Why Outsourced IT ...
When it comes to IT services – from daily maintenance and cybersecurity to onboarding new-hires and troubleshooting – which is better: Hiring an outside managed services provider (MSP) or employing an in-house IT specialist or team?
What is Internal IT?
An internal IT department may appear to be the best option to keep your business running smoothly with somebody on-site, available to address any concerns as they arise. But this can come at a serious cost, depending on where your business is located what services you need.
Your average desktop technician usually commands an average salary around $70K. Their primary role is to update and maintain hardware and software while handling small troubleshooting issues.
IT Managers are typically paid anywhere from $85K - $130K per year to take responsibility for core business IT systems and ensure they are aligned with the business strategy. They handle high-level tasks and ensure that the organization’s infrastructure is equipped to withstand and protect against all internal and external threats.
What you commonly find though, is that many businesses can only afford one IT manager to handle all levels of IT operations for the entire organization. If you are tasking your IT Manager or Director with desktop level troubleshooting, you’re preventing your company from strategically planning and preparing for the future, i.e. innovating. When you task your technology team with more responsibility than they can handle, you’re likely in for some unpleasant surprises.
What is Outsourced IT?
Outsourced IT is the decision to outsource your business’s technology needs to a third-party expert, typically called a Managed Service Provider, or MSP. The offerings can vary greatly, from an ad-hoc hourly support team only when you need it, to a monthly, recurring service contract that provides everything from managing your network to virtual CIO level strategic guidance.
There are thousands of MSPs of varying sizes that offer similar and yet very different services. It is important to do your research and find a provider that offers the experience and strategy best suited to your organization.
What is Co-managed IT?
Co-managed IT – Organization has an existing IT staff, but they would benefit from strategic or technical advice. They may also be looking to offload routine work such as updates, backups, security monitoring and possibly their help desk.
In addition to lower costs and increased efficiency, they gain access to modern technology experts who are familiar with the technological landscape and can make suggestions most beneficial to the organization.
INTERNAL IT PROS AND CONS
THE PROS
THEY KNOW YOUR BUSINESS. Every day they work with your team to understand the value that everyone provides to your company. They know what your business needs to make it run smoothly and increase your top line.
THEY KNOW YOUR PEOPLE. Your IT team understands your people, your users, your customers, and your prospects. They understand your goals and metrics of success.
THEY KNOW YOUR SETUP. From a tactical perspective, having a help desk in-house has its benefits. They’ve built up their knowledge about your network and systems, so they can skip the “get-to-know-you” onboarding stage and can fix problems quickly.
YOU KNOW WHERE THEY ARE. They’re onsite and they provide support to just your company. They are available when you need them. Your staff can message them, call them, or get, walk over and ask for help.
THE CONS
THEY CAN’T GET EVERYTHING DONE. Small internal IT teams often get bogged down with day-to-day user support or questions. This leaves little to no time for creative technology solutions that propel innovation and growth. If you’re a mid-sized business you may have only one IT team or professional who’s responsible for all support and questions, so they are not able to research the newest breakthroughs or implement enterprising technologies that increase efficiencies and productivity. Plus, the ability to scale up and down as business demand changes can be difficult with in-house IT.
INCREASED KEY-MAN RISK. An excellent IT member can be worth their weight in gold. What happens when they leave and take that institutional knowledge with them? They have access to all your critical information and infrastructure and, in some cases, are the only source of support for the business’ applications, systems, and team members. You need to make sure your business won’t be vulnerable if your key-person leaves.
NEED SUPPORT FOR ISSUES OUTSIDE THEIR EXPERTISE. IT is complex and multifaceted. No one team member usually has all of the skills to meet every IT need in your business. Your in-house team may have trouble with migrations to new software or hardware but are great at solving user issues. They may be stellar at fine-tuning an infrastructure, but what about building it from the ground up, or incorporating an acquisition.
Outsourced IT or an “MSP”
It’s common to see the words “outsourced IT,” “remote help desk,” or even “in the cloud” and quickly become nervous. After all, isn’t it always best to have the IT guy stand behind you at your desk to fix that computer glitch?
The answer, for almost all IT issues, is a definite No! The common technology issues you run into like a broken printer, slow computer, or forgotten password can easily be taken care of by your MSP. Fixing these types of issues doesn’t require anyone on-site and can actually save you time and money by utilizing remote technicians. The exceptional MSPs will have thorough documentation of your environment allowing them to quickly identify and address your issue.
When you do need on-site support, that can usually be arranged through your MSP. The exceptional MSPs will have an engineer on-site monthly to perform their 398 point check of your environment.
The number one reason businesses utilize outsourced IT is their need for greater technical expertise and strategy. As the technology landscape broadens and the speed of innovation increases, for both good and bad, it is imperative to always partner with a firm that has the time and resources to keep you ahead of the curve. It’s a tall order to have the breadth of expertise you need to stay competitive in today’s marketplace. The many facets of information technology present an often-impossible task to organizations looking to build and manage themselves. That is where a managed service provider be a game-changer, allowing you to take advantage of economies of scale that only an MSP can provide.
THE PROS
THEY KNOW THEIR STUFF. Outsourced IT consultants work with a diverse range of companies, both in your industry and in others. They know what is going to be a good fit for your business based on their experience with other businesses in your industry. The exceptional MSPs will have insight from outside your industry can make all the difference and propel you to new heights. They will have extensive knowledge of emerging software, apps, and new technologies primed for you to capitalize on.
THEY’VE GOT RANGE. Because their team has a wide range of skill sets – from both project engineers and developers to help desk associates – they’re able to research and access various software, applications, and technology that your in-house team may not be privy to.
PRESENT STRATEGY, NOT JUST TACTICS. You get a virtual CIO (vCIO) who comes prepared with strategic goals and plans based on a reservoir of diverse experience and knowledge gained by working with different companies and industries.
NO KEY-MAN SYNDROME. With a diverse team of experts, you won’t fall victim to losing that one, indispensable expert.
THEY BOOST YOUR BOTTOM LINE. You have a team of senior-level IT experts working for your business without paying each of their salaries. With an in-house team, you’re likely paying salaries, benefits, training, device procurement, career development, and then some. With an outsourced team, you only pay for the services you want delivered and the technology you need.
THEY ACCOUNT FOR MORE THAN JUST TECHNOLOGY. These technology experts know that comprehensive IT support includes the people, the process, and the technology. The exceptional MSPs work closely with the owners and decision makers to ensure the organization is efficient, productive, and growing because of their technology, not despite it.
THE CONS
YOU HAVE FEARS. Outsourced IT providers will have access to integral systems and data for running your business. To work well together you must have a lot of trust that they will be supporting you in good faith. Another common fear is the technology expense and if the ROI will match. The exceptional MSPs will present a map of your current infrastructure, systems, hardware, and software, and contrast that with the cost savings of moving to a modern IT approach.
YOU HAVE DOUBTS. You may doubt the outsourced team’s ability to provide quick maintenance turnaround and responses when they are not on site. It’s common to have fears about communication that could cost you time, money, and stress. Clear communication is essential in any relationship, especially when so much is on the line. Exceptional MSPs have a client communication process dialed-in for each scenario.
Co-managed IT
Having an internal IT Manager combined with a MSP brings the best of both worlds to your business, and most larger organizations have begun to implement this. Co-managed IT can free up your internal team allowing them to focus on top priorities such as creating strategies that empower your employees to be more productive, and assuring systems and discipline are aligned with the company’s goals.
IT leaders should be exploring ways that automation, software consolidation, and cloud computing can be leveraged to drive greater productivity and profitability. This becomes nearly impossible when your team is in the weeds addressing routine maintenance. Asking experienced professionals to do remedial tasks doesn’t contribute to job satisfaction, and often times has the opposite effect. This can lead to internal frustrations when your employees can’t work around broken technology while they wait on the office IT guy to come around.
The combination of having experienced IT managers to guide your organization into a stable environment for the future, while also having dozens of help desk technicians available every day, leads to a productive and successful IT team for any sized business.
THE PROS
BEST OF BOTH WORLDS. Increase the productivity of your internal team. Outsource the tasks you don’t want to do in-house, and still maintain control and direction over your environment. Or you can take advantage of the expertise you don’t have to help with your strategic initiatives.
THE CONS
COSTLY. Can be too expensive for smaller organizations to maintain in-house resources as well as paying for outsourced IT assistance.