Do You Know How Costly Internet Downtime Could Be to Your Business?
Do you have a backup plan, in case you lose your internet connection? More specifically, do you know how much it will cost you to get back up and running and how much you could lose in real terms? These are important questions for any growing organisation and it’s best if they are addressed before disaster strikes. How can you calculate your real-world risk?
It’s not unusual for a serious outage to last for several days at a time. Each organisation can expect to experience at least one connectivity issue per year, which will prevent them from trading or being able to access vital online resources. Many organisations do not have any backup plans and cannot switch over to alternative connections, in order to remain “live.”
Internet failure can be attributed to many different factors. Some of these will be accidental, many will be out of the business owner’s control and other events could be linked to malicious attacks. If your organisation relies on connectivity for marketing, CRM, accounting or communication, this will certainly add up to a lot of trouble.
In order to calculate how much this is likely to cost your organisation, you need to determine your essential operating costs. You can begin by working out your revenue per working hour, by dividing your annual turnover by the number of working hours in a given year. You can also calculate the total cost of your staff per hour and this will show you how much you will waste in terms of salary cost, should your employees be forced to sit around.
Add your revenue per working hour to the cost of your staff (per working hour) and then multiply this figure by the anticipated number of hours of downtime. You’ll quickly see that your real-world costs are significant and, in most cases, will run into five figures.
Don’t forget that you may have to add other costs as well. For example, in a heavily regulated industry, you may attract penalties if you’re unable to service your customers. You may have to incur additional salary costs if you have to introduce overtime in order to catch up from the downtime. Furthermore, you may have to reach out to your customers to pacify them with some form of sweetener, gift voucher or discount code.
It’s far better to invest in solutions that will help you to mitigate any issues and quickly recover from any unexpected downtime. When you choose Datto Networking Edge Routers you can remain connected and eliminate downtime, by taking advantage of fully integrated 4G LTE internet failover solutions.