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Part 1 of 7 Managing IT Expenses - You Can Make Your IT Team Bigger by Going Smaller

Many of the business owners we meet with have a love/hate relationship with technology. On the one hand, their companies are dependent on computers, phones, tablets, and software. But on the other, technology seems like a part of their budget that, while necessary, seems to constantly be growing even though they never understand why.

Even worse, many businesses face a situation where they are paying more and more for IT equipment and expertise, but getting little in return. Perhaps they are being forced to buy new hardware they’d rather not invest in, or are feeling persuaded into investments that are difficult to make sense of… much less pay for.

Each of these can be frustrating. And, they’re in direct contrast to the way the most successful business owners look at things like hardware and software. Technology should be a source of strength and innovation within your business – a way to save time, cut costs, and reach more buyers efficiently. If it feels like a drag on your bottom line, then you probably aren’t getting the advice you need.

To show why, and how a little bit of knowledge can make such an enormous difference in your profitability, we share the first thing every business owner absolutely needs to know about managing IT expenses.

#1 You Can Make Your IT Team Bigger by Going Smaller

In a lot of companies, the biggest technology expense isn’t the hardware, software, or networks required to keep things running; it’s the people who are charged with installing and overseeing all of those different elements. But if your IT personnel budget keep swelling in size, there is something you should know: you can often get a lot more, in terms of performance, by going smaller.

In other words, you might be able to get by with fewer on-staff IT employees, or even none of them at all. And contrary to what you might worry, your technology won’t fall apart. In fact, you might actually see things get better.

To understand why, you simply have to understand that outsourcing your IT is almost always a more efficient option than hiring a big in-house staff. For one thing, a separate vendor can scale your service package up or down as needed. That means you can cut costs in the blink of an eye without having to lay off employees. If things are going well, you can increase your IT coverage without having to conduct interviews, train staff, or worry about taking on another long-term salary.

At the same time, and outsourced IT team is going to be made up of many individuals with differing skills and backgrounds. So, no matter what the Challenger problem, they can find the right person to fix it. You would have to hire dozens of technology employees on your own – and keep them up-to-day with training and certifications – to get the same kind of specialized come around-the-clock coverage.

 If you’re in business for long enough, you’re eventually going to need someone with a unique set of IT skills. Why not share that expense with dozens of other business owners, and improve your coverage at the same time, by keeping your in-house team small and using an outside vendor?

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