Businesses Would Rather Lose Revenue Instead of Data, Logically Study Shows
Small and Midsize businesses cite difficulty recruiting, hiring and retaining IT talent as technology needs grow
PORTLAND, Maine, September 18, 2019: Information technology is—more than ever—a business-critical component of the operations of small to midsize businesses. However, even while recognizing the vital role information technology plays, businesses are under-investing in IT, according to the 2019 Small and Midsize Business IT Study, commissioned by Logically, the leading provider of Managed IT Services to small and midsize organizations.
The survey revealed a staggering number of IT problems that companies struggle with—and what they’re doing (or not doing) about it. Probably the most shocking result, though, was that 60 percent of business decision makers (“BDMs”) would rather lose half their company’s revenue growth for next year than lose half their company’s data.
The majority of business decision makers recognize that IT is strategically and operationally critical, yet two-thirds of BDMs (66%) agree their companies’ investments in IT are not keeping pace with their growing technological needs.
Businesses are focused on implementing cloud technologies to streamline processes wherever possible, however the lack of expertise in specialized IT areas often is a major problem, particularly for businesses that have smaller staffs. Nearly half of BDMs (45%) agree their company does not have people with the right skills to get to where they want to be in cloud adoption.
The critical shortage of uniquely skilled professionals in the labor pool only magnifies the challenge of maintaining an internal IT staff. Business decision makers cite difficulty retaining IT staff (59%), difficulty recruiting and hiring IT staff (57%) and lack of time for strategic focus due to day-to-day technology issues (46%) as the biggest IT challenges. More than a third of BDMs (34%) see lack of IT skills in emerging areas such as cloud, mobility and security among the biggest challenges facing their IT staff.
In addition, the lack of IT expertise is a major problem for small to mid-size businesses when it comes to keeping their organizations running smoothly. Nearly half of companies (46%) admit it has taken 3 or more days to resolve an IT-related issue, due in part to the lack of specialized staff and deficient IT processes.
Based on the survey results, it’s also clear that businesses are exploring outsourced options to increase IT capabilities. Specifically, a third of companies (33%) currently outsource some of their IT activities and another 40% have plans to do so. The reasons cited in the study include the need for improved data security (58%), the reduction of system downtime (57%), along with reduced operation costs, improved customer experiences, improved productivity and increased revenue.
“Small and Midsize organizations are struggling to keep up with today’s business-critical information technology.” said Jeff Loeb, CMO of Logically. “Companies are searching for cost-effective ways to find qualified IT talent to handle the complexities of cloud migrations, explosive data growth, regulatory compliance and data security. That’s why businesses are increasingly turning to trusted IT managed service providers like Logically.”
Among the reasons that businesses have or plan to outsource IT activities, BDMs cite increased cyber security protection and reduced risk as the top benefit. Followed by more reliable system performance and uptime, and access to expertise. The survey also showed that 52% of BDMs are concerned about cloud security and 50% are worried about computer viruses and malware impacting their organizations.
To review the full 2019 Small and Midsize Business IT Study, click here.
For more information on Logically and their managed IT services for small to mid-sized businesses, please visit: www.logically.com
The Logically Survey was conducted by Wakefield Research (www.wakefieldresearch.com) among 250 business decision makers or owners at small and mid-sized businesses, defined as those with annual revenue of $5m to $50m.
Logically is the leading Managed IT Service Provider (MSP) to small and midsize organizations, and is the ChannelFutures 2019 Digital Innovator of the Year. We take care of your Information Technology, so you can take care of business. Since 1999, we have made IT management easy and secure for hundreds of corporations, healthcare organizations, nonprofits and public sector agencies. We set the standard for responsiveness and operational excellence for organizations seeking to augment existing IT teams or outsource IT completely. Logically, powered by OpLogic™, our unique Intelligent MSP platform, cost-effectively amplifies our customers’ competitiveness. We strategically implement and manage the right balance of mature and emerging information technologies that improve collaboration, security, cloud adoption, customer experiences, productivity and business results. Coupled with the support of our dedicated Care Teams, we deliver deep and complete technical expertise and customer service. As your trusted IT ally, we will run through brick walls for you. Visit www.logically.com to learn more.