Why Are Businesses Still Reluctant To Invest In Technology?

It’s 2018, so businesses, private and public, are splashing the cash on technology on securing a bigger market share, right? No, not according to an article by The Guardian that puts the UK at the bottom of the OECD study concerning transport. Britain also ranks low regarding IT systems and machinery. The conclusion is obvious: businesses are reluctant to invest even in this day and age.
With all the pros, it’s difficult to imagine why this is the case. Use technology properly and the company is bound to increase sales and expand. So, what’s putting these “leaders” off? Let’s take a look and find out.
Brexit
Come on; there was no way Britain’s exit from Europe wouldn’t be a factor. It’s an easy excuse to make, yet there is little doubt bosses are worried about the future. Recently, Theresa May released the Government’s objectives in an attempt to quell unrest, yet it only seemed to have the opposite effect. The leaders of Europe don’t inspire confidence either with their constant quips and remarks. A hard Brexit is on the cards. To business owners, it makes no sense to invest now when there are extra costs on the horizon. Some companies might have to leave the country, which is a daunting prospect with a suitcase of hardware.
They’re Scared
Don’t forget about the responsibility owners take on when they buy new equipment. The CE marking requirements require businesses to operate in line with European guidelines. Those involve health, safety and environmental legislation. Make one false move with a piece of machinery and the company might end up in court facing a lawsuit. They find the prospect incredibly frightening. Plus, there is the AI theory. Not to sound apocalyptic, but AI has the potential to take over the world according to Hawking and Musk. Would you want that in your office watching your every move?
The Cost
As always, decisions come down to pennies and pounds. What an owner wants to know is the impact of the purchase. Yes, it can push growth, yet it isn’t set in stone. However, the old tech works fine and does everything the company needs at the moment. Entrepreneurs can be creatures of habit, and that means they aren’t going to take risks with gadgets they don’t understand. Playing the percentages, in their eyes, encourages being safe and sticking with what you know rather than gambling. And, the cost is a massive gamble.
Time
Consider this. These bosses are forward thinking, fearless men and women with plenty of resources. What holds them back? The answer is time. To install new software and hardware means shutting down and going offline. Perhaps the IT technicians can do it in stages and limit the damage, but, still, it’s going to cause disruptions. Almost every company can’t afford to waste time even if the long-term impacts are potentially positive. After all, there is training to consider also.
You might not agree with the decision, but can you see why some bosses make the decisions they do regarding technology?