Should you hire an in-house IT team or outsource the work to specialists? The answer depends on so many factors.
Are you in need of short-term IT solutions Is there a long-term need for IT services in your company?
The ins and outs of IT outsourcing and in-house hiring have been debated for years without a proper consensus being reached.
Nonetheless, there are important considerations to keep in mind to make a good decision for your company.
Reasons Why Companies Outsource IT
Some of the main reasons why a company may outsource IT services include:
1. Cost Effectiveness
The number of companies choosing to outsource their IT functions keeps growing each year, and there’s a good reason for this.
Going the outsourcing route can save your business a significant amount of money.
It removes the need for expensive in-house training and providing workers’ benefits like medical and insurance costs.
Instead, you hire independent contractors who you can pay on a per-project basis. This will mean that you’ll only pay for completed work, rather than tying yourself to a lifelong contract.
View here how outsourced IT services pricing may compare to hiring an in-house IT team.
2. Free Up Internal Resources
Outsourcing allows you to retain your employees for their most productive use in the company.
In cases where IT functions are operated in-house, the staff may end up juggling between tasks in different areas such as IT and Accounts. As a result, they may underperform in both.
Outsourced IT specialists work on specific IT tasks, allowing your employees to focus on other important areas in the company.
3. Specialized Skills and Equipment
Since the contractors are knowledgeable, skilled, and experienced in the field of IT, you can be sure of the best quality and up-to-date solutions for your IT needs.
This also means that your business’ cybersecurity standards are beefed up, given the use of specialized IT equipment and techniques.
The Risks of IT Outsourcing vs. In-House Operations
Outsourced IT services come with their fair share of challenges, including:
1. Loss of Control
Technology outsourcing may lead to loss of control over the basic functions of your company.
Although you can provide directions, it’ll be difficult to closely monitor some activities since the IT company will be working off-site.
This raises concerns over the confidentiality of crucial company data and information.
2. Lowers Employees’ Morale
Laying off or replacing an existing in-house team with outsourced IT support can have a detrimental effect on your company’s morale.
Employees may start to worry about their job security.
Turning IT Outsourcing Cons into Pros
Whether you decide to hire internally or outsource, one thing’s certain – you need to know how to successfully manage your working relationship with your IT service providers.
Being aware of the cons of IT outsourcing means that you can find a way to mitigate them.
You can share the risks with your partners, create legal agreements, and define accountability.
All in all, ensure you stay up-to-date with the hottest IT and tech trends to have an upper hand over your competitors.