A neglected, outdated Web site can cut into your company's profits

Business owners are always looking for ways to reduce operating expenses, but sometimes they only look at the income statement to see which expense items are increasing or out of line with their industry "norms."

Taking this approach can sometimes overlook opportunities to improve sales revenue, which could improve profits, having the same ultimate impact as a reduction to expenses.

One area to look at every year is the company's IT utilization. If the business employs enterprise software that handles its management activities (accounting, sales, inventory, processes), it should be kept current, optimizing activities.

Another IT element to evaluate annually is the enterprise Web site. This resource needs to be constantly updated. All too frequently I see Web sites that say "last updated in 2004" or something similar.

That sends a very negative message to your customers or potential customers. Some customers feel "If the business is not updating its Web site on a regular basis, how can I expect them to be responsive to my needs?"

If the Web site has not been actively maintained, the client may wonder how accurate the information is:

n Are your product pages up to date?

n Do specifications match what I will be receiving?

n Are staff members still with the company?

You never want to plant the seeds of doubt in the mind of your customer.

Your Web site provides you with the ability to continually update information at minimal cost and to provide your customers with accurate, timely information.

Monitor your Web site

If you are not regularly monitoring your Web site, I encourage you to begin doing so. If your company lacks the internal resources necessary to do this, find a solution.

There are a multitude of companies out there that offer Web site maintenance services. Additionally, some of the technical colleges in Wisconsin provide Web development and/or updating as an element of their classroom training for IT students.

Some of the UW campuses will also provide that service. At UW-Whitewater the MCS (Management Computer Systems) program will collaborate with businesses to develop, update, and maintain Web sites.

While you are updating IT, make sure you evaluate your e-mail requirements to ensure you have a firewall capable of withstanding the assault of hackers.

Make sure your virus protection software is up to date. If you do not regularly backup your files, this is the time to start.

It is also a good idea to consider a RAID (Redundant Array of Independent [or Inexpensive] Disks) that capture everything you are doing in tandem with your regular system. If you do not have a battery backup system, this may be something to consider. It can provide you with a "soft landing" should the electric power be interrupted.

IT can be your friend if you use it wisely. It can also generate benefits to your business that can be measured in actual dollars.

If you are looking for ways to reduce costs, don't overlook methods for improving revenue and customer service. All of these considerations are integrated.

And use the area resources that can provide the expertise your firm may lack. Wisconsin has some great benefits beyond our natural resources.

Bud Gayhart is director of the Center for Innovation and Business Development at UW-Whitewater.