August 05, 2024
Is your organization hemorrhaging funds due to outdated technology? Chances are, the answer is yes. A recent Deloitte survey found that a staggering 82% of companies missed their cost-reduction targets last year, primarily due to inefficient technology infrastructures.
In a 2024 poll of nearly 300 business leaders focused on margin improvement and technology transformation, the biggest barrier identified was challenges with 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 indicate? Organizations are eager to adopt new, automated, AI-powered business solutions to save money and boost efficiency but are hindered by outdated technology.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 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 pace with their tech-savvy competitors in areas ranging from scaling and cloud usage to human resources and customer service operations.
But that's not the only issue. Outdated technology also heightens the risk of cyber-attacks. Older technology often cannot keep up with the rapidly evolving cybersecurity landscape. As new, more malicious threats emerge, outdated systems become incapable of implementing the latest updates needed to keep networks secure.
So, why do business owners delay updating their technology when data clearly shows it can boost productivity and the bottom line? One major reason is sticker shock. The cost of updating technology infrastructure can seem overwhelming. Smart business leaders consider risk-related questions like, "What if something breaks?" or "What if it doesn't work as promised?" However, data suggests that maintaining old technology could be more costly. A separate Deloitte study of CIOs in 2023 revealed that respondents spent an average of 55% of their technology budget on maintaining existing systems.
There's also the cost of switching to consider. What will it cost to bring systems down and transition 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 address 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 yields 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 954-327-1001 or click here to schedule now.
