Is your organization losing money due to outdated technology? The answer is likely yes. A recent Deloitte survey revealed that a staggering 82% of companies failed to meet their cost- reduction targets last year, primarily due to an inefficient technology infrastructure.
The 2024 poll of nearly 300 business leaders on business margin improvement and technology transformation efforts identified technology infrastructure challenges as the biggest barrier to cost-cutting efforts. Over 50% of respondents reported leveraging data and generative AI strategies to improve margins would be their focus for 2024.
What does this tell us? Organizations aim to adopt new, automated, AI-powered solutions to save money and improve efficiency but are hindered by antiquated technology.
Why Should Businesses Upgrade Their Technology?
Legacy systems, typically categorized as technology at least a decade old, can quickly become expensive to maintain. They are slower, require constant updates and patches, and don’t leverage new features as they’re developed.
Consequently, businesses struggle to keep up with their tech- savvy competitors in every area, from scaling and cloud usage to human resources and customer service operations.
But that’s not the only issue. Outdated technology increases your risk of cyber-attacks. Old technology often cannot keep up with the rapidly changing world of cybersecurity.
As new, more malicious threats emerge, older technology cannot keep up with the latest updates required to secure your network.
So, why do business owners put off updating technology when the data clearly shows it will positively impact productivity and the bottom line? The main reason is often sticker shock. The price of updating technology infrastructure can feel overwhelming. Smart business leaders consider risk-related questions like “What if something breaks?” or “What if it doesn’t work as promised?”
However, the data shows that maintaining old technology could be 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 bringing systems down and transitioning to a new system cost?
What will the cost be to train employees to use the software? These are all questions your IT team can help you answer before you start upgrading your technology.
An experienced technician will help you analyze your system to see 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 offer a FREE Network Assessment.
Our techs will examine your system and determine what you need to get technology that helps you run your business better.
To book your assessment, call us at 973-828-0488 or visit www.ibsre.com to schedule now.