Question 2: Are You Spending Too Much on Staffing?

Managed IT Services 101

Staffing IT in-house can be expensive and deliver poor ROI.

On the flip side of that, some companies will try to hire the entire staff necessary to serve their IT infrastructure, and when you’re building a workforce or working on a tight schedule, staffing can become hinderingly expensive and – unfortunately – can end up costing you more in the long run. Which puts you in a difficult position – forge through and attempt to operate without adequate staffing or neglect a fiscal responsibility. That sounds like a double-edged sword (and some pretty terrible options).

Fortunately, you have a third option – partner with an MSP and lower all staffing costs. 

Though many smaller companies may think it’s less money to keep their IT management in house, this is actually not the case. It may look cheaper on the surface, but it actually ends up costing you a lot more.

Take a look at the math. 

  • For a somewhat capable local IT-administrator that’s just entering the industry you’re looking at a starting rate of around $35,000.
  • For an IT-administrator with some decent experience, good amount of knowledge, and is fairly equipped to handle a variety of technology issues you’re going to pay anywhere from $50,000 to $75,000 a year.
  • To get a seasoned pro who can solve a vast variety of the problems you encounter you’ll pay $80,000 and higher.
  • Plus, you’ll need to pay for ongoing training so your IT team can keep up with the constant changes in IT to make sure your IT team is keeping up with the changing landscape of technology

And that’s just their base pay. That’s not including any kind of bonus structure or benefits package (insurance, 401k, pension plan, etc.). Then there’s the office space, cell phones, computers, and any other equipment they might need. That internal IT person just got expensive in a hurry. 

Outsourcing to an MSP should be thought of as an upfront investment, an investment that saves you up to 50%-70% and improves your outcomes. Not to mention it lets you avoid that double-edged sword situation.

Your Managed IT Edge?

You will spend less on staffing, avoid spreading your existing staff too thin, and still reap the benefits of having a well-staffed IT department (again, with no burden of paying for or managing one).

Continue to Question 3:  Do You Have Recurring Tech Issues? >>Do you know the right questions to ask to know if you need IT managed services? Free ebook.

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