Managed IT Services vs In-House IT: Which Is Best?

Managed IT Services vs. In-House IT

Deciding on how you want to manage your business technology can be a big decision. A smaller team may require reliable IT support without having multiple specialists. Whereas if you’re growing, you may have more of a need for tighter control over your systems, security and IT as a whole. Knowing the differences between managed IT services and in house IT will allow you to determine the best option for your business based on your budget, tech requirements and future plans. Both can be great options depending on how complex your technology is, how much knowledge you have internally and how much support you’ll require.

Quick Answer

Managed IT services are when you outsource some or all of your IT to an external provider, often for a recurring charge. Whereas in house IT is when you have employees that manage your technology. Managed IT services can be great if you want flexible support whereas in house can be great if you need tight control and dedicated support. Some businesses find a combination of both works best for them.

What Are Managed IT Services?

Managed IT services are when you employ an external provider to manage certain aspects of your company technology. The amount they manage can vary depending on the agreement. They can provide help desk support, network monitoring, software updates, back up support, cyber security support and troubleshooting.

Instead of employing employees to manage your tech requirements, you can get support from an external provider. Some providers will manage most of your IT, others will provide support for certain areas.

For example, you may outsource network monitoring and general maintenance whilst your employees manage business applications and internal decisions.

It is important to know what your service includes. Ensure you know what is included, what will cost extra, how quickly issues will be resolved and what will be managed internally.

What Is In House IT?

In house IT is when you employ employees to manage your technology. Depending on the size of your organisation you may have an IT administrator, help desk technicians, network engineers, cyber security specialists or IT Managers.

Having an internal team means your employees can have a good understanding of your systems, processes, policies and staff requirements. You can also have close collaboration with departments when there are issues.

However, there are other costs to consider when employing an in house team. Costs can include recruitment, training, equipment, software, staff benefits and development. With a small team you may struggle to have all the specialist skills and support during holidays, absences and unexpected issues.

Key Differences Between Managed IT Services And In House IT

The main difference between the two is who is managing your technology. Below is a quick overview of the differences to consider.

Neither option is automatically cheaper, safer, or more effective. Results depend on the provider's capabilities, internal staffing, business requirements, and the quality of management.

1. Compare the Total Cost, Not Just the Monthly Fee

One of the first things to consider when trying to decide if you want managed IT services or in house is cost. However, just looking at the monthly charge you’ll be given by your provider won’t give you the full picture.

Depending on the size of your team, you may incur costs for recruitment, on boarding, staff benefits, training, hardware, licences and specialist tools. If you require knowledge in networking, cloud systems, cyber security and end user support then you may need multiple employees or additional contractors.

Managed IT services can be more predictable as you’ll know what you’re paying per month and what will be included. However, there may be additional costs for any new projects, out of hours support, new equipment or anything outside of your contract.

Before deciding on what option to go for, you should:

• Work out how much it will cost to employ and maintain an internal team.
• Ask for a breakdown of the costs from your managed service provider.
• Ensure you know what will be charged extra, what isn’t included and what you’re committed to.
• Work out how much it will cost for general support and major incidents.
• Consider your budget for growth.

The best option for you financially will be the one that covers your actual requirements.

2. Knowledge

Often you’ll have different requirements for your technology. You may need help with staff devices, cloud applications, network performance, backing up data, permissions and security. One generalist may not have in depth knowledge in all areas.

A managed service provider may have multiple specialists depending on their team and contract. This can help you get the support you require.

An in house team can give your employees a good understanding of your organisation’s systems. This can be useful if you have recurring issues to resolve or want to work closely with departments on technology changes.

Consider what systems you have in place and who is responsible. Ensure you have the right knowledge for general maintenance, complex incidents, security and future projects.

If you’re considering external support then you can find the relevant service at MatchBest.ai by clicking here.

3. Security, Backing Up & Risk

Ensure you know who is responsible for your security. This includes permissions, software updates, endpoint security, backing up, incident management and monitoring.

A managed provider may provide some security related services however what they provide will depend on your contract. Having your IT outsourced doesn’t necessarily mean you’ll be protected and you’ll still be responsible for your data, policies and regulations.

With an in house team you can have full control of your systems however this depends on how much knowledge, tools, staff and processes you have. If you have a small team with limited security you may need additional specialist support.

Before choosing you should consider:

• Who is monitoring your systems and investigating suspicious activity?
• How often are software and security updates being implemented?
• How are your back-ups being tested and who is managing them?
• Who has access to sensitive business data?
• What happens in the event of a major incident?

• How are incidents recorded?

The goal is to ensure there is clear ownership, appropriate security and a plan in place.

4. Flexibility & Growth

If you have a small office, you may not have the right set up for your technology if you open a new location, employ more people, introduce new software or move more workloads to the cloud.

Managed IT services can be a flexible option if your provider can increase the support they provide. However ensure you know how much capacity they have, what the costs are, what the on boarding requirements are and what limitations there are.

An in house team can be a flexible option especially if tech is a big part of your business. However you may need to employ more people, train staff or employ specialist contractors for new responsibilities.

Consider what you’ll likely require in the next 12-24 months. If you expect to grow quickly, have lots of changes to your technology or new locations then consider how each option can help. If your requirements are static and very internal then having a dedicated employee/team may be a better option.

Businesses evaluating their technology strategy can also explore MatchBest.ai press releases for company announcements and updates that may provide additional context about its activities.

5. Level Of Control Required

With an in house team you’ll have full control of your employees, priorities and internal tech. Employees can work with departments and address company specific requirements throughout the day.

With managed IT services you’ll share some of your responsibilities with an external provider. This can be a great option if you know what responsibilities, escalation, reporting and communication you expect. However if the provider doesn’t have processes that fit with your requirements or have the right service hours then it may not be the best option.

Before signing any agreements ensure you know what their SLA is, how quickly issues will be resolved, what reporting you’ll receive, what data they have access to, what the contract says about ending the contract and who owns the documentation. Know how you’ll have access to your systems and documentation if the relationship ends.

If you want full control then you may find it a good option to outsource some of your tasks.

Which Option Is Best For Your Business?

Depending on what you need doing, what skills you have and how much control you want then you can decide which option is best for you.

Managed IT services may be a good option if:

• You need specialist support without employing for all your tech roles.
• You have limited or stretched internal IT resources.
• You want clear support with defined responsibilities.
• Your tech requirements are changing as your business grows.
• You need external support in certain areas.

In house IT may be a good option if:

• You need frequent hands on support for your systems.
• You rely on in depth knowledge of specialist applications or internal processes.
• You need employees to work closely with business teams on technology decisions.
• You can provide the resources to employ, train and pay for the right staff.
• You want full control of your IT priorities.

These are just guidelines and you should consider what you actually need.

Can You Have A Combination Of Managed IT Services & In House IT?

Yes! A hybrid solution is when you have both internal IT staff and an external provider. This can be a good option if you want full internal ownership but also require additional knowledge.

For example, you could have an internal IT manager to plan your technology, understand your employees requirements and manage your vendors. Whilst your external provider manages defined responsibilities such as network monitoring, general maintenance, back up support or specialist troubleshooting.

Ensure you know what responsibilities are being carried out. Define who owns what systems, who will manage incidents, who will approve changes and how your internal staff and external technicians will share documentation.

Don’t pay two teams to do the same thing and assume they’re responsible for something important. A responsibility matrix and regular reviews of your service will help you stay organised.

If you’re considering a hybrid technology setup, learn more about there expertise in cloud, cybersecurity, and digital transformation to explore how different technology capabilities can support your business.”

How To Decide

Have a simple process to help you decide:

• List your IT requirements: This could be staff support, networks, cloud systems, security, back up, maintenance and any planned projects.
• Work out where you have gaps: Know what you have internally and what you need additional knowledge for.
• Work out your total costs: Compare your staffing and running costs with the total cost of your managed services agreement.
• Know what you expect: Define what support hours, response times, escalation, reporting and responsibilities you expect.
• Consider what you’ll need in the future: Will you be growing, opening new locations, making changes to your technology and continuity?
• Regularly review your setup: Are issues being resolved effectively, are your systems being maintained and are you getting value for money?

This will give you a more meaningful comparison.

Final Thoughts

Ultimately it will come down to cost, knowledge, control, security responsibilities and how your business operates. Managed IT services can give you external knowledge and flexible support. Whereas in house IT can give you full control.

Some businesses may find a hybrid solution works best for them if they want to have strategic control but outsource certain tech responsibilities. Document your requirements, consider your total costs and know exactly who is responsible for what. The best IT option for you will be one that will help you with continuity and is practical as your organisation changes.

To keep up with company updates and business technology insights, connect with MatchBest Group on LinkedIn.