What Is The Cost of IT System Downtime on Your Business?

IT system downtime

Business today heavily relies on IT to serve customers. Having a reliable IT infrastructure is, therefore, more fundamental than ever. Companies are left dealing with huge losses whenever networks go down. Not only is system downtime inconveniencing, but it can also drive a firm out of business.

Also read: Why Servers Need Maintenance?

What is IT System Downtime?

It is a duration where systems malfunction failing to perform the primary tasks. Unforeseen events may cause system downtime. Alternatively, it could be a result of poor maintenance practices. System downtimes have negative economic consequences and should be avoided at all costs.

How can it Affect Your Business?

Here are the impacts of system downtime on a business:

Lost Sales Revenue

Many businesses depend on IT systems to collect orders from their customers. They also use the system to process the orders and make sales. A system downtime means that a company cannot achieve all these. That said, customers shift to buying competitor products resulting in a loss in sales revenue.

Reduced Employee Productivity

During a system downtime, employees end up staying idle. This means that their productivity does not justify their wages. This is dangerous for businesses because revenue will not sustain employee expenses. Employees may also lose confidence in the company leading to high turnover rates.

Increased IT Costs

For every IT downtime case, attached to it is a recovery cost. Downtimes often need to be treated as an emergency. That means that firms spend a lot of money fixing them in good time. This increases company expenditure unnecessarily. 

Increased Cases of Customer Complaints

For a business to be competitive, it must keep customers happy. Unfortunately, with many system downtimes, customers get frustrated. Many customers prefer companies that serve them fast to save on time.  System downtime is one of the leading causes of reduced customer loyalty.

Loss of Important Data

System downtimes mostly happen because of system error or malfunction. They happen during unexpected times leading to loss of company information. Information is the greatest resource a company should have, and system downtimes compromise it. It is therefore important for companies to have backup systems to prevent such tragedies.

Talk to Rule Technology Today

To minimise or eradicate system downtimes, get a qualified IT support team. Rule Technology helps in system maintenance. Our team is highly qualified, talented, and founded on customer loyalty. Give us a call and enjoy the best IT support services in Perth at the best price in the market!


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