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May 9, 2009
The Top 12 Technology Mistakes Small Business Make And How To Avoid Them
Originally published at: http://www.isnare.com
Have you ever had that ominous hunch that something bad is going to happen - and
then it does? Unfortunately, this gut-wrenching feeling is far-too-familiar for
small businesses facing the complexity of information technology.
By its nature, IT is a confusing, expensive and forever-changing animal. Hardware
and software sometimes becomes obsolete within months, let alone a few years. And
thanks to budget restraints, many small businesses fall into lethal traps like
hiring inexperienced personnel to handle their IT. But it only takes a single
mistake to lead to a catastrophic loss of company data, and starting over can b
e heartbreaking.
Fortunately, it doesn't have to be this way. There are many ways small business
owners can learn from the mistakes of others. As a veteran IT professional on the
front lines each day, I've listed the top twelve most common errors that small
businesses make with IT.
Mistake #1: Using non-functional back-up software
Many small business owners assume that just because hardware or software
is present, data itself is protected. This is a terrible assumption. Just
because a server has an appendage that looks like a tape spooler attached
doesn't mean that tape spooler is actually working. At a bare minimum, small
businesses should perform regular testing on backup software every two months.
It is far more costly to recover lost data than perform the proper testing
of backup systems.
Mistake #2: Using mass-market equipment to run business-class tasks
Using mass market equipment to run business operations is a fatal error in
judgment. That $49 router from Best Buy will simply not perform like a
commercial-level one will. The products created for business are expensive because
they're designed to keep a company up and running at all times. Many small business
owners cut corners just to keep their budgets down, but using inappropriate equipment
can cause an extraordinary loss of manpower and resources.
Mistake #3: Overextending the technology lifecycle
That five-year-old PC your receptionist is using probably won't hurt your business
when it dies. But if the 10-year-old server under her desk does, it can cripple
your entire company. All technology has a set lifecycle. Manufacturers call
this life cycle MTBF, or mean time between failures. Any IT person worth their
salt can see how many errors hardware or a server is making and judge when it
needs to be replaced. Servers and PC hardware, in general, have a lifespan of
about 3-5 years. This lifespan depends on how much this equipment is used,
but if you're not backing up your IT elements or replacing them often enough,
you should start by doing it now.
Mistake #4: Having a "set it and forget it" mentality
This is perhaps the most common error small businesses make when building
their technology infrastructure. Make no mistake: IT hardware and software
requires routine regular maintenance and adjustment. Think of your IT
infrastructure as you would an automobile. If you forget to put oil in your car,
your engine will die. Servers and software need continual care so they can perform
at optimal levels. As a small business, you should hire someone who can see the
Big Picture. If you don't, the question becomes not if you'll have a problem, but when.
Mistake #5: Buying new software while skipping hardware upgrades
This problem stems from the over-marketing of new upgrades from software
manufacturers. Each company wants you to upgrade to the latest version of
software -- some even make it impossible for you to function without these
upgrades. But many of the newer software platforms require you to upgrade
your hardware simultaneously. Many small business owners upgrade their
software without even thinking about the hardware, which may not only impact
other systems, but cause catastrophic performance problems for your overall IT ecosystem.
Mistake #6: Going cheap, regardless of the consequences
Everyone knows that IT -- from new software to hardware implementation -- is
expensive. But not too many small business owners know why. IT elements often
cost more because they require a migration from another system or the completion
of complex tasks to work optimally. Unfortunately, this is why small businesses,
time and again, find themselves in an untenable situation: they choose the
cheapest software only to find that some extraordinarily important piece is not
included in the purchase. So conduct your due diligence. Buying IT equipment
is just like buying a house - and you should only be comfortable when quality
workmanship is involved.
Mistake #7: Forgoing user training
This is a problem that's less about equipment and more about human nature.
Training is an absolute must for small businesses. Without the proper training
on software or hardware, well-intentioned equipment purchases are useless. Small
business owners should train their employees on all IT elements whenever
possible. A well-trained staff and a solid set of IT equipment will save your
company time, money and plenty of headaches. Preserve your investment by keeping
staffers up to speed.
Mistake #8: Working without a plan
Planning out IT initiatives or upgrades is a task that should be done, at the
bare minimum, once a year. Many companies do this annually just to line up their
equipment with pending corporate initiatives. This is a great practice. Mapping
out your technology path can impact your entire business. Each small business
should not only budget for new hardware, software upgrades or other technological
elements, but for additional manpower and technical support. If you plan ahead,
that software upgrade or mandatory hardware migration will no longer jump out from nowhere.
Mistake #9: Skimping on security
If you do one thing after reading this article, it should be this: take your
security seriously. Many small businesses find it inconceivable that someone
would target their business or try to steal their valuable data. Unfortunately,
this is the furthest from the truth. Security has become the number one issue
for IT environments in the past few years, thanks to online scams, vulnerability
in software and networks using improper architecture. As an IT expert, I've
come across small business systems that are so vulnerable, their accounting data
is readily available on the Internet. Other systems have no anti-virus software
or no malware protection, but plenty of insidious spy ware working overtime,
capturing everything from login names to passwords. At some small businesses,
I've seen criminals use open ports to hack into security camera footage -- just
to plan a robbery. Spam, malware and viruses pave the way for a devastating
security breach. Don't let it happen to you.
Mistake #10: Using under-qualified people for IT support
On its face, leaving a friend, neighbor or relative in charge of your IT is not
necessarily a bad move. But assuming they're capable of such responsibility just
because they can download and install software is. An under-qualified person can
never give you good IT advice. Because they've fallen into this trap, many small
businesses actually end up spending more money just to correct the mistakes of
an under-qualified IT person. If you need outside support for your IT environment,
always ask for certification and credentials. A good IT person is always trained
and certified to work within the complexities of an IT environment.
Mistake #11: Not knowing what you have?
Ever wonder what's in your IT room? Well, you should. Sometimes small business
owners are so busy running their shops that they forget to count their software
licenses or keep inventory of how many PCs they have. While countless businesses
played it fast and loose years ago, one can't afford to do that now. Strict asset
management requirements - straight from the U.S. government - demand that you
keep tabs of what you own. The companies of today that wave off asset management
may find themselves unable to get a loan or other financing. Asset management is
critical. Conducting your first inventory, especially if you've been in business
for some time, may be an expensive task. But it will save you much heartache in the long run.
Mistake #12: Using pirated software
Software licensing rules can seem quite unfair. Many small business owners
wonder why they should purchase more copies of software when they can simply use
one for all their machines. With older software, you could probably get away with
this. But with today's ultra-sophisticated software, it's simply a losing bet. Some
software companies are cracking down so hard that when you download updates, it
alerts them when the software has been used more than once. A company can disable y
our software completely at just the click of a mouse. Even worse, you could end
up facing fines of upwards of $100,000 from the Business Software Alliance. Keep
your software licenses up to date and you'll never find yourself in this situation.
Many of the problems tackled here can easily be remedied by using a qualified
IT professional. Many IT companies now provide flexible, affordable packages
that cover maintenance, support and the overall health of your IT environment.
So take your time and do your homework. Plan ahead, spend wisely and hire qualified
personnel. The money you spend on IT in the short run may feel like an incredible
investment at the time, but it most certainly will pay off in the end.
About the Author
Brian Roach serves as President & Chief Executive Officer at Evolve Partners,
Inc. and has overall responsibility for execution of the corporate strategy, marketing,
and portfolio development.
Evolvepartners.com
Published At: http://www.isnare.com
Permanent Link: http://www.isnare.com
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