Technology is an integral part of every business. It can improve business performance and increase your competitive edge.
Research shows small business owners are taking advantage of all that digital tools have to offer. One study revealed 85% of SMBs say technology helps them be more successful and improves their image.
When measuring the return on investment (ROI) for your business, consider three factors: labor costs, time savings, and the cost of a cyberattack. Hiring in-house professionals to manage all your services is often more expensive than outsourcing them to a Managed Services Provider (MSP). Hidden costs can also arise, which you won’t have with an MSP.
Benefits of Managed IT Services
Managed IT services provide several benefits. Determine your ROI by examining what impact using managed services has had on each benefit — and ultimately, your productivity levels and bottom line.
Save Time
Managed IT services save time now and in the long run. When your MSP takes care of all routine updates, warranties, and maintenance, you can concentrate on daily business processes.
When calculating ROI, think of the critical business tasks you complete every day. By outsourcing those tasks, you can gain valuable time back in your day to work on other tasks and projects.
Furthermore, what would happen if your software or network went down? Will your on-site IT staff be able to get your employees back up and running? Every minute your infrastructure is down, your profit diminishes.
Managed services provide the support you need 24/7, ensuring your technology will be up and running when you need it. When problems do occur, they are taken care of immediately by the MSP. This is faster and more cost-effective than hiring a tech to come in who isn’t familiar with your system each time something fails.
Reduce Downtime
Downtime often results in a high expense. Even mere minutes can cost you thousands of dollars. Whether it’s just one application or an entire system, employees, and customers will be affected.
When calculating ROI, factor in the amount of downtime experienced both before and after using managed services. Figure out how many people were affected by these incidents and how long they lasted. The cost will vary from one situation to another, but you will see savings across the board.
Improve Revenue
Managed services improve revenue by allowing you to focus on performing business tasks rather than maintaining equipment and applications. You and your employees can get more done without the worry of technology failures.
Research shows 46% of organizations who rely on managed services for some or all of their IT needs reduced annual technology budgets by 25% or more. This includes 13% who estimated a savings of at least 50 percent.
When calculating ROI, compare the cost of technological upgrades and maintenance with that of implementing managed services. The cost of maintaining and replacing equipment will vary from one incident to another.
With managed services, you always know how much you are spending from month to month because the costs are detailed in your plan, so you won’t be met with any unpleasant surprises.
Improve Cybersecurity
The cost of a cyberattack can be astounding. It can result in a significant loss of money, resources, and data. If customer information is compromised, it can also negatively impact your company’s reputation.
One 2019 cybercrime survey found that almost 80% of respondents thought the worst consequence of a cyber breach at their companies was the financial loss, while 39% were worried about damaged reputations.
An MSP can provide your organization with the latest tools, training, and best practices for preventing cyberattacks. With experts within reach, you can better protect your technology, data, and people.
When calculating ROI, consider the damage a cyberattack could cause and who all would be affected. In addition to losing information, your systems could experience significant downtime, and you may need to replace equipment.
The services and training you receive from an MSP will help prevent a cyberattack by ensuring all systems are secure. Training your employees will significantly reduce the possibility of human error, which makes for a much safer company.
Understanding MSP Pricing and Services
MSPs base their prices on their costs and profit margin requirements. They form their pricing model around the technology they will need to provide services.
MSPs can provide flexibility, enabling them to help clients with differing needs. For example, some clients only need services per device and are charged a flat fee each month, while others pay per user. Other clients need the tiered service for a customizable package or one that’s all-inclusive for a flat monthly fee.
Regardless of your company’s needs, an MSP can help you get all the services you need for the right price. Since these services are scalable, they can grow with your business, ensuring all your technology needs will be met now and in the future.
Want to learn more about how an MSP can help your business? Read our Comprehensive Guide to Managed Services.