|
|
21 Aug 2008
Don't spend money on technology is the advice for accountancy firms if they want to survive the economic downturn, according to computer support company Ulysses IT.
Ulysses, which specialises in IT support for accountants, has made its recommendation to firms citing that they should not spend money on new technology to improve their chances of surviving the credit crunch.
This is a notion supported by the ICAEW business confidence monitor which shows that confidence in the IT sector has hit a record low of minus 18.2 points.
Pete Turner, technical director for Ulysses, said: 'This is not the time to be spending capital on new computers unless they are absolutely needed as replacement equipment.
'We normally recommend clients invest in IT infrastructure in the good times, so they can reduce costs at times like these. Accountants should save their money until the economy picks up again' he added.
Turner gives out three golden rules for accountants to ride out the downturn which include; not replacing computing that work and instead improving broadband and servers; replace old phone systems with internet phones which have more flexibility; and get IT support on a pay as you go basis.
Tim Newing, IT director at EasyJet said: 'Instead of concentrating on business growth and innovation, we are now turning our heads to efficiencies and cost cutting. We are in the process of devising our budgeting for next year and IT plans have changed in line with the new business strategy.'
Further reading:
You may also like
Search thousands of financial jobs:
Search thousands of financial jobs:
Careers
Search for jobs
Click to search our database of all the latest accountancy roles
Create a profile
Click to set up your profile and let the best recruiters find you
Jobs by email
Sign up to receive regular updates with the latest roles suitable for you
Briefings
By looking at the reasons supplier statements became unfashionable, and the reasons why it is different today, this paper delves into the many benefits that can be obtained by automating the process.
Having a real and true view of your organisation’s current financial position, and having the right systems and processes in place, will ensure that you can make strong choices and are ready to capitalise on opportunities
AccountancyAgeInsight is a frequently updated resource centre for finance professionals, offering a free and easy-to-use digital library of briefings, white papers and other information resources. 
Visitor comments Add your comment
Is IT Hardware or Software?
I agree with Pete Turner's recommendation to not replace hardware - but It is not just hardware. Being old enough to have experienced several economic downturns I have always found that companies want to improve the efficiency of their business systems in a downturn to have more control of their debtors and cash flow as well as have a competitive edge with their control systems.
Yes hardware may not need to be replaced, but now is the time to sort out that architecture spaghetti and provide focus for departmental managers to run their operations effectively.
Posted by: Dennis Keeling, 22 Aug 2008 | 00:00