6 benefits of outsourcing your IT department
Outsourcing key business services is common practice within SMEs. Many businesses already outsource their marketing, finances and logistics to other companies with more expertise – relieving themselves of the stress.
A functioning and efficient IT system is crucial for the performance of daily tasks within your business, but IT departments can require costly hardware and an experienced team. The average small business spends 6.9% of its revenue on IT, which can take its toll on your company’s budget
We’ve summarised the six main benefits that come with outsourcing your IT department.
1. Focus on your core competencies to increase productivity
Through outsourcing, productivity will be increased as your employees focus on the job for which they were hired.
If one of your team is ‘kind of’ good at IT, they can become lumbered with tasks such as fixing computers or networks, which will distract from their core duties.
For example, if your company is particularly focused on customer service, and you generate most of your business from customer-focused phone calls and interactions, then devoting energy to areas which are not in your expertise – such as IT – could be counterproductive.
Research shows that 48% of UK companies choose to outsource in order to improve their customer service. If a professional IT company is maintaining your systems then they will be able to quickly and efficiently monitor, recognise and respond to any issues. Naturally, this will ensure your business runs as smoothly as possible, meaning its overall productivity will increase.
2. Avoid the recruitment process
Business owners understand the stress that comes with recruiting new staff. It’s tough, time-consuming and at times, expensive. Research shows that 75% of managers actually end up regretting their hires.
If you are not an IT expert yourself, it may be difficult to recognise someone who possesses the competencies and skills required to manage and maintain the technology vital to the business. You don’t want to end up employing the wrong person.
However, by hiring a specialist IT company, there’s a guarantee that you will be helped by highly trained and experienced engineers.
All you have to do is decide who you want to help you out. Read our guide on how to choose an IT company.
3. Reduce overall costs
Companies can cut their IT costs by 30% if they choose to outsource – a huge saving which can be allocated to another area of your business.
If you were to hire an in-house IT manager in the London area it could cost you around £45,000 a year. With your IT located elsewhere, you won’t need to spend a fortune on salaries to maintain the technology or the software hosted in the cloud
The engineers provided by an outsourced IT company will be qualified and experienced. You will be able to trust them to have had the relevant training in IT solutions and understand the latest technology (even if you don’t).
Partner up with an external IT company and you’ll know exactly how much you’re spending, as usually the monthly payments are itemised and transparent.
It’s a sensible investment because you’ll receive a level of expertise worth every penny.
4. The latest technology
Technology and IT products are changing at a rapid rate, evolving constantly and can be confusing. According to Forbes,58% of business owners don’t actually understand the technology that they’re using.
An experienced IT solutions provider will be competent and already implementing the latest technologies and software. These will be brought to your business as soon as you become partners.
IT companies often have accreditations and partnerships with industry-leading technology providers, such as Microsoft and Dell, so you know they are credible and will deliver industry-standard service.
5. Risk management and proactive maintenance
You currently may only fix a problem when it arises. However, what if you could’ve prevented this problem in the first place?
Of the businesses that close down following a disaster, research shows more than 25% never get back on their feet again.
An outsourced IT solutions provider will have various processes and tools already in place to minimise risk. They will continuously verify system backups, audit equipment and software and proactively monitor all of your systems 24/7.
This means the risks of downtime will be significantly reduced.
6. On the same level as large enterprises
Larger companies generally have more in-house resources due to the scale of their operations. SMEs don’t require a large team to take care of their IT, but still need the same level of functionality and service so they don’t get left behind.
Through outsourcing, smaller businesses can receive the same level of efficiency and expertise. And outsourcing to an IT company means clear processes are in place.
So, you won’t need a large office to house all your IT engineers, they are simply working elsewhere for you
Have a chat with us today if you are considering outsourcing your IT production and we’ll let you know how we can help.