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How Outsourcing IT Support Increases Profit

by | Dec 3, 2019 | Business Advice

Having adequate IT support is paramount in today’s digital landscape. While technicians don’t deal with the core functions of your business that bring in revenue, their work does affect your day-to-day operations in more ways than you can imagine. Having a knowledgeable IT team makes sense, but does outsourcing IT support or having a team in-house make more sense?

It’s not uncommon for small businesses to struggle with this question. IT support is a necessity, but there are several considerations to think about when you’re making the decision. Here are some things you should take into account when deciding which is better for your company.

 

Cost – It’s Not Just Their Salary

One of the biggest deciding factors between in-house IT and outsourced IT is cost, and rightfully so. Hiring a dedicated IT person is not a cheap endeavor. Not only do you have to make space in your budget for a full salary, but you’ll also need to provide benefits, training, IT tools and so much more. While that full-time salary plus all the extras can be worth the convenience for larger companies, it’s not practical for smaller organizations. Those expenses really add up and start affecting your bottom line.

If you have less than 60 employees, an in-house IT person would not have enough work to justify their full-time salary. That investment into your IT support would start to look more like a large expense than a crucial asset.

In these instances, outsourced IT is a great option. Typically, the cost of service is significantly lower than a full-time salaried employee(s). Thus, you’re getting the high-quality assistance you need without the burden on your bottom line.IT Support Hidden Costs

 

The Hidden Loss of IT Support Churn

Even if you were able to budget a full-time salary, benefits, training, and the IT toolset in your budget to hire an in-house IT person, what quality of employee would you be able to get? And more importantly, how long will they stay with your company?

Truth is, good IT is in high demand these days. Currently, the field has a negative unemployment rate. As a result, it’s a very competitive environment for employers. IT professionals can always find someone else who is willing to pay them more for their expertise. This means you will be either overpaying for the position or having to onboard and train a new person every other year. Either way, this will cut into your profits.

Outsourced IT companies have a team of professionals with different levels of experience. We’ll get into why that’s important a bit later, but when you’re looking at the value you can get from outsourced IT over a single in-house technician, it’s like night and day. For what you would be paying towards the salary of a single IT employee, you can access to a team of seasoned specialists.

 

Your IT Support Efficiency Matters

Now, let’s talk about efficiency. The efficiency of your IT support, whether it’s in-house or outsourced, will directly affect the productivity of your company as a whole. Having IT support that operates like a well-oiled machine can prevent your business from coming to a grinding halt anytime something goes wrong with your hardware or network.Dont Be Busy - Be Productive

 

Experience

Another huge issue that you might face with an in-house technician is a lack of experience/knowledge in the different areas (networking, cloud solutions, cybersecurity, etc.). The IT needs of your company will depend entirely on your daily operations. Not every technician is going to have the depth of experience to support your needs efficiently. This would require additional training and more expenses. Also, the longer an IT person stays at a company the more they fall behind. This is simply because they don’t get to experience different infrastructures and play with new software, hardware, and ideas.

 

Toolset

A big part of IT efficiency is having access to the right tools. A suite of IT software and tools can increase productivity tenfold. This applies to both your IT person and your other employees.

Unfortunately, most in-house IT technicians just can’t get their hands on the right toolset. Ticketing systems, automated repair tools, documentation software, and more can make all the difference in how IT operates. The issue is that those tools are a significant investment so they’re just not a practical purchase if you only have a team of one.

On the other hand, outsourced IT companies use those tools on a daily basis. They play a key part in how larger IT teams operate. It won’t take long to realize how those tools can improve workflow for everyone in your company and lead to quicker IT solutions.

For more about the importance of your IT toolset check out – These Tools Are Why Your IT Person Is Struggling To Keep Up

 

Escalation

In IT, escalation refers to the division of roles based on the issue at hand. It’s a way for IT to act more efficiently. Instead of wasting time, teams will delegate roles and tackle issues based on their unique skillset.

With a single in-house IT person, that division of roles doesn’t exist. Your technician would have to take care of every single problem regardless of their skill level and experience. This can lead to a ton of wasted time, causing projects to fall behind. And without projects being completed the technolical inefficacies your whole team experiences will continue – losing you tons in soft costs.

Outsourced IT companies have a strict hierarchy of roles to enhance efficiency. Each person on the team completes different tasks. This can prove to be very useful if you encounter a major issue that causes a ripple effect throughout your company. The tasks will be delegated efficiently to ensure that everything is handled smoothly. Some people will be taking care of high-level projects while others will be manning the help desk station.

Take a look at all the different roles that exist when it comes to IT services in this article – Can My IT Person Handle Everything For My Business?

It Support Team Working

 

Conclusion

Outsourced IT can be a cost-effective alternative to in-house IT that increases the value you receive while also adding to your bottom line. For less than what you would be paying for a single salary, you can get access to a team of skilled professionals who are committed to your unique needs. Outsourced IT companies have all the right tools and operate efficiently to ensure that things are running smoothly on your end.

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Check out our  IT Services Provider Comparison Chart. It is a complete checklist with 20 questions you MUST ask before hiring anyone to support your systems.

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