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Five tech questions small business leaders should ask
Although small business leaders depend on modern technology, few are familiar with the inner workings of their IT systems. That is typically left to the experts, who are called upon to fix any issues that arise. What SMB1 leaders do need to figure out, however, is how to assess and maximise their current systems.
The first step is to understand what questions to ask. Following are crucial questions small business leaders should pose about their IT infrastructure.
1. What essential systems are dysfunctional, and how can we address them?
To initiate an evaluation of your IT system, begin by asking your staff which processes are not functioning the way they should. If you don’t have an on-site IT manager, consider a CIO-for-hire who can help you figure out what isn’t working and determine a course of action. With budgets slipping because of the economic downturn, your IT maintenance may have become lax. As business starts turning up, make a list of IT issues, prioritising dysfunctional systems based on how they affect your core products and work with your IT specialist to repair and optimise them.
2. Where is our data stored?
Another important step in assessing your business’s IT infrastructure is to determine where your backup data is stored. A CIO-for-hire can help you decide whether you’re better off using on-site servers, which are more costly but usually more secure, or virtualisation and cloud computing, which can help slim your budget but may also provide limited access to data.
You should also consider a disaster recovery plan. Brainstorm disaster scenarios, budget for disaster recovery, create step-by-step instructions, and obtain insurance to help cover potential losses. On the IT side, it’s important to consistently test backup systems and create off-site copies of essential data.
3. Is our data secure?
Once you’ve determined where your data is stored, find out how secure it is. Do on-site servers have firewalls? Are your computers protected from malware? How often are security updates installed? Your IT staff should not only maintain current systems, they should be monitoring for new threats.
4. Is discretionary IT spending maximised?
It is estimated that 80-90% of IT spending is non-discretionary. Chances are most of your IT budget is earmarked for maintenance. Even discretionary funds can increasingly become non-discretionary as you build more and more processes around new systems. A sound IT infrastructure can nurture business for years, so make sure new purchases contribute to your core business. Otherwise, your discretionary IT funds can rapidly vanish.
5. How can improved infrastructure help us grow?
As you prioritise projects for discretionary IT spending, think about your business goals for the next 5-10 years and consider innovative ways that enhancing your IT infrastructure can improve your core services. For example, by installing a company-wide intranet, you can improve communication around client services. (An intranet is a network that is available only to your employees). Your IT manager (or CIO-for-hire) should also figure out how IT resources are actually holding back growth. Often, improved IT infrastructure leads to better business intelligence.
By asking these questions, small business leaders can strengthen their IT infrastructure and ensure smooth business operations in the future.
Small and Medium Business↩︎