5 Problems Businesses Have Managing IT Services In-House
Are you considering a managed IT services provider? Given the growing complexity of the field and major talent acquisition difficulties, it’s a strategic consideration to protect your company and its business assets.
In this blog, you’ll discover common issues with in-house IT teams. First, we’ll explain what sets managed IT services apart from in-house, followed by a closer look at the challenges associated with the latter.
What is the difference between managed IT and in-house IT?
The difference between managed IT services and in-house IT teams primarily lies in the structure and management approach.
Managed IT services are provided by a third-party firm that handles the responsibility of a business’s IT needs, offering a proactive and comprehensive service bundle that covers:
- Ongoing support
- Network and cyber security
- Data protection and recovery
- Proactive system administration
- Risk assessment and monitoring
A managed IT services company can often spot and prevent problems before they happen. In contrast, in-house IT relies on internal staff to manage complex system requirements.
Depending on the size of internal teams, this sometimes involves hiring contractors for specific tasks. This approach may be more affordable in the short term yet become costly later on down the road.
The varied expertise and siloed work from different contractors lead to fragmented solutions, disparate tools, and inconsistent support quality.
What are the cons of in-house solutions?
The cons of in-house solutions are many, presenting a range of challenges and business risks that can stifle operations and hinder technological growth. We dive into the key disadvantages of managing IT services in-house below.
1. Limitations with in-house expertise and knowledge
In-house IT teams often grapple with a deficit in specialized knowledge, particularly in cybersecurity. Given the importance of cybersecurity professionals in protecting critical business data, it’s alarming that 67 percent of companies are operating with a team shortage.
Even with a robust internal IT department, lacking expertise can lead to subpar infrastructure management and a slow transition to emerging technologies. Upskilling and self-learning programs take time and require additional resources. This situation leaves employees at a deficit when it comes to the latest IT practices and evolving threats prevalent in the industry.
2. Talent management and reliance on key personnel
The struggle to attract, retain, and upskill IT talent is a significant challenge. The scarcity of skilled professionals has created a global IT shortage. A poll from MIT Technology Review shows that 64 percent of global tech leaders are struggling to find candidates with the required IT skill sets.
Lack of access to skilled, on-premise staff can lead to a heavy reliance on a few key team members. Not only does this create a singular point-of-failure risk, but it also places significant stress on employees. Ultimately, it will lead to job dissatisfaction, lower productivity, and burnout. Should these individuals leave for another position—or even take vacation time—the business could face severe operational disruptions with consequences that threaten continuity and client relations.
3. Reactive vendor management
In-house teams often contract with multiple vendors for different IT needs to find the most cost-efficient and specialized services. This approach can prove as intricate and time-consuming as hiring and managing contractors.
Troubleshooting is arduous when there’s no end-to-end accountability. Actively hunting threats and managing security controls is impossible when multiple providers have a keyhole-sized window into your infrastructure, applications, and processes. In this scenario, response times vary by the individual service-level agreements (SLAs), causing significant business downtime.
Using a single partner for your managed IT services significantly minimizes such issues. Instead of scrambling to react, the business has a reliable partner to address—or ever anticipate—service matters proactively.
4. Divided attention and operational inefficiencies
When your staff becomes burdened by additional responsibilities, productivity in their primary roles suffers. Increased workloads are weighing heavily on IT professionals. In addition to engaging in ‘quiet quitting’ activities, turnover is highly likely given that 25 percent of overworked IT employees are seeking new jobs.
This issue opens companies up to a variety of performance setbacks. Employee burnout leads to more mistakes and inefficiencies. In turn, slowed technology adoption and network configurations will create a host of new problems that distract from overall business objectives.
5. Compliance and scalability issues
Maintaining compliance through evolving data protection and privacy laws is no small task. Doing this poorly can ruin business reputations and lead to enormous financial burdens. The average cost of a data breach went up by 2.2 percent in 2023 to $4.45 million. As bad actors become more sophisticated, your data security must follow suit.
The unpredictability of IT workload fluctuations complicates staffing and creates scalability obstacles. Overstaffing during slow periods and understaffing during peaks is common when business forecasting is inaccurate. Economic volatility also plays a major role in these ebbs, further cutting into a business’s bottom line and overall growth.
Conclusion
Managing IT services in-house has the potential to introduce a host of operational challenges. Limited resources, inefficient use of technology, employee burnout, and compliance risks are just a few of the deficiencies that could hold your business back.
Managed IT services offer a strategic alternative. They enable your personnel to focus on core business initiatives while a dedicated team of IT experts supports them and your company infrastructure.
Contact Chortek to learn more about the advantages of an experienced managed IT services provider.
