It is important for community banks to always be looking for ways to improve their services and remain competitive in the industry. One way that many community banks are doing this is by turning to managed IT service providers. But are managed IT services a good fit for your bank?
Here, we will take a look at both the pros and cons of using an IT service provider so that you can make an informed decision about whether or not this is the right solution for your community bank.
Challenges Facing Community Banks
Community banks face many challenges such as increasing cybersecurity threats, rising IT costs, and a lack of resources to keep up with the latest technologies. Traditional IT services can be too expensive or not always provide the service that your business needs.
What is a Managed IT Service Provider?
Managed IT service providers (MSPs) offer IT services and support for your bank. They help keep a business’s network running smoothly by constantly monitoring it and troubleshooting any issues that arise. This means that you do not have to hire in-house staff or manage your own IT systems—the managed service provider will take care of everything for you.
Pros of Using a Managed IT Service Provider
There are many advantages to using managed IT services for your business. Here is a list of some of the most important and impactful ones.
Managed IT service providers provide 24/7/365 around-the-clock support and assistance, which can be incredibly helpful for those who experience problems after regular business hours. This can be especially beneficial during holidays and weekends when cyber attacks are more prevalent. You do not have to rely on in-house staff to address an IT issue. With MSPs, your IT issues will be addressed and your systems are monitored at all times.
By working with an MSP, you can save on costs related to traditional IT employees. A recent study showed that more than a third of businesses that used MSPs saved between 25-49% in annual IT costs. Your business will save money on hiring, training, managing, and providing equipment for IT staff.
With an MSP, your business will have access to a team that is continually taught and trained with expertise and experience in dealing with a variety of technologies, helping you keep up with changing trends.
Working with a managed service provider can also help you increase productivity by minimizing downtime and disruptions. With an MSP, any IT issues are immediately addressed and fixed without having to wait or request help from in-house staff.
The Cons of Using a Managed IT Service Provider
Although there are many pros, there are also some cons to using managed IT services for your business. Here are some of the cons that may be encountered when outsourcing IT.
Your managed IT professionals may only be able to provide the solutions that you need if those problems are within their scope. MSPs rarely cover all aspects and areas of technology for all businesses. Check what area the IT service provider specializes in and make sure that they have experience working with community banks.
Sometimes, since MSPs manage many types of businesses in different industries, they may not be as informed about your particular industry or your infrastructure. To combat this concern, find an IT service professional that specializes in your industry. This means they will have a better understanding of your business needs and will be able to provide you with a more reliable service.
MSPs present both pros and cons, however, many of the cons can be alleviated, allowing you to still receive the benefits. Understanding those benefits and drawbacks is key to making an informed decision about whether or not this solution is right for your community bank.
RESULTS Technology as Your Managed IT Service Provider
RESULTS Technology is a top-rated MSP focused on helping community banks leverage their IT to help them succeed. If you have questions about managed IT services or want to look into managed IT services for your community bank, contact us today.