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In-House vs Outsourcing IT Services: Which Is Right For Your Business?

Last Updated: August 28, 2024

In today’s modern business world, your business needs to rely on computing and information technology (IT) as the key to succeeding in a highly competitive market. You’ll need IT solutions that will allow you to focus your energy on reaching your business goals without stressing technology. Fortunately, you have plenty of options when it comes to IT services.

Depending on your needs or preferences, you can outsource IT services or have an in-house team handle all your IT requirements. If you don’t know which is right for your business, read below and click here for IT services in Toronto

Table of Contents

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  • Determine The Level Of Skills You Need
    • Control
    • Availability
    • Salary
    • Familiarity Needed With The Business
    • Keep Flexibility In Mind
    • Scalability
    • Determine Whether You Need Client-Facing Or Internal Staff
    • Know The Other Costs Involved
  • Final Thoughts

Determine The Level Of Skills You Need

Your decision to outsource and go in-house will depend on the skill level needed for your business activities. If your tasks are simple, you can benefit from having an in-house team. However, if you need complex IT services, you’ll need the expertise and skills of highly experienced professionals from an outsourcing IT service provider.

man working in data center with hardware

Control

If you have an in-house team, you have more control over the quality of work and response times. You can be sure your team is trained in the IT solutions you need while enabling you to keep the costs within the budget. While an in-house IT team might work slower than outsourced service providers, your team may develop more comprehensive solutions without causing you additional expenses.

Once you decide to outsource IT support services, you won’t control your IT functions. While you can work closely with your hired provider to set priorities and goals, you might not be able to monitor what they’re doing and change direction quickly. You may also need to schedule frequent meetings with your provider to help you maintain visibility and keep them accountable.

Availability

Another thing to consider when deciding whether in-house or outsourced IT services for your business is staff availability. Will you need support anytime, during weekends or outside office hours?

If you opt to hire an in-house team, your employees will only be available during your company’s working hours. They might also not be available when they’re sick or on holiday. For this reason, you may need to have another team member trained to provide support immediately.

With outsourcing IT services, availability will never be your concern as you can always request any assistance or support anytime. This way, you’ll get the help you need whenever necessary.

Salary

With an in-house team, you have to pay your staff members a salary and benefits. On the contrary, outsourcing is different as the service provider will handle their employees’ wages. You only need to pay for the services you avail of. Therefore, if you want something cost-effective for your business, your best choice is to outsource your IT services. But, if you have the budget, there’s nothing wrong with investing in creating an in-house team.

man checking on laptop if servers are working fine

Familiarity Needed With The Business

You might want to know how familiar your staff will need to be with your business. Do they have to be fully integrated with your organization? How much do they need to participate in internal company events and meetings?

One of the benefits of outsourcing IT services is that often providers are already familiar with the company they work with, especially if they do regular on-site support. Outsourced professionals may also serve as de facto part-time staff because of how comfortable they are with your company.

Keep Flexibility In Mind

Once you outsource IT services, you can maintain a flexible approach to get it done. Generally, providers can get more creative about solving issues as approaching the task is up to them. With an in-house team, it’s up to your business to provide the policy or solution to do the job.

Scalability

If you need dedicated IT support for your new platform, you must keep scalability in mind. It’s because what happens if you suddenly require less or more of the expertise and service provided? If you have an in-house team, you may need to hire more staff members or waste your resources to lessen the IT support. They may be overwhelmed or underworked, depending on the case.

With outsourcing, scalability will never be your problem, as you can quickly scale the support down or up depending on your needs. However, having an in-house team may not provide you with the same versatility.

Determine Whether You Need Client-Facing Or Internal Staff

Several businesses may require an in-person presence for their projects. You may need client-facing employees to serve as on-site IT support. For this reason, the benefit of hiring an in-house team may outweigh the benefits of outsourcing IT services, aside from assigning your team members to a particular office location.

Outsourcing your IT services will provide you with countless benefits if you don’t need client-facing employees. Since they can work from anywhere, they can work off-site or on-site. They can even be contacted for your required remote IT support services, enabling your company to provide a better customer experience with quality IT solutions.

Know The Other Costs Involved

Maintaining an in-house team has other costs aside from the benefits and salary of your employees. One of these is the costs involved in finding a bigger place to accommodate your in-house team. It would help if you also spent more on supplies and office equipment. Moreover, you have to provide sick leave, holidays, or personal time off for your employees.

If you decide to outsource IT services, your chosen provider will assume such costs. They’ll handle the extra costs for their staff working on your projects, so you don’t need to worry about it.

Final Thoughts

Trying to decide whether to outsource IT service or stick with an in-house IT team for your business is a decision you need to make based on the scope of your tasks and the kind of company you run. Generally, you need to outsource IT services if you want more flexibility and enjoy savings. On the other hand, you may require an in-house IT team to control how the work gets done.

All in all, your decision may depend on the goals you’re trying to achieve. If you want IT services without the hassle that comes with managing and hiring an in-house team, outsourcing is your best bet.

Jason Obrien

Jason is the Marketing Manager at a local advertising company in Australia. He moved to Australia 10 years back for his passion for advertising. Jason recently joined BFA as a volunteer writer and contributes by sharing his valuable experience and knowledge.

Filed Under: Management, Technology 1 Comment

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Comments

  1. Amy Saunders says

    February 14, 2022 at 7:54 pm

    Hmm.. I think you made a strong argument by mentioning that outsourced services can only be made possible if we’re flexible enough with our work structure. My supervisor keeps wondering lately if our department should rely on a third-party trade advisor. I think he should consult a professional beforehand so the matter can be handled efficiently.

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