When’s the last time you reviewed your IT budget? Are you implementing cost-effective IT solutions? If not, keep reading to learn the top five ways to reduce IT costs and improve your cash flow.
Top 5 IT Cost Reduction Strategies
It’s hard to grow your business when you’re struggling to manage IT costs. With the costs of hardware and software rising, you might be struggling to find ways to reduce IT costs—but we’re here to help.
Here are five IT cost reduction strategies you can implement into your business today:
Utilize Cloud Storage
Moving your data to a cloud storage platform instead of using servers and hardware can lower your operating costs significantly. Hardware not only has a high initial cost, but it also requires a lot of maintenance. If a server breaks down, it needs to be replaced as soon as possible so you don’t lose access to your data.
Purchasing and repurchasing hardware quickly adds up, especially if you run a large business. With cloud computing, like G-Suite or Microsoft Azure, you pay a small monthly fee and never have to worry about losing your data since most clouds automatically back it up. Instead of purchasing individual servers, purchase a subscription to a cloud platform that all of your employees can access and utilize.
Hire a Managed IT Team
Outsourced managed IT providers eliminate the need for an internal IT team. Your managed services provider (MSP):
- Keeps your IT equipment up and running
- Anticipates your technology needs
- Integrates cybersecurity measures into your IT infrastructure
- Completes software upgrades for you
- Offers unlimited IT support
- Gives you access to third-party software and internet connection
- Provides network monitoring and compliance assistance
- Manages hardware and equipment procurement
Benefits of hiring an MSP include:
- Access to industry knowledge: Your external IT team is made up of industry-leading professionals who understand the complexities of all networks. This team has a wide range of experience and knowledge that your internal IT personnel might not have.
- Innovative tools: You gain access to cybersecurity and equipment monitoring tools that are typically more expensive to purchase and maintain in-house.
- Lower cost: You not only get access to advanced tools and knowledge, but it also comes at a lower cost. You can hire an entire team for a fraction of the cost of hiring internal IT employees.
Interested in reducing IT costs by hiring an outsourced MSP?
Reassess Your Software
Are you using all of the software applications you’re paying for? Many business owners purchase applications thinking they’ll be useful and end up not using them as much as they thought they would. Paying for useless software applications costs your business money, so reassess your monthly subscriptions regularly to ensure you’re getting the most bang for your buck.
If you’re already in the cloud, consider the following:
- Are you paying for more cloud storage than you need?
- Are you taking advantage of mobility and scalability features available to you?
- Are you unnecessarily duplicating on-premises and cloud-based services?
- Are you on the best available cloud storage plan for your business?
- Are you paying for software that you aren’t using?
- Has the pricing of your subscriptions changed? Are there plan options that suit your needs better?
You could be wasting money on cloud services that you don’t use, which is why it’s important to regularly review your subscriptions. Renegotiate your subscription with your provider or find a different one that suits your needs better.
Cut Internet Costs
Your employees need access to the internet to do their jobs, so you can’t cut the cost outright, but you can manage it. Consider the following questions when implementing changes to your internet plan:
- Would buying routers be less expensive than renting them?
- Is there an internet provider with a less expensive plan and similar quality to your current one?
- Is slow internet speed costing your company money? Are your employees able to be productive with your current internet service?
- Are you able to bundle your internet services to increase IT cost savings?
- When’s the last time you reviewed your internet plan? Does it reflect the current scale of your business?
Asking yourself these questions can help you increase IT cost savings. Don’t waste your money on overpriced internet services. Regularly reassess your internet plan to ensure you’re getting the most out of it.
Perform a Technology Audit
Your MSP can perform a technology audit to determine which services you aren’t using. An audit of your infrastructure shows you which service you can eliminate or which services you need but don’t have. This IT cost reduction strategy comes with immediate cost savings because you can pick and choose which tools you no longer need.
Where Can I Get Help With IT Cost Savings?
Technology Response Team is an experienced managed service provider that can implement effective ways to reduce IT costs, including all of the above. Our high-quality IT services include:
- Virtual CIO
- Managed and co-managed IT
- Server support
- PC and Mac desktop support
- Cloud computing
- Data backup solutions
We partner with large and small businesses to install IT cost reduction strategies and protective cybersecurity solutions. Contact us today to get started with our managed IT services.