Having a dedicated IT professional or department is essential in maintaining performance and stability. Since not every company can accommodate an internal IT department, outsourcing that role is an affordable alternative.

If you're in the market for a Managed Service Provider (MSP), you'll want to ask the following questions to find one that is the right fit for your business.

1. How many people does a managed service provider have on staff?

One of the most significant advantages of an outsourced IT provider is the ability to leverage the expertise of a larger group. An established MSP with specialized engineers can provide more value than a single IT professional.

Ask about the different employees on staff. Do they have cybersecurity experts? A data analytics team? Can they build custom applications to eliminate time-consuming tasks? You may not need all of those right now, but it's helpful to know what you have access to in the future.

2. What is their approach to support?

An important consideration when searching for an MSP is the type of support they provide. You will find three common support models while shopping for an outsourced IT provider, each with pros and cons.

• Dispatch - With this model, you will call and speak to a dispatcher whenever you have a technical support request. They'll take down a record of your issues and assign an engineer to call you back after a designated amount of time. Typically, dispatch is an affordable option at the cost of quick response times.
• Helpdesk Model – This has a more direct approach than a dispatch model but comes with a higher cost. With this model, your call will go directly to an engineer who will address your issue, resulting in much quicker response times and more personalized service.
• Dedicated Engineer - Some MSPs will assign a single person to your account. This has some of the same pitfalls an internal IT person would, though with less leverage of expertise. Typically, a dedicated engineer will manage multiple accounts to reduce costs, so their focus is divided between other clients.

3. Do they offer strategic consulting services?

Consider if your potential MSP offers virtual Chief Information Officer (vCIO) services. A vCIO plays a pivotal role in bridging the gap between IT strategy and overall business objectives. With their expertise, they align technology initiatives with the company's vision, ensuring IT investments are directly contributing to their success.

Additionally, vCIOs offer valuable training resources, keeping the organization updated on the latest cybersecurity and artificial intelligence advancements. They develop comprehensive IT security strategies, safeguarding critical data and mitigating risks. Furthermore, vCIOs assist in planning and updating IT budgets, optimizing resource allocation for maximum efficiency. By analyzing trends and advancements, vCIOs future-proof your IT strategy, helping you stay ahead in the dynamic tech landscape.

4. What is their billing arrangement?

The outsourced IT industry has a few standard billing arrangements. These structures may not work for every business model, so keep your cash flow, budget, and tech needs in mind.

• All You Can Eat - One monthly payment includes every service your company needs with no additional fees. With this billing arrangement, MSPs have incentives to ensure your hardware and software run smoothly since they want to minimize service calls.
• Time and Materials - With this arrangement, you only pay when you speak to your provider or when there's an issue. In this case, there's less incentive for an MSP to fix problems permanently since they get paid when you call.
• Block Time - Pay for a block of hours and use them whenever you need. If you require additional help, you'll have to pay for another block. This arrangement has some of the same pitfalls as the time and materials arrangements, but it can work for some companies looking to save money.
• Hybrid Agreements - Many providers will mix and match the above billing arrangements depending on what services a potential client wants. It may seem like an ideal option, but comparing agreements apples to apples can be challenging. As a customer, it's easy to feel nickel and dimed.

5. What does the agreement include?

You'll want your MSP to include as much as possible in your contract so you don't get charged separately for certain services, like trip visits. Comparing providers can be tricky since their offerings can vary so much. Here are some benefits you may want to have included in your agreement:

• Anti-Virus
• vCIO Services
• Managed Security
• Spam Filtering
• After Hours Support
• Hardware Monitoring
• Environmental Monitoring

6. What are the terms of the agreement?

There is an important distinction between a month-to-month agreement and a long-term agreement. Month-to-month contracts require the MSP to earn your business every month, meaning you can hold them to a higher standard of service and leave at any time. Contracts that lock you into longer terms often include fees to penalize you for leaving early, so you're less able to hold them accountable for poor service.

7. Are there any additional fees?

Most outsourced IT providers will have an onboarding process to get to know the environment of your office and how to access servers and machines. Typically, they will have fees to cover these expenses. A general rule is that it shouldn't exceed your first monthly payment. Onboarding fees, along with any other additional expenses, are an important factor in your decision.

8. Can they provide references?

We highly recommend you seek referrals from other companies in your industry. If you need help getting valuable referrals, ask your potential provider to provide references from other companies in your field. While it's not necessarily a deal breaker, reluctance to share contacts would be a red flag.

9. What does proactive service mean to an MSP?

Many managed service providers use tools to provide proactive support to their clients. Monitoring, anti-virus, and other services help detect any technical problems before they arise, which is better for you and your IT provider.

10. What kind of after-hours agreement does your company need?

Not every MSP provides after-hours support in their base service package, so assess the times your company needs tech support. If you anticipate that need, look for a provider to include that in their standard package so you don't have to pay additional fees.

11. What do they require from your internal IT contact?

Does your potential MSP want calls filtered through a single contact, or are they prepared to take calls from anyone on staff? If a single person is placing all of the calls to the managed service provider, the costs of that person's time should factor into your consideration. If an MSP is okay with anyone calling them anytime, that benefits your company.

Finding the right outsourced IT company requires careful consideration of several factors. By asking the right questions, such as the number of staff members, their support approach, the availability of strategic consulting services, billing arrangements, agreement inclusions, terms of the agreement, additional fees, and references, you can make an informed decision for your business. Please contact us if you have further questions or explore how Lutz Tech can support your business.