How to save money and increase productivity with outsourcing

Outsourcing - insourcing

Business today relies on technology and information more than ever before. To fully leverage the benefits of technology, a significant depth and breadth of knowledge and experience is needed, and is rarely found in one individual. The complexity and rising costs of I.T. expertise and labour, however, can be a significant concern for business owners seeking to manage costs and grow their businesses.

Strategic outsourcing of the design, management, and support of your I.T. systems is an effective way to access technical expertise and experience at a low cost, and to boost your business performance.

A suitable service provider can provide a tailored service that helps you to design and manage your I.T. systems in a way that supports your overall business goals, as well as provide the support services to ensure that your systems are reliable so that you and your staff can focus on being productive.

In this article we will detail some of the reasons why you should consider outsourcing your I.T., for the long term benefit of your business.

Outsourcing helps manage your risks

As I.T. systems have become more complex they have also achieved dramatic improvements in functionality and performance. These improvements are not often commented on, and we typically take it for granted that these improvements will continue. The increases in complexity have not resulted in similar increased risks or incidences of downtime, and in fact despite the ever growing complexity of a typical business I.T. system the threat of downtime and failure is less now than it was ten or twenty years ago.

However, the risks still exist, and if your I.T. systems do fail there can be a number of consequences for you –


Financial losses due to system failure or downtime can be significant and can include losses in revenue, wages, manufacturing or production, merchandising, legal penalties and more.


The complexity and interdependence of modern I.T. systems can mean that a failure of a single element of a system can affect the operations of the system as a whole, or of a series of processes within a business.


Your reputation can be affected in a dramatic way by a failure of your I.T. systems, especially if the failure relates to confidential information you hold about your clients.

Outsourcing addresses the risk of failure of your I.T. systems in many ways, but perhaps most critically by making the service provider responsible and accountable for the management of risk.

Outsourcing saves you money

Reducing costs is perhaps the most obvious reason for outsourcing your I.T. functions to a service provider, such as RODIN, but the benefits of outsourcing extend well beyond simple cost savings.

Here are just a few of the ways that outsourcing can save money in your business –

Reduce or eliminate in-house staff costs

Salaries, superannuation and payroll tax are direct costs of in-house I.T. staff, but consider also the cost of office space, equipment, training (and re-training) and the simple administration overhead of those staff.

When you outsource I.T. functions to an external provider you transfer responsibility for all staff related costs to the provider in exchange for a fixed fee, that is typically far less.

Save time (and therefore money)

When you outsource your I.T. to a service provider, you gain access to staff who value a career in I.T. and are experts in their fields. When an issue needs to be diagnosed and resolved, they are well placed to identify the causes and address them quickly and efficiently. Compare this with the cost of an in-house staff member, who may consider I.T. functions as a secondary aspect of their role, and who will lack the exposure to and constant challenge of supporting many different types of business systems and technologies. The in-house staff member is simply not equipped to identify and resolve issues quickly, and this costs you time and money.

Low cost access to technical expertise

When you require technical advice or consulting beyond the abilities of an in-house I.T. staff member you must seek external services, perhaps from a consultant. Seeking technical advice in this way is a good idea, but the cost of the engagement can be significant even where you are seeking a quick answer to a tricky question.

By outsourcing your I.T. to a service provider you gain access to true technical experts who deal with a large number of businesses, each with unique characteristics, needs and systems. The technical advice you require can be obtained more easily, and inexpensively, from the provider who already knows your business and your systems and who has addressed the same challenges repeatedly.

Outsourcing reduces saves you money through direct savings, but also through a raft of tangible and intangible benefits that are not always obvious at the outset.

Outsourcing supports greater productivity

There are many way to improve productivity in a business but perhaps the most simple is to ensure that your staff have the tools they need to be productive. In most cases, the required tools are, or depend on, your I.T. systems.

Outsourcing helps you to ensure that your staff have I.T. systems with the functionality they need in many ways, and some are listed below –

Tailored to suit you

Your I.T. systems will support your productivity best when they truly suit your needs. Seeking the advice of a suitable service provider to review your I.T. systems, and how they actually suit your needs and business type, will yield lasting benefits, but then having the same provider design and manage those systems for you ensures that your I.T. systems deliver on the promise of that advice.

Outsourcing can deliver those benefits in precisely that way, and we offer advisory services to our customers.

24×7 service and support

Outsourcing can ensure that your staff are able to receive the support they need whenever, and wherever, they need it. Providing support around the clock, and to many different locations, can be very costly, but using a combination of on-site, phone, email and remote control support a good service provider should be able to meet your needs in a cost effective way.


As your business grows and changes there will be times when you need far more support than you usually do. It may be a large contract you have won, or a seasonal or cyclical change in business conditions. Whatever the cause, an effective and trained in-house team cannot easily be rapidly enlarged or reduced to suit your needs.

An outsourcing relationship provides your business with access to a large team of professionals who provide support to many staff across multiple businesses, with the capacity to provide additional support as you need it. In most cases, these short term ‘spikes in demand’ will not involve additional cost, and so you are free to rely on your provider to deliver what you need without having to plan for additional staff, or contractors, and the cost and time required to arrange those options.

Outsourcing helps you to maximise your productivity by ensuring that your I.T. systems are tailored to your needs, and are working and supported when you need them.

If your business is seeking to outsource your I.T. system management, or if you currently outsource but would like to learn about our alternative approach, we encourage you to call us today on 1300 138 761 or simply click HERE and we will be in contact with you.

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