For small and medium-sized businesses (SMBs), IT management can be a difficult balancing act. A fully-staffed IT department is often cost-prohibitive, but neglect may expose your business to downtime, cyber-attacks, and inefficiencies. Managed IT services provide a solution, by allowing your SMB to reap the benefits of robust IT support without needing an in-house team.
But are they truly worth the cost?
1. Expenses - In-House VS Managed IT
Managed services are often perceived as highly expensive – but is this accurate? An in-house team may actually cost far more, depending on your SMB’s needs. Each staff member you hire will require:
- A salary equal to their skill level and experience, as required by award rates
- Benefits
- The necessary equipment for their role
- Office space, if your business does not have a work from home policy
- Additional training, in some cases
They could also leave at any moment, forcing you to undergo the entire process again. In contrast, a managed service provider (MSP) charges at a fixed, monthly rate. They typically leverage economies of scale, meaning that because they have many clients, they can afford to charge less.
If your business has very low IT needs, it may be better to hire a single staff member. But if you would require multiple staff to fulfill your needs, it is often more cost-efficient to outsource.
2. Cyber Security
SMBs are increasingly targeted by malicious actors, making cyber security a top priority. But many do not even know where to start. Managed IT services can help mitigate risk by implementing comprehensive cyber security solutions such as firewalls, intrusion detection systems (IDS), and regular audits. They may also offer compliance support, preventing you from experiencing legal issues.
As the average cost of a data breach has now risen to AUD $4.26 million, most SMBs cannot afford to take the risk. While managed services are an investment, they are far cheaper than the alternative.
3. Productivity and Efficiency
IT issues lead to disruptions, productivity loss, and frustration. When many outages occur over a short period, the costs can add up quickly. This unfortunate scenario is more likely to play out when maintenance is neglected, which often happens in SMBs due to resources being stretched thin.
Managed services remove this issue entirely by performing preventive maintenance designed to spot and solve potential problems before they can disrupt your business. This not only ensures continuity, but can also result in higher baseline efficiency, saving you more money over time. Your technology will work better, and your staff will have more time to focus on their work.
4. Expertise
Managed IT providers employ a range of professionals with highly specialised skills in various niches. Because of this, they are often able to address almost any concern you could possibly have. To internally hire the same expertise would be cost-prohibitive for the majority of SMBs, due to the number of staff required. Outsourcing your IT management gives you access to these experts without any of the associated costs, helping your SMB stay competitive and agile.
5. Scalability
As your business grows, so do your IT needs. Traditionally, this means hiring additional staff, buying more equipment, and acquiring larger office spaces. Managed IT services, on the other hand, offer services that are usually easy to scale up or down based on demand. This is particularly useful for SMBs with variable needs, such as those in seasonal industries. Under this model you only pay for the services you need, when you need them – avoiding wasted investments and allowing smoother growth.
Read more: 5 Tips for Successful IT Management
Get the Most out of Your IT Budget
The benefits of managed IT services go far beyond the initial cost savings. An MSP can provide your SMB with improved security, increased productivity, and the peace of mind to focus on core business activities. With technology integral to long-term success, managed IT empowers your business to leverage its full potential without large investments.
Are you looking for managed IT services? Itopia not only handles day-to-day maintenance, but actively helps you find ways to stretch your budget as far as possible, allowing you to invest your money in smarter ways. Speak to an IT expert today, and learn how managed services can improve your ROI.
Adam leads the Itopia team in Brisbane, helping professional-services firms get secure, productive and confident with their technology, in plain English.