Hi David

In the definition of the products, you can set the internal Category of the product to be Software of Hardware, some thing like that

and for the product type for Service product select the type Service, and for Hardware select the type "Stockable"  for the stocked products like laptops, racks, ... or "Consumable" like papers, pens ...

and for naming s/001 or h/001 you can use the Internal Reference field to set this names 

Finally when you are creating invoices or sales orders you can search with the name of the product or internal reference

Hope this help you