Beyond the Five Percent Rule: When Outsourcing IT is the Best Option for Businesses

In our previous blog, we discussed the need for businesses and organizations to devote at least five percent of their overall personnel budget to information technology. However, reaching that five percent threshold can be difficult for some startups, sole practices, specialized small businesses and even larger organizations. So what’s a business to do? As with any major decision, businesses should consider current and future security and support needs as well as the potential cost for in-house IT versus partnering with a consulting company.

Here are five things to consider when weighing options for your information technology:

1. Cost – Let’s be honest, in-house IT can be expensive. Some start-up costs for a new department can include infrastructure, software, planning, and updates, not to mention training and competitive salaries for dedicated personnel. In fact, cost is often cited as one of the primary reasons businesses make the switch to an external consulting company.

2. Risk reduction – Another major benefit of outsourcing your IT over building an in-house department is that companies which specialize in information technology have a greater grasp on best operational practices and new trends as well as current threats and how to overcome them.

3. Additional resources to focus on growing your business – Most organizations have limited resources, whether it’s time, materials, or even human capital. As a result, there are limits to what an internal IT department can accomplish on its own, making problem solving a more lengthy process. By outsourcing IT support, you can spend less time troubleshooting computer glitches and more time concentrating on what your business does best.

4. Access to a wider variety of IT knowledge – For many small organizations, an internal IT department may only consist of a single person, who (no matter how experienced) is not a replacement to a panel of specialists who are proficient in IT solutions for a variety of industries. In addition, by outsourcing IT, your company can gain access to higher levels of technology and resources that can give you an edge against other small businesses.

5. Improvement to company focus – An ongoing IT problem can impact your whole business if not handled quickly and thoroughly. Unfortunately, when you’re handling all of your IT support internally, your focus is split amongst the different technical priorities needed to keep your site, products, and applications up and running. An outsourced IT partner, on the other hand, can address those worries and often solve problems more quickly, allowing you and your employees to focus more fully on achieving your company’s goals.

In today’s technology-driven world, IT infrastructure and support are essential to any successful enterprise, regardless of size. And while no company wants to be the patient zero in a data breach, the fact is that launching and maintaining an in-house IT department can be costly and not always the best choice for every organization.

If it’s starting to seem clear that outsourcing IT is the best option for your company, or if you have questions about what a partnership with Amshot would look like, email consult@amshot.com to set up a free consultation or give us a call at (405) 418-6282.