Is IT Outsourcing a Good Idea For Your Company in 2023?
If you’re looking to cut costs or bring in new technology, you may wonder whether you should outsource the work to a third party. More and more companies are delegating their IT tasks to Managed Service Providers (MSPs). Often, a third-party IT services provider can offer the same services at lower rates, with lower infrastructure costs, or with more specialized expertise than you could get from an in-house IT specialist.
Before blindly jumping into outsourcing your IT, here are a few things you may want to process and use for considering which provider to choose.
Which Information Services Can Be Outsourced?
100% of IT services can be outsourced, but some services bring more value than others. We often see companies outsourcing the following services:
- Technical support. Many companies outsource some or all of their tech support (helpdesk / service desk) to a Managed Services provider or IT support company.
- IT infrastructure and data center services. It may be more expensive to build your own infrastructure than to outsource to a company that already has its own data center and the right infrastructure in place.
- VoIP phone communications. With hosted VoIP, you can subscribe to a provider that has secure servers off-site for internet-based phone communications. You no longer need to install on-site hardware and traditional phone lines.
- Connectivity. Some IT service providers offer cross-connect services and other solutions to give you access to a large range of network assets. You may be able to get better performance and reduced latency by outsourcing to a connectivity provider.
- Compliance support. Many government contractors need to meet a complex set of security standards, such as the Cybersecurity Maturity Model Certification (CMMC). It often makes sense to work with another company that is more familiar with these standards on your journey to compliance.
The Advantages of IT Outsourcing
Access to Expertise
When you outsource to an IT services provider with multiple specialists, you get access to a wider range of expertise than you could get from a few in-house IT professionals. Every IT professional has a different set of skills and strengths, and you can’t find everything in one person.
By outsourcing, you get access to a whole team of people with specialized skills and resources. You get a high level of expertise in many parts of IT at a similar cost to hiring one or a few in-house professionals.
Many businesses save money by outsourcing their IT and data services. It may be much more expensive to set up the infrastructure you need on premises than to use an IT services provider, which can spread out those infrastructure costs across multiple clients. This is especially true if you need a data center, Infrastructure as a Service (IaaS) or VoIP.
Sometimes an IT services provider can do tasks more efficiently than an in-house employee or small team. If the provider employs specialists in different areas, those specialists may be able to do the work faster and more effectively than an in-house generalist.
By outsourcing your IT department, you can focus on your business’s core competencies. Having one less area to worry about can help your current employees and leadership be more efficient and productive.
With greater efficiency, your company can spend more time on profitable work and grow faster.
Outsourcing IT services gives businesses the flexibility to scale their operations up or down as needed. That means businesses can respond quickly to new opportunities or changes in the market.
With outsourced IT, you only pay for the services you need. It’s much easier to increase or cut back on IT services and costs. That flexibility can help you reduce overhead expenses, like salaries and benefits, office space, and equipment.
Improved Risk Management
Outsourcing IT services can sometimes help businesses manage risk. Depending on the company you outsource to, you may get access to specialized expertise in cybersecurity and disaster recovery. That expertise can help you reduce the chances of successful cyberattacks and other security problems.
The Disadvantages of IT Outsourcing
Loss of Control
When you outsource any part of your operations to the wrong company, you lose some control over how tasks are done. You must trust the provider to do tasks correctly, and you may not be able to provide as much direction as you’re used to.
Losing control over your IT operations can cause discomfort for some leaders. However, if you find the right provider, the higher quality of specialized services will make up for the loss of control.
Outsourcing IT services to a third-party provider can create communication challenges. If the provider is half-way around the world, you will likely need to schedule meetings at awkward times of the day.
It’s important to choose a provider that is easy to reach and ideally in a nearby time zone. Before outsourcing your IT operations, ask about the provider’s communication norms and the best way to contact them in an emergency.
Depending on the provider you choose, outsourcing can either enhance your cybersecurity or create new security risks. Most professionals at IT services companies are well-versed in basic security practices, but not every provider has the best practices.
It is important to carefully vet any potential IT service providers. Before you outsource your IT work, make sure the provider has strong cybersecurity practices. Ideally, you should choose a provider that emphasizes its security practices as a strength.
Outsourcing IT services can sometimes result in quality concerns, especially if your company needs something done in a very particular way. Some providers may not be experienced or skilled in the area of expertise you need.
Outsource Your IT Operations to Simple Helix
At Simple Helix, we offer a wide range of IT services from specialized, highly skilled professionals. We can help your company find the best solutions for managed IT support, connectivity, data storage, hosted VoIP, CMMC compliance, and more.
We are an experienced team headquartered in Huntsville, AL. Contact us today for assistance with your IT needs.