By: Marina Petz
You've heard the saying before, time is money. How does this relate to your network you might ask? Your business relies on your network more than you think. Your network is constantly working in the background to support your business. At the end of the day when you and your staff call it a day, your network continues running throughout the night. It continues into the morning, starting the cycle over again as everyone returns to their desks.
What happens when your network suddenly goes down, leaving your employees with no way to get their work done? How much does that network downtime cost your business?
Below we've provided some statistics, and equations, to help you understand the importance of having a secure, updated and reliable network solution.
On average, what's the cost of network downtime for a business?
- According to a Gartner Study based on industry studies, they found that unplanned network downtime can cost a business an estimated $5,600 per minute. Yes, you read that correctly. Per Minute.
- Gartner also stated that depending on business operations, hourly downtime can cost a business anywhere from $140,000 to $540,000 per hour.
How can you calculate the cost of downtime per hour?
- The Cost of Labor Per Hour: When your employees are unable to work due to network problems, it directly impacts their productivity. (Number of employees, average employee wage an hour)
- The Estimated Revenue Loss Per Hour: This can be determined by gathering your gross annual revenue, the number of days your business is open throughout the year and how many hours per day your business is open.
Once you have that information, you can divide your gross annual revenue by the days your business is open per year by the hours per day your business is open. This will give you an estimated revenue loss per hour!
When your company IT isn't working as it should, it can often feel as though it's working against you, slowing down your staff and causing downtime. Every minute of a network downtime is precious time that directly impacts your workflow. Is it time for a network checkup? Reach out to us at CCR!