As businesses continue to flourish, their IT infrastructure develops and becomes more complex, making it increasingly complicated to maintain and manage.
This creates a rise in the need for IT services, which, subsequently, presents the question of whether to use managed IT services or an in-house IT team.
While both choices have pros and cons, it is vital to gain a profound understanding of the differences between managed services and in-house IT services.
Managed IT Services vs. In-House IT Team
Managed IT services are a type of wide-ranging outsourced IT. An MSP (managed service provider) manages daily tasks such as:
Managed IT services perform these duties without the assistance of your IT experts. For instance, they will perform ethical hacking to reveal vulnerabilities in your IT infrastructure. You don’t need to do anything, just wait for the outcome.
MSPs are third-party companies that offer IT services to organizations. They are responsible for maintaining, monitoring, and managing a business’s IT applications and infrastructure, offering support and troubleshooting services to guarantee IT systems are up-to-date and safe.
Benefits of Using a Managed Service Provider (MSP)
In this digital era, the effect of technology on organizations is vast and necessitates timely and effective management for efficient decision-making, productivity, and communication.
For this very reason, businesses should consider managed IT services and receive immediate access to the technical expertise and skills needed to oversee daily operations.
Managed Services entails outsourcing IT operations and tasks to an external provider, including services such as:
Here are the main benefits of managed services to your company:
Cost Efficiency
One of the main benefits of using IT managed services is to save money. Instead of the sizable investment needed for developing and maintaining an in-house IT department, IT managed services work on a subscription.
This lets organizations allocate funds more flexibly, changing fixed IT costs into adjustable expenses. It’s also beneficial for smaller or medium-sized businesses with limited budgets or those looking to scale without gaining substantial upfront costs.
Access to Specialized Expertise
IT managed service providers usually retain a team of highly skilled professionals with diverse specialized expertise. By outsourcing your IT needs to a managed services provider, you get access to a group of specialized talent that may be challenging to bring together in-house. From cloud computing to cybersecurity, managed service providers provide a wealth of skill and expertise, guaranteeing that your IT infrastructure is in good hands.
Flexibility and Scalability
In the current vibrant business world, scalability is critical. IT managed services deliver high scalability, letting organizations effortlessly modify their IT resources based on their changing needs.
Whether dealing with a temporary rise in demand, increasing operations, or launching new products, managed service providers can quickly adjust to these changes. This flexibility guarantees that your IT network is cost-effective and accessible.
Managed services frequently provide better scalability. An in-house IT team might find it difficult to handle quick changes in your business needs.
Managed IT services can swiftly scale IT resources based on demand. All you have to do is make a request to scale. With an in-house IT team, scaling necessitates employing new staff members and investing in extra resources.
Maintenance and Monitoring
Another significant benefit of managed services is their monitoring and maintenance. Managed service providers use innovative tools to identify and address possible problems before they worsen, reducing downtime and guaranteeing continuous business operations. This proactive approach to managing your IT can considerably improve the performance and dependability of your systems, eventually contributing to better overall business effectiveness.
Understanding In-House IT Services
In-house IT is different from managed IT services because it means a business's own internal IT department. Instead of outsourcing your needs to a dependable MSP, your company will directly use IT professionals to maintain and manage your IT infrastructure. With in-house IT, companies can:
This model offers companies total control over their technology framework. However, it also means high operational costs.
Key Benefits of Having an In-House IT Team
Many companies favor in-house IT. They prefer to directly control their technology. These IT management approaches don't need companies to turn over their IT network data and information to a third-party provider.
Additionally, on-site availability provides accessibility to companies. However, when you partner with an IT managed service provider, you get access to a 24/7 helpdesk that can offer help quickly and answer all your questions.
In-house IT staff also has better knowledge of your organization’s processes. They're trained explicitly by your company and know exactly what you need to be done.
Challenges of Maintaining an In-House IT Team
There are many challenges that come with maintaining an in-house IT team.
Costs are drastically higher since in-house professionals require full salaries and benefits. You also don't typically reap the benefits of someone with as much specialized and distinct expertise as an IT managed service provider can provide.
Retention and recruitment of employees could also be difficult. Hiring entirely falls on your company, and it could be unfortunate when people quit. People change jobs every three years or so, leaving your IT infrastructure vulnerable.
Scalability is also hard. You need to purchase more software and hardware to remain competitive and ahead of the competition. Technology also changes swiftly and can be hard for your employees to handle.
Comparing In-House IT Services vs. Managed IT Services
When it comes to managing their IT needs, organizations must compare the costs related to various options, including employing an in-house IT team or partnering with a managed services provider. Both choices come with numerous benefits and costs. Knowing these factors is vital in making informed decisions that satisfy a company's particular budget and needs.
Some benefits of a managed IT service provider include:
There are many reasons that in-house staff can’t provide these things. They don't have the resources to scale down and up without buying new systems which cost a vast amount of money.
Fortunately, managed service providers can aid you with decreasing costs while getting quality services. When it comes to managed IT services, the benefits are mostly financial. On the other hand, an in-house IT team requires:
The average yearly salary for an IT manager is around $113,000. When you outsource to a managed service provider, you can reduce the costs by over 35%.
In-House IT Team Costs
Employing and supervising an in-house IT staff comes with hefty costs. On average, the salary for an IT specialist is around $76,000 annually. This amount doesn't include other costs including equipment, benefits, training, and continual maintenance. When including all these costs, the total amount of an in-house IT team could be enormous.
Managed Services Provider Costs
Working with a managed services provider comes with costs, like contractual requirements and monthly fees. However, this price is usually lower than hiring an in-house team and might offer a better value for your money. For instance, a managed services provider might be able to give 24-hour support and a greater level of expertise than an in-house team.
By partnering with a managed services provider, companies could access a superior level of support and expertise without having to sustain the costs of employing and overseeing an in-house team. This could result in substantial savings over time.
Don’t Forget About Costly Mistakes
Mistakes in IT support could be costly, whether a company is working with an in-house team or a managed IT service provider. However, costly mistakes may be higher with an in-house team since organizations probably have to deal with delays, errors, and other problems.
With a managed services provider, companies might have to pay more money for fixing mistakes, but the whole price might still be lower than if they depended on an in-house staff.
Choose Nucleus as Your Managed IT Service Provider
Unlike other IT managed service providers in Toronto, our IT solutions are comprehensive. IT managed services provided by Nucleus don’t just consist of the typical IT support and IT consulting. We also offer cybersecurity, cloud services, and Microsoft 365. Contact us today with any questions. Our team is ready to help.