The Cost of Downtime and the Significance of Business Continuity

10/08/20

This chaotic year has reaffirmed that even the best laid plans can’t account for some wild card that can bring your business to a grinding halt. Now that we’ve adjusted to the “new normal,” are you taking the cost of downtime and significance of business continuity seriously?

According to a recent survey, way too many small to mid-sized businesses still lag behind in this regard. Data security firm Infrascale asked 500 executives at SMBs, and about 16 percent admitted they do not know their organization’s own Recovery Time Objectives, although almost a fourth (24 percent) expect to recover their data in less than 10 minutes. Another 29 percent expect to recover in under an hour.

The disparity between readiness for recovery and the expectations shows just how far off these executives understand the nature of the data recovery process. Even more problematic, they may not fully understand the ripple effects downtime could create if there isn’t a speedy resolution.

Some of the more obvious costs of IT downtime include lost sales revenue, lost employee productivity, corruption and gaps in mission-critical data, and damages to equipment and assets. However, other potential ramifications include the cost of fixing systems and core business processes, damaged reputation with clients and stakeholders, loss of employee morale, regulatory and compliance violations, and disruption of the supply chain.

If that list doesn’t grab your attention, the dollars will. Ten percent of Infrascale’s respondents said their per-hour downtime cost was more than $50,000. Another 13 percent said that figure was between $40,001 and $50,000, and another 25 percent of SMB executives said the per-hour cost of downtime for their organization was between $20,001 and $40,000.

Despite the trouble that can stem from downtime, 19 percent of the B2B survey group said they do not feel their business is prepared for unexpected downtime.

Does your organization understand the cost of downtime and significance of business continuity? You need a partner you can trust. It is hard to navigate your security solutions and IT disaster recovery plan without outside help. 2W Tech is a technology service provider that has IT Consultants on staff that specialize in security solutions. Give us a call today and let us help guide you avoid the cost of downtime by maintaining your business continuity.

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