IT Service Models
There are essentially four service models of Information Technology support you can implement in your business (well, five if you count none at all). Deciding which is the right service model for your business depends on if you would like your services to be managed or unmanaged, and if the nature of the service you need is sustained or temporary.
0: None
This is only really feasible for startups or very small businesses with at least one tech-savvy employee. Or if the business is running little to no technology, but this is exceedingly rare in today’s business world. The cost at this level is difficult to quantify. Some may say it costs nothing, but if a significant portion of an employee’s time is occupied with IT-related tasks, it can actually be quite costly.
1: Hourly / No Contract
Sometimes referred to as “break / fix”, this service model is intended for simple jobs that are temporary and require little to no planning or management. It works best for things like one-shot issues or on-site service for IT teams that need regional support. However, it can be adequate for startups and small businesses that have an office manager or employee that can handle the management side of things (contacting vendors, keeping documentation, purchasing, managing projects, etc.). The biggest caveat to consider with this type of service is that there is no SLA provided and it is reactive, rather than proactive, in nature. The cost of this service can vary, but typically range from $75 – $200 / hr. Refer to our Hourly / No Contract service page for more information.
2: Consulting / IT Project Management
This service model is similar to the hourly service model in some regards, however it is intended for larger projects that require more planning and management. A good example of this would be an email migration which can take anywhere from a few days to several weeks depending on the number of users and complexity of the existing infrastructure. While ultimately this service model is based on an hourly fee, the total cost of the project is typically estimated and a quote is submitted for approval. In addition, a Statement of Work will be provided outlining deliverables and responsibilities. Refer to our Consulting service page for more information.
3: Managed IT Services
This service model is tried and true; all IT operations are outsourced to the service provider. It works well for small and medium-sized businesses that want a fully-managed solution with simplified accounting. A Service Level Agreement (or SLA) is provided and monitoring is performed to ensure the provider is meeting the terms of the agreement. We offer guarantees on the services we provide and service is typically performed proactively, rather than reactively. However, to achieve this, a mutual trust is necessary and there may be certain requirements on the client’s end (for more insight, see our About Us page). In this service model, Information Technology services are packaged and billed at a pre-determined monthly rate. The cost for this type of service model ranges from $300 / month – $6,000 / month depending on the number of users. Refer to our Managed IT Services page for more information.
4: In-house IT
The classic. With this support model, an employee or team of employees are hired to handle the IT operations of the business. This model works well for large corporations and enterprises that have high demand and need IT staff in the office at all times to handle it. Of course, it is also the costliest service model of all. Salaries for Information Technology professionals start at around $40,000 / year (depending on location) and go up from there. Of course, this doesn’t include the cost of providing a workspace, equipment, health care, vacation time, etc. A small two-man IT team will typically cost a company over $100,000 / year – that’s over $8,000 / month!