How Much is Outdated Technology Costing Your Business—And the Environment?

For many modern consumers and employees, “going green” isn’t just a fad—it's a determining factor in which businesses they trust and will invest in. In fact, a recent study found that 84% of those polled say that poor environmental practices will alienate them from a brand or company.  

Armed with this knowledge, your business might be one of many who are looking for ways to lessen your carbon footprint, operate more efficiently, and present a more environmentally friendly face to your important customers. Did you know that your outdated, on-premise technology may be the thing holding you back? 

Don’t worry: there’s an easy solution that can fix that. Cloud-based automation is on the rise, not only because of its efficiency and accuracy, but also for its lower impact on the environment when compared to more traditional systems. In this blog, we’ll take a look at what on-premise technology is costing you, and why making the switch to cloud-based solutions won’t just save you money, but energy too. 

The True Cost of Outdated Technology 

We get it: the thought of changing your established software and hardware systems can be overwhelming. But the fear of change may be costing your business more than just money—it can be a drain on business efficiency, staff motivation, and the environment itself.  

Operational Costs 

Older software and hardware have a number of setbacks in today’s modern, digital age. Hardware, in particular, comes with several constant costs, like server maintenance, upgrade fees, and physical repair fees. Outdated software isn’t a safe bet either, as it may be unable to integrate with newer systems, causing data backlogs and more work for your staff.  

Relying on these old systems can result in operational inefficiencies, negatively impacting your bottom line, your important supplier relationships, and your business’s overall health. 

Personnel Costs 

It’s not just your processes that suffer as a result of outdated software. 

In a survey by PayCom, 77% of employees reported being “fed up” with outdated technology—to the point of being willing to take pay cuts to encourage their organizations to adopt more modern, effective software.  

Given the current shortage of accounting professionals, keeping the finance team happy is paramount for most organizations. Continuing to rely on old tech can result in employee frustration, burnout, and even staff turnover.  

Environmental Costs 

As we touched on previously, many people factor in a business’s environmental awareness into their decision to purchase items or services from them. If your business still uses dated software and hardware, it can rack up environmental costs, like: 

• Pointless Paper Waste: Not only is this a high spend item, but excessive paper usage itself isn’t exactly environmentally friendly. This can come in the form of paper checks, paper documentation, and other paper-based processes that bog down not only your physical space for storage, but also eats away at one of the planet’s most important renewable resources.  

• On-Premise Storage: Servers consume an enormous amount of energy. They also require a large enough space to maintain the right temperature to operate, driving up your electricity bill and overhead fees even more. As more and more organizations make the move to cloud-based software to avoid these pitfalls, your organization will stand out even more as it clings to these old operating systems. 

• Gas and Delivery Costs: If your organization has to deliver paper checks and important documents physically, that means someone has to transport them. That means the cost of gas, travel, and any other environmental impacts are factored into those items being delivered—a high cost, especially considering how quickly ACH payments can be processed in the modern world.  

How Cloud-Based Solutions Save You Money—and the Environment 

On the flip side, cloud-based solutions are an ideal solution for modern businesses looking to operate more efficiently and achieve better environmental performance.  

How? 

For those concerned with operational costs, cloud-based software has been proven to streamline key back-office processes, from document management to invoice routing, turning traditional functions into efficient powerhouses.  

Worried about employee adoption or engagement? 69% of respondents said that using cloud-based systems improved their productivity, job satisfaction, and their overall impression of their organization.  

Looking to boost your environmental awareness and energy conservation efforts? Cloud-based software users consume 77% fewer servers, 84% less power, and reduce carbon emissions by 88% on average by using the cloud.  

DocuPhase’s cloud-based automation solution can reduce paper usage, eliminate manual tasks, and transform how your organization stores, manages, and processes important data. Schedule a demo with one of our automation experts today to get started on your cloud journey!