It might feel like the cost of modern technology is frightening. We completely understand. The industry moves so quickly that it often feels like you’re spending far too much. As a result, you might be tempted to keep hold of your older systems and hardware.
Unfortunately, this often has the opposite effect and ends up being more expensive than paying for the newer things.
On this page, we’ll explain why that’s the case. This is often a misunderstood topic, but there are many reasons why using old, outdated or legacy technology can lead to high business costs.
Decreased productivity
Technology is ever-changing, often introducing improved features, more intuitive user interaction and faster or more efficient solutions. More significant tasks can be accomplished with less processing power and streamlined methods.
By inference, older tech doesn’t work as well as newer innovations. Everything you do takes longer. You’ll need to do much more copying and pasting, for example, or manually input data than when it otherwise gets processed automatically.
Time is money, as they say, and all the hours your staff waste on menial tasks is cash down the drain.
Slow load times, crashes and glitches
If you’re using particularly old technology – say ten years (or more) old – it will almost certainly have no support. No team in the background works away to improve the service, reduce the cost, or answer any of your technical support questions. The technology or software has, to all intents and purposes, been abandoned, and you’re simply using what’s left over.
This is why old programs and software crash so much. There’s quite simply no way to fix it and they weren’t designed to run on the most recent operating systems. The downtime and potential data losses caused by these issues could cost you an awful lot of money.
Outdated technology can be challenging to use
Most people fall into one of two groups: they either find new tech difficult to master and old models easy, or vice versa. Everyone has a comfort zone. Typically, this is an age-related divide, with younger people being more able to pick up and run with modern software and hardware.
You’ll also find that newer programs should make many of your business processes more manageable. In most cases, they’re actually more straightforward to use than the old ones. It’s simply a matter of comfort zones.
The point is outdated technology might require just as much training as new versions. Since you aren’t saving any money in this regard, but you’re still losing out on all the other factors on this page, your finances will suffer.
Cost of maintaining old equipment and software
Although it may not seem like it, outdated equipment and software cost more to maintain than the newer alternatives.
ICT staff on the market are trained to deal with current hardware and programs. You’ll need to look around for specialists when you need system maintenance or support and the expertise will have a higher price tag. That means a more expensive bill than you’d otherwise face.
Additionally the vendors of the technology will charge you more to support older hardware because they know it is more likely to fail and thus will cost them more to support.
Cybersecurity vulnerabilities
Gaps in cybersecurity are a real problem right now. Old technology doesn’t have the same security as modern tech – the threats we see today simply didn’t exist not too long ago.
It might not sound like much of an issue, but trust us, criminals rooting around to find which of your systems have known vulnerabilities for which there is no patch. All sorts of issues could stem from it, including ransomware, data breaches and commercial sabotage.
All of these have significant cost implications for your business.
Inability to meet customer demands
You want your business to look professional and in touch with your customers (while maintaining its unique brand identity, of course). This simply can’t be achieved with old hardware and software.
Old technology can cause an inability to meet customer demands in several ways. For example, it may lack the features or functionality required to meet customer needs or expectations. This can result in delays, errors or other issues that impact the customer experience.
Think for a moment about what you do when you visit a website and it looks like its from the year 2000… would you use that business?
In addition, older hardware may not be able to handle the volume of transactions or data required to serve customers effectively. This can lead to slow response times, system crashes or other performance issues that can frustrate customers and damage your reputation.
Moreover, as customers increasingly rely on technology to interact with organisations, outdated technology can limit the channels through which customers can engage with your business. For example, if your website is not optimised for mobile devices, it may be difficult for customers to access information or complete transactions on their smartphones or tablets. This can lead to lost sales or reduced customer satisfaction.
Ultimately, an inability to meet customer demands can create significant business costs, including lost revenue, decreased customer loyalty, and reputational damage. By upgrading to newer technology, you can improve your ability to meet customer needs, enhance the customer experience, and remain competitive in the marketplace.
Unable to keep up with modern system demands
Finally, old technological setups cannot keep up with the demands of modern systems and processes. For example, quick and easy checkouts are demanded by buyers on every site.
Without the relevant, up-to-date software and server setups, you won’t be able to meet this demand. This, again, affects your ability to retain customers.
What can AMDH do for you?
AMDH Services is a specialist ICT consultancy based in Derby. Our expert team partners with SMEs, churches, charities and public sector organisations to develop and implement comprehensive digital transformation strategies.
The first step in all of this is to update your hardware and software (if applicable). Doing so will put you in an excellent position to progress with an efficient, cost-effective cloud system.
For tailored advice on the best modern technology to invest in, why not contact us through the form below? We’re always happy to have an obligation-free chat about what you need and how we can help. We look forward to your message.
