of how he feels about it, but more likely because he thinks it sounds fun. A fun and intelligent man, Adel is. And surprisingly athletic! When we were in Tagaytay we caught MS Windows PM Chay Saputil smiling and enjoying an m|ph issue and I swear I’d never seen a man run, flip open his Canon 400d, get down on his knees and take a magazine worthy snap in, oh, that must have been .5 seconds! Amazing.

So anyway, let me take you to his post in PWIT, where he describes in light detail how affected they are at the office. Here he says:

In my office in Makati, chaos reigns. We canít get or send critical business email, canít FTP feeds from abroad, canít access reference sites. We are suddenly forced to hand-deliver multi-gig magazine layout files to our printer in Laguna instead of just zapping them over.

Let’s channel my inner accountant and try to put a value to that:

  1. can’t send critical emails – Solution: send via cds. Price of CD: p10.00. Price of courier within metro Manila: p50.00. Total: P60.00
  2. can’t FTP feeds from abroad – Solution: send via dvds. Price of DVD: p30.00. Price of courier from US to Manila: p1,000.00. Total: P1,030.00
  3. hand deliver multi – gig mag layouts to printer in laguna – Solution: send via dvds. Price of DVD: p30.00. Price of courier from US to Manila: p50.00. Total: P80.00

Total: Php 1,070.00

This does not include the extra man hours and possible overtime to burn files and prepare them for transit, possible extra overhead from all this activity, the transit itself, a margin added for errors (returned because of damaged / list disks, incompatible cd / dvd players, broken or lost, etc.) and so on.

If you do above activities daily, you multiply that with the number of workdays (22), then you get Php 23,450.00 / month. P23,450.00 you have to make up for because you have unreliable internet access. So you might say, “oh no, sometimes a large email or FTP passes through!“. For the sake of easy accounting, it either can or cannot, so you assume nothing gets through and you have to rely on messengers for the business period of January. That’s my inner accountant speaking, and he’s almost hardly ever heard, so you better listen up when he does.

So what’s the point in all this channeling? Well, to everything there is some cost, whether exact or (reasonably) assumed. And all this slowness is costing us, so why not let’s find out just exactly how much? Again, for what purpose? Well, maybe you have an inner accountant too, and would like to try it yourself. And also maybe, just maybe, it may come in handy if we decide to, oh you know, sue.

3 thoughts on “How much is slow costing us?

  1. ia

    Golly, PWiT sounds a lot like its American original counterpart, This Week in Tech by Leo Laporte and his cohorts. ;)

    Seriously, when you said someone should sue, someone really should. You just presented proof right here.

  2. gary

    ah so thats where they got the name from! buti na lang you mentioned it. Saves me from looking like a dork when we meet up :D

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