What Is IT Outsourcing? Benefits of IT Outsourcing in 2022
What a past 24 months we’ve had! Businesses around the world frantically had to go online, set up remote and hybrid work, and uncover new ways to optimize their costs. Over the past 2 years, outsourcing IT management has proven to be the right choice to optimize costs while maintaining a steady pace of business growth.
The managed IT services industry is constantly evolving. It’s no surprise that the demand for IT management is projected to grow in 2022. According to recent findings, the global managed services market is expected to register a CAGR of 9.45% from 2020 to 2025. This steady growth is caused by businesses turning to managed service providers as their principal source of IT knowledge and expertise.
Businesses face a multitude of management challenges, including hiring the right IT talent, budget changes, technology acquisitions, and the ever-changing cybersecurity landscape. There are several ways that outsourcing IT management helps businesses gain a competitive edge. We’ve discovered a variety of benefits of outsourcing IT management for business and will share with you what we’ve found.
What is IT Outsourcing?
Before we take a look at the benefits of IT outsourcing, let’s discuss what it is and how it works. IT outsourcing is the practice of moving work from inside a workplace to the outside. However, there are many different types of outsourcing that can be used, depending on your needs. Within the types of IT outsourcing, you can find different outsourcing models.
Your technology is a crucial part of your business and your strategy. Having the right tools in place with a team that can address and fix issues as they are discovered allows your employees to focus on what they do best. Outsourcing IT management can be the best solution for businesses that don’t want to have to keep their IT in-house.
When many business leaders think of outsourcing IT management, they immediately think of their experiences as they are redirected to an agent outside of the country. This situation often leaves you feeling dissatisfied with no resolution. Though the right outsourced IT services are indeed a positive way of managing your IT needs, choosing the wrong provider can lead to a terrible experience.
Why Is Outsourcing IT Management on the Rise in 2022?
Today, anything that businesses can do in-house can be outsourced. The question is not whether businesses actually need an internal IT department. The truth is that everything is changing and businesses must be able to adapt to the new reality. This can mean assigning resources tactfully and focusing on core business-critical tasks while assigning IT-related issues to a third party.
This is particularly true given the skill gaps and talent shortages worldwide. More businesses are running into roadblocks when it comes to recruiting. By 2025, the gap is projected to be nearly 50% for tech talent. What may be even more shocking is that the demand for skilled technicians is expected to grow by 55% by 2030.
Recent events have only increased the need for additional IT expertise. The majority of businesses anticipate making long-term IT changes, while other businesses hope to improve security risk management. At the same time, spending on outsourcing IT management will rise in 2022. The majority of today’s businesses anticipate keeping their IT budget the same or increasing it over the next 12 months.
These shifts in IT are driven by the need to continue to provide remote and hybrid work environments. One of today’s most common challenges is security, as endpoint security has become a major concern for businesses with remote and hybrid workers.
When Should You Start Outsourcing IT?
Outsourcing IT management is not new and any business can benefit from it. Outsourcing IT management is often used in emergencies when something goes wrong and urgent IT assistance is needed. It’s better to think about outsourcing IT now and not when an emergency arises.
Here are the warning signs that indicate that outsourcing IT is inescapable:
- You are no longer able to make adjustments to your IT infrastructure due to a limited budget or IT solutions.
- Prolonged downtime and tasks that go unresolved. Help desk tickets are increasing because your internal IT staff can’t handle the amount of work they are taking on. At the same time, the quality of their work is declining.
- You are not sure how to handle data theft and/or data loss.
- The number of cybersecurity issues is increasing. The cybersecurity issues all seem to be related to each other and they won’t stop coming in, increasing the vulnerability of your network.
- You are no longer able to handle the IT challenges and the needs of your customers/clients. You want to avoid bringing in new employees to avoid the costs.
Is any of this familiar? Do you have these types of issues? These are all signs that your business needs IT outsourcing.
What Should You Outsource in 2022?
- Remote Monitoring. Your IT provider will take on the responsibility of performing the basic IT needs your business needs.
- Technical Support. Covers aspects such as IT security, website, hosting, networking, desktops, and more. By outsourcing the aspects of technical support, your staff can focus on improving your business.
- Cybersecurity issues. Covers cybersecurity issues such as virus protection, data security, backup and recovery, and more. By outsourcing the cybersecurity aspect of your business, your business will experience a higher level of security and prevent cyberattacks or data breaches.
- Backup and Disaster Recovery. In the event of a natural disaster or internal error, the issue will need to be addressed immediately. Every business needs to have a backup and disaster recovery plan.
- Help Desk. This service involves maintaining your IT needs and troubleshooting any IT issue. A Help Desk allows you to reduce costs, simplify management, and increase efficiency and productivity.
- Virtual CIO. A Chief Information Officer will work remotely and offer insight into issues impacting your IT infrastructure. The roles of a Virtual CIO include diagnosing and investigating your current IT infrastructure while controlling projects or growth phases.
Advantages of Outsourcing IT Management
Saving time
Typically, it takes a significant amount of time to handle IT needs. Do you have the time you need to handle these IT needs? Here are some of the most time-consuming tasks that could be handed off to an IT provider.
- Planning an IT roadmap to ensure business continuity.
- Managing an IT infrastructure that involves complex configuration, network protection, patches and updates, etc.
- Troubleshooting IT issues and the results of downtime and dealing with the consequences of a cyber-attack or data breach.
Reducing Costs
When it comes to your business’s IT needs, you can allocate your budget to hiring and training someone on your team, but this person may not have the experience and knowledge that is needed to address complex IT issues.
In-house IT teams can be expensive to run because technology is constantly changing and the cost of technology tools is on the rise. You should never skimp on IT support because it can leave your business open to data loss and data theft.
One of the key reasons businesses outsource services is to reduce costs. For businesses that have limited resources but complex needs, outsourced IT management is an attractive alternative. Partnering with an IT provider will allow you to run a full-scale IT system at a price you can afford. An advantage of outsourcing IT management is to give clients the ability to manage their costs.
Improving Security
According to a study published by the Ponemon Institute, since 2017, cyberattacks have become more continuous, targeted, and complex. Small to medium-sized businesses around the world are finding it difficult to defend themselves. 71% of small to medium-sized businesses have experienced and reported at least one cyberattack, and 66% have been attacked within the past 12 months.
As cybercriminals become more sophisticated, business leaders must have the proper security measures in place. IT service providers that offer cybersecurity services can provide many IT outsourcing benefits, such as managed detection and response, penetration testing, and security operations services to simplify processes, meet compliance regulations, and more.
Any time your network receives new elements, more opportunities will be created for security vulnerabilities. The security vulnerabilities will put your and your clients’ data at risk of cyberattacks. Choosing to outsource IT to a service provider will ensure your business has the latest cybersecurity protocols in place, keeping data safe from cybercriminals. Due to cybersecurity being such a critical part of IT services, business professionals must be familiar with the latest security advancements.
Outsourcing this part of IT will also allow businesses to obtain data backup and restore options, disaster recovery protection should data become lost or corrupted due to human error or natural disasters. IT outsourcing providers are not limited to the immediate area, as they often have a pool of talented professionals. This means they will always have someone to work with you who’s familiar with the unique needs of your industry.
Additional Benefits of Outsourcing IT Management
- Staying up-to-date with technology to ensure your unique needs are met
- System monitoring and risk management
- Staff augmentation
- More time to focus on the core aspects of your business
Enjoy the Benefits of Outsourcing IT Management with tech42 LLC
It can be challenging to stay on top of the latest IT developments. Businesses must be aware of the threat landscape, especially as cybercrimes become more advanced. Working with an experienced team like tech42 LLC can give you peace of mind in knowing that your business’s IT is being taken care of. Our job is to apply cutting-edge technology, proven expertise, and a deeper understanding of security to our clients.
Outsourcing IT management may be the best thing you can do for your business. If you want to know whether you should take advantage of outsourced IT management and how it might help your business, contact us today to learn more about our services and how we can supercharge your IT.
Thanks to Ashu at Orion Networks, an IT service company in Columbia, MD for his help with this article.
