Comdisco Study Finds Companies are Backsliding in Implementing Effective Computer Desktop Management.

CHICAGO--(BUSINESS WIRE)--Feb. 10, 1999--

Fewer Companies Are Capitalizing on Potential for Improved

Productivity and Cost Savings

Despite a growing reliance by corporations on their information technology (IT) desktop assets, most companies still have not implemented an effective desktop management program, according to the 1999 Desktop Management Index(TM), released today by Comdisco Inc., a leading technology services company. The Index, a proprietary research study commissioned by Comdisco, measures companies' management of their distributed systems by weighing their responses to 13 standards and practices.

Fewer than 10 percent of 200 U.S. companies surveyed have taken the steps necessary to effectively manage costs, improve productivity and optimize the use of their desktop systems. That number declined from 12 percent in 1996, when Comdisco last published the Index.

"Even as desktop computing has become the lifeline of most businesses, companies' investment in the systems and processes for managing the technology have not kept pace," said Chip Rodgers, vice president of Desktop Management Services for Comdisco.

Rodgers said the widespread lack of attention to computer desktop management is inconsistent with the growing corporate reliance on strategic business applications such as enterprise resource planning (ERP), e-commerce and data warehousing, which require a robust underlying IT infrastructure for optimum performance.

"Today, managing desktop computing systems is just as important as managing human, physical and capital assets," Rodgers explains. "With desktop computing as an increasingly critical component of business strategy, failure to effectively invest in and manage IT assets may put companies at risk."

Companies that do make such investments stand to reap big benefits. According to GartnerGroup, organizations with 1,000 or more desktops can expect to save at least $100,000 in the first year by implementing an effective enterprise-wide desktop management system. Similarly, Comdisco's Index respondents with desktop management plans that track their plan's results reported an average saving of 10 percent of their total IT budget.

Too few companies are seeing such gains, however. On the Index's 100-point scale, six out of 10 companies scored below 50, which shows they are not effectively managing their desktop resources. The average score for all respondents was a disappointing 45. What's more, four out of five companies have desktop assets that are sitting idle -- amounting to a whopping 7 percent of total desktop assets. The primary reasons: the personal computers have not been reassigned to other users, are outdated or have not been disposed of. Companies with formal desktop management plans in place or under development scored nearly twice as high on the Index as those without plans: 56 vs. 30. Still, just 9 percent scored above 80, meeting the highest standards of effective desktop management.

According to Joe Pucciarelli, vice president and research director for GartnerGroup, "The desktop computing environment continues to evolve from a tactical, personal computing oriented platform into a mission-critical computing resource supporting initiatives such as enterprise resource planning and e-commerce. As this transformation occurs, we expect that, by 2003, over 50 percent of user-organizations will engage external suppliers to assist them in managing their desktops as part of the integrated computing infrastructure."

Additionally, Comdisco has also developed a methodology to help companies determine how they fare against the Index findings. Individuals may visit Comdisco's web site at http://www.comdisco.com/dm/index.html to complete an evaluation and receive feedback. The Desktop Management Index - Online Assessment system evaluates three major categories of factors that reflect an enterprise's capability to effectively manage its IT assets they are strategy, operations and measurement. By answering a few questions, a report will provide companies with an assessment of their desktop management effectiveness and provides recommendations as to how to maximize the organization's return on investment.

Comdisco Inc. (NYSE:CDO) is a technology services company and a leader in providing infrastructure management and optimization services, which are the underlying technological components and services necessary to deliver information and applications anytime, anywhere, without delay or disruption. Comdisco provides the key elements of infrastructure management, including desktop management services, managed network services, business continuity services, leasing and remarketing services, and the software tools to support these areas. Comdisco's revenue for the twelve months ended December 31, 1998, was $3.4 billion. For more information, call 800-272-9792 or visit Comdisco's Web site at www.comdisco.com.