The new normal of the coronavirus pandemic has seen more companies rely on WFH (work from home) telecom systems to offer their services, products, and applications. As such, having a robust IT and telecom system is more important than ever.
When your network and communication systems go down, you’ll be left struggling with numerous costly consequences. The money and time you lose as a result of the downtime don’t just lead to inconveniences; they also cause a blow that can knock you out of the competition altogether.
Recent research by Gartner offers some interesting findings. According to the report, just one minute of downtime in your system is enough to cost the business approximately $5,600. On average, the actual hourly cost of downtime on computer systems can range from $140,000 to $540,000, depending on your organization’s size and the scope of our operations. Larger enterprises should anticipate an even higher cost.
So, how does a telecom system downtime affect your company? Let us explore.
The Cost of Downtime to Your WFH Telecom System
Several factors could bring about the above figures. As such, it would help if you understood precisely how downtime in your WFH telecom system could affect your company’s operations and bottom line.
There are numerous disadvantages of your WFH telecom system downtime to your company. Besides the annoyance that it brings about, lousy network connection could also lead to a significant financial loss in terms of lost productivity and reduced sales.
Here are the primary ways in which a telecom system downtime could affect your company:
In the post-pandemic business world, companies are heavily dependent on WFH telecom systems and services. From telephone networks, virtual chat software, and emails to customer-facing support solutions and task management systems, downtime can bring your business operations to a screeching halt.
As more companies, particularly the smaller ones, shift to cloud applications, staff will have nothing else to do whenever there’s a downtime, rather than wait for the systems to be restored. Most of the time, you may end up paying rent, salaries, and other costs with no meaningful work done during the downtime.
Even after restoration, system downtime will continue affecting business productivity if the outage affected part of a supply chain. If one area encounters delays, other areas will have problems as well. As such, the company’s overall productivity will reduce.
In the current times where most companies are conducting business online, any form of downtime means audiences and clients can’t access you; hence they’ll opt to shop from a competitor. A smaller customer base translates to reduced revenue. If your business model relies on telecommunication systems and network availability to offer services, downtime will prevent you from connecting with your existing clients.
The stakes are high, and more speed equals more revenue. A slow-loading page doesn’t just put the customer’s patience to test; it could also mean a ‘fail’ in customer experience that cost you one sale. According to Unbounce’s 2019 Page Speed Report, 70 percent of consumers acknowledge that page speed influences their purchasing enthusiasm. What’s more, faster loading time also increases their chances of returning in the future.
Given the stakes, a slow WFH telecom system is unacceptable, much less an overall service loss.
Damaged Brand Reputation
A simple loss of network access could lead to immediate pain in terms of lost opportunities and productivity. But with an entire telecom system downtime, your company will experience harmful, long term implications to the brand reputation.
If your clients frequently experience server outages that prevent them from accessing and using your products, they’ll share their bad experiences with others. Negative word of mouth could drive potential customers away, and you’ll remain with the uphill task of rebuilding your reputation and winning back public trust.
Amazon, for instance, is among the key cloud industry players. Despite this, the platform has dealt with a damaged reputation due to several server outages and a low SLA (service level agreement) that causes approximately 52.56 minutes of downtime annually.
Given the massive potential impact, smaller establishments have to seek proactive solutions for the lowest downtime.
Any telecom system downtime that comes with the risk of potential data exposure or loss is a nightmare scenario for any company. While most telecom solution providers offer robust data backup systems, an unanticipated interruption to network access could lead to unfavorable consequences.
For instance, files may end up corrupted or damaged, and you may experience network security failures. These could create loopholes for cyberattacks, and you may end up with compromised or destroyed data. Despite having secure backups, customers will panic when they suddenly can’t access valuable data. The result will be lost confidence, and they may seek more reliable and secure services elsewhere.
Your clients want to be fully assured that they can access services and products whenever the need arises. In most instances, service providers offer the guarantee as an SLA uptime contract. In essence, this carries specific communication on the financial remuneration to expect whenever they experience server outages.
It’s one thing when you encounter manageable software problems due to system downtime, but it’s quite another if the telecommunications outage results from downtime by the data center provider or third-party cloud.
You may demand compensation from your provider in such a case, but this will have a minimal impact on the damaged brand reputation. What’s more, it can’t make up for the lost productivity and opportunities.
Downtime in your WFH telecom system can impact businesses in many ways now that more companies rely on communication solutions for remote work. Whether it’s the traditional telecom systems like phones or advanced, integrated systems that rely on servers and computers, downtime can significantly affect your productivity and snatch you of great opportunities.
Fortunately, you can avoid these negative implications through proactive services. Working with E&E Tech will help you minimize the risk of downtime, and you’ll uphold the reputation of a reliable brand. With over ten years of experience, you can count on us for upgraded IT systems and comprehensive technology solutions.