In-House IT vs. Managed Services: Which Is Right for You?

In-House IT vs. Managed Services: Which Is Right for You?

Every business eventually gets to a point when its technology is just too much to operate on its own. Suddenly, you're faced with a brand new business decision: do you hire a dedicated employee to handle your tech, or do you outsource to a firm?

There is no single "correct" answer between in-house IT vs. managed services, since the right choice really depends on the specifics of your business, but we can still break down the differences to help you make an informed decision.

What Is In-House IT?

In-house IT refers to a dedicated employee or a team that works directly for your company, meaning they're on your payroll and work inside your office.

Tasks

  • Providing help desk support for employees
  • Managing the internal network and servers
  • Maintaining hardware and software updates
  • Overseeing basic security protocols (though this is often limited by time and resources)

Pros

  • They'll have knowledge of your specific business culture and internal workflows.
  • You get immediate, face-to-face access for troubleshooting issues.

Cons

  • It creates a single point of failure. If your IT person gets sick or goes on vacation, your support stops.
  • One person cannot be an expert in everything. They may be great at hardware, but lack advanced cybersecurity skills.

What Are Managed IT Services?

Managed IT services are offered by a Managed Service Provider (MSP), which is basically an entire IT department that you subscribe to rather than hire. Each of their team members has a different specialty, from hardware to software to cybersecurity.

Tasks

  • Proactive monitoring and maintenance of your systems 24/7.
  • Remote and on-site help desk support.
  • Advanced cybersecurity protections and data backups.
  • Strategic IT planning to help your business grow.

Pros

  • You gain access to a team of experts with diverse skills, including cloud computing and network security.
  • Costs are predictable and scalable. You pay a flat rate rather than dealing with fluctuating payroll.

Cons

  • They're not physically in your office every day (though many offer on-site visits).
  • You have less direct control over who is working on a specific ticket.

Cost Comparison: In-House IT vs. Managed Services

For most small to mid-sized businesses (SMBs), cost is the deciding factor. While an hourly rate for a contractor might seem high, the total cost of ownership tells a different story.

Salary vs. Monthly Fee

When you hire internal staff, you must cover benefits, payroll taxes, insurance, and equipment. Managed services operate on a flat monthly fee, which is predictable but may seem higher than an hourly rate.

The Cost of Downtime

In-house staff often spend their time putting out fires. If they ever get overwhelmed, critical maintenance will get skipped. This could lead to downtime. MSPs use automated tools to prevent issues before they cause outages, saving you money on lost productivity.

Training and Certification

Technology changes fast. To keep an in-house employee effective, you must pay for their ongoing training and certifications.

Which Option Is Right for Your Business?

If you're a large enterprise with complex, proprietary software that requires constant hands-on modification, an internal team might be necessary.

However, if you're an SMB looking for enterprise-level security, reliability, and support without the overhead of a full department, managed services are often the smarter financial choice. However, the final decision between in-house IT vs. managed services is up to you.

Why Many Businesses Choose a Hybrid Model

You don't always have to choose between in-house IT vs. managed services. Many businesses opt for a co-managed or hybrid model.

In this scenario, you keep your internal IT person to handle daily user support and immediate on-site needs. You then partner with an MSP to handle the heavy lifting, like security patching, backups, and strategic planning.

This supports your internal staff so they don't burn out, while ensuring your business stays secure.

Weber TC Can Optimize Your Technology Strategy

Business IT, cybersecurity, upgrading technology...it's a lot to manage. Weber TC is an MSP that wants to help. Whether you need full support or a partner for your internal team, each of our professionals is ready and able to provide thorough assessments and recommendations. Reach out today to find out more!