---
title: Business Impact of Delayed IT Decisions
description: "IT Strategy, IT Process, Business Strategy, Revenue, Technology Impact, Payroll, Technology Cost, IT Alignment,\nCompetitive"
---

[ENC Solutions](https://encsolutions.ca/blog)

# [Business Impact of Delayed IT Decisions](https://encsolutions.ca/blog/business-and-technology-risks-expectations-vs.-reality-0)

 Written by [Gurmeet Judge](https://encsolutions.ca/blog/author/gurmeet-judge) | Feb 25, 2020 12:00:00 PM

If you have a [growth mind](https://encsolutions.ca/blog/technology-impact-on-revenue) set and have goals and [objectives](https://encsolutions.ca/blog/3-ways-to-it-strategy-and-roadmaps) to reach, your most precious resource isn't money, it's time. You can't buy yourself [more time](https://encsolutions.ca/blog/timingisnotright), which is why you have to make every decision with timing in mind.

Technology [cost](https://encsolutions.ca/cost_hardsoft) is usually a small cost compare to other business expenses, however it [impacts most](https://encsolutions.ca/blog/understanding-soft-cost-of-technology-it) critical items in business [revenue](https://encsolutions.ca/blog/technology-impact-on-revenue)and [payroll](https://encsolutions.ca/blog/technology-it-impact-on-payroll). So why business leader are hesitant about their IT decision. Is it lack of IT understanding or correct information?

You can read previous blogs to understand [IT Decision](https://encsolutions.ca/blog/1-reason-why-leaders-struggle-with-business-decisions) impact on [Payroll,](https://encsolutions.ca/blog/technology-it-impact-on-payroll) [Revenue](https://encsolutions.ca/blog/impact-of-it-decisions-on-your-revenue-payroll-profit) and [Profit Margin](https://encsolutions.ca/blog/3-items-impact-your-profit-margins). So then why business leaders tend to delay IT decision,

**Here’s top 3 reason why business leaders tend to add more time into their decision**

**Budgetary Issues: Cash flow won’t allow**

Some business leaders believe that they have an option to delay [IT Operations](https://encsolutions.ca/blog/symptoms-of-low-performing-it-department-technology) and defer cost for future. However, the fact is that this is not true, IT Operational cost is simply a cost of running business. Technology cost is a small item compare to other business expenses, but technology [impact or technology](https://encsolutions.ca/blog/understanding-soft-cost-of-technology-it) related soft cost is much higher cost. If business owners are not willing to invest in IT operational cost, they will end up paying many times higher than operational cost in IT [related soft cost](https://encsolutions.ca/blog/true-cost-of-in-house-it-staff).

In other words, decision on hand is not whether to pay for IT Operational cost. Perhaps the decision is whether to pay much lower IT Operational cost or pay many times more in IT related soft cost.

 **IT is not critical, so no need to change current approach**

Historically, IT was introduced in business to digitize [account functions](https://encsolutions.ca/blog/3-top-challenges-for-cfos-and-how-to-deal-with-them)i.e ERP etc. And it made business sense for IT departments to report to [CFO’s](https://encsolutions.ca/blog/staff-expectations-vs-reality-it-department) and bundled with other business expenses. Business leaders with carry over same [perspective](https://encsolutions.ca/blog/executing-it-strategy-3-critical-items-will-help) “we always done it that way”, consider IT as just a business expense rather than tools/means to provide competitive advantage - simply not aware of technology related [soft cost.](https://encsolutions.ca/blog/understanding-soft-cost-of-technology-it) Technology related soft directly impacts top line – revenue and bottom line – payroll. If [profit margin](https://encsolutions.ca/blog/3-items-impact-your-profit-margins) is not critical for any business leader, then what else would be.

**Timing is not right**

Let’s face it, there’s never a better timing to [improve process](https://encsolutions.ca/blog/top-3-challenges-when-implementing-it-process) and strategy. However, if it can impact your [revenue](https://encsolutions.ca/blog/it-sales-teams-2-driving-forces-to-increase-revenue)and [payroll](https://encsolutions.ca/blog/impact-of-it-decisions-on-your-revenue-payroll-profit)by 15-25% would it change your priorities. This is they impact at the very minimum for IT process improvement. Working hard to generate revenue and compromising on low profit margin is never a goal for any business leader. Technical or [process issues](https://encsolutions.ca/blog/happy-new-year-business-it-planning-for-2020-call)in business don’t go away by adding time, however these issues multiply and impact most critical items in business revenue – payroll.

**Impact of Right Decision:** Moving in right direction will always deliver rewards for revenue & profit margins. Consider following items as part of your decision process:

- [Reduce Soft Cost:](https://encsolutions.ca/blog/understanding-soft-cost-of-technology-it) Focus on reducing soft cost in your business
- Catch all problems before they impact your people & business
- [Training – Education](https://encsolutions.ca/blog/staff-expectations-vs-reality-it-department): Provide training for your staff to get most out of your payroll
- [Roadmap – Strategy](https://encsolutions.ca/blog/3-ways-to-it-strategy-and-roadmaps): Build roadmap for technology and budget to align with business objectives
- Deploy IT Process to get consistence results

**Need Help?**

Schedule time for quick [discussion here](https://encsolutions.ca/meetings/gjudge)

[View full post](https://encsolutions.ca/blog/business-and-technology-risks-expectations-vs.-reality-0)

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