Lifecycle management is an oft-neglected component of technology. Few business owners want to deal with replacing technology until it breaks, and even then, only out of sheer necessity.
This is no way to manage your IT!
Improper IT lifecycle management carries dire consequences for your business. You may think you are saving money by forgoing new PCs or the latest software update, but in reality, you are throwing money out the window and possibly opening yourself up to compliance violations and security breaches.
Read More: What is IT Lifecycle Management?
The Consequences of Not Upgrading Your IT
At some point, your business technology will break down or wear out. You will scramble, because you haven’t budgeted for this, to replace it, facing downtime and lost productivity until the new technology is in place and your employees are trained. In truth, your IT has probably outlived its usefulness before this point, becoming more of a hindrance than an effective tool.
Cost
Assuming a piece of technology, whether it’s software or hardware, costs approximately the same whether you replace it just as it falls below peak efficiency, or when it’s on fire, you may think it’s worthwhile to just wait until it’s completely nonfunctional. The problem is, the cost of maintaining an asset beyond its lifecycle may be far greater than it’s worth. The cost of maintaining a server skyrockets 200% after year its fifth year, for example. That server may be limping along and just barely performing its duties, but you’re actually paying more in the long run.
There are myriad additional costs that can’t always be calculated in an exact dollar amount. In one case, an I-M Technology prospect had numerous employees ready to leave because their technology was so outdated that it had become a hurdle to doing everyday tasks. After taking the company on as a client, I-M Technology presented a plan to introduce new hardware, and the client was able to retain valuable employees and improve the quality of their work.
Read More: How the Most Successful Businesses Approach IT Management
Productivity
When an asset is past its prime, it may continue to work, but the loss in efficiency is going to cost you and it’s only going to get worse as time goes on. An average employee wastes 40 minutes a day waiting on technology according to a survey commissioned by the Sharp electronics company. I-M Technology has assisted many clients that had PCs and software that ate away at their employees’ time. At one client, it would take 5 minutes for a PC to send a print command, and at another, a specialized software would require a reboot before it could run. All of this wasted time due to outdated technology adds up. You are paying your employees to wait instead of paying for up to date technology. It’s coming out of your pocket either way; you might as well be getting something productive out of it.
Outdated technology may even be losing you clients or credibility, further compounding the costs.
Security
It should come as little surprise that outdated technology opens you to security breaches. According to a Ponemon Institute study, half of the organizations that responded had suffered at least one data breach. Sixty percent of those hit cited an unpatched vulnerability as the source of the breach and more than a third (34%) acknowledge they knew their systems were vulnerable.
This sheer negligence not only can cost you clients and credibility, it can cost you real dollars in asset replacement, lawsuits and, if you are in an industry with legal compliance, fines. HIPAA violations, for example, can be particularly severe. You may even lose your business altogether.
Read More: 3 Deadly Mistakes You’re Making By Being Cheap With Technology
Cost is no excuse to not maintain up to date technology. The cost for not updating your technology can be exponentially worse. Technology updates should always be part of your annual planning and budget to minimize surprises and headaches, and to maximize productivity and security.
Click here to learn how I-M Technology can help position your company for success through technology.
