Outsourcing IT: Why it saves you time and money… and why it sometimes fails

Who wants to save money and get better service and results?!?

EVERYONE!

One of the easiest ways businesses can achieve this goal is by outsourcing their IT and securing consistent, comprehensive helpdesk support and cybersecurity.

Let’s examine some specific ways partnering with a managed services provider can save you time and money:

Cost Savings

  1. Lower Labor Costs – Hiring an in-house IT team can be expensive. Outsourcing allows businesses to pay only for the services they need, reducing payroll expenses. By reducing labor costs in one area of your business, you are able to invest more heavily in staff that create revenue for the company. For example, instead of hiring an IT technician for $50-80,000 per year (depending on their experience, certifications, etc), a CPA firm could hire an additional accountant. Or a law firm could put those funds towards a paralegal. Or an SMB could invest in a sales or marketing specialist to attract new clients.
  2. Reduced Infrastructure Costs – IT service providers already have the tools, software, and infrastructure for comprehensive cybersecurity and support in place, thus eliminating the need for SMBs to invest in costly hardware and licenses.
  3. Predictable Budgeting – Many IT service providers offer fixed monthly plans, making it easier to forecast and control IT expenses.
  4. Minimized Downtime – Professional IT teams can proactively prevent and quickly resolve issues, reducing the risk of costly operational downtime.

Time Savings

  1. Faster Issue Resolution – Outsourced IT teams provide 24/7 monitoring and support, ensuring quick responses to technical problems.
  2. Focus on Core Business – Instead of spending time troubleshooting tech issues, business owners and employees can concentrate on growth and customer service.
  3. Access to Expertise – Outsourcing provides access to experienced IT professionals without the need for lengthy recruitment and training.
  4. Scalability & Flexibility – IT needs change as businesses grow. Outsourcing makes it easy to scale up (or down) without the time-consuming process of hiring or firing staff.

Sadly, outsourcing your IT can go very, very wrong. There are many factors to consider when selecting an MSP, but here are a few of the biggest red flags.

Considerations and Warnings

  1. The Boiler Room – Many MSPs utilize third party helpdesk companies located in other states and countries. STS has explored many of these options and have yet to find one that is reliable, secure, and capable of providing the level of service we demand for our clients. ALWAYS ASK IF AN IT COMPANY OUTSOURCES THEIR HELPDESK!
  2. Hidden Fees – Many MSPs take advantage of the fact that most business owners are not IT experts. These MSPs charge onboarding fees, extra fees for each cybersecurity “application,” monitoring fees, etc. Some MSPs even charge “industry fees,” meaning they will charge businesses in certain industries more because those industries typically make more FOR THE SAME SERIVCES. If the IT provider you are considering is not fully transparent with their pricing, I would look somewhere else.
  3. Compliance – If you operate a business in a heavily regulated industry, you need to ensure you IT provider meets compliance requirements. This is especially important for medical practices. If you meet with an MSP that does not demand a BAA prior to your first meeting. MOVE ON.
  4. Murky Water – If your MSP does not disclose every service and application for which you are paying in your contract or invoice, keep shopping around. We meet with countless businesses who can not locate ANY list of what IT and cybersecurity support they are receiving. If you have to email/call and request this information, your IT provider is either trying to keep you in the dark or they are simply bad at doing business. Your MSP should also meet with you on at least an annual basis to review what occurred in your environment, the status of your network and hardware, and how the MSO measured up against SLAs outlined in the initial contract.

Want to chat with a reliable, transparent MSP? Contact us today – [email protected]. We promise not to charge you for an “initial conversation.” 😉