Counting the cost of downtime

In the hustle and bustle of running a business, downtime can be a costly and often overlooked enemy. 

Whether it’s a technical glitch, a cyberattack, or a simple human error, the fallout from unplanned downtime can ripple across your entire operation. And while it might seem like just a blip on the radar, the reality is that even a brief period of downtime can lead to serious financial and reputational damage. Understanding this—and taking steps to mitigate it—could be the difference between thriving and merely surviving in today’s competitive landscape.

What does downtime really cost?

When we talk about the cost of downtime, it’s easy to focus on the immediate loss of revenue. After all, if your systems are down, you’re not making money—simple as that. But the real cost goes much deeper. In the UK, downtime is estimated to cost businesses thousands of pounds per hour, and that’s just the beginning. Beyond the immediate hit to your bottom line, there are other, less obvious costs.

Consider your employees, for example. When systems go down, your staff can’t do their jobs effectively, leading to a drop in productivity. And then there’s the potential damage to your brand. In today’s world, customers expect services to be available 24/7. If your business can’t deliver on that expectation, you risk losing their trust—and once that’s gone, it’s incredibly hard to win back.

There are also hidden costs, like missed business opportunities. While you’re dealing with the fallout of a system outage, your competitors might be capitalising on the situation, winning over your frustrated customers or securing deals that should have been yours.

Why does downtime happen?

Downtime can happen for a variety of reasons, and while some of these are out of your control, many are preventable with the right approach. Technical failures are a common cause—things like outdated hardware, software bugs, or even poor system maintenance can bring your operations to a screeching halt.

Cybersecurity is another major concern. With cyberattacks on the rise, the threat of ransomware or data breaches is something no business can afford to ignore. A successful attack can lock you out of your own systems, forcing you into costly downtime as you scramble to regain control.

Human error is another culprit that’s often underestimated. Simple mistakes—like accidentally deleting crucial files or misconfiguring a server—can have big consequences. And while it’s easy to blame individuals, the truth is that these errors often stem from a lack of proper training or under-automation.

How to minimise the risk of downtime

So, what can you do to protect your business from the high cost of downtime? The good news is, there are plenty of strategies you can employ to minimise the risk.

First and foremost, regular maintenance and timely upgrades of your hardware and software are crucial. This isn’t just about fixing things when they break; it’s about being proactive and addressing potential issues before they become major problems.

Investing in cybersecurity is another must. This doesn’t just mean installing the latest antivirus software—it’s about creating a comprehensive security strategy that includes everything from firewalls and encryption to employee training and incident response plans. The goal is to stay one step ahead of the threats, so you can prevent attacks before they cause serious damage.

Disaster recovery planning is also key. This means having a clear, well-documented plan that outlines how you’ll respond to different types of emergencies. Whether it’s a cyberattack, a technical failure, or a natural disaster, knowing exactly what to do can help you get back on your feet faster and minimise the impact on your business.

And let’s not forget the importance of employee training. Your staff are your first line of defence against many of the risks that lead to downtime. By making sure they’re well-trained and equipped with the right tools and knowledge, you can significantly reduce the chances of human error causing a disruption.

Why it’s worth getting in touch

Downtime is a reality, but it doesn’t have to be disastrous. The technology you use, especially your ERP system, plays a crucial role in how well you can prevent and recover from disruptions. At Orderwise, we know how to equip your business with the right tools and strategies to minimise risks. Our team can help you evaluate your current systems, identify vulnerabilities, and implement measures to keep your operations running smoothly.