Pros and Cons of IT Outsourcing

IT outsourcing refers to using external service providers to manage some or all of the technology-related functions required by a business: IT infrastructure, software development, cloud strategy, maintenance, cybersecurity, etc.

Should you outsource your IT management?

Outsourcing is, without a doubt, a critical part of growing and scaling a business, as it allows teams o focus on high-level planning and strategy rather than fixing minor yet annoying IT issues that prevent the whole team from being efficient in their work. Especially because business growth inherently comes with higher and more complex IT needs.

• You don't have an IT team, nor any IT staff:

If you don't possess IT staff, it is likely that IT issues are addressed by either the CEO or people whose specialty is something completely different, meaning you've been wasting your team members' potential—assigning additional responsibilities to employees outside the IT team, distracting employees from core business objectives, and preventing them from developing business projects and strategies.

• You have an IT team available: 

On the other hand, if you possess an IT team, the most likely scenario is that your team may be able to handle some of this increased workload but will probably end up overwhelmed. The risk is that some IT problems will remain unsolved, potentially leading to cybersecurity hazards and preventing your business from further growth as you waste resources (time, money, team member potential). 

Working with an MSP (Managed Services Provider) and outsourcing your IT management can be a good solution for your team and your business. However, like everything else, working with an MSP has both pros and cons. We made a non-exhaustive list to help you ponder whether or not you should work with an MSP.

PROS AND CONS

PROS

• Everything in one place, from managed IT to Cybersecurity:

Some MSPs now also offer cybersecurity services in addition to IT management. This will allow you to centralize everything that is IT-related in one place, reducing the risks of setbacks due to human error and outdated systems.

• Increased productivity: 

Give time to your team to focus on their tasks, and be more productive and innovative. Working with an MSP is also an excellent way to fight against downtime, which can cost your organization many resources.

• Get the most out of your IT budget and tools:

Since MSPs' teams are composed of specialists, one of the most significant advantages is that they'll help you to get the most out of new technology, digital tools, and best practices, and hence, to get the most out of your IT budget. MSPs are experts with years of experience and have the knowledge required to advise you on ways to improve business processes rather than only fix your current ones.

• Value for money

Working with an MSP will help you minimize hosting and overall IT operational costs. First, it lowers labor costs and eliminates the cost of hiring and training new IT staff. Second, and as said in the previous point, MSPs' teams are composed of experts who know the best tools and how to get the most out of them, so your business is sure to put money into the right tools. Third, most MSPs offer subscription-based models, which makes it easy to predict the total expenditure based on usage and duration.

• In-depth reporting for better processes:

A continuous objective for businesses is to improve processes and find where issues arise, thanks to high-quality analytical capabilities and accurate reporting. Business insights are critical to ensuring success as they help you identify weak points and inefficiencies and strategically make improvements. With an MSP, your data will be centralized, improving its quality and integrity across your organization.

• Peace of mind and security: 

1. Don't let IT issues disturb your team: MSPs will take on daily IT issues, so your in-house team doesn't need to think about it. They will ensure your business runs smoothly with updated software, secure data, and healthy workstations. 
2. Ensure your cybersecurity: Most MSPs propose a proactive cybersecurity program, meaning they'll help find/discover breaches and potential hazards BEFORE a cyber attack happens. MSPs use software platforms to analyze an exponential amount of data daily, which must be maintained securely and compliant with relevant industry regulations. MSPs also offer cybersecurity consulting and can help you to make the right decisions, such as choosing between antivirus and XDR or designing the right Disaster Recovery Plan.

CONS

1. External team with less knowledge in your industry

Your in-house teams are more likely to know your business and industry nuances inside and out. But, great MSPs will always strive to familiarise themselves with your company, solutions, and industry.

2. Control Issues

Business owners and team leaders usually have two main concerns:

• IT services will take away the internal control that employees depend on.
• Risk of losing confidential company information.

It is why it is essential to work with MSPs who respect your confidentiality and meet your business's needs. 

3. Hard to choose one when not an IT person yourself

It can be difficult to entrust someone external to your company with something you don't know about (such as technology) because it is complicated to assess their skills. An easy solution to overcome this fear is to look for MSPs with partnership accreditations, certifications, and industry awards. 

4. Unexpected costs due to needing a service out of your contract

Most MSPs offer subscription-based models, and even though it makes it easy to predict the total IT budget, you might need to work on projects requiring a budget increase. It can be the case if your organization is planning to move to the cloud: there will be added costs, in addition to IT support and cybersecurity costs, that are included in your subscription model.

How To Find an MSP and make sure you choose the right one? 

One of the most significant advantages of MSP is that their offer can adapt to your IT situation: overwhelmed and/or understaffed IT team, one IT employee, no IT staff at all…  

Once you have decided that hiring a managed service provider would be more efficient and cost-effective, make a shortlist of 10 MSPs or so. Need help figuring out where to start? Don't hesitate to check online directories such as Expertise, Clutch, or The Manifest. They are reliable and professional sources. 

Once you have your list of MSPs, research their past performance, the available team of experts, and testimonials from past clients to understand if they can meet your needs. Most MSPs offer a FREE discovery meeting: use this opportunity to chat with the MSP team and understand how they will manage and maintain the services.

What can LENET bring to your business?

LENET can help you manage your IT depending on your IT situation:

- If you already have an IT team or an IT employee, we can work for you and co-manage your IT. LENET can provide your team with the help they need, so they can focus on what matters.

- If you don't possess any IT staff, LENET can manage your entire IT. LENET would become your IT department and ensure your daily operations and security, all in one place, with one team of experts. 

GOOD NEWS: We offer a FREE consultation, so don't hesitate to reach out!