Is your organization hemorrhaging funds due to outdated technology? The likelihood is high. A recent Deloitte survey revealed that an astonishing 82% of companies missed their cost-reduction targets last year, primarily due to inefficient technology infrastructure.
The 2024 survey of nearly 300 business leaders focused on business margin improvement and technology transformation efforts, showing that technology infrastructure challenges are the biggest barrier for organizations aiming to enhance margins by cutting costs. This same study found that over 50% of respondents plan to leverage data and generative AI strategies to improve margins in 2024.
What does this indicate? Organizations are eager to adopt new, automated, AI-powered business methods to save money and boost efficiency, but they are hindered by outdated technology.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 incorporate new features as they become available. Consequently, businesses struggle to keep pace with their tech-savvy competitors in all areas, from scaling and cloud usage to human resources and customer service operations.
But that's not the only problem. Outdated technology also heightens the risk of cyber-attacks. Old systems generally cannot keep up with the rapidly evolving landscape of cybersecurity. As new, more malicious threats emerge, older technology eventually becomes incapable of handling the latest updates needed to secure your network.
So, why do business owners delay updating technology when data clearly shows it will boost productivity and the bottom line? One major 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 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 answer before you start upgrading your technology. An experienced technician will help you analyze your system to identify what needs updating and when, and map out a plan to upgrade your system as efficiently as 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 consult, call us at 866-214-8324 or click here to schedule
now.
