{"id":179230,"date":"2017-07-26T11:49:00","date_gmt":"2017-07-26T16:49:00","guid":{"rendered":"https:\/\/www.ntegrait.com\/the-risks-of-outdated-technology-why-legacy-systems-cost-you-more-than-you-realize\/"},"modified":"2024-02-06T13:04:59","modified_gmt":"2024-02-06T13:04:59","slug":"the-risks-of-outdated-technology-why-legacy-systems-cost-you-more-than-you-realize","status":"publish","type":"post","link":"https:\/\/ntegrait.com\/the-risks-of-outdated-technology-why-legacy-systems-cost-you-more-than-you-realize\/","title":{"rendered":"The Risks of Outdated Technology: Why Legacy Systems Cost You More Than You Realize \u00a0"},"content":{"rendered":"<p>For most businesses, technology is something of a double-edged sword. On the one hand, it helps you run your business and remain competitive. On the other hand, updating hardware and software requires ongoing investments in time and money.<\/p>\n<p>Technology is evolving rapidly. Something that\u2019s state-of-the-art today may be woefully obsolete in a year or so.\u00a0 Learning how to use new tools, especially when you\u2019re comfortable with what you\u2019re used to, can be time-consuming and frustrating. \u00a0Plus, implementing a new infrastructure can be costly and has the potential for major business interruptions.<\/p>\n<p>No wonder so many business owners hold onto <a href=\"https:\/\/www.techopedia.com\/definition\/635\/legacy-system\">legacy systems<\/a> far longer than they should. But keeping around outdated technology can actually increase costs and decrease productivity.<\/p>\n<p><strong>What<\/strong> <strong>Are<\/strong> <strong>Legacy<\/strong> <strong>Systems<\/strong><strong>?<\/strong><\/p>\n<p>A legacy system is any piece of hardware or software that was once widely used but has long since been replaced with something newer. Age doesn\u2019t necessarily make a solution a legacy. It could be regarded as outdated because a newer version has been released and the vendor no longer supports the system.<\/p>\n<p>However, when looking to update technologies, one of the biggest concerns most business owners have is how to justify the cost. The question then is\u2014What\u2019s the cost of keeping outdated technology?<\/p>\n<p><strong>The<\/strong> <strong>Trouble<\/strong> <strong>with<\/strong> <strong>Outdated<\/strong> <strong>Technology<\/strong><\/p>\n<p>Installing a new piece of software in a business setting isn\u2019t like installing one on your home computer. You need to move data from one platform to another, and train people to use the new solution. \u00a0These are understandable concerns. However, it\u2019s also true that the benefits of replacing outdated technology far outweigh the risks of keeping a legacy system.<\/p>\n<p><strong>The<\/strong> <strong>cost<\/strong> <strong>of<\/strong> <strong>maintaining<\/strong> <strong>legacy<\/strong> <strong>systems<\/strong> <strong>can<\/strong> <strong>quickly<\/strong> <strong>become<\/strong> <strong>burdensome<\/strong> <strong>to<\/strong> <strong>a<\/strong> <strong>small<\/strong> <strong>business<\/strong> <strong>trying<\/strong> <strong>to<\/strong> <strong>keep<\/strong> <strong>budgets<\/strong> <strong>under<\/strong> <strong>control<\/strong><strong>.<\/strong> Experts agree that the ability to provide timely IT solutions to an organization that uses an older, legacy infrastructure is essentially impossible.\u00a0 Make no mistake \u2013 there will come a point where you\u2019re spending more money to maintain your legacy systems than you would if you had upgraded everything when you should.<\/p>\n<p><strong>Decreased<\/strong> <strong>security<\/strong> <strong>is<\/strong> <strong>a<\/strong> <strong>huge<\/strong> <strong>concern<\/strong> <strong>when<\/strong> <strong>it<\/strong> <strong>comes<\/strong> <strong>to<\/strong> <strong>using<\/strong> <strong>legacy<\/strong> <strong>systems<\/strong><strong>.<\/strong> Technology companies combat this problem by constantly releasing security updates for the at-risk software. However, once a legacy system is no longer supported, you won\u2019t receive security patches from the developer. Plus, backup and disaster recovery become insurmountable challenges. You\u2019ll never be able to properly safeguard the work you\u2019re doing today, and you\u2019ll always live with the worry that data loss might be just around the corner.<\/p>\n<p><strong>If<\/strong> <strong>your<\/strong> <strong>business<\/strong> <strong>is<\/strong> <strong>under<\/strong> <strong>stringent<\/strong> <strong>regulatory<\/strong> <strong>compliance<\/strong> <strong>requirements<\/strong><strong>, <\/strong><strong>the<\/strong> <strong>cost<\/strong> <strong>of<\/strong> <strong>outdated<\/strong> <strong>technology<\/strong> <strong>can<\/strong> <strong>have<\/strong> <strong>serious<\/strong> <strong>repercussions<\/strong><strong>. <\/strong>Compliance standards, like HIPAA, PCI, SOX, and others, require that your technology be supported. This sets you up for fees and penalties if you experience a data breach (which are more likely due to security holes in your legacy system).<\/p>\n<p><strong>And<\/strong><strong>, <\/strong><strong>whether<\/strong> <strong>you\u2019re<\/strong> <strong>talking<\/strong> <strong>about<\/strong> <strong>software<\/strong> <strong>or<\/strong> <strong>hardware<\/strong><strong>, <\/strong><strong>older<\/strong> <strong>systems<\/strong> <strong>have<\/strong> <strong>increased<\/strong> <strong>failure<\/strong> <strong>rates<\/strong><strong>.\u00a0<\/strong>This makes system downtime simply unavoidable. The consequences of downtime can be grave for small businesses and you risk losing customers forever if your services are inaccessible.\u00a0 Here are just some of the costs you can occur when your legacy system fails:<\/p>\n<ul>\n<li>Expenses for IT recovery and data restoration (if even possible!)<\/li>\n<li>Dissatisfied customers (who may leave for the competition)<\/li>\n<li>Lost sales<\/li>\n<li>Brand\/loyalty damage<\/li>\n<li>Lost employee productivity<\/li>\n<li>Potential employee overtime costs to meet deadlines after the failure<\/li>\n<li>Low employee morale and turnover due to stress<\/li>\n<\/ul>\n<p><strong>Another<\/strong> <strong>problem<\/strong> <strong>with<\/strong> <strong>using<\/strong> <strong>outdated<\/strong> <strong>technology<\/strong> <strong>is<\/strong> <strong>that<\/strong><strong> \u201c<\/strong><strong>old<\/strong><strong>\u201d <\/strong><strong>and<\/strong><strong> \u201c<\/strong><strong>new<\/strong><strong>\u201d <\/strong><strong>technology<\/strong> <strong>very<\/strong> <strong>rarely<\/strong> <strong>work<\/strong> <strong>together<\/strong><strong>. <\/strong>Most legacy systems are incompatible with newer systems. It\u2019s essential that software, no matter how old, integrates well with the tools and applications you require to efficiently run your business.\u00a0 And, if your legacy system prohibits you from using new, advanced capabilities, chances are your competitors are.\u00a0 This means you will continue to lose customers and revenue, putting your business\u2019s existence at risk.<\/p>\n<p><strong>Mobility<\/strong> <strong>is<\/strong> <strong>impaired<\/strong> <strong>when<\/strong> <strong>using<\/strong> <strong>legacy<\/strong> <strong>systems<\/strong>.\u00a0 If your employees work in the field, such as with construction, warehouse control, oil and gas production, or logistics, their performance will be improved, and your business more efficient, if they can use mobile devices that connect to your inventory, production and other management software.<\/p>\n<p>If your employees can\u2019t access your legacy software from any mobile or computer device other than your office computers, you\u2019ll, once again, fall behind your competition in terms of performance and revenue. Cloud-based <a href=\"https:\/\/www.techopedia.com\/definition\/155\/software-as-a-service-saas\">SaaS<\/a> products outperform any on-premise system.<\/p>\n<p><strong>Legacy<\/strong> <strong>systems<\/strong> <strong>inhibit<\/strong> <strong>business<\/strong> <strong>scalability<\/strong> <strong>and<\/strong> <strong>growth<\/strong>. Can your legacy software support increased production capacity and your company\u2019s growth? As your business grows you\u2019ll have changing technology needs. Your business is constantly evolving, and your software must be able to keep up. If not, you\u2019ll be forced to adapt your business to your legacy system, and this will \u201cstunt\u201d your ability to grow your business.\u00a0 With increased scale and demand, you\u2019ll require better throughput capacity and a completely new IT architecture to manage all your operations.<\/p>\n<p><strong>When<\/strong> <strong>you<\/strong> <strong>consider<\/strong> <strong>all of this,<\/strong> <strong>does<\/strong> <strong>it<\/strong> <strong>make<\/strong><strong> sense <\/strong><strong>to<\/strong> <strong>hang<\/strong> <strong>on to<\/strong> <strong>an outdated<\/strong> <strong>system<\/strong> <strong>just<\/strong> <strong>because<\/strong> <strong>you<\/strong> <strong>want<\/strong> <strong>to<\/strong> <strong>save<\/strong> <strong>a<\/strong> <strong>little<\/strong> <strong>money<\/strong><strong>? <\/strong><strong>The<\/strong> <strong>answer<\/strong> <strong>is<\/strong> <strong>simple <\/strong><strong>\u2014 <\/strong><strong>It<\/strong> <strong>doesn<\/strong><strong>\u2018<\/strong><strong>t<\/strong><strong>.<\/strong><\/p>\n<p><strong>If<\/strong> <strong>you<\/strong><strong>\u2018<\/strong><strong>re<\/strong> <strong>in<\/strong><strong> {<\/strong><strong>city<\/strong><strong>} <\/strong><strong>and<\/strong> <strong>you<\/strong><strong>\u2018<\/strong><strong>d<\/strong> <strong>like<\/strong> <strong>to<\/strong> <strong>find<\/strong> <strong>out if your<\/strong> <strong>technology<\/strong><strong> needs updating, <\/strong><strong>or<\/strong> <strong>if<\/strong> <strong>you<\/strong> <strong>have<\/strong> <strong>any<\/strong> <strong>questions about this article, please<\/strong> <strong>contact<\/strong><strong> {<\/strong><strong>company<\/strong><strong>} <\/strong><strong>today<\/strong> <strong>by<\/strong> <strong>phone<\/strong> <strong>at<\/strong><strong> {<\/strong><strong>phone<\/strong><strong>} <\/strong><strong>or<\/strong> <strong>by<\/strong> <strong>sending<\/strong> <strong>an<\/strong> <strong>email<\/strong> <strong>to<\/strong><strong> {<\/strong><strong>email<\/strong><strong>}.\u00a0 We\u2019re here to help you stay competitive with peak-performing technology.<\/strong><\/p>\n","protected":false},"excerpt":{"rendered":"<p>For most businesses, technology is something of a double-edged sword. On the one hand, it helps you run your business and remain competitive. On the other hand, updating hardware and software requires ongoing investments in time and money. Technology is evolving rapidly. Something that\u2019s state-of-the-art today may be woefully obsolete in a year or so.\u00a0&hellip;<\/p>\n","protected":false},"author":5,"featured_media":158353,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"inline_featured_image":false,"footnotes":""},"categories":[8],"tags":[],"class_list":["post-179230","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-blog"],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v24.1 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>The Risks of Outdated Technology: Why Legacy Systems Cost You More Than You Realize \u00a0 - IT Services in Virginia<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.ntegrait.com\/the-risks-of-outdated-technology-why-legacy-systems-cost-you-more-than-you-realize\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"The Risks of Outdated Technology: Why Legacy Systems Cost You More Than You Realize \u00a0 - IT Services in Virginia\" \/>\n<meta property=\"og:description\" content=\"For most businesses, technology is something of a double-edged sword. On the one hand, it helps you run your business and remain competitive. On the other hand, updating hardware and software requires ongoing investments in time and money. Technology is evolving rapidly. 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