Is Outsourcing IT or In-House IT better for your business?

Is Outsourcing IT or In-House IT better for your business?

Your business may be at a cross-road as to whether you need more help in your business, particularly when it comes to IT services and support. You might also be wondering whether to hire another full-time IT resource or outsource to a specialist IT company. Both of these approaches have their pros and cons, and the right decision isn’t always clear.
This article is to provide you guidance in helping your business make an informed decision on whether to outsource your IT or keep fully in-house.


The difference between outsourcing your IT and in-house IT


An outsourcing model means that you hire external resources to help you complete IT tasks or projects. These might include IT freelancers or IT agencies that specialize in performing a particular type of task or project. For example, hiring a Managed IT Services company is a way to outsource all of your IT services and support for your business to upgrade your IT hardware, manage all IT support desk requests.
Most businesses outsource to save money and complete IT projects quickly.
On the other hand, in-house resources are all about using your existing employees, including yourself. When you handle a IT task or project in-house, you assign one or more of your team members to work on it.


The pros and cons of handling projects in-house

You hire your team to get things done. If you already have a great team of employees, why would you consider outsourcing IT support?
There are plenty of good reasons to leverage the talent you already have. But your team might not be a perfect fit for everything. Consider these pros and cons.



Investing in new skills pays dividends


Every new IT project is a chance to up skill your existing staff members. If you work with your in-house team, you can keep building on that foundation to continually achieve better results. So it makes sense to invest more time, money and resources in training your team because most of them will stick around. Your investment pays off for a long time.
This also means that you can tackle IT projects that are a little bit outside of your usual expertise. If you outsource that work, you need to find someone with those exact skills. Handling it in-house means you can learn together and become more capable as a team.


You set the schedule


Whether you work from an office or your team works from home, you can set shared working hours for your whole team. That means everyone is available and ready to collaborate at the same time.
Outsourced IT contractors and freelancers don’t have set hours. If you need them to work with your team, it might be via video conferencing, or on the phone, especially if in a different time zone.

Your team is flexible and invested


Internally handling an IT project ensures everyone working on it shares your company’s goals, objectives and values. They’re invested in your company’s success because it’s directly linked with their KPIs and the future of the company.
Not all in-house teams are highly engaged, but the ones that care have an advantage over outsourced talent.
Because your team cares about the business outcome of a project, they’re more willing to step outside of their specialty and find creative ways to get work done. They may suggest ideas to make a project better or proactively fix IT issues before they become a problem. That dedication makes up for small skill gaps because team members are more willing to figure things out on their own. The end result is that your engaged team gets more done.


Higher Ongoing Costs

Hiring a full-time team of IT experts is expensive. It’s also a longer commitment vs. outsourcing the work. When the project is complete, that person expects to have the same amount of work and pay.
If you only need help for one or two projects, it might be more affordable to outsource a task or project instead of  fully handling it in-house.
Even if an IT contractor’s hourly rates are higher, they should only bill you for the time they spend working on your project. You don’t pay for hours they spend doing administrative tasks, training, or waiting for the next task. There’s no obligation to give them 40 hours of work every week so you are making cost savings overall.
Whereas, in-house team members must get paid for the hours they spend at work, whether they’re working on your project or doing something else. You’re also responsible for all on-costs (superannuation, annual and sick leave) and other expenses. Companies that have to choose between hiring another team member or outsourcing IT work might find it more cost-effective to outsource their Managed IT services.

Lack of necessary skills


Your employees can’t be good at everything. You might not have the necessary IT in-house resources that can complete a particular IT project successfully.
Sometimes, it’s not practical to try to take on a IT project that’s far outside of your team’s expertise. Staff training might also be too time-consuming or expensive. The resources you spend to learn something new may also take attention away from the things you can do well, and your results won’t be as good.
So, the key for IT projects means it’s smart to work with someone that has the expertise you need.


Managed IT Services


Cyonic IT Professionals can help keep track of how much time your assigned IT contractors are spending on tasks. You will be able to free up your time to focus on what matters for your business by trusting us at Cyonic to fully deliver tailored Managed IT services by running your IT department on your behalf. We provide ongoing IT support and maintenance, for a fixed monthly fee, taking the pressure off your day-to-day IT needs and ensuring your IT system are always operating at peak efficiency. Get in touch today by speaking to our CEO, James Eckart.
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