Why are more companies outsourcing IT in 2022? (5 good reasons)

Why are more companies outsourcing IT in 2022? (5 good reasons)

It’s safe to say that in this day and age, without the use of IT, the majority of businesses wouldn’t be able to properly function. This is true even if a business isn’t entirely based in IT – many of these businesses use IT within departments such as admin and sales. What is a Managed Service Provider(MSP)?

The thing with IT systems is that they need to receive the right support – and the quality of your support can differ massively based on what kind of IT team is providing it. Many businesses will default to hiring their own IT department to work in-house, assuming it to be the best option. After all, an in-house team can be made up of individuals who have been employed specifically based on how well they’ll be able to support your business.

However – there is another option. Allow us to introduce the concept of a Managed Service Provider.

What is a Managed Service Provider?

A Managed Service Provider – or MSP for short – is an external, pre-made IT department. They exist so companies like your own can outsource all their IT needs. This means they won’t be operating on your business premises, or even be on your payroll.

Generally, an MSP will provide helpdesk-style support for minor tasks and queries, and will also be able to handle larger and more difficult tasks. Heard good things about SD-WAN, but are unsure of how to go about setting it up, or even if what you’ve heard is true? The right MSP should be able to help you out with their knowledge and expertise.

Hopefully, now you have a greater understanding of what an MSP actually is. Now you might be wondering about their specific advantages – and we’ve got you covered. Here are 5 great reasons more and more companies are outsourcing to an MSP.

5 reasons businesses use MSPs

You can decide what they’ll do for you

The type of data your business uses, your particular users, and even the size of your business; are all things that make your business one of a kind. The trouble is, all these things have to be considered when deciding; whether or not to outsource, and they can make things complicated. Before you make a decision about working with an MSP; you’ll be able to set up meetings with them where you can go over exactly what you’re looking for; and what the MSP will do for you. This culminates in the creation of an SLA – a Service Level Agreement. This agreement contains the specific details of what you’ll receive from your MSP; so you know what to expect and what not to expect.

The cost tends to be fixed

Unless you’re trying to get your chosen MSP to do work that wasn’t agreed upon in your SLA; you can generally expect the costs to be fixed. Usually, you’ll be paying them monthly – this predictable monthly cost will be much easier to work with than the large amounts of money which can have to be dropped when hiring an in-house team. While it’s true that an in-house IT team has some fixed costs, such as their wages – there can be various other expenses that will give you a tougher time when trying to predict how much they’ll be.

There are no recruitment costs

One of the expenses that come with hiring an in-house team is the cost of the recruitment process. This can include paying for consultancy, sorting out interviews, and even considering the lost time; and can add up to a whopping £20,000 for a team of just two individuals! When you start working with an MSP, it’s likely that all you’ll need to do is have a couple of meetings and calls with them – clearly, this helps keep costs down.

There are no training costs

Yet another thing that must be paid for when hiring an in-house team is their training. You may be willing to provide their training as opposed to paying for them to be trained elsewhere – but even so, there are always more things to pay for such as accrediting them; and making sure they can work with newer and more updated technology when old tech becomes out of date. MSPs handle all this themselves, staying as up-to-date as possible, so you don’t have to worry about any of it.

MSPs stay on the forefront of tech

As we just mentioned, MSPs stay up to date with the most modern technology and ways of working. They have to, as since the way they operate means they work with many companies in various industries; falling behind would make them less desirable when compared with an in-house team, and even other MSPs. Working with a good MSP means you’ll have the support of a team of people; who keep themselves on the cutting edge with their technology as well as their skills.

The disadvantages

In an effort to be transparent, we think it’s only fair to not sweep potential disadvantages under the rug. As you’re probably well aware, there are always advantages and disadvantages to consider when it comes to IT systems.

The main disadvantage of choosing to work with an MSP is the fact that your company’s culture may be absolutely water-tight – which can make it difficult for another business (in this case your MSP) to fit in and mesh with your employees and how they work. 

The fact that MSPs don’t work in-house can mean this affects some businesses more than others; but even so, hiring in-house means you can craft a specific team of people who work in a way your other employees will synergize with.

Should you outsource to an MSP?

In the end, the choice is yours to make and will differ from business to business. To make the right choice though, you need to know what kind of support your business needs; what different types of support are available, and how exactly they can help you. When it comes down to it, as long as your business can be kept online when it matters the most; and your data always stays secure, you’ll be good to go.

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