How Do I Justify The Expense Of Managed Services?

Feb 19, 2019

Cost Vs. Value

Often companies think in terms of  what  IT costs them instead of the benefits of implementing what is best for their IT department. It’s time to stop thinking as IT as a cost and start thinking of it as an investment. With that, it’s important for companies to understand that the investment varies depending on the experience of the IT provider and what spectrum of services they offer. What we have found is that companies tend to lean toward the lower priced providers first, however after researching different companies they begin to realize that lower priced providers rarely align with their business goals. It is extremely important for companies to ensure they considering cost vs. value. To begin deciding if a company is of value make sure to ask these five questions:

Questions to ask when considering an IT Managed Service Provider

  • 1.Do they offer scheduled business reviews?
  • 2.How do they reduce unexpected costs to your IT department and is it through a proactive approach?
  • 3.Are they able to supply you with reliable references that confirm their ability to meet SLA requirements?
  • 4.Do they provide an assessment of your current IT situation before deciding to become a partner?
  • 5.Do they use a ticket priority system in place that can handle your needs?

If you were able to answer yes to all 5 of these questions, then you are most likely leaning toward a company with a higher operation maturity level or OML. Companies with mature OMLs typically fall in a higher price range than those without mature OMLs. There are many reasons to work with organizations that have higher OMLs, we have listed a few below.

  • Companies with a higher OML typically have a better foundation of back end processes and customer referrals allowing you to feel more confident with your decision.
  • Companies with a higher OML have more experiences therefore are more capable of managing your company’s IT environment.
  • Companies with OML are more stable with more longevity than their competitors which brings more stability and longevity to your company.
  • Hiring IT professionals within your organization to cover the knowledge and resources you receive with managed services costs your company more than simply outsourcing your IT department.

Although more expensive managed services have a connection to OML it does not always determine the value of the offering. Outsourced IT providers should bring value-added cost savings and increased productivity.


So how do Managed Services add value to your IT department and business?

We have all experienced challenges with our technology at some point but it is important for a business to have as few challenges as possible. Some of the challenges we see is the downtime spent when our technology fails us, server crashes, network invasions, internet outages, etc. As a company anytime the performance of your employees is inhibited by technology deficiencies such as slow internet connections, data loss, tracking documents, and sluggish applications your bottom line takes a hit. Having an IT provider develop strategies that protect against these challenges not only saves you stress and anxiety but will also add value to your company in the long run.


Availability and Expertise

Simply put, in-house departments often have limited expertise and ability. Imagine this, your go to IT guy goes on vacation, your company gets hit with a cyber-attack, what do you do? Unlike an in-house department, managed service providers are typically 24/7/365, you never have to worry about something happening and not having the resources necessary to take care of it. Working with a managed service provider also means you’ll have a team working to develop your IT strategies.


Not sure if your company is ready to bring on managed services? Ask yourself these questions:

  • Do you suffer from delayed IT support?
  • Do your users report to the same issues over and over?
  • Has your company encountered unexpected IT costs?
  • Is your network slow or often down?
  • Have your users lost data?
  • Do you have outdated hardware or applications?
  • Do you hear from your UT team when a problem occurs?

Did you answer yes to any of these? If so, you may want to consider an It provider that can help you develop a proactive approach to protecting your company from all IT challenges. Need Help making a decision? Feel free to reach out to us, whether you choose to use our services or not we would be happy to help. Give us a call at (855) 639-4436 or contact us at