Common pitfalls when buying technology

Purchasing technology for your company is not easy, especially for those whose core business lies far from tech. It's easy to fall into some common traps. To make the right investments, you need solid knowledge of tech, but also strategic thinking and careful planning.

Let’s go through some common mistakes companies make when buying technology – and how to avoid them.

4 pitfalls when buying technology

Too much focus on technology

A common mistake is becoming too focused on a specific technology – like AI or a particular system – without first defining the business goals you want to achieve. The goal should not be to implement a certain technology but to improve the business in concrete ways, such as increasing revenue or improving efficiency.

Always start by setting clear business goals and letting the technology be the tool to achieve those goals. This way, your technology investments will always be grounded in and contribute directly to your overarching business objectives.

Lack of flexibility

Many companies aren’t flexible enough when it comes to adjusting their technology investments. Sometimes new opportunities or insights arise during the course of a project that can be valuable, and being too rigid with a fixed budget or specific solution can lead to missed opportunities for improvement.

To avoid missing out on opportunities, you should always be open to evaluating your budget and goals, both during the procurement process and throughout your digitalization journey. If new, value-creating opportunities arise, consider adjusting your plan. It’s better to invest a little more to accelerate toward your business goals than to cling to the original budget and plan.

Not involving users

Technology projects can fail if users aren’t involved from the start. Companies may assume they know what’s needed, but without user input, the system may fail to meet actual needs when it’s finally launched.

Therefore, involve users early and continuously throughout the process to ensure the solution will be useful and relevant to their daily work.

Overemphasis on price

Price is important, but focusing too much on minimizing costs can mean missing out on the best solution. Technology should be seen as an investment, not an expense.

How to succeed with your technology purchases

To purchase the right kind of technology for your business, you need clear business goals, a degree of flexibility, and user involvement. By avoiding the common mistakes outlined above, you can ensure that your investments not only cost money but also create long-term value for your business.