computer network software

A failure in IT operations can have an immediate catastrophic impact on a company. In certain business areas this kind of interruption can result very quickly in losses ranging in millions. In the financial sector, in automated production operations and in the telecommunications area losses are calculated at millions of dollars per hour. The amount of a loss increases the longer an IT operation is impaired, making a speedy resumption of operations essential for the survival of a company. Irrespective of the size of a company, even a short outage in IT operations can jeopardise a company's existence. If a computer network software
company cannot provide its services as contractually agreed due to an IT failure, the claims for compensation from its clients alone can mean financial ruin - for instance, if orders cannot be placed in time in the securities market.

Beyond the direct damages incurred, this kind of IT outage usually also produces indirect longer-term losses. In addition to financial losses, a company can face forfeiture of market share, reduced productivity and competitiveness, damage to its business reputation and a drop in customer loyalty. Repercussions of this kind are more difficult to measure than direct damage.