Is your IT infrastructure a money pit?

Unanticipated hardware expenses can prove to be financially draining, especially if they aren’t a recurring cost or budgeted line item. 

Performing maintenance and regular inspections of equipment can help reduce the likelihood of unplanned repairs and operating costs. 

If your hardware is draining your budget and requiring constant attention, it may be time to consider an overhaul of your IT environment.

The impact of legacy hardware

Poor IT infrastructure can cause all sorts of issues in your business, from simple frustrations like slow loading times, to full-blown outages that disrupt your business and impact your bottom line.

Hardware is the foundation of any business, and the majority of businesses invest in new hardware every few years. Unfortunately, many businesses are unaware of the impact that outdated or legacy hardware can have. Old, unreliable hardware can make all of your IT systems and processes slower, less efficient, and more expensive to run, or affect the security of your data, and make it difficult to integrate with other technologies. 

When investing in new hardware, consider the following: 

• Is it compatible with other hardware? 
• Will it integrate with my current systems? 
• What kind of software and data will it work with?

The price of downtime

If your business relies on technology to operate, downtime will cost your company an average of $5600 per minute, although this will vary from business to business. 

You need to ensure that your hardware is reliable and running at optimal performance to reduce the risk of downtime. High-quality, enterprise-grade hardware is designed to run for long periods of time without breaking down. You can also monitor your hardware to see if it is showing signs of wear, and replace it before it fails.

For any business that relies on its tech to operate, temporary shutdowns due to repairs can be costly in terms of lost revenue. While the upfront cost of enterprise-level hardware can be expensive, it is worth it in the long run. High-quality hardware is often more efficient and require less time for maintenance. 

Outdated hardware leads to security risks

When it comes to cyber security, you need to make sure that the hardware you choose for your business is up-to-date with the latest standards. Outdated hardware can put your company’s sensitive data at risk, and it could also be more difficult to manage. The average cost of a data breach in Australia is rising by 9.8% year on year, and is currently sitting at an estimated $3.35 million.

Legacy hardware can put your business data in a risky position, as these systems are typically not supported by manufacturers for patches or security updates. This leaves your systems vulnerable to exploitation from malware and cybercriminals.

Newer technology supports modern security measures, like multi-factor authentication and data encryption. Investing in the latest tools and practises will go a long way to keeping your data secure – and avoiding security pitfalls that could devastate your business’ reputation and bottom line.

IT repair and maintenance cost

While hardware requires regular maintenance to function properly, excessive faults, breakdowns, or software glitches requires continuous repairs to fix the issues. This expense puts a drain on a business’ budget, particularly with older hardware, which is less compatible with modern tech, and is harder to find someone with the skills and knowledge to configure and repair them.

New, modern hardware may seem like an unnecessary expense, but when valued against the money you are spending on constant IT repairs and maintenance, will actually save you money in the long run.

Tips to reduce your IT hardware expenses

When purchasing new hardware for your business, you want to buy what you need without being wasteful. Before you make the purchase, make sure that the hardware is compatible with your existing systems, and will integrate with your other technologies. 

You should also consider how long the hardware will last and how much it will cost to maintain in the long run. You don’t want to be replacing your hardware every few years, especially if it’s due to poor quality. 

Here are a few tips to reduce your IT spend while purchasing new hardware: 

• Track your IT spending month-on-month so you know exactly what you are spending.
• Ensure the IT you are purchasing lines up with your business plan.
• Buy hardware that is compatible with your software.
• Standardise equipment to reduce the complexity of using and maintaining the IT environment.
• Utilise the cloud for data storage and remote work capabilities.
• Outsource key IT functions such as security, data storage, and technical support.

Find the right hardware solutions

If your hardware is becoming a money pit, there are several things you can do to reduce your costs. Regular maintenance will help you identify potential problems and repairs before they occur, and researching new hardware before making a purchase will increase your confidence in your purchases.

The IT experts at Essential Tech can help you reduce your hardware costs by evaluating your current IT environment, advising you on new tech and solutions you can implement, and managing your IT.