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If you’re hoping to cut costs and boost profitability in 2024 without compromising productivity or efficiency, assessing the technology you use in day-to-day operations is one of the first areas in your business to examine. 

 We’ve created a road map that you can use to go step-by-step through your organization to determine if and where you can be saving money or utilizing new or better technology to improve operational efficiency.   

1. Technology Inventory: 

• Conduct a comprehensive inventory of your current technology assets, including hardware, software licenses and peripherals like monitors, printers, keyboards, etc.
  
• Identify outdated or underutilized equipment that can be upgraded or decommissioned. 
  

2. Software Licensing And Subscriptions: 

• Review all software licenses and subscriptions to ensure compliance.
  
• Identify any unused or redundant software and eliminate unnecessary expenses. 

 3. Cloud Services Optimization: 

• Evaluate your usage of cloud services and consider optimizing resources based on actual needs.
  
• Monitor and adjust cloud service subscriptions to match fluctuating business demands.
•  Evaluate security protocols for cloud-based services to ensure you’re not at risk of a data breach. This can be an expensive problem, so do not skip it. 

 4. Energy Efficiency:  

• Implement energy-efficient practices, such as consolidating servers, using energy-efficient hardware and optimizing data center cooling.
  
• Consider virtualization to reduce the number of physical servers, saving both energy and hardware costs.  

 5. Remote Work Infrastructure:  

• Optimize remote work capabilities to support flexible working arrangements. Inefficiency in this area will decrease productivity, inflate costs and increase cyber security risks.
  
• Invest in secure collaboration tools and virtual private network (VPN) solutions for remote access. 
  

6. Data Storage Optimization:  

• Assess data storage needs and implement data archiving strategies to free up primary storage. Are you saving documents you don’t need? Are there redundant files that should be removed?
• Consider cloud storage options for scalability and cost-effectiveness. 

 7. Network Performance:  

• Regularly monitor and optimize network performance to ensure faster and more reliable data transfer, reduce downtime, enhance the user experience and support cost savings, ultimately contributing to the overall efficiency and success of your business operations.
  
• Implement quality of service (QoS) settings to prioritize critical applications and services. 

 8. IT Security Measures:  

• Regularly update and patch software to address security vulnerabilities.
  
• Ensure that antivirus, anti-malware and other security solutions are up-to-date and active.
  
• Conduct regular security audits and employee training to prevent security breaches. 

NOTE: This cyber security measures list barely scratches the surface. If you haven’t had a professional dig into your security solutions, this needs to be a priority. Data breaches are expensive and can shut a business down. Click here to book a call with our team. 

9. IT Help Desk Efficiency:  

• Implement or optimize an IT help desk system to streamline support requests.
• Use a faster, more efficient ticketing system to track and prioritize IT issues, improving response times and resolution rates. 

 10. Mobile Device Management (MDM):  

• Implement MDM solutions to manage and secure mobile devices used by employees.
  
• Enforce policies that ensure data security on company-issued or BYOD (bring your own device) devices. 
  

11. Vendor Management:  

• Review vendor contracts and negotiate better terms, or explore competitive options.
• Consolidate vendors where possible to simplify management and potentially reduce costs.
• Evaluate vendor cyber security practices to ensure your data is as secure as possible. If they are breached and your data is released, you’re still at fault. 

 12. Employee Training Programs:  

• Provide ongoing training programs to enhance employees’ IT skills and awareness.
  
• Reduce support costs by empowering employees to troubleshoot common issues independently. 

 13. Energy-Efficient Hardware:  

• Invest in energy-efficient hardware to reduce electricity costs and contribute to environmental sustainability.
• Consider upgrading to newer, more power-efficient devices when replacing outdated equipment. 

 14. Paperless Initiatives:  

• Explore paperless solutions to reduce printing and document storage costs.
  
• Implement digital document management systems for greater efficiency and cost savings. 

 15.Telecommunications Optimization:  

• Review telecom expenses and consider renegotiating contracts or exploring alternative providers.
  
• Utilize Voice over Internet Protocol (VoIP) for cost-effective and scalable communication solutions. 

 By systematically addressing these areas, business owners can enhance their IT infrastructure, drive productivity and achieve cost savings that contribute to overall profitability. Regularly revisiting and updating this checklist will help businesses stay agile in the ever-changing landscape of technology and business operations. 

 If you need help implementing the action steps on this list, our team is ready to help. Click here to book a FREE 10-Minute Discovery Call with our team, where we’ll discuss what your company needs and answer questions you might have. 

Continuing on from our previous blog post, we’re answering one of the most common questions we get from new prospective clients: “What do you charge for your IT services?” In the last blog posted, we discussed the most common models – break-fix and managed IT. In this post, we’ll discuss the actual fees. 

The price ranges provided are industry averages based on a recent IT industry survey conducted by a well-known and trusted independent consulting firm, Service Leadership, that collects, analyzes and reports on the financial metrics of IT services firms from around the country. 

We are providing this information to give you a general idea of what most MSPs and IT services charge and to help you understand the VAST DIFFERENCES in service contracts that you must be aware of before signing on the dotted line. Please note that the actual price is not what’s most important but instead what you are getting for your money. There are a lot of ways “cheaper” IT firms hide the true cost of their fees, and the lowest bidder might actually end up costing you a lot more than you bargained for. 

With that in mind, here are the fee ranges for IT services and IT support for small businesses in <<City>>: 

Hourly Break-Fix Fees: Most IT services companies selling break-fix services charge between <<$150 and $250>> per hour, with a one-hour minimum. In some cases, they will give you a discount on their hourly rates if you purchase and pay for a block of hours in advance. 

As we discussed, this approach works best for microbusinesses that are not hosting or processing client data that is considered “sensitive,” such as health records, financial information like credit cards, Social Security numbers, etc., and that have very simple IT. This is definitely not the approach a growing business with five-plus employees would want to choose. 

Project Fees: If you are getting an IT firm to quote you for a onetime project, the fees range widely based on the scope of work outlined and the complexity of the project. If you are hiring an IT consulting firm for a project, I suggest you demand the following: 

• A detailed scope of work that specifies what “success” is. Make sure you document what your expectations are in performance, workflow, costs, security, access, etc. The more detailed you can be, the better. Clarifying your expectations up front will go a long way toward avoiding miscommunications and additional fees later on to give you what you REALLY wanted.
   
• A fixed budget and time frame for completion. Agreeing to this up front aligns both your agenda and the consultant’s. Be very wary of hourly estimates that allow the consulting firm to bill you for “unforeseen” circumstances. The bottom line is this: it is your IT consulting firm’s responsibility to be able to accurately assess your situation and quote a project based on their experience. You should not have to pick up the tab for a consultant underestimating a job or for their inefficiencies. A true professional knows how to take into consideration those contingencies and bill accordingly.

Managed IT Services: Most managed IT services firms will quote you a MONTHLY fee based on the number of devices, users and locations they need to maintain. The average fee per user (employee) ranges from $146.08 per month to $249.73 per month – and those fees are expected to rise due to constant inflation and a tight IT talent labor market. 

Obviously, as with all services, you get what you pay for. “Operationally mature” MSPs typically charge more because they are far more disciplined and capable of delivering cyber security and compliance services than smaller, cheaper-priced MSPs. 

They also include CIO (chief information officer) services and dedicated account management, have better financial controls (so they aren’t running so lean that they are in danger of closing their doors) and can afford to hire and keep knowledgeable, qualified techs vs. junior engineers or cheap, outsourced labor. 

To be clear, I’m not suggesting you have to pay top dollar to get competent IT services, nor does paying “a lot of money” guarantee you’ll get accurate advice and responsive, customer-centric services. But if an MSP is charging on the low end of $146.08 per employee or less, you have to question what they are NOT providing or NOT including to make their services so cheap. Often they are simply not providing the quality of service you would expect and are leaving out critical security and backup services that you definitely want to have in place.
 

Are you done with ongoing IT problems, downtime and ineffective systems? Then it’s time you gave us a call and let us deliver the responsive, quality IT support you want with friendly, US-based techs who are both knowledgeable and easy to work with. 

Schedule your free initial consultation with one of our senior advisors by calling us at 480-464-0202 or going www.compushooter.com

On this call, we can discuss your unique situation and any concerns you have and, of course, answer any questions you have about our services and how we might be able to help you. We are also happy to provide you with a competitive bid. 

     Before you can accurately compare the fees, services and deliverables of one IT services company to that of another, you need to understand the two predominant pricing and service models most of these companies offer. Many companies offer a blend of the two, while others are strict about offering only one service plan. The two most popular are:
 

• Time And Materials (Hourly). In the industry, we call this “break-fix” services because the IT company is called to “fix” something when it “breaks” instead of doing regular maintenance and support. These services are typically priced by the hour. The price you pay will vary depending on the provider you choose and the complexity of the problem. Ransomware removal will require a more experienced and skillful tech vs. a simple printer problem.Under this model, you might be able to negotiate a discount based on buying a block of hours. The scope of work might range from simply resolving a specific problem (like fixing slow WiFi or resolving an e-mail problem) to encompassing a large project like a software upgrade, implementing cyberprotections or even an office move. Some companies will offer staff augmentation and placement under this model as well.

  Similar to this are value-added reseller services. VARs typically do IT projects for organizations that have internal IT departments. The term “value-added” reseller is based on the fact that they resell hardware (PCs, firewalls, servers, etc.) and software, along with the “value-added” services of installation, setup and configuration. VARs typically service larger organizations with internal IT departments. A trend that has been gaining ground over the last decade is that fewer VARs exist, as many have moved to the managed IT services model.
   

• Managed IT Services (MSP, or “Managed Services Provider”). This is a model where the IT services company, called an MSP, takes on the role of your fully outsourced IT department. In this model, they handle everything related to your IT “infrastructure.” That includes (but is not limited to) the following: 

• Troubleshooting IT problems (help desk support). 
• Setting up and supporting PCs, tablets, Macs and workstations for new and existing employees, both on-site and remote. 
• Installing and setting up applications such as Microsoft 365, Google Workspace, SharePoint, etc. 
• Setting up and managing the security of your network, devices and data to protect against hackers, ransomware and viruses. 
• Backing up your data and assisting in recovering it in the event of a disaster. 
• Providing a help desk and support team to assist employees with IT problems. 
• Setting up and supporting your phone system. 
• Monitoring and maintaining the overall health, speed, performance and security of your computer network on a daily basis. 
   

In addition to managing your IT, a good MSP will provide you with an IT road map and budget for necessary projects to further secure your network and improve the stability and availability of critical applications, as well as ensure that your IT systems are compliant with various data protection laws (HIPAA, FTC Safeguards, PCI, etc.) and that your cyberprotections meet the standards on any cyber insurance plan that you have.
 

     The advantage of break-fix services is that you only pay for IT support when you need it, without being locked into a monthly or multiyear contract. If you’re not happy with the service you’re getting, you can change providers easily. If you’re a microbusiness with only a few employees, very simple IT needs where you don’t experience a lot of problems and don’t host or handle sensitive data (medical records, credit cards, Social Security numbers, etc.), break-fix might be the most cost-effective option for you. 

     However, the downsides of break-fix services are many, particularly if you’re NOT a microbusiness and/or if you handle sensitive, “protected” data. The five big downsides are as follows: 

1. Break-fix can be very expensive when you have multiple issues. Because you’re not a managed client, the IT company resolving your problem will likely take longer to troubleshoot and fix the issue than if they were regularly maintaining your network and therefore familiar with your environment AND had systems in place to recover files or prevent problems from escalating.
    

1. Paying hourly works entirely in your IT company’s favor, not yours. Under this model, the IT consultant can take the liberty of assigning a junior (lower-paid) technician to work on your problem who may take two to three times as long to resolve an issue that a more senior (and more expensive) technician may have resolved in a fraction of the time because there’s no incentive to fix your problems fast. In fact, they’re incentivized to drag it out as long as possible, given that they’re being paid by the hour.
    

1. You are more likely to have major issues. One of the main reasons businesses choose a managed services provider is to PREVENT major issues from happening. As Benjamin Franklin famously said, “An ounce of prevention is worth a pound of cure.”
    

1. You can’t budget for IT services and, as already explained, could end up paying more in the long run if you have to constantly call for urgent “emergency” support.
    

1. You won’t be a priority for the IT company. All IT firms prioritize their contract managed clients over break-fix clients. That means you get called back last and fit in when they have availability, so you could be down for days or weeks before they can address your problem.
    

     Are you done with ongoing IT problems, downtime and ineffective systems? Then it’s time you gave us a call and let us deliver the responsive, quality IT support you want with friendly, US-based techs who are both knowledgeable and easy to work with.  

     Schedule your free initial consultation with one of our senior advisors by calling us at 480-464-0202 or going to www.compushooter.com.  

      On this call we can discuss your unique situation and any concerns you have and, of course, answer any questions you have about our services and how we might be able to help you. We are also happy to provide you with a competitive bid.