Finding the correct IT support for your business can make a world of difference for productivity and user experience.
When your IT just works – and you know who to call if it doesn’t – you and the other employees in your organization will feel less stressed and more productive.
But how do you get to this point? What type of IT support is right for you?
As you look into your choices, two options you’ll come across are managed IT
services and block-time agreements.
- Managed IT services are when a managed services provider (MSP) takes complete control of the management and maintenance of your IT environment.
- A block-time agreement is when you prepay an IT consultant for a set amount of engineering hours. You choose how and when you use this time.
The KR Group provides both of these options for our clients, and while they certainly have similarities, the differences make them ideal for different scenarios.
As you’re deciding if managed IT services or a block-time agreement is a better fit for your organization, keep these distinctions in mind:
- Managed IT services include bundled solutions.
- Block-time agreements support an existing IT department.
- Managed IT services are proactive; block-time is reactive.
- Competitive pricing for block-time and managed IT services.
These differences will help you identify if you should consider managed IT services or a block-time agreement and expectations from each option.
Managed IT Services Include Bundled Solutions
Along with support, your MSP will also provide you with a bundled package of solutions that they’ve back-tested and approved.
Take cybersecurity, for example. Your managed IT services contract will incorporate solutions, such as antivirus, anti-spam, DNS filtration, etc.
This prevents you from spending time (and time is money) researching products and comparing them. With managed IT services, this process is streamlined because your MSP makes these decisions for you.
If you opt for a block-time agreement, you can still request your IT consultant to research and present options, but it takes up hours in your contract.
This process, called proof of concept, allows you to review your options and verify that your choice is the right one for your IT environment.
Even if you forgo the proof of concept process and take your IT consultant’s recommendation at face value, you’ll still need to pay for the implementation and any recurring fees.
Block Time Supports Existing IT Department
However, not everyone wants to hand over the entirety of their IT environment to an external provider.
There are advantages to having your IT department part of your payroll, including increased availability and dedication. However, ask anyone who has spent time working in IT, and you’ll learn about the many hats they’re constantly juggling.
At some point, you’re bound to have a gap in knowledge or a lack of resources to accomplish your technology goals. An IT consultant can help with these needs.
And, when you sign up for a block-time agreement, you’re telling the IT consultant you want to work with them throughout the year and commit to using them for planned and unplanned IT incidents.
This means you and the IT consulting team will get to know each other and build a rapport as you work together on IT issues.
Managed IT Services Are Proactive
Whether you use managed IT services or a block-time agreement, you’re better off than doing nothing to address your ongoing IT needs.
However, block-time agreements are still a reactive approach to maintaining your IT environment.
Why? You’re using the prepaid engineering hours to address problems or new projects.
Unless you have your own IT department continually keeping tabs on what future improvements and refreshes are in order, your IT consultant alone won’t be performing this function.
On the other hand, managed IT services are essentially an outsourced IT department. This means they are available to address your unexpected IT issues and help you plan for your future technology goals.
Competitive Pricing for Block Time and Managed IT Services
As a managed IT services or block-time agreement customer, your rate for engineering services is more competitive than working with an IT consultant on an irregular basis.
With a block-time agreement, your hourly price decreases as you purchase more hours.
For example, at The KR Group, our hourly consulting rate is $195 per hour during normal business hours. However, if you purchase 100 hours, the rate decreases to $150 for each hour.
The cost of managed IT services is structured differently and based on how many users you have in your environment.
You’ll have some initial costs, including an audit and possibly a firewall. From there, you can expect to pay between $75 and $95 per user per month.
This monthly rate covers your MSP’s security solution package and monthly support, but there are still tasks outside of your agreement.
As an example, if you want to implement a new solution not covered by your contract, you’ll still pay hourly for that time. As a managed IT services customer, your price is even more competitive than that of block-time customers.
Managed IT Services vs. Block-Time: Which Is Right for You?
As you’re thinking about external support options for your business’s IT environment, you’ll want to consider your specific IT needs and why you need external support.
Managed IT services are ideal if you don’t have an existing IT environment. They include bundled services, proactive management, and competitive pricing for services in and out of the scope of your contract.
But, if you do have an internal IT department, a block-time agreement is a great supplemental resource. They can consult and guide your organization as your IT department looks to make changes to your environment. And, prices are still more competitive than break-fix services.
To find out more about what managed IT services could do for your business, check out this free guide that reviews everything you can expect from this service.
