Using your end-of-year IT budget to invest in managed IT
Nowadays, IT-related expenses form a big part of business financial planning. According to Deloitte’s CIO Insider Report, organizations allocate, on average, 3.64 percent of their revenue to IT spending. Digital investments are crucial in running modern business operations. Companies spend millions each year on tech innovations and keeping data systems online.
How much are you spending on IT this year? More importantly, does your IT’s ROI make up for all that trouble? If you can’t put an exact number on your IT allocation or the ROI doesn’t justify the spending, it’s about time you optimized and stabilized your IT budget. One way you can do that is by hiring a managed IT services provider to take over the support and maintenance of your corporate digital estate. Here is what makes investing in managed IT financially economical:
Lower labor costs
The only alternative to outsourced IT is an in-house IT department. According to Glassdoor, the average base salary of an IT worker is about $70,000 per year; some ask for nearly twice that. Once you add other employee expenses such as benefits, time off, recruiting, bonuses, and accommodation, in-house labor costs start to go up fast. A managed IT provider fills the same roles as an internal IT team but at a mere fraction of the cost. Plus, MSPs are much more dependable, highly skilled, and exhibit a high level of professionalism.
MSPs charge a monthly, quarterly, or annual fee for their services through a subscription-based payment model. You’ll pay a fixed amount every time regardless of the services rendered. That means you’ll always know exactly how much money goes to IT support and labor without making any guesses. A stable budget gives you a clearer view of cash flow and enables you to make solid financial plans.
Dependable IT processes
The break-fix IT support model, where you only act when something goes wrong, simply doesn’t cut it in the modern, fast-paced e-commerce world. Managed IT provides a more proactive IT support solution. Rather than wait for something to break, the MSP continuously scans the entire IT infrastructure for glitches or abnormalities and takes immediate action to remedy them. This strategy minimizes the risk of unplanned downtime and the associated costs caused by cyberattacks, equipment failure, or software crashes.
Some MSPs provide additional assistance and technical tools as part of their value-added services or premium-tier packages. These perks include discounted cloud services, call centers, data backups, remote monitoring tools, and cyber defenses. You can downsize your on-premises IT investment or discard redundant third-party IT services by partnering with an all-rounded managed IT provider. Besides the cost savings, centralized IT management also maintains consistency across your entire IT infrastructure.
Increased business productivity
Partnering with an MSP frees your staff to concentrate on other more important tasks. It frees you as well to focus on building and growing the business. You can’t put a price on time – just the extra time an MSP saves your business is well worth the investment. Plus, well-oiled IT systems and streamlined digital workflows are key performance indicators in data-dependent firms. In other words, IT performance determines business productivity.
Investing in managed IT as part of your IT strategy makes for more cost-efficient IT utilization. Doing so can reduce your capital expenditure and drastically minimize recurring IT costs by cutting back overheads and boosting overall business productivity.
Partner with GB Tech, a highly experienced and reputable MSP, to trim your IT budget this year. Let us boost your business growth through expert IT guidance and support. Get in touch with us and learn how to scale up your digital performance while cutting costs along the way.