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Return on Investment and Risk of Inaction
by Coordinated Business Systems on Feb 13, 2025 7:00:00 AM
When businesses evaluate new campaigns, services, and technology, they often focus on Return on Investment (ROI), a measure of how much value they’ll get from their spending. What’s often overlooked is the Risk of Inaction and the potential losses from not investing in necessary tools and services.
Managed Network Services and office equipment are areas where ROI goes beyond simple cost reduction. They play a critical role in productivity, security, and long-term financial stability.
The ROI of Managed IT Services
Preventing Downtime and Costly IT Failures
Unplanned downtime costs businesses an average of $9,000 per minute (Gartner). By working with a Managed Network Services partner, organizations are able to proactively monitor networks, fix issues before they escalate, and minimize disruptions, saving thousands in lost productivity and emergency IT repairs.
Example:
A company with 50 employees losing just one hour per month due to IT issues could waste 600 hours per year (50 employees × 12 hours). If employees average $30/hour, that’s $18,000 lost annually simply on downtime.
Cybersecurity: The Cost of Protection vs. the Cost of a Breach
Small businesses are a prime target for cybercriminals, with 43% of cyberattacks aimed at SMBs (Verizon Data Breach Investigations Report). Yet, many organizations underinvest or don’t invest in cybersecurity due to perceived high costs. Understanding the cost of a data breach makes the cost of a data breach makes paying for Managed IT and cybersecurity seem like a no-brainer.
- The average cost of a data breach in the U.S. is $9.48 million.
- Ransomware attacks cost businesses an average of $1.85 million per incident (Sophos).
- 60% of SMBs close within six months of a cyberattack (U.S. National Cyber Security Alliance).
The ROI of Office Equipment and Document Management
Increased Productivity with Modern Office Equipment
Outdated office equipment leads to slow processing, frequent breakdowns, and wasted time. Multifunction printers (MFPs) and document management systems streamline workflows, reduce paper waste, and enhance digital collaboration.
Reducing Hidden Printing Costs
The true cost of printing includes toner, energy consumption, maintenance, and wasted prints. Unmanaged print environments lead to unnecessary expenses that add up. 90% of businesses don’t track printing costs, which can amount to 1–3% of annual revenue (Gartner). Once these organizations implement Managed Print Services, they’re able to cut printing costs by 30% or more.
Example:
If a company spends $50,000 annually on printing and reduces costs by 30% with MPS, that’s a $15,000 annual savings.
Make Smart Investments, Avoid Costly Regrets
ROI isn’t just about how much you save, it’s also about what you prevent from losing. Whether it’s managed IT or office equipment, failing to invest can lead to security breaches, compliance fines, productivity losses, and costly downtime.
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