Mar 20

Industry Insights

How much is unplanned system downtime really costing your business?

IT system outage

If you’re a business owner who uses any form of technology in your daily operations, downtime can be costly.

Even just one hour without access to digital client records, software applications and automated processes can have a ripple effect across the business. It can lead to lost sales and delays in your delivery and operations schedule and do damage to customer service. The causes of downtime can range from single application failures and temporary internet outages to weather-related emergencies, ransomware, and devastating security breaches.

So just how much do these losses and delays actually cost?

The size of a business is related to how much it costs when your systems go down.
In a recent Gartner study, businesses were grouped into small (< 100 employees), mid-sized (100 - 1000 employees), and large (> 1000 employees) businesses. Not surprisingly, small businesses incurred less of a loss than large businesses with disruptions costing an average of €6,900 per hour for the small businesses, €74,000 for the mid-sized businesses, and €1,130,000 for large businesses.

What can be done to prevent UNPLANNED outages occurring?

Given the cost involved avoiding outages should be high on the list of priorities for a business. Robust disaster recovery and business continuity plans can save both money and reputationa damage in the event of an outage. It’s estimated that around 75% of all downtime is not related to a failure of technology. Instead, it’s caused by how that technology is being used, configured and administered.
Systematic and regular proactive maintenance of systems and hardware including threat and vulnerability checks, system performance levels, configuration reviews and process validation checkpoints goes a long way to preventing an outage.
Too many businesses adopt a reactive approach, fixing a problem once it emerges but unfortunately this is essentially waiting for failure. Proactive maintenance of IT puts a system in place to PREVENT failure in the first place.

Why it is essential to secure your business

To achieve the highest level of protection, organisations and their security teams must always proactively secure their network and endpoints, not only from new threats, but also from improved older threats that use innovative distribution methods.
This can prove problematic for enterprises with smaller security teams that might not have the knowledge to handle more advanced threats. Often, the in-house IT department also serves as the organisation’s de-facto security team, which means additional work on top of their daily tasks. This can prove to be overwhelming especially when considering the number of alerts that occur daily.

How outsourcing IT can augment existing expertise

One option for businesses to consider is the use of an outsourced IT service. Comprised of security professionals with years of experience under their belts, outsourcing can provide the specialised skills needed to stay on top of old and new threats, as well as the expertise needed to operate some of the most advanced endpoint detection and response tools.
Outsourced IT services also proactively monitor networks and detect threats before they impact a business, preventing potential outages and reputation damage. Automated patch management deploys the latest patches and updates to managed servers and workstations to minimise the tyhreat landscape and reduce the likelihood of large scale outages and the damage that ensues.

Talk to us at Novi about how we can help reduce the risk of downtime in your business.