In today’s fast-paced business environment, having efficient technology solutions grants businesses several important benefits. However, users may encounter issues with their information technology (IT) systems. When this happens, the terms ‘break/fix’ and ‘managed IT services’ spring up as possible solutions to resolve problems.
But which is the most budget-friendly for businesses? Understanding the differences between these two models (and their impact on your organisation’s IT) is crucial in making an informed decision. In this article, we will unveil the true cost-effectiveness of break/fix vs managed services.
What are break/fix services?
Break/fix services are a reactionary approach to providing IT support. Specifically, it involves an IT technician arriving onsite to fix issues once they are identified by users.
In this model, businesses only pay for the services they receive, typically on a per-hour basis. Any additional costs usually come from extra tools that the technician needs to solve problems. Break/fix services do not rely on contracts. Instead, after the job is complete, the technician leaves without offering any ongoing support.
Break/fix services: the pros and cons
The technical support offered by break/fix providers has its advantages and disadvantages. These traits are:
The pros
- No need for contracts or budgetary commitments – break/fix models charge customers according to the services that were administered with no long-term commitments. For companies (such as small businesses) that may not have the resources to commit to an ongoing plan, break/fix may be a valuable option.
- More ownership over IT solutions – by choosing why and when you want the assistance of a break/fix provider, you can have more autonomy over your IT environment.
The cons
- The model's reactive nature – since IT support is only provided when an issue occurs, it forces you and your people to ask for help (instead of having a team of IT specialists proactively responding to problems for you).
- Longer downtime – any problems you are experiencing with your technology solutions will not be resolved until the break/fix provider begins work. Response times to queries are determined by several factors, including the estimated time it will take to fix issues.
- Increased disruption to operations – the more time it takes IT solutions to resume running, the slower your company processes will be.
- A lack of preventative action – break/fix only responds to problems. It does not offer solutions that businesses can use to avoid them.
- No stable pricing – break/fix relies on the unpredictable nature of IT issues. The model is more difficult to budget for because you cannot anticipate how much (or when) you will be paying for services.
What are managed IT services?
Managed services represent a proactive, comprehensive approach to IT support. Conducted by a managed services provider (MSP), managed services are when an external provider takes responsibility for managing, monitoring, and maintaining a business’s IT infrastructure. MSPs provide various services, including:
- Network management
- Cyber security
- Disaster recovery services
- Cloud solutions
- Managed IT support
- Among others
An MSP’s services are rolled out based on service level agreements (SLAs) – contracts that specify the services that will be provided, penalties, etc.
Managed IT services: the pros and cons
The MSP model is a popular IT support solution for organisations of any size. Similar to break/fix, managed services has its pros and cons. These include the following:
The pros
- Proactive services – unlike break/fix services, MSPs oversee a client's IT infrastructure, identifying and addressing anomalies before they escalate into larger problems that negatively impact the employee and customer experience.
- Extensive expertise – MSPs provide organisations with a team of experts whose knowledge and skills cover various technology solutions and IT disciplines. This means that no matter the problem, managed services can help.
- Strategic partnership – through its SLA and open communication, your chosen MSP will have a deep understanding of your organisation's goals, challenges, and needs. You can feel confident knowing that your technology solutions will always be relevant and protected by effective security strategies, such as those in the Essential Eight.
- Longevity – since managed IT services focus on mitigating risks and maintaining uptime, it can keep your business’s IT operating through the highs and lows, helping you achieve long-term success.
The cons
- Less autonomy over technology solutions – oftentimes, MSPs take the place of in-house IT staff. This means that another party will have access to your company's networks, leaving you with less control.
- There are costs for setups – once a business begins working with an MSP, it may have to make an initial payment to cover the period where the MSP integrates its IT solutions with company networks. This payment may be more expensive compared to those offered in break/fix services.
Break/fix vs managed services: which is cheaper?
Break/fix services may seem cheaper as you only pay for support when it is needed. But, the model’s reactive approach can result in extended downtime, lost productivity, and recurring issues. This unpredictability in IT expenses can make budgeting difficult and can force you to spend more money.
Managed IT services provide a predictable cost structure through SLAs, helping businesses to budget effectively and avoid unexpected IT costs. It also prioritises risk mitigation and proactive support, leading to long-term cost savings and uptime. The partnership between an MSP and a business can lead to greater innovation and increased revenue.
Break/fix vs managed services: make the right decision with expert help
At the end of the day, while break/fix has its uses, managed services can significantly enhance your business’s IT efficiency without forcing you to overspend on your technology solutions.
Offering reliable IT support from Sydney, Platform 24’s managed service experts can provide your organisation with all the technical support it needs, from managed security to cloud solutions. Talk to the team today and find out how Platform 24 can help you achieve your business and IT goals.
