In a company that is always growing, there will come a time when you realize that you need more help in your business. You might be wondering whether you should hire another full-time member or outsource work. Let us explore these considerations together to reach a decision that feels right for you.
In this article, we are emphasizing the IT industry. However, the considerations and tips provided here can also be applied to other industries.
An integral function
For most companies, IT integration is essential in their business and daily operations. Getting the most out of their IT investment requires regular maintenance and technology upgrades when necessary. This routine care is usually effectively handled by IT professionals who know the safest way to handle maintenance, security assessments, and new technology integration.
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Moving to the most important question of the day, should your IT needs be taken care of with an in-house IT professional or by working with an outsourced IT provider? Let us explore the question together by objectively considering the benefits and drawbacks of each option and determining which is the best solution for the company’s unique IT needs.
In-house IT
Benefits
1. Your team is committed and invested
Being part of the company, your IT staff will have an intimate understanding of your IT systems and how they may anticipate their colleagues’ needs, and meet the company’s overall objectives. Additionally, they have vested interests in the company’s success because it directly affects them.
2. You will have more flexibility and control
Having a team in-house means that they can physically respond quickly when technical issues arise during the nine to five. In this sense, you can also manage the quality of your team and ensure consistent training to tackle the IT solutions your company needs. Although an in-house team might work slower than an outsourced IT company, that team can also come up with targeted and unique solutions while an outsourced IT company might charge extra for additional projects.
3. Equip employees with new skills
Tackling your company’s challenges is an opportunity to upgrade your team’s skills. Dealing with problems on your own, continuously builds the foundation and enhances resilience for better results in the future.
Drawbacks
The benefits sound attractive. However, there are some downsides to factor in as well.
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1. It is more costly than outsourcing
Hiring a full-time team member is expensive. This cost includes their payroll, benefits, and onboarding. This excludes continuous training and certification to keep your team current on the latest technologies. Furthermore, according to PayScale, the average salary alone for an IT manager is more than $85,000 per year. Due to the nature of the position having competitive wages, it is also tricky retaining your talent.
Consider outsourcing the work if you foresee the support you need for projects is short-term. It is more affordable to outsource a task or project instead of handling it in-house in such cases.
2. Mismatch of skills or expertise
Your in-house IT team is generally limited to their respective knowledge. They may have an intimate knowledge of your current technology, but one or two employees cannot compare to the expertise of an IT provider. Furthermore, even if upskilling is necessary for several key projects, team member training might be too time-consuming or expensive. The resources used for training may take attention away from the things your company can do well. For key projects, it may be favourable to work with qualified and niche experts who can understand your unique needs.
3. Bottlenecks and unavailability
An in-house IT team generally has 1–2 people. The ongoing stream of critical software patches and tickets can quickly accumulate and overwhelm the limited team. When this happens, instead of being able to keep up with new trends and technologies, your team is constantly putting out fires and addressing low-level support issues. This may also cause certain projects or processes to be put on the back burner. Not to mention the limited hours your team is available since they work the regular nine-to-five work week. Emergencies can materialise during the weekends or after hours. Making your employees work outside their scheduled hours is not favourable and you are probably expected to pay overtime for work during the holidays.
Outsource IT Providers
Outsourcing a portion or all of your IT department to an expert-managed IT services provider is another possible way to gain assistance.
Benefits
1. Access to a team of experts
We can agree that hiring and training internal staff to keep up with evolving IT needs can limit your resources. Outsourcing to a reliable IT service provider will give you access to an entire team of well-rounded and experienced techs in every area of technology, from cybersecurity to system administration and data management. Furthermore, these companies may have partnerships for equipment and technology needed to advance your infrastructure. This avoids you from purchasing assets that may become outdated in a few years. Not to mention, hiring an outsource IT Provider is just one monthly fee or predefined hourly rate.
2. Increase access and flexibility
An IT service provider can carry out “back-ups” outside of office hours and provide you with 24/7 support and emergency services which is generally not the case for an in-house team. Even if downtime is experienced during the wee hours of the night, you can get back online quickly. Furthermore, the company does not have to pay additionally for nights, weekends, and holidays. This allows your employees to work efficiently, avoiding interruptions by a slow network during business hours.
3. More time-efficient and cost-efficient
Hiring and growing the right in-house team is time-consuming due to lengthy hiring processes. Outsourcing work to a service provider provides you with a direct return on your resources in an efficient amount of time.
Adding on, it is also more cost-efficient. Outsourced IT providers typically have a fixed monthly cost and you do not have to additionally pay to maintain training or address a data outage after hours. While it may seem cheaper to hire one member in the short-run, you may need to consider the cost of maintaining employees, hiring replacements, raises, benefits, training, and sick leave.
Drawbacks
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1. Challenges in communication
Outsourced IT providers generally work offsite which increases the risk of running into communication challenges. However, if you prefer a hands-off approach and have a consistent and open line of communication, this should not be an issue.
2. Perceived lack of control
You will not have control over the daily operations of an outsourced service provider as compared to an in-house team. However, Scheduling frequent meetings with your managed services company will help keep them accountable and help you maintain visibility.
Outsource your IT Services with ESTRID IT Services
When it comes to managing your IT solutions, ESTRID IT Services have a strong passion for our client’s success and maintains transparency throughout our relationship with you. We are purpose-driven and committed to providing you with the best possible service at every level, constantly striving to protect the future of your business.
Whether your IT staff needs a little extra support or you are looking for a fully outsourced IT department, we are here for you.
If you would like to know more, you can get in touch with us at: sales@estriditservices.com.sg or contact us at +65 88339751.
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