The managed IT services model has been around for a while. While its widespread adoption over the years is testament to the model’s effectiveness, we don’t hear about its advantages often enough. The following is a look at the key benefits of technology outsourcing.
The cost of investing in specialist software and hardware is high. Expenses are further aggravated by the perpetual need to upgrade to keep up with industry changes. Outsourcing converts fixed costs into variable ones. A managed service offers quality infrastructure and support at an affordable and predictable monthly or annual fee.
Savings are not only in terms of actual technology but also labor costs. Hiring and training expert IT staff is an expensive undertaking. With outsourcing, you can expend human capital on other business processes.
Quality managed IT services providers bring significant technical depth and years of experience. They have a wide array of human and infrastructural resources at their beck and call to help rapidly kick start changes and new projects.
Doing the same project in-house can take weeks or months of preparation including new hires, fresh training and the acquisition of infrastructure.
Except in the largest organizations, IT staff often lead a fairly isolated existence. They’ll regularly face technical problems they’ve not seen before.
On the other hand, managed IT service providers accumulate vast experience quickly thanks to dealing with a diverse range of scenarios. They’ll see related problems numerous times and subsequently develop a high level of troubleshooting expertise.
They can adopt and share strategies that they’ve seen work on one client to the rest of their customers.
A Service Level Agreement (SLA) commits the managed services provider to meet agreed performance thresholds. There is often a financial penalty for failing to satisfy SLAs. This serves as a greater incentive for delivery as compared to in-house IT staff where consequences of failing to meet SLAs are not as severe.
Focusing On Core Business
For the vast majority of enterprises, technology is a business process enabler. It’s not a product. By outsourcing IT, organizations can concentrate their limited resources and time on their core goals and leave complex technology decisions to an expert third party.
To remain competitive, managed IT service providers are under constant pressure to not only work with the best available technologies but also adhere to best practice. They have to regularly update and upgrade their infrastructure at little to no extra cost to their clients. Businesses that opt for managed IT services need not worry about obsolescence.
Small and Midsized Businesses (SMBs) don’t have the financial muscle to compete with the in-house technology arsenal of much larger competitors. Outsourcing levels the playing field by helping SMBs act big through leveraging economies of scale. They get access to the same cutting edge human and infrastructural resources as Fortune 500 corporations.
Business Continuity And Disaster Recovery
One of the key aspects of a robust business continuity and disaster recovery plan is ensuring systems are available as soon as possible after a major disaster. Since managed IT services are offsite and away from the client’s location, this ensures service availability in the event of serious onsite disruption. Servers may be spread across multiple countries.
For most organizations, managed IT services is the way to go.