All business owners understand that partnering with managed IT, but a large segment of them aren’t clear on how valuable managed service providers can be to their organizations.
Managed services present countless opportunities for cost savings. In this article, we take a look at how managed IT services directly improve your bottom line.
Flexible and scalable managed IT services help companies achieve a diversity of strategic corporate initiatives. Research conducted by the International Data Corp shows that managed IT services are most effective at helping businesses install the right resources for their strategic growth initiatives while optimizing productivity.
These same studies found that managed service subscribers saved roughly $400,000 in IT expenditures annually. Let’s take a closer look at how managed service providers translate into cost savings.
The key financial benefits of managed IT
Apart from the considerable cost savings, the primary upside to managed IT is that it helps ensure you have the right skills sets in place for specific initiatives aim to accomplish.
The ability to streamline your projects with our worrying about whether or not you have the proper in-house staff in place is tremendously valuable in offering peace of mind, not just a healthy return on your investment. Here are a few ways you’ll benefit after partnering with a reputable managed IT firm:
1. Economies of scale
IT directors, risk managers, and business owners know that automated technology can vastly improve productivity, but the initial hurdle to achieving those ends is the upfront investment costs.
Managed IT companies offers customer customizable subscription-based billing services that operate on economies of scale at a reduced rate.
This means you can scale up services up or down depending on your current needs while conserving the hefty upfront investment costs associated with keeping the same services in-house.
You no longer have to worry about whether expensive upgrades or not using the latest technology because a trusted managed service provider already possesses it.
2. IT Infrastructure savings
When you outsource your IT, you preserve money that would’ve been necessarily been invested into pricey infrastructures like data centers and network systems.
In addition to this, you’ll find considerable savings on expensive hardware, your monthly energy bill, and storage space.
This all adds to some significant cost savings, allowing you to redirect the extra capital to other investments that support your growth strategy.
3. Improved data security and compliance
If you’re operating in a significantly regulated industry such as banking, you face dozens of specific regulations for how you handle sensitive customer data. Highly regulated industries face strict compliance requirements at the risk of significant financial and even criminal penalties.
If you need a system to safeguard your client’s sensitive personal data and regularly update your network and applications to keep the secure, partnering with a managed IT service can translate into significant cost savings.
Designating your in-house IT staff to manage your customer’s credit card information, for instance, is resource-intensive and very costly.
If regulators deem your compliance oversight inadequate, the penalties are stiff. Managed services are better prepared to keep up with the ever-changing regulatory landscape and handle dynamic compliance requirements cheaper and more accurately than your in-house team.
4. Minimal downtime
Downtime is costly. Frequent incidents of it turn off crucial investors and prospective clients.
Most organizations operate in a competitive niche, so even the slightest increase in downtime can send valuable business to your competitors. 24/7/365 monitoring means managed IT service providers save your company money and valuable business partners.
5. Reduced operating costs
If you elect to keep your IT in-house, both the initial and recurrent investment costs are high. You must factor in future upgrades and the specialized skills training to implement the new technology as you go.
Many companies are not in a position to afford the initial upfront expenses, must less the cost to maintain the pricey infrastructure. Businesses in this position should look at managed IT expenditures as normal operating costs that allow them to maintain robust systems at a discounted rate.
6. A stronger bottom line
When you work with a managed IT service provider, you assured an efficient system that lets your employees stay on task and focus on core business objectives. A well-managed setup system means your staff can achieve more with less, and this increased productivity translates to more revenue you can redirect elsewhere.
Scalable, flexible managed IT services
Are you asking, “where do I find managed IT services near me?” Optimize your IT with an experienced and reputable managed service like PCH Technologies in New Jersey.
To learn more about how your company can cut costs while improving efficiency and growth with a managed service provider, call (856) 754-7500 today.