If you only view IT as an expenditure, you’re robbing yourself of future returns.
Quick, name a business that doesn’t depend on information technology. If you couldn’t think of one, that’s because there aren’t many. Some rely on IT to connect coworkers, while others use it to build multibillion dollar sales systems. So why do so many leaders try to slash IT costs, even if it means putting their entire companies at risk?
Does this sound like you?
There are two ways to drive profits: make more or spend less. (Simple enough, right?) That means for many business owners, cutting costs is just as important as spurring sales. Have you ever done any of the things below?
- Going low: Choosing the cheapest IT bid might seem like a savvy financial decision, but it often results in poor quality, frequent downtimes, and a support team that disappears right when you need it most.
- Underfunding: Skimping on IT budgets up front leads to cutting corners throughout the process. Systems are launched without the attention to detail that ensures their success, causing immediate frustrations, fire drills and unexpected expenses as you scramble to fix them.
- Thinking short-term: Saving a few bucks might sound good today. But seamless, secure, flexible solutions will attract customers and quickly scale to support them for months or even years to come.
IT isn’t just a cost. It’s an investment.
Before cutting the IT budget, it’s important to look at the complete picture of the value it provides for your organization.
- Enhanced security: Robust security measures and protocols help protect your business from cyber threats, ensuring the confidentiality of data and the trust of your customers.
- Operational efficiency: IT solutions can automate routine tasks, streamline processes, and improve productivity, providing cost savings and increasing employee satisfaction by removing all the “drudge work.”
- Scalability and flexibility: High-quality IT systems are scalable, allowing businesses to adapt and grow without the need for patches, band-aids, workarounds… or even complete overhauls.
- Customer experience: Your IT is part of your brand. A seamless, intuitive, consistent system will help you deliver products and support, satisfy existing customers, attract new ones, and even drive recruiting.
On the flip side, underinvesting in IT leaves you vulnerable to hackers. It can create a morass of bottlenecks, downtime and reduced productivity. And it will drive customers away. Most sources say the average website visit is somewhere between 44 seconds and a minute, so even a slight delay can be a catastrophe for many businesses!
So how much should you be spending?
Well, that’s a loaded question. Obviously, global healthcare networks spend a lot more than a local salon. (Although you’d be surprised!) But here are a few ideas to consider:
- Assess where you are today: Evaluate your current IT infrastructure, identify pain points, and determine areas that need improvement.
- Think ROI, not cost-cutting: Invest in solutions that offer long-term benefits and align with your strategic goals.
- Stay informed: Have someone in your organization whose job includes keeping up with the latest tech, threats, trends and best practices.
- Partner with the best: Choose IT partners with a proven track record of delivering quality solutions and support. Building strong relationships will lead to better service, mutual accountability and innovative solutions.
KME Systems is a business too. So of course we keep our costs competitive. But we never risk our clients’ operations and safety. We’re an established partner in Southern California, but we know reputable firms all over the world. So drop us a line no matter where you call home. If we can’t help, we’ll make sure to get you on the right track.
