Introduction and telling signs
The hardware and software your business depends on needs to be kept bang up-to-date, or does it? The yearly round of software updates and the licencing costs that these bring can be a heavy burden on any company.
Add to this the steady stream of new portable devices and perhaps even upgrades to infrastructure such as servers, and it isn't surprising that many small businesses are questioning how often they really need to buy these updates.
Of course the recent recession has galvanised the resolve of many small business owners to take more control of their spending especially when it comes to IT. However, according to a recent poll by YouGov, almost a third (32%) thought that spending on IT (such as computers, telecommunications, software etc) would increase in the next 12 months, compared to just 7% who said spending on IT would decrease. However, 59% believed there would be no change.
The pressure to update IT hardware of course comes into sharp relief each time a new operating system version is released. According to Spiceworks, 40% of companies plan to begin rolling out Windows 10 within the first year and an additional 33% expect to begin deploying Windows 10 within two years.
"Our IT department has been testing preview editions of Windows 10 over the last few months and feel comfortable rolling it out to users soon after launch," said Joe Kinne, IT manager at Prime Electric, an electrical contractor in Bellevue, Washington. "We'll likely start with existing Microsoft Surface tablets we've deployed in the field and then offer it to some of our first-adopter employees across the company. Additionally, all new laptops, desktops, and Surface tablets will come pre-loaded with Windows 10 soon after launch."
Telling signs
Deciding when your business needs to make an upgrade means looking for the signs that your tech is creaking under the strain. "A major sign is when there is a noticeable disconnect between technology practices at work and in employees' own personal lives," said David Vine, MD of UK SMB at Concur. "IT is ingrained into most employees' everyday routines – and a major portion is based on mobility. It stands to reason that this should be carried over into the workplace, yet all too often this is not the case."
Andy Hinxman, Director of Keybridge IT also said: "The biggest warning sign to any SME to upgrade their IT is whether operations are becoming increasingly inefficient, time consuming and costly. Most processes should now be seamless, and when you notice this starting to change that is your biggest indicator to upgrade your IT."
He continued: "Ask yourself whether your IT is fit for purpose, and what you want from your IT. Do you need staff to access anywhere? Do you want tight control over what people can access? Do you want your data backed up, and if so, for how long? Once you know what you want speak to a specialist for their recommendations. Our suggestion is to keep up-to-date, which you can accomplish by moving to the cloud."
Chris Martin, CTO at conference call service provider Powwownow, also points out: "SME's can be an easy target for upsell, whilst potentially being a hard sell! The limited SME IT budget might mean they invariably have older IT equipment, running older software. However, SMEs wisely use their budgets and will only pay for IT that is really required.
"If an improvement in productivity can be shown by an upgrade, the SME is more likely to be interested. If the upgrade will mean someone in the business will spend less time doing mundane tasks and more time on important customer-facing activities, then this would be a good case for the upgrade."
Spending and virtualisation
Spending wisely
The cloud of course has transformed how small businesses in particular now operate. Moving some data storage and key business services to the cloud can be a way for smaller enterprises to remain competitive without the huge cost overhead of upgrading their primary systems.
Says Jon Wrennall, CTO in UK and Ireland at Fujitsu: "In terms of the core infrastructure of an SME business, the ever more pervasive and mature offerings provided by cloud service providers – whether as Infrastructure-as-a-Service (IaaS) or Software-as-a-Service (SaaS) – mean SMEs don't need to worry about the hardware and some of the related software.
"There are still some good reasons to keep some of this in-house, but businesses need to carefully consider the pros and cons of each option given the nature and context of the business."
With software, the shift towards a subscription-based ownership model is highly attractive to small businesses in particular. Not having the cost of purchasing new boxed software is a bonus not to be understated. Business owners should, however, pay close attention to the support they will receive and whether they would need additional upgrades – such as networks or servers – to really gain tangible benefits by moving to this model.
"When it comes to Microsoft Office 365 (which we believe is the best choice for most SME businesses who use Microsoft technologies), the SharePoint (file sharing, collaboration and more) aspect of Office 365 is very powerful, but it is not to be seen as a replacement for the traditional SME File Server Shared drive," Andrew Loftus, founder and MD at IT support company Greencorn told TechRadar Pro.
He continued: "Microsoft OneDrive for Business is not yet a complete SME cloud file share solution for many companies based on the way they currently work. This whole area of SME file sharing is something that Microsoft is still developing. They are getting there and I have no doubt we will see improvements and clarification in this area in the short to medium term. All SME businesses should have their email in the cloud – simple fact."
Virtualisation benefits
The use of virtualisation has also been gaining pace across the small business community. To avoid server sprawl, using virtualisation can be a great way to upgrade systems for minimal cost, and also have a future upgrade path.
Andrew Loftus further observed: "As a company we will use virtualisation everywhere we can, even if there is no current need, as we never know when things will change. Virtualisation has helped us save clients a significant amount of money, time and disruption. It is one of the best improvements in technology in the past 10 years.
"For example, last year we upgraded a client with a single Windows server requirement which we implemented virtually on a single physical even though there was no clear need to do this. Recently their Windows-based VoIP server running on another server stopped working and started smelling like a barbeque (perfect for summer, not for this client).
"We were able to move the VoIP server to be virtual on the above mentioned server and had the client's phone system up and running in less than a day, which would have been impossible without virtualisation. The question SMEs should ask themselves is 'why should I not virtualise?' not 'why should I virtualise?'"
10 key questions
Decisions, decisions
Should you upgrade your business hardware or software? Ask yourself these key questions:
1. Is the hardware across your business fit for purpose?
Ask your staff if they feel handicapped by the hardware and software they are using. If they are, it's a false economy not to upgrade.
2. Are competitors and your general industry using any standards?
Often hardware and software platforms will become standards onto which new services are built. If your systems aren't compatible, this is a commercial opportunity missed.
3. What systems are the largest players in your sector using?
If large businesses are throwing their weight behind a technology, your business may have to upgrade its IT to keep up and remain relevant.
4. What would the overall benefit of an upgrade be to your business?
Mobile payments for instance look set to become massively important. Can your business afford not to support these services by upgrading its IT?
5. Can new technology make your business more efficient and competitive?
Simply buying the latest computers or mobile devices isn't enough. Think about how these upgrades would directly influence your business' bottom line.
6. Would new hardware or software future-proof your business?
Of course tech goes out of date, but can upgrades now ensure your business remains competitive in its marketplace?
7. Could new tech open new business opportunities?
Look at the trends within your market sector. Can your existing tech support these?
8. Does your current tech infrastructure offer robust contingency services?
Many businesses are now reliant on servers and the precious information they contain. Contingency planning needs solid and reliable IT to ensure your business can recover if the worst happens.
9. Is your business using mobile devices across a wide geographical area?
As business is now transacted on the move, the latest tablets and smartphones need to be properly supported. It's useless to your business to try and use the latest Surface tablets with ancient servers and networks.
10. Are your business critical systems still supported?
At some point vendors will stop issuing updates to their applications. Windows XP and Windows 2003 no longer have regular security patches issued, for example. In these circumstances delaying your upgrade could place your business and its customer data at risk.
Careful planning
Fujitsu's Jon Wrennall concluded: "IT is like a car – whichever way you use one (buy it, lease it, company car or use a taxi) it always costs money (in purchase, servicing, fuel, or by the minute/mile). It will never come for free, it needs looking after (by you or someone else).
"It will at some point break down or get vandalised (or hacked). The most effective and efficient ownership model for you will depend on what you need it for, the way you use it and want you actually want (with the head and/or the heart)."
Upgrading your business hardware and software is often a commercial choice that depends on how your enterprise is currently operating. Maintaining efficiency is important – and upgrading your organisation's tech will ensure you are ready to support the latest trends across your market. Plan carefully and assess your needs. You'll then spend your money in the right places and gain the maximum benefits.
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from www.techradar.com
