An open binder of process diagrams and documents on a desk

Old Systems Cost More Than Expected

Somewhere in your organisation, a staff member keeps a spreadsheet that shadows the main system. They built it because the system doesn’t quite do what the job needs, and the spreadsheet fills the gap. Most leaders have no idea it’s there. That spreadsheet is a small sign of a bigger question sitting on a lot of desks right now.

The core system is ageing. It still runs, so replacing it never reaches the top of the list. But “it still runs” and “it still serves you” stopped meaning the same thing a while ago, and the space between them is where the cost hides.

The maintenance line in the budget is the cost everyone can see. The higher costs never appear on an invoice. Staff lose hours each week to workarounds the system forces on them. The same information gets entered twice because the parts don’t talk to each other. A report that should take minutes takes two days because someone assembles it by hand, so the decision that depends on it waits. All of it compounds to cost real money that isn’t on the invoice.

How To Tell It Is Time

The useful question is not whether a new system is expensive. A new system is always costly. The question is whether the old one is quietly more expensive, once you count the hours, the duplication, and the decisions made on numbers no one fully trusts.

There is a straightforward way to find out; it begins with four honest answers:

  • What is the current system really costing now, counting the lost staff hours as well as the licence and support fees?
  • What would a good outcome look like, described in plain business terms rather than a feature list?
  • What is the genuine risk of leaving it another year, measured against security, staff, and service?
  • And are your people quietly working around it, grumbling about it, or leaving because of it?

That last one matters more than it looks. Long-serving staff tolerate an old system because they know its quirks. New people notice the drag straight away, and some decide not to stay for it. When staff talk about dated, disconnected systems that need spreadsheets to function, that talk travels beyond the office and shapes who’s willing to join you. Work these through and the tipping point usually becomes clear, well before you start shopping for a replacement.

Work those through, and the tipping point usually becomes clear, well before anyone shows you a demo.

Tango’s Solution

Here’s the trap that opens up the moment an old system is declared the problem. The instinct is to rush out and buy a new one. But a replacement chosen without first working out what you actually need tends to arrive with gaps of its own, and before long the workarounds and shadow spreadsheets start creeping back. You’ve paid a lot of money for a newer version of the same problem.

This is the mistake we exist to prevent. We start by helping you understand all of your real requirements, in plain business terms. Then we take those requirements to market on your behalf, so you can compare the options side by side on their merits, without being sold to, and negotiate from a position of strength. It’s the define and select work that turns a system change from a gamble into a sound decision.

We do it as a fixed piece of work, with a price you know at the outset. You replace the system once, correctly, with the evidence to back the choice to your board.

If your main system is getting on, talk to Tango before you talk to suppliers.

(08) 6234 1734 | info@tangoit.com.au

About the author

Photo of Mark Birkinshaw
Mark Birkinshaw
Co-Founder

Mark Birkinshaw is a Senior Consultant and Co-Founder at Tango, where he helps organisations define their IT needs, find the right solution, and deliver real business outcomes. With over 30 years in technology and consulting, Mark brings a strategic, plain-English approach to complex challenges, so clients can make confident, informed decisions without the jargon.