Break-Fix Services vs Managed IT: Which Will Save You More Money?

Break-Fix Services vs Managed IT: Which Will Save You More Money?

Do you know the IT model that meets the exacting needs of your business? Many businesses depend on their IT systems to conduct daily operations and balance their many priorities amidst daily demands. Each decision a business makes holds the consequences of turning it more efficient or less.

None of the issues faced by your business – from technology complexity to stiff competition to the perpetual need to achieve more with less, and more – will be solved without proper intervention. This means there is increasing value low cost, high quality IT solution.

Break-fix services and managed IT are two types of popular and comparable IT models. But which will save you more money? Read on to find the differences and benefits of both.

What’s the Difference Between Break-Fix and Managed IT Service Models?

Break-fix IT solutions and managed IT play important roles in IT business support. What’s their difference? Break-fix model describes the practice of a company contacting an IT professional when an upgrade is needed or there is an IT problem.

What of managed IT services?

A managed service describes an arrangement whereby a business contracts an IT firm (Managed Service Provider – MSP) to manage its IT needs. The services provided by MSP are numerous and can stretch anywhere from helpdesk to security and 24/7 monitoring.

Read more below to learn the benefits of break-fix vs managed IT services for your business.

What Are the Benefits of the Break-Fix Model?

Check out some benefits of the break-fix model of IT support below.

1. No Monthly Service Fees

Not every business is able to budget out a monthly service cost or sign a contract with an MSP. If your business has limited it needs, break-fix model will work for you. 

On the other hand, if your business is heavily reliant on technology, then this model is a real gamble.

2. Control Over Your IT Support

This model also gives you control over your IT needs since you get to decide when to contact an expert. However, you will have little control over how much you spend on IT service.

What Are the Disadvantages of the Break Fix Model?

The break-fix plan has a number of cons, including:

1. Short-Sightedness

With this model, your business only contacts the IT professional when the need arises. It is a case-to-case sort of arrangement that doesn’t take into account any preventive or contingency measures.

The fact that experts are called when the need arises, there are no guarantees that they will make an effort to stop you having to call them again. Why would they want you to never call them again? 

Calling them is good news for them.

2. Hidden Threats

Often, IT issues start out small and go unnoticed for some time. However, such issues are likely to worsen and cause big problems. This is why you need someone to monitor your system so as to catch IT issues when they’re still small.

Addressing issues when they are still small will help you avoid costly repairs and replacements. You will also avoid downtime.

3. Reduces Productivity

Businesses that depend on break-fix IT services might suffer low productivity as they wait for the ‘IT guy’ to show up and fix the IT problem. When there is a downtime, every minute that passes before the issue is addressed means your business is losing money.

Due to unplanned of break-fix arrangement; the professional who comes to fix your system might have little or no experience with the system. In such an event, the expert will need extra time to familiarize with the infrastructure before they can even start addressing the problem. Not only will you be losing money in downtime, but you will also be needed to pay the expert for the extra time.

4. High Cost

Under this model, you will be charged for consultation, repairs, and hourly labor. This makes it extremely difficult to budget for unanticipated issues and no straightforward way to find if you’re being charged a fair price. This situation is even made worse by the fact that there are no preventive strategies to avoid such problems in the future.

What Are the Benefits of Managed IT Support?

There are a lot of benefits associated with MSP model for your IT needs. The main ones include:

1. 24/7 Monitoring

Managed service providers have experts who monitor your systems round the clock. Potential threats are detected immediately, and the arising issue is resolved before it affects your system.

If things get worse and your system goes down, an expert who is familiar with your system will fix it and the system will be back within the shortest time possible.

2. Stability

MSPs do everything within their power to ensure that your system runs smooth and efficient. Their reputation depends on how much they’re able to keep their customer's systems stable.

If they succeed in keeping their customer's systems stable, then it means the customers will be willing to work with them in the future. The profitability of MSPs depends on the number of customers they are able to retain.

3. Predictable Payments

Working with MSPs offers budget certainty. Customers pay fixed monthly fees in increments. You might find the fixed monthly fees lower than the break/fix billings especially if your company heavily relies on IT. With fixed monthly payments, then it’s easy to plan for IT needs.

4. Shared Ownership

Software such as remote managing and monitoring allow the IT service provider to give off-premise services to you. Shared ownership gives the MSPs an opportunity to guard your system against data hacks, possible phishing schemes, distributed-denial-of-service (DDOS) attacks since they can monitor the system round the clock.

The MSP teams are made of experts who are familiar with your server, specific network and hardware needs. The interest and fluency of the MSPs align with yours, and that’s why it’s very easy to trust them.

5. Peace of Mind

It’s difficult to be productive when you’re always worried about system downtime. However, once you know that someone got your back 24/7 and they taking proactive measures to ensure your system never fails, then you can rest easy. MSPs guarantee their customers 360-degree support.

What Are the Disadvantages of MSPs?

The disadvantages of MSPs mirror the advantages of the break-fix model. They include:

1. Loss of Control

With the MSP model, you have to put your trust on a third party. A third party will have complete access to all your systems and they will be in charge of the upkeep. Even though you may feel less in control, but you don’t have to worry about anything since they are 100 percent accountable.

They will give recommendations, strategic reports, and action plans. You’re free to contact your IT service provider if you have doubt about any aspect of their service.

2. Higher Initial Set-Up Costs

MSPs carry higher up-front costs compared to a break-fix services model. This is because MSPs need early set-up fees to integrate their off-premise server, hardware, software, and network monitoring technology with your office set up.

Break-Fix or Managed IT Service Model? The Choice Is Yours!

Having had an opportunity to check out the pros and cons of the break-fix model and managed IT service, it’s up to you to decide which model is best for your business. Take time to assess how each option could propel or detract your organization from its strategic goals.

Check out our blog post to learn more about the use of advanced technology in business.

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