...

Outsourced IT Myths (and Truths) for UK SMEs

Table of Contents

Why Outsourced IT Is Often Misunderstood
  • A website represents a primary digital asset of a small business.
  • Customers often use a company’s website to explore available services and determine the business’ credibility.
  • Many businesses create their websites and treat them as one-time projects after launching.
  • Since most business websites are not regularly updated, they become less effective due to slowness and lack of current content.
  • Not maintaining your website can lead to security holes.
  • An old, unmaintained website won't continuously provide leads from potential customers.
  • Typically, an old website will continue to provide visitors with inaccurate and out-of-date information.
  • Often, errors, broken items, etc. will exist without the site owner’s knowledge or awareness.
  • With regular website maintenance, you will keep your site secure, fast, and dependable.
  • With regular updates, your visitors will experience a better website each time they visit.
What Outsourced IT Support Actually Means
  • If you want to utilize an external company to support your technology throughout your business, you'll be looking to use outsourced IT support.
  • There are many different types of Outsourced IT Support that exist. They include:
  • Completely Outsourced IT: The vendor will manage all systems, support & security for your business' IT
  • Co-Managed IT: Your internal staff will work in conjunction with a vendor as needed
  • Ad-Hoc Support: When you have a problem, you can call an IT vendor for assistance
  • Typical Services offered by Outsourced Solutions include:
  • Help desk assistance to employees
  • Monitoring systems for problems
  • Management of updates & patches
  • Protection against cyber threats
  • Backup data
  • Management of devices
  • Outsourced IT is intended to supplement existing business processes rather than replacing them.
Why SMEs Consider Outsourcing IT
  • To address practical considerations, a number of SMEs look to outsource their IT.

Control of Costs

  • The cost to hire full-time IT staff can be high. Outsourcing your IT can give you expertise without the full cost of employing staff.

Lack of In-House Knowledge

  • Most small businesses hire people that do not have a good understanding of technology to manage their IT, which increases the risk to them.

Increased Security Risk

  • Cybersecurity has become increasingly complicated and therefore businesses require a more structured level of protection.

Company Growth

  • As businesses grow, the demands for their IT increase.

Reliability

  • Companies require IT systems that work 100% of the time and have no interruptions.
Common Myths About Outsourced IT

Myth 1: "Outsourced IT is just for big companies"

Why people think this is so:

  • Outsourced IT tends to be thought of as an enterprise-level solution.

The truth is:

  • Most outsourced IT service providers work with small and medium-sized companies.

What you need to understand:

  • A full in-house IT team may not be feasible for most small companies; therefore, they need to outsource IT services as much as possible.

Myth 2: "Outsourcing IT is expensive"

Why people think this is so:

  • The monthly fees associated with outsourcing can seem large when looked at on a monthly basis.

The truth is:

  • By eliminating the potential for unforeseen expenses, outsourcing IT can ultimately result in lower overall expenditures and can provide companies with a predictable cost structure.

What you need to understand:

  • When looking at the total cost, you should compare them to each other rather than strictly on monthly costs.

Myth 3: "Outside providers do not know my business"

Why people think this is so:

  • An outside provider may provide IT services for multiple clients.

The truth is:

  • Quality IT support and services provided by the right outside provider will take the time and effort to understand how their clients operate in order to be able to provide the best support possible.

What you need to understand:

  • The quality of the services provided is more important than whether an outside provider is located on site or off site.

Myth 4: "On-Site IT Is Always Best"

Why people think this

  • The "internal" or on-site staff are normally less difficult to reach.

Reality

  • One single person working for an organisation won't likely have every skill your company may require to support its technical requirements.

What You Should Know

  • Outsourced IT gives your business access to a better range of skills and knowledge than hiring in-house staff.

Myth 5: "Outsourcing IT Services Means Losing Control"

Why people think this

  • All technical systems are controlled by external service providers.

Reality

  • Your business will continue to control its technical requirements, while the outside provider does the technical work for you.

What You Should Know

  • To maintain control, both you and your provider need to communicate effectively and have written contractual agreements in place.

Myth 6: "IT Service Providers Only Help Fix Problems After They've Occurred"

Why people think this

  • Older "break/fix" methods of delivery were reactionary in nature.

Reality

  • Today, many IT service providers have placed a greater emphasis on preventing issues from occurring than relying on repairing equipment after a failure has occurred.

What You Should Know

  • PROACTIVE service and support is now the normal standard of managed IT service providers.

Situations Where Outsourcing May Not Be Ideal

  • Outsourcing isn’t always going to solve your problems.
  • Outsourcing will not be suitable unless you have:
  • A large business with good internal IT support
  • Highly specialised operational systems
  • An environment that requires constant IT support on site
  • A company that works well with an outsourced IT provider
  • Choosing an outsourcing provider can be complex; make sure you are making the correct decision based on your environment and needs.

How to Choose a Good Outsourced IT Provider

  • There are a number of things to look for when you evaluate potential providers:
  • Evidence that they’ve serviced small-to-medium-sized enterprises (SMEs)
  • Clear, easy-to-understand pricing
  • Defined response times
  • Evidence of security experience
  • Communication style
  • Reviews and reputation from previous clients
  • A good provider should provide you with the support you need, as opposed to just providing you with a service.

Outsourced IT Evaluation Checklist

  • Are there frequent problems with your IT?
  • Do you have little or no IT experience in-house?
  • Is there adequate security on your IT systems?
  • Do you have reliable backup capabilities?
  • Are you unable to budget for IT costs?
  • Is your business at a stage where you need to look into an outsourced IT service provider?

Signs Outsourcing IT May Benefit Your Business

  • Frequent downtime
  • Concerns About Security
  • Limited internal resources
  • Difficulty scaling your technology
  • No documented processes for IT

Questions to Ask Potential IT Providers

  • What services will be provided as part of the engagement?
  • How fast does the provider respond to requests for help?
  • Will the provider perform regular proactive monitoring?
  • How will the provider manage security?
  • What is the provider's pricing model?
  • Will the provider be responsible for backups and recovery of data to your site?

Frequently Asked Questions

Typically includes some type of help desk support, monitoring, security, updating and backing up data.

Outsourced IT can be cost-effective; especially for small businesses with no requirement to staff their own IT permanently.

Yes, there are many suppliers who specialise in providing support to SMEs.

Response times will vary; however, these response times would generally be specified within the service agreement.

Certainly, many companies take a "hybrid" (partial outsourcing/partial in-house) approach to their IT operations.

About This Guide

This document is created for UK Small and Medium Enterprises (SMEs) by the Computer Support Centre and is intended to facilitate understanding of the outsourced IT services and differentiate between common myths and reality with regards to outsourcing in general.

SMEs are often times unsure about whether or not they should consider IT outsourcing; this stems from misconceptions regarding the cost, control over their business processes, and the efficiency or effectiveness of this type of service.

This guide is therefore designed for you to see what is actually done as part of an IT service provider/partner relationship, as well as why other companies have chosen to pursue this path, the typical services that are offered through an IT service provider, the most widely occurring misconceptions with regards to IT outsourcing, when to use it effectively, and how to select the most optimal IT provider for your specific needs.

Conclusion

Now, IT outsourcing is no longer only for major corporations; it is a viable choice for small to medium enterprises in the UK. The right setup can offer trustworthy assistance, a higher level of security, and predictable billing without needing a complete in-house IT staff.

Being aware of and dispelling some of the common misconceptions regarding outsourcing should be helpful in making intelligent decisions without unnecessary worry. By selecting a suitable provider, establishing consistent communication and having defined expectations for their support, SMEs could benefit from pro-active IT support which helps to create solutions before they occur; rather than offering only reactive support solutions.

Outsourced IT should ultimately be viewed as your partner; as a means of increasing efficiency, improving your overall security position, and being confident about growing your operation in this increasingly digital landscape!