With the popular media focus on the economy, it is natural for the “Tech” press to report on the impact of current economic conditions on IT plans and spending. Much of the discussion has focused on whether companies will spend on IT initiatives or will they hold off until the economy improves.
I prefer to ask a different question:
On what will you be spending your IT dollars?
For me, IT spending is not a matter of if, organizations should focus on what and when.
For many reasons, now is the time to move to cloud solutions.
- Ability to Move: For many small and mid-size enterprises, boom times are too busy to upgrade IT systems. During a slow-down, companies can allocate resources to IT projects more easily. Successful IT projects are not just technical, they need the involvement and support of managers and end users.
- OpEx vs CapEx: Upgrading traditional in-house systems requires up front capital, requiring many businesses to borrow or to use valuable cash on hand. Given the current economy and credit markets, both options pose a challenge. Cloud Solutions, on the other hand, are an operating expense. You pay for what you use, when you use it.
- Lower Costs: For most organizations, cloud solutions will save them money. Not just in terms of dollars out the door, but in terms of improved communications and efficiency.
- Stagnation: Organizations that fail to maintain and upgrade their technologies risk stagnation. “Catch up” efforts always cost more than prudent maintenance and incremental updates.
- Preparedness: When the economy turns around and growth returns, will you be ready? Sound planning and effective improvements can prepare you for the next uptick in business and your next round of growth.
Interest in learning more about how cloud solutions might benefit your organization? Contact me. I am happy to explore opportunities and options with you.