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Have you heard your IT staff make any of the following comments?
- “We need to hire someone to take care of all this little stuff”
- “If I had someone to help me, then I could focus on activities that add value”
- “I’m buried in the urgent issues, and I can’t get to the important ones”
Although these statements are common to small and medium businesses (SMBs),
they are symptomatic of problems that result in excess spending and lost opportunity.
At the core of these statements are the following issues:
- IT is not aligned with, or focusing on strategic “value-add” activities
- Quantifiable IT metrics and key performance indicators (KPI’s) are not
available or enforced
- IT functions unpredictably, reacting to problems in an ad-hoc manner.
Today many organizations spend valuable time on the mundane, repetitive maintenance of
the massive systems they have come to rely on.
- Reviewing dozens of reports logs from servers, firewalls, Antivirus and Backup
software.
- Managing the constant flow of hardware and software asset changes
- Identifying the need for, testing and deploying security patches and updates
- Testing disaster recovery procedures
- Repetitive distribution of known solutions to common problems
From a financial perspective, IT costs are equally unpredictable and difficult to
associate with real value. While adding an additional employee would (in theory)
increase the capacity of IT, the cost of additional head count is significant as shown below:
Full Time Employee vs. MSP Comprehensive
|
Year 1 |
Year 2 |
Year 3 |
| Recruitment Cost |
$ 5,000 |
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| Salary (+ 3%/yr) |
$ 45,000 |
$ 46,350 |
$ 47,741 |
| Health Care ($800/mo + 18%/yr) |
$ 9,600 |
$ 11,328 |
$ 13,367.04 |
| 401k (3%) |
$ 1,350 |
$ 1,391 |
$ 1,432 |
| Workers Comp |
$ 40 |
$ 40 |
$ 40 |
| Tax (20%) |
$ 9,000 |
$ 9,270 |
$ 9,548 |
| Training |
$ 5,000 |
$ 2,500 |
$ 2,500 |
| Computer, software |
$ 5,000 |
$ 500 |
$ 500 |
| Desk Space |
$ 2,000 |
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|
| Total FTE Costs |
$ 81,990 |
$ 153,369 |
$ 228,496 |
| TotalVertical IT Managed Services Costs |
$ 78,000 |
$ 102,000 |
$ 135,000 |
| Vertical IT Managed Services Savings |
$ 3,990 |
$ 51,369 |
$ 93,496 |
For these reasons and others, many organizations are considering managed service providers
like Vertical IT. In Cleveland, Ohio, and Fort Lauderdale and West Palm Beach, Florida,
Vertical IT has become the premier Managed IT Services and Consulting Company delivering
world-class IT infrastructure solutions to small and medium sized organizations.
In addition to remotely monitoring and managing networks on a subscription basis,
Vertical IT offers IT infrastructure consulting, application hosting, web hosting, and
IT staff augmentation. Vertical IT focuses on operational efficiency, helping clients
achieve their core organizational objectives.
| |
FTE |
MSP |
| Skill Set |
A single skill set is required to perform many functions. You need to pay to add more skills. |
Vertical IT
account managers select the technical consultant from our team with the
advanced skill set that corresponds to a specific situation.
Vertical IT invests in advanced training for all technical
consultants. |
| Experience |
Several years experience, grows in real-time |
Pool of 100+years combined experience, grows exponentially as Vertical IT does. |
| Scalability |
Limited to a single task in one location |
Vertical IT
can call upon all their resources to resolve a single critical or
complex issue, or deploy staff across the country to cover multiple
locations simultaneously. |
| Cost |
Higher costs will only increase. Difficult to quantify the value of soft costs like healthcare. |
Lower, predictable costs |
In addition to lower cost and flexible capacity benefits, Vertical IT Managed Services also offers
the following benefits:
- Peace of Mind - that seasoned professionals are using advanced tools to predict
and prevent any risk as soon as it is visible.
- Increased Productivity - because key network elements are more reliable and available.
- Faster & cheaper issue resolution - because we notify our technical consultants
in real-time, with the exact location and cause of a current or developing problem.
- Reduced time spent on maintenance - using automation, we manage the
exceptions to a library of internationally accepted standards, so you can focus
on your core.
- Predictable lower costs - we take the bite out of IT planning and execution.
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