Is your organization hemorrhaging funds due to reliance on outdated technology? Chances are, the answer is yes. A recent Deloitte survey revealed that an alarming 82% of companies failed to achieve their cost-reduction targets last year, with inefficient technology infrastructure being the primary reason.
In a 2024 poll of nearly 300 business leaders focusing on business margin improvement and technology transformation, it was found that challenges with technology infrastructure are the biggest obstacles for organizations aiming to enhance margins by cutting costs. Additionally, over 50% of respondents indicated that leveraging data and generative AI strategies to improve margins would be their primary focus for 2024.
What does this indicate? Organizations are eager to adopt new, automated, AI-powered methods to save money and boost efficiency but are hindered by outdated technology.
Why Should Businesses Upgrade Their Technology?
Legacy systems, often 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 fail to leverage new features as they are developed. Consequently, businesses struggle to keep up with tech-savvy competitors across all areas, from scaling and cloud usage to human resources and customer service operations.
But that's not the only issue. Outdated technology increases the risk of cyber-attacks. Older systems typically cannot keep pace with the rapidly evolving world of cybersecurity. As new, more malicious threats emerge, these systems eventually become incapable of handling the latest updates required to keep your network secure.
So, why do business owners delay updating technology when data clearly shows it positively impacts productivity and the bottom line? The main reason is sticker shock. The cost of updating technology infrastructure can seem overwhelming. Smart business leaders often ponder risk-related questions like "What if something breaks?" or "What if it doesn't work as promised?" However, data shows that maintaining old technology could be even more costly. A separate Deloitte study of CIOs in 2023 found that respondents spent an average of 55% of their technology budget on maintaining existing systems.
There's also the cost of switching. What will it cost to bring systems down and transition to a new system? What will the training costs be for employees to use 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 updating 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 consult. 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 813-689-1950 or click here to schedule
now.
