Communications Blog • 4 MIN READ

How Much is UCC Downtime Costing your Business?

Anna Byrne

Written by Anna Byrne

How much is UCC downtime costing your business? UCC downtime is when your unified communications channels; websites, phones, emails, video conferencing, instant chat, collaboration tools, etc. are not up and running. When these channels are down work comes to a halt, your customers can no longer contact you and your team is restricted to face to face communication - not an ideal scenario for a workforce operating in this century.

Download Nemertes Research report here.

It's not unusual then for Operations teams to pride themselves on uptime levels of 99.9% or even 99.999%. But before breaking out the champagne ask yourself - what about the 0.1% of downtime? By focusing on uptime the cost of downtime gets downplayed. 

What's the value of the 0.1%? What if the 0.1% affected happen to be in the 20% most valuable customers - worse still the top 5%? Before we get carried away let's take a look at the numbers in a typical scenario:
Let's say an organisation has 10,000 employees and 4,500 of those are affected by downtime each year. At 99.9% uptime that equates to 525.6 minutes. If the average knowledge worker salary is $70,000 then the annual cost of downtime per employee is $301.

Could be worse right? If you multiply it by 4,500, the number of employees affected, the sum jumps to $1,352,894... a year. Not such a small number anymore. Remember this figure doesn't take into consideration if they were the top 20 or 5% - but you can see how it could quickly snowball out of control.

Consider another example of something more concrete that productivity like in a contact center, where their business is communication:
If the average sale per call reaching a contact center was valued at $230 and you get 4,000 calls per day, at 99.9% uptime in a 10 hour-a-day contact center, you'd be missing out on 219 minutes per year. If the contact center gets 6.7 calls per minute you would lose 1,467 calls in a year, amounting to a hefty sum of $337,479. That's before considering potential knock-on effects such as losing repeat business or reputational damage. 

What adds insult to injury is some CFO's discount these as "soft-dollar" costs, because they don't show up on the balance sheet. Dismissing 1.35 million, or 1.73 million if contact center folk were affected, is concerning. The problem is that there shouldn't be a 99%. It should be 100% all the time. Systems shouldn't fall over and fail, your customers should always be able to talk to you. Solving problems before the even exist should be the focus.

To find out more about how much downtime is costing your organisation and how you can halve your communications operational costs download Nemertes Research report here.

Topics: Communications

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