Is your organization hemorrhaging money due to outdated technology? The answer is likely yes. A recent Deloitte survey found that a staggering 82% of companies missed their cost-reduction targets last year, primarily due to inefficient technology infrastructure.
In a 2024 poll involving nearly 300 business leaders focused on business 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 for margin improvement would be their focus for 2024.
What does this indicate? Organizations are eager to adopt new, automated, AI-powered solutions to save money and boost efficiency but are hindered by outdated technology.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 quickly become costly to maintain. They are slower, require constant updates and patches, and don't incorporate new features as they are developed. Consequently, businesses struggle to compete with tech-savvy rivals in areas like scaling, cloud usage, human resources, and customer service operations.
But that's not the only issue. Outdated technology heightens the risk of cyber-attacks. Old systems often cannot keep pace with the rapidly evolving landscape of cybersecurity. As new, more malicious threats emerge, older technology becomes incapable of handling the latest security updates needed to protect your network.
So, why do business owners delay updating technology when data clearly shows it will enhance productivity and the bottom line? One major reason is sticker shock. The cost of updating technology infrastructure can seem overwhelming. Savvy 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 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 one? What will the training costs be for employees to learn the new software? These are all questions your IT team can help answer before you start upgrading your technology. An experienced technician can analyze your system, identify what needs updating and when, and create a plan to upgrade your system efficiently. It's easier than most business leaders think and results 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 914-923-0161 or click here to schedule
now.
