Risks of Using Outdated Technology
If it’s not broke, don’t fix it, right? Wrong! In many cases, this is great advice, but not for running a business. Nothing lasts forever, especially technology. Running a business off of old computers, servers, and software is not a wise choice. Eventually, those pieces of equipment will reach the end of their lives and you don’t want to wait until they crash and fail to upgrade to something new and reliable. Outdated technology is dangerous for a number of reasons and each of them has the potential to harm your business.
Running on old, legacy technology is like running on an old car that leaks gas, yet it still gets you to where you need to be. You may be able to put on a quick fix here and there, but at the end of the day, you’ll still have a leaking car, or in this case, slow and vulnerable equipment. New technology can become costly and that may not seem like a priority when budgeting your business, but once your current technology fails, you’ll probably regret not being more proactive about it.
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True, installing new equipment and software can be a pain in the neck, especially in a business setting where you’ll need to move your data around and train your employees to use new software. But, if you weigh the pros and cons of upgrading technology, the pros will outweigh the cons and the benefits will just make sense.
So, what are these risks, right? How bad can they be? Well, technology needs are subjective to businesses on an individual level based on their needs and processes, as are the risks which come along with legacy technology.
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1. Lack Competition
This is business and your competition will do anything they can to be better than you. Why hold yourself back with old technology while they revel in the spoils of updated equipment? Using updated technology and software give you a competitive advantage. Legacy tech doesn’t allow you this type of advantage. Updated technology allows your business to communicate efficiently, land more deals, develop stronger relationships with customers, and work remotely.
Over half of workers (53%) in a survey, said that they would be more productive if their office had better technology.
Do rainbow wheels and hourglasses appear too often on your screen? Your software and running programs may be out of date and slowing down. The time you spend waiting on those icons to disappear, so you can continue working, is probably more than you think when you add the minutes. Do you have hundreds of files all over your computer storage with no clear organization? This makes it more difficult to search for the exact files you need. Without proper search and organization programs, you’ll lose an unnecessary amount of valuable work time. Updated technology makes it easier for employees to store and locate information as well as streamline their workflow.
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3. Lack of Flexibility
Face it, old technology just can’t perform like new technology can. This disadvantage limits your business’s flexibility in various areas including data analysis, which helps businesses make better decisions moving forward, as well as communication and collaboration with the team.
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Outdated legacy systems are at a higher risk for security concerns. Most companies attempt to remedy this problem with constant security updates for
5. Compliance Requirements
Many companies working in certain industries are under very strict compliance requirements. Businesses need to be meet certain standards such as HIPAA, which requires your technology to be supported. If your technology is not supported and cannot comply with the set requirements, you may face the consequences in the shape of fees and penalties that come from data breaches and hacks that your business is much more prone to when there are holes in your systems.