Over 3,000 business and IT leaders were surveyed about data security, management challenges and successes, including the impact of 2020 on IT. Strive for Operational Excellence with the insights from this report. Download the management summary for an overview of the results.
Downtime costs money in a variety of ways as the lack of data disrupts business processes, but organizations will also experience non-monetary consequences due to downtime or data loss.
The most common negative effect and main concern was loss of customer confidence. Due to a poor customer experience during an unexpected outage, 51% of downtimes have damaged a company's relationship with customers. This was closely followed by damage to brand integrity, which caused 44% of downtime incidents.
A customer who has a negative experience with a company's service due to unforeseen circumstances is extremely painful, and it's not surprising that customers will think twice before returning for further business . However, it is not just the customers who can suffer the consequences of downtime; there are also the employees.
Loss of employee confidence ranks third with 33% of downtimes being impacted. Employees want their organization to be profitable, sustainable, and a good place for them to build a career. But when IT routinely struggles, the rest of the workforce can't do what's required of them — leading some to seek work elsewhere.
Other consequences include the withdrawal of funds from long-term or critical projects (23%), submission to lawsuits (21%), lower stock price (21%), and license withdrawal (16%).