The IT Services Model Where Everyone Wins – And The One Where You Lose Big
Terry Rossi
Former Managed Service Leader, Investor, Author, Speaker I successfully exited my IT and software businesses and am now empowering other entrepreneurs to achieve meaningful and profitable exits.
If you’re a business owner, there’s probably a good chance you spent time figuring out the IT needs of your business. It’s not as easy as searching online and picking the cheapest option or the company with the best reviews. The cheap option may not provide the services you need to keep your business ahead of its competition, and the best-reviewed business may be too expensive or offer services that are completely unnecessary for your business.?
?To put it simply, if you want to get the most out of your IT support services, you must do some research. If you haven’t spent a lot of time in the world of IT, it can be difficult to figure out where to even begin with your research. If you’ve found yourself in this situation previously or are preparing to open a new business and are interested in your IT support options, we’ve got you covered. We’ve put together the three most common forms of IT support and explain the benefits and drawbacks of each so you can confidently decide on the best option for your business.?
?Managed IT Services
In this option, the IT services company takes over the role of your in-house IT department for a fixed and agreed-upon monthly rate. They’ll install, support and maintain all the users, devices and PCs connected to your network on a routine basis. They will even take care of your hardware and software needs for an extra cost. If you’re trying to plan for a monthly budget or want routine maintenance and IT support, this option will work wonders for your business.?
?It’s my sincere belief that the managed IT approach is undoubtedly the most cost-effective and smartest option for any business. With managed IT services, your business will be protected from IT-related problems, and they will keep your systems up and running. They can prevent common “disasters” such as lost devices, hardware failures, fires, natural disasters and a host of other issues that can interrupt or outright destroy your IT infrastructure and the data it holds.?
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Technology As A Service
Another option that might work really well for your business is using a company that offers technology as a service. With these companies, you’ll get everything that managed IT services offer but with the addition of new hardware, software and support. This service ensures that your business is always up-to-date with the newest software and hardware. The greatest benefit of technology as a service is that you’ll avoid the heavy cost of new hardware and software when you need it, but you will be paying far more for the same hardware and software over time. You’ll also need to pay attention to the services they offer to ensure they can provide what you need and that it does not cost extra.
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Time And Materials
Time and materials are often referred to as the “break-fix” method. This essentially means that you pay an agreed-upon hourly rate for a technician to “fix” a problem when something “breaks.” It’s a simple and straightforward way to pay for IT services but often doesn’t work in your favor and can lead you to pay more for basic services.?
?I would only recommend the time-and-materials approach if you already have an IT team and you need additional support for a problem that your current IT team doesn’t have the time or expertise to handle. Under the break-fix model, the IT company has no immediate need to stabilize your network because they are getting paid hourly. The break-fix model is unable to supply ongoing maintenance and monitoring, which computer networks need to stay secure.?
?Choosing the right IT option for your business can take time and is certainly not something you want to rush into. Take your time and do your research to find the best option to fit your needs. If you’re unsure of where to even begin – or need some help navigating the sometimes confusing world of IT support – give us a call. We would be glad to help you find the IT support you need.?
Cybersecurity Researcher | IT Advisor and Consultant | Former Network and Systems Admin
2 年Great article Terry. I was surprised to see "breakfix" still on the list, but you properly articulate where it might still work, and specifically where it does not work. There's a huge increase in interest in the idea of productizing advisory services, but it's challenging for service providers to fit "advice" into a flat fee. And no customer likes paying someone hourly for advice (wait...can we call that IT Therapy?). So a fractional/virtual CIOshould still fit the managed IT services product model (prepaid, recurring monthly or quarterly), but rather than employ a cost/plus pricing strategy, should strongly look at value-based pricing.