8 Financial Benefits of Managed IT Services

Managed IT services are an investment, and as with all investments, it is normal to consider the performance they can deliver. And when it comes to managed IT services, there are a number of benefits that translate directly into cost savings.

Did you know that Managed IT Services can help your business achieve a variety of business initiatives before diving in? An IBM technical report, Business Value of Managed Services, says: “According to IDC research, the biggest challenge for companies in implementing their business strategy is to focus the right people and resources on strategic initiatives. Essentially, companies want to ensure that their talents are focused on the core areas of their business while optimizing productivity. "

International Data Corporation (IDC) examined the value that managed IT services offer to businesses. Overall, their research found that almost $ 400,000 could be saved annually for every 100 users. Let's take a closer look:

THE FINANCIAL ADVANTAGES OF THE ADMINISTRATION

In many ways, Managed IT Services helps companies ensure that the right people and resources are allocated in the best possible way, which in turn offers financial benefits. Other popular initiatives that can support managed IT services include improving customer satisfaction, investing in new resources, optimizing the use of existing resources, and improving business agility. Here are some ways that managed IT services can deliver financial benefits to businesses:

1. PRODUCTIVITY OF THE USER

As a business owner and IT manager, you trust technology to improve productivity and improve your business processes. If your technology doesn't, there is a problem.

When your users can't work, you lose money.

According to IDC, unplanned downtime costs companies $ 58,118 per 100 users. The average employee lost 12.4 hours per year due to server failures and 6.2 hours per year due to network failures. The implementation of managed IT services has reduced server and network downtime by more than 85 percent.

2. INFRASTRUCTURE COSTS

Switching to a managed IT provider can reduce infrastructure costs in several ways. When a managed IT provider takes control of its infrastructure, it can use the data center to reduce the amount of infrastructure on site. It not only saves on hardware costs, but also on power consumption and space requirements.

You will also see savings on licenses, training and advice. All these needs are covered by a single monthly investment. These services do not disappear to save money, they are all optimized and better managed through a single provider. In total, each organization saved $ 146,801 per 100 users in this study each year, only on infrastructure costs.

3. PRODUCTIVITY OF IT STAFF

This benefit is directly related to employee productivity and is specifically related to your IT department. Too often we see IT staff working to solve user problems or repair faulty devices. These tasks focus on your primary responsibility. By outsourcing the tasks and administration of your IT environment to a managed service provider, your employees, those who are in IT and those who are not in IT, can continue to focus on the most important priorities.

In the IDC study, companies were able to save on newly allocated human resources and avoid the need for additional personnel costs, an average productivity increase of 42 percent.

4. SMALL FIRST INVESTMENT

With managed IT services, you can offset the initial investment in technology costs. Instead of spending thousands of dollars upfront on hardware and software, pay for the service with a small monthly investment. Because the service is an operational expense, not an investment, managing your business technology does not require nearly as many resources. Plus, updating new software is included in your service, so you won't incur any additional costs just to keep your technology up-to-date.

5. PREDICTABLE MONTHLY COSTS

If you have a managed IT service, you pay the same amount regardless of the amount of support you need each month. This means that you know exactly what you have to budget for and what service you get. This allows you to invest more flexibly in other areas of your company. And controlling your costs is easier than ever.

6. IMMEDIATE EXPERT LEVEL

You know it and I know it: time is money. IT problems disrupt productivity and block projects. And the time it takes to solve IT problems is a waste of money. When you use a managed IT service, employees don't wait for someone to find your technical problem and get it up and running. Instead, you have instant access to an expert who can solve your problem and often get your business up and running again in minutes.

7. ECONOMY OF SCALE

Financial benefits of managed IT services that save companies money As your business grows, the support structure must also grow. If you use a managed IT service, you can only expand or reduce your business simply by discussing it with your provider. If you hire 10, 15, or even 50 employees, they can support them. If you are not using a particular application in cloud computing, you can also easily remove it.

Managed IT service offers the highest degree of flexibility and can be scaled and scaled based on business requirements. This is particularly useful in the early years of your business and in times of significant growth when things may change in the short term.

8. GENERAL PRODUCTIVITY

Finally, all of the above benefits of jointly managed IT services increase overall business productivity by creating an IT environment that is reliable, scalable, and well-supported. In fact, IDC calculated the impact of total business productivity on sales and achieved an annual profit of $ 229,511.

Benefits Of managed IT Services

Regardless of whether you manage a large or small business, a managed IT service offers several benefits. For each of the following benefits, think about the potential impact on your daily work and business results. Consider the benefits and how you can reinvest those saved dollars into your own business.

Regardless of whether your business is small or large, the bottom line can benefit from using a managed IT service. You have constant monthly costs, you can scale as needed, you have instant access to experts, and you don't have to spend a significant portion of your budget on infrastructure setup. The benefits of managed IT services may be exactly what your business needs to advance to the next level.