News & Views

Why outsourcing IT is often the best move for Australian SMEs

by John Lane - Nov 15, 2016

employee working on outsourcing It projects

When SME CEOs are trying to expand their business quickly, they can't afford to have a 3 month hiring cycle for every needed IT professional. Not only are IT needs bound to be inconsistent and sporadic – making the prospect of a full-time salaried IT team rather wasteful – but the very nature of a young business means it needs to be adaptable and agile enough to scale up or down at a moment’s notice. This is where the benefits of outsourcing IT truly come to light.

Here are a few reasons outsourcing IT is often the best move for Australian SMEs and startups:

Skilled IT staff are crucial for young businesses

In late 2015, American author and futurist Jacob Morgan was asked, during a keynote speech at a conference, why his talk focused almost exclusively on technology companies. His answer was short and sweet: Every company is a technology company!Every company is a technology company!.

This is because technology has developed to such an extent that it has changed how businesses operate and how people work on a fundamental level. No matter their industry, business owners today have to deal with numerous technological issues to set up even the most basic functional office environment. Office internet network, data storage and cybersecurity to name a few – and that doesn’t even get to processes like accounting and digital marketing.

Tech-dependence is the new norm for businesses in Australia and around the world. Startups and SMEs actually have an advantage over more established businesses in this regard, as they can build technological scalability into their business models without first having to raze existing, outdated processes. Skilled IT staff are crucial for getting this right.

There is a major IT skills shortage in Australia

Despite increased demand for information and communications technology (ICT) skills in recent years, Australia has seen a significant decline in graduates with ICT qualifications. According to Deloitte Access Economics director John O’Mahony, “with a projected gap of more than 100,000 ICT workers in the next five years, and declining rates of ICT graduates, we are facing a serious problem.”

In such an environment of low supply and high demand, hiring skilled IT staff to manage and maintain your business’s IT infrastructure can cost a lot of money. For startups and SMEs that don’t have that kind of budget, this can be a real problem. While the proliferation of tech in business is great for streamlining processes and boosting efficiencies, it’s also removed the barriers to entry for many industries. Young companies need access to experienced IT staff to help them rise above the competition.

Outsourcing IT can give you quick access to skilled staff

For many business owners, the solution to this problem lies in the increasingly popular world of outsourcing. By outsourcing IT to dedicated managed service providers (MSPs) like PowerNET, startups and SMEs can access highly skilled staff quickly and without spending a small fortune. Outsourced IT is also fully scalable and adaptable, so business owners only ever pay for the IT services they need at the time.

If you’re interested in outsourcing IT and growing your business, but aren’t sure how your IT systems and infrastructure measure up, take our free IT health check. It’s comprehensive, commitment-free and a great way to assess your company’s business IT support needs.

TAKE OUR I.T. HEALTH CHECK

TAGS: it strategy