Performance Monitoring: Insurance for Your IT Infrastructure
The Real Cost of Downtime Exceeds Predictions
There have been a multitude of articles, blog posts and industry surveys emphasizing the increasing costs of slowtime and downtime as businesses increasingly become reliant on IT services. The British Airways (BA) service disruption just over a week ago for over 12 hours confirms that the concern is much more reality than hype.
Consider the impact of this outage on the airlines’ operations. Not only did BA cancel all of its flight operations for 12+ hours due to an IT glitch, it needed to re-route tens of thousands of passengers, incurring overtime travel-personnel costs once service was restored. Loss of customer goodwill was a significant cost and, more directly, the disruption forced the airline to pay for boarding, lodging and local travel for inconvenienced passengers.
Further, as per European Union regulation 261/2004, BA will also be required to pay compensation for all passengers transiting through Europe whose journey was affected, at about €600 per passenger. Even after flight services were restored, it took several extra days for passengers to receive their baggage. On top of the cost of couriering the bags to travellers, BA is also responsible for any short-term costs incurred by passengers due to missing luggage.
Read the entire article here, Performance Monitoring: Insurance for Your IT Infrastructure
via the fine folks at eG Innovations