These days, most companies in Singapore rely on their technology in order to operate efficiently. But even with years of using technology, budgeting for your IT services and maintenance can still be very challenging and tricky. Failing to account your technology expenditures can significantly affect your business operations. To help you keep that from happening, we listed down some of the common mistakes that you should avoid as you start budgeting for your company’s IT needs.
1. Neglecting Staff Support and Training
Investing in a quality training and support for your IT staff is crucial as it allows them to use the technologies you provide in a proper and secure way. Failing to make such investment will surely lead to costly mistakes in the future, as your employees’ lack of knowledge on managing and operating your IT systems could cause some serious business downtime. When you are looking for IT service in Singapore, many vendors offer free training programs for performing specific IT services, so make sure that you include this expenditure as you set your budget for your IT needs.
2. Forgetting to Track Your Technical Inventory
Failing to track your technical inventory is another common mistake that could blow up your IT budget. Yes, monitoring all the components that compose your IT infrastructure might take a great deal of work, but keeping track of all your assets is the only way to ensure that you and your staff are using them properly, as well as to prevent any financial and operational issues on your system from occurring later on.
3. Choosing a Cheap Service Level Agreement
One of the most common mistakes in choosing a service level agreement (SLA) is failing to negotiate the level of IT services that you require from your managed services provider. While you might think that choosing a cheaper service level agreement will help you save extra money, it will actually do the exact opposite. Make sure that you weigh in the differences between a cheap SLA and costly contract. Opting for a cheaper contract might increase your operations downtime, and that could spell bad news for your business.
4. Purchasing the Cheapest System Hardware Available
Getting the cheapest system hardware without researching as to whether or not it is right for your company’s needs is a one way of blowing up your budget. Some small companies in Singapore often commit this mistake, thinking that they will be able to cut down their expenses if they purchase the cheapest hardware that they can find. The easiest way to avoid this is to consider how a particular equipment will affect other machines in your business. Research about the hardware you are planning to buy to see if it will be able to support the IT needs of your business.
5. Utilizing Outdated Equipment
Another mistake that might derail your IT budget is utilizing outdated equipment. Instead of allowing you to save extra money, continuously using an old technology will actually cost you more. Aside from having reliability and security issues, older machines also tend to have higher maintenance costs. So make sure that you consider these factors first before you decide on still using your old equipment.
6. Disregarding the Importance of a Data Centre
Being unaware of the advantages of having a data centre is another mistake that might ruin your IT budget. Although it might drastically increase the monthly utility bill of your business, renting out a space from a data centre can be a more cost-effective option. It will give your servers some good housing and proper climate control. Other than that, most data centres in Singapore also have multiple power sources built in the facility, as well as on-site maintenance in the event something goes wrong with your servers.
7. Failing to Do Some Research Before Getting an IT Solution
Simply taking a managed services provider’s word that their IT services and equipment best fits your business’s needs is one way of derailing your allotted IT budget. The best way to avoid this is to ensure that you do some research before selecting a new IT solution for your company instead of just believing your prospective vendor’s word. Be sure to check other available options first to ensure that you are getting what is right for both your company and your budget.
8. Trying to Keep Up with Other People
Although this mistake is often included in the lists of things you should avoid doing when setting your personal budget, it is also applicable when creating an IT budget for your business as well. Remember that just because your fellow business owners are starting to move their systems to cloud, it does not mean that it is also the right thing to do for your company. Before thinking of investing on a new IT system or solution, make sure that you understand all your available options first so as to avoid going over the budget that you allotted for your technologies.
Planning out and sticking to a specific IT budget might seem challenging, but avoiding these common mistakes will surely help you on staying on the right track of your budget. Make sure that you research what’s best for your company and ask the help of your trusted managed services provider in developing an IT budget that can cater to all the technological needs of your business.