Overcoming tech-phobia: Making smart technology investments

Tech-phobia still remains one of the key stumbling blocks to new technology implementations. Chris van Niekerk, country manager at 3Com SA, looks at ways to overcome this hurdle and embark on a programme of new-generation technology updates - for the benefits of the business, its customers and staff.

The variety and sophistication of today`s hi-tech equipment and software can seem daunting. But it`s not only possible to face this question head on - it`s absolutely necessary.

Investing in technology - software or hardware - must be part of an overall business plan, no different than deciding whom to hire next, where you locate, or how you finance expansion.

And like those other business plan components, technology is not simply a cost, it`s a competitive advantage. More importantly, a business that invests sensibly in technology is better positioned to grow and expand.

The following are four basic principles 3Com recommends to help you decide where to make that technology investment:

Today`s business mantra is ROI - return on investment. Technology is no exception. Will an investment help you reduce expenses? Will it help increase sales?

Think about how you would measure ROI as well. Investing in a new network and server may seem like a significant expense, but it could increase productivity if your sales staff gains more immediate connections to product inventories from a remote location. That in turn could allow staff to spend more time in front of more customers.

Security should never be an afterthought. Firewalls, data encryption and other measures can save any organisation money. It takes only one hacker or disgruntled employee to destroy a business.

The loss of information and/or disruption to business (not to mention legal fees) could shut down a business permanently. Learn or consult with someone who can advise on the minimum security requirements.

Do you have time or the expertise to worry about your technology, how it works or if it`s working? Look for technology that is simple, reliable and easy to use. Don`t be satisfied with complex technology equipment or solutions: demand something simple to install, operate and maintain with minimal technology expertise and resources.

Most businesses recognise the value of developing an e-business strategy that includes online marketing, 24x7 customer information and the potential for round-the-clock purchasing. But many businesses are not prepared to adapt or grow their e-business, and delay technology upgrades until business demands outstrip their existing technology.

By then, it`s often too late. Opportunities have been missed. Consider future-proofing your business by incorporating systems and software that can grow easily as you grow.

Applying these guiding principles in practical terms requires organisations to consider where first to initiate technology investments. A sensible place to start is the network, which acts as the nervous system for any business. Ignoring the quality, speed and contribution of a network`s performance can be disastrous. Losing an Internet connection or customer data can directly affect the bottom line.

Increasing the capacity and speed of your computer network can make your business appear and act more like a big business. Bigger pipes can help improve internal employee productivity and increase the customer base. A well-designed network can mean the difference between dependable customer service and disgruntled patrons.

Many businesses do not have the capital necessary to "supersize" their network at one time, but can consider upgrading key features. A storage server for file storage, and new network cards to speed network performance may be a simple solution to revitalise a sluggish network.

Mobility is also important. A wireless network may be another option to running a dynamic business. wireless local area networks (WLANs) are now more practical for businesses because they`re simple and affordable. Wireless is a great choice for creative and collaborative workplaces looking to unfetter employees.

For smaller businesses, wireless can save hundreds or thousands of rand on office reconstruction and wiring and cabling costs, particularly for those that are growing or moving offices.

Finally, a consultant or reseller can be a business owner`s best friend. But make sure you shop around for the right fit at your price. There are several options, ranging from outright purchasing to leasing new equipment.

Since keeping current with the latest technology is critical, many lease programmes allow a business to upgrade leased equipment for better hardware and software. Overall, determining your cash flow expectations against business requirements is an effective way to determine the best option.

Experts say that one of the reasons for business failure is that they "didn`t plan". More than 80% of start-ups that have a business plan are still in business three years later. Technology should be an integral part of any business plan, not an afterthought. By applying the four guiding principles, any business can use technology to contribute to its overall strategy and enhance its competitive-edge.