There comes a time in every business’s journey when IT begins to become overwhelming. Perhaps you’re getting constant calls about your website being down or not functioning correctly. Maybe you’ve had a security breach. It could be that your employees are having trouble logging into their accounts, using new software programs, or getting the hang of changing hardware.
As a business owner, these aren’t things that you should have to take care of. You have more important things to do. In this way, it could be time to get some help with their company’s information technology (IT).
But which route should you go? Hiring an in-house IT person/team or outsourcing to a private IT company?
To be sure, there are pros and cons to each method, and these are what we’ll be going over in this article. In the end, you should have a firm understanding of the advantages and disadvantages that come with choosing either in-house IT or outsourced IT so that you can make an informed decision for you and your company. Let’s get started!
What’s the Difference Between Having In-House IT and Working With an Outsourced IT Company?
Here are the basics:
An in-house IT team will make up a department within your business. The people that work in this department will be your employees, and you’ll pay them a salary (or by the hour). They will take care of all aspects of your company’s IT services, including security, software, hardware, maintenance, and troubleshooting.
An outsourced IT company is a separate entity. You’ll be hiring them for their services and expertise, and you’ll usually pay them to be on retainer. That is, you’ll pay a monthly, bi-monthly, or annual charge so that they’re there when you need them. Depending on your arrangement, they may also do other regular servicing, programming, and security monitoring.
Choosing the Best Method for Your Company
One of the biggest things to keep in mind when it comes to IT services is that one size does not fit all. We’re not going to tell you that in-house IT is definitely for you or that you should absolutely outsource your IT services to another company. It all depends on some important factors about your business.
First, how big is your company?
In other words, how much revenue do you bring in each month? How many employees do you have? How many clients and/or customers do you serve on a regular basis? The bigger your company, the more help you’ll need, which may push you toward hiring an in-house IT department.
Next, are you a new company or already established?
Naturally, if you’re just getting off the ground, you may want to handle IT yourself. This means that either you do it, an employee does it, or a combination of the two. As your business grows, you’ll want to think about outsourcing these services to another company.
While extremely large businesses usually have their own in-house IT team (and this is totally worth it), startups don’t usually need hired IT specialists. If anything, you might consider hiring one specialist. The problem with this is that you need to keep them busy for all of their working hours. For big businesses, an IT specialist will certainly be busy all day, taking care of help tickets, monitoring web security, handling virtual events like corporate sales training seminars or Zoom meetings, and doing other important tasks. In a small company, they may be sitting idle for long periods of time, which is a waste of money.
Finally, what IT services does your company actually require?
In other words, what industry do you work in?
If you sell artisanal packaged brownies from home as an e-commerce business, chances are, you don’t need a lot of IT help. You’re not dealing with sensitive information; your inventory, ordering, and shipping practices are probably not too overwhelming; and it’s unlikely you have a lot of employees who will need constant assistance with IT issues.
If you run a telehealth company, on the other hand, you may need more help with IT and will therefore want to hire an IT team to work in-house or outsource to a large IT company that can take on the brunt of your services.
In the case of a telehealth company, you’ll be dealing with sensitive financial and medical information that must be carefully protected. Likewise, you’ll need to streamline the tele-video process for all appointments and ensure that they’re secure as well.
Hire as You Grow
Hopefully, the information above gives you a firmer understanding of the differences between in-house IT and outsourced IT. To be sure, there are benefits and drawbacks to each method.
If we can leave you with one thought, it would be that you should always hire as you grow. If you’re just starting out with your business and are still quite small, don’t spend too much time worrying about IT services unless you truly need them. At the same time, don’t take on too much of the work yourself. As a business owner, your goal should be to free your own time so that you can be a creative and effective leader and help your business grow.
