August 05, 2024
Is your organization hemorrhaging money because of outdated technology? If so, you're not alone. According to a recent Deloitte survey, a staggering 82% of companies missed their cost-reduction targets last year, with inefficient technology infrastructure being the main culprit.
In a 2024 poll of nearly 300 business leaders focused on business margin improvement and technology transformation, the biggest barrier identified was challenges with their technology infrastructure. Over 50% of respondents indicated that leveraging data and generative AI strategies to improve margins would be their focus for 2024.
What does this tell us? Organizations are eager to adopt new, automated, AI-powered methods to save money and boost efficiency but are held back by outdated technology.
Why Should Businesses Upgrade Their Technology?
Legacy systems, typically defined as technology that is at least a decade old, can quickly become costly to maintain. They are slower, require constant updates and patches, and don't leverage the latest features. Consequently, businesses struggle to keep pace with their tech-savvy competitors in areas such as scaling, cloud usage, human resources, and customer service operations.
But the issues don't stop there. Outdated technology also increases the risk of cyber-attacks. Older systems often can't keep up with the rapidly evolving world of cybersecurity. As new, more malicious threats emerge, older technology becomes incapable of handling the latest security updates needed to keep your network secure.
So, why do business owners delay upgrading technology when the data clearly shows it will enhance productivity and the bottom line? The primary reason is sticker shock. The cost of updating technology infrastructure can seem overwhelming. Savvy business leaders consider risk-related questions like "What if something breaks?" or "What if it doesn't work as promised?" However, data indicates that maintaining old technology could be more expensive. A separate 2023 Deloitte study of CIOs found that respondents spent an average of 55% of their technology budget on maintaining existing systems.
There's also the cost of transitioning. What will it cost to bring systems down and switch to a new system? What will the cost be to train employees on the new software? These are all questions your IT team can help you answer before you start upgrading your technology. An experienced technician can analyze your system to determine what needs to be updated and when, and map out a plan to upgrade your system in the most efficient way possible. It's easier than most business leaders think and pays off in increased productivity and profitability.
If you're looking to
upgrade your technology or are just tired of slow, outdated tech and want to
see what the next step could look like, we'll do a FREE Cyber Strategy Session. Our
techs will dig into your system and determine what you need to get technology
that helps you run your business better. To book your assessment, call us at 707-689-3999 or click here to schedule
now.
