Disadvantages of in-house IT – why you’re almost always better off outsourcing your IT

A regular dilemma faced by business owners is whether to outsource their IT requirements or maintain an in-house IT function. Effective managing and running of an organisation’s IT systems is absolutely critical – these days no business can really function without this. If computer systems are unreliable this causes a whole heap of problems throughout a business and can really hamper productivity. So what’s the best option to ensure that all your IT systems run smoothly – maintaining them in house or outsourcing?

The challenges of relying on an in house team

When a business is first starting out it’s generally the case that the IT function is done on an informal basis by whoever happens to be the most tech-savvy member of the team. However this approach is not sustainable when a business begins to grow and all but the very smallest of businesses need some kind of dedicated IT function. Without this you quickly run into problems with the IT requirements of the organisation outpacing the in house IT skills and knowledge, and day to day organisational performance quickly begins to suffer.

There are of course some advantages of keeping your IT support in house. This approach enables you to build a highly specialised team with detailed knowledge of your specific systems and requirements, however this can be a disadvantage too as with this approach you no longer have a ‘whole of market’ view of the best options for your business. Your small in house team cannot be experts in everything so the business then tends towards doing things the way that they have always been done, which can limit opportunities to improve efficiency or effectiveness through the deployment of new technologies that the in house team don’t know much about.

Keeping IT in house does not keep your costs low

Small businesses are often wary of outsourcing IT support because they believe that it’s going to be much more expensive than if they did it themselves in house. This is a big mistake. In fact it’s generally the other way around. Outsourcing generally tends to be much more cost effective. You can fix your costs for the period of an agreed contract and you’re not obligated to pay a person’s salary and all the associated costs that go with employing someone yourself.

You also don’t need to worry about how to provide cover when that person is on holiday or off sick, or think about what to do if they leave your organisation. Continuity of service is provided by the outsourced IT provider, no matter what. It’s also often the case that your contract with an outsourced provider will include a lot of things that you might be paying for separately if you go for the inhouse option – things like anti virus software, email filtering and backups.

Outsourcing IT gives you access to more skills and experience

One of the key benefits of outsourcing is that it enables you to access a much richer range of skills and experience than is generally the case if you manage the function in house. IT providers make it their business to ensure they have staff with a whole range of different knowledge and specialisms. This means you can access such skills when you need them without having to pay for them directly.

An external IT provider should be proactive

A good outsourced IT provider will be proactive in the way that they monitor and maintain your systems. They will warn you in advance if your warranties are due to expire, or your equipment is out of date or a particular tool you use is no longer being supported. This saves you a whole world of problems compared to finding these things out at the point at which they become problems. A good IT provider will also be proactive in recommending different options to you if they see an opportunity for you to make a saving or do something better. We regularly find we’re able to save clients money when we review the things they’re spending money on, streamlining the services they use and making sure they’re on the best possible licences for their needs. This kind of expertise is very hard to find in one or two people that might go to make up an in house team.