Is it Time to Break Up with Excel? The Hidden Dangers of Spreadsheet Dependency

Excel has solidified its place as a cornerstone of the business world over the past 40 years, yet its long-standing dominance may come with grave consequences. Initially designed for simple tasks, Excel has become a default for data management and analysis, with two-thirds of office workers using it hourly, according to research by Acuity Training.

While Excel has undeniable strengths—its simplicity for quick data manipulations and visualizations—it now poses challenges that many companies have yet to acknowledge. Prof Mark Whitehorn warns of the risks involved in poorly documented Excel workflows, where data processing often overshadows genuine data analysis. Departments routinely handle critical data via ad hoc spreadsheets that are rarely centralized, leading to data security issues and operational fragility.

Recent examples reveal the severe implications: Health New Zealand relied on Excel for financial performance data management, resulting in difficulties and inaccuracies, while a chaotic UK anesthetist recruitment process stemmed from spreadsheet mismanagement. Here, Moutie Wali, director at Telus, highlights the difficulty of shifting users away from their beloved spreadsheets, noting that resistance often stems from a desire to maintain existing workflows. His organization aims to transition away from Excel but encounters pushback from employees wanting to preserve old systems.

Conversely, moving to more structured systems can reap profound benefits. Kate Corden, who shifted her bike fitting business to a complete data management tool, highlights dramatic improvements in data integrity and efficiency, while Julian Tanner, who switched a charity’s accounts to an AI-driven platform, saved significant funds previously allocated for bookkeeping.

Ultimately, while Microsoft defends Excel as a versatile, evolving tool, many experts—including Wali and Whitehorn—agree that organizations must consider the long-term risks associated with spreadsheet reliance. They emphasize the importance of not letting users retain control over tools that are better managed from a central data perspective. In a future where AI and complex data analytics become critical, the question remains: can companies afford to keep Excel in their toolkit, or is it time to let go?