Is Your New Technology Losing You Money?

The possibilities of new technology can be enthralling, promising increased efficiency, happier employees, a competitive advantage, and increased profitability. Cutting-edge tech is crucial in staying competitive in today’s business world.

BUT if you neglect two important things, that promise can turn into a financial nightmare. What are those two nagging things?

Employee training: You can end up losing money simply because employees can’t use their technology.
Change management: The planning, implementing, and solidifying of changes from start to finish.

If you don’t carefully see that these two things are done, your employees can have trouble using their business tools, causing productivity to drop. Mistakes can be made, and customer service can fall. Let’s examine some common staff technology issues as well as the solutions.

Technology Training is a Must!

Let’s say you’ve invested in a top-of-the-line CRM (Customer Relationship Management) system, but then you see your sales team floundering instead of excelling. You were expecting the CRM to make their jobs easier, but they can't find key features, struggle with data entry, and miss deadlines, all because nobody taught them how to use it – and trust me, not all technology is intuitive to the user.

This scenario plays out in countless businesses across the world and typically leads to the following costs:

Loss in Productivity

Everybody knows that lower productivity means less money. Employees fumbling with unfamiliar tech lose valuable work time. Imagine the lost sales opportunities if your team can't process orders or can’t generate reports due to inadequate training on the new CRM.

Errors = Lost Money

Frustration and confusion lead to mistakes, and those aren’t cheap. Inaccurate data entered into the new system requires time and money to fix and can embarrass you in front of customers. This impacts budgets and potentially damages client relationships.

Demoralized and Resistant Employees

Struggling with a new system is frustrating and demoralizing. Untrained employees might resist using it altogether. They can cling to outdated (but familiar) methods. This hinders adoption and negates the benefits of the new tech.

Failure to Manage the Change

Even though the goal is increased productivity, the initial effect of new technology is to disrupt and slow workflows. Without proper change management, employees feel overwhelmed and insecure. Change management is looking at the ‘human’ side of change, helping employees understand why things are changing as well as providing training, support, and other engagement. The goal is to help them transition successfully.

Businesses that employ change management are 67% more likely to achieve desired project outcomes.

When companies neglect change management, this is what typically happens.

Morale Sinks

Due to the stress that usually accompanies change, employees can feel lost and undervalued, especially due to a lack of clear communication and support during the transition. This can lead to low morale and a negative work environment.

The Dreaded ‘Shadow IT’

Shadow IT is when employees install their own chosen apps without apprising management or their IT Support about these apps, which creates network vulnerabilities. Employees may feel the new system isn't meeting their needs, which can cause them to resort to using unauthorized tools (shadow IT). This creates security risks and undermines the investment in the new technology.

Creates Resistance to Future Improvements

Once employees feel that been left ‘out of the loop,’ it creates a negative experience with a tech rollout which tends to make them wary and sceptical of future changes. This can hinder innovation as well as make it difficult for the company to adapt to evolving market trends. Without change management, employees tend to get ‘change fatigue.’ This can make them less productive.

Build a Bridge to Success

How do you successfully unlock the true value of new technology? It lies in effective training and change management. Here's how to avoid the negative costs and get the full benefits from your tech.

Make the Investment in Comprehensive Training

Training CANNOT be an afterthought. Some tools say they’re easy and intuitive to use, but people have different tech literacy levels. Some may pick up things quickly, but many don’t. There’s no replacement for targeted training on a business application.

Develop a tailored training program that goes beyond basic features. Include video tutorials, hands-on workshops, and ongoing support resources, then test the success of the training. This helps everyone feel comfortable using the new tools.

The True Benefit is Easy User Adoption, Not Features

Don’t make the training dry - just explaining how the software works. It should focus on how the new system will benefit employees in their daily tasks as well as improve workflow efficiency. If employees don’t adopt the tech well, you don’t see its full benefits, and that means slow productivity and lost revenue.

Embrace Change Management

Change needs to be holistic – addressing every aspect and impact. Communicate the ‘why’ behind the change. Explain how the new technology will make everyone's jobs easier as well as ultimately benefit the company as a whole. Encourage open communication and address concerns throughout the transition.

The End Result

As powerful a tool new technology can be, it's only as valuable as its users. Prioritize employee training and change management. This will help you bridge the gap between a shiny new system and a real return on investment.

Well-trained employees tend to be happy and more flexible, using the new tools effectively. Great training and change management can help you maximize efficiency, boost morale, and stay ahead of the curve. Don't let a lack of training turn your tech upgrade into a financial drain.