4 Reasons Outsourcing IT Makes Sense for SMBs
What comes to mind when you hear the word “outsourcing”?
For some, it sounds like the inevitable path toward increased profits. For others, it sounds like a heartless way to disrupt the lives of hard-working people.
Here at Advisory, we don’t think either of those characterizations is wrong— just that neither is exactly fair. The conversation about outsourcing shouldn’t be about whether it’s good or bad. Instead, think of outsourcing as something strategic, situational, and focused. Sometimes it’s the right move, and sometimes it isn’t.
One area that frequently comes up in this discussion is IT. Outsourcing some or all of your IT needs to a managed IT services provider (full disclosure: That’s us!) can be a highly strategic move.
It isn’t right for everyone, but partnering with a managed services provider (MSP) for a range of IT services makes sense for most SMBs.
Here are four reasons why.
1. Your Business Is Really Good at Something, and It Isn’t IT
First, the fact that you’ve grown your business into a small or midsize company is evidence of something: You’re really good at whatever you’re delivering.
As you build a business that’s really good at that one core thing (or a few core things), chances are, IT isn’t one of them. (And if you do work at an IT company, this isn’t the post for you!)
Managing your IT in-house may be feasible, but is it really strategic? Does staffing a full-service IT department help you focus on your mission, or does it distract from it?
If you’d rather focus on what you do well rather than IT concerns, then outsourced IT makes sense.
2. Your Business Has Resource Constraints (Headcount, Cashflow, Personnel)
Small and midsize businesses — along with nonprofits of all sizes — tend to be faced with more resource constraints than larger entities. If you’re a bootstrapped startup or a rapidly scaling small business, you’re probably dealing with cash flow constraints. More mature companies may have headcount limits. And these days, everyone has trouble with personnel and staffing.
Building out an internal IT department hits all of these hard: headcount, staffing, and cash flow can all feel the pinch.
While partnering with a managed IT services firm isn’t free, it does often save money over building out an internal IT staff. And it bypasses any issues you’re having with headcount approvals or filling empty seats.
3. Your IT Staff Is Stretched Too Thin
If you do have an existing IT staff, how’s that team doing? At most businesses and organizations, IT staffers are constantly overwhelmed and feel pulled in too many directions. They have important strategic tasks to complete, yet they keep getting sucked into helping Dave in Accounting with his computer problems or something similarly low-level.
Some organizations partner with a managed IT, provider, to augment their IT capacity or strategically offload certain IT functions. If you have highly specialized IT staffers, keep them focused on their highly strategic tasks by outsourcing helpdesk, provisioning, and governance to us.
Or, if you’re handling helpdesk issues well but don’t have the technical chops in-house to do those higher-level tasks, we can take on the specialized stuff.
Remember, outsourcing IT isn’t good or bad; it’s not all or nothing. It’s a strategic option, one where you can choose how much or how little you want to offload to your MSP.
4. Your IT Spend Is Unpredictable or Out of Control
Most organizations struggle with unpredictable and very spiky IT costs. An expensive server bites the dust, and it must be replaced immediately — regardless of whether you budgeted for it. Software licenses can be the same way: You need to upgrade to stay competitive, but these costs can be difficult to plan for.
And don’t get us started on the cloud: It may be the future, but companies that go it alone often end up with wildly out-of-control cloud costs.
Partnering with an MSP changes your IT spend patterns into predictable monthly costs, eliminating the spikiness and unpredictability that’s so common in IT spending. We can also help you evaluate your current IT portfolio (software, hardware, and services) to make sure you’re not overpaying or paying for duplicate services.
Advisory has been serving clients in NYC and throughout the United States for decades, offering best-in-class managed IT services that address these and other issues common in businesses like yours.
If you’re ready to explore the idea of outsourcing IT further, let’s chat. We’ll show you the difference that Advisory can make for your organization and give you a glimpse into a future that’s more focused, more powerful, and cost-efficient.