For MSPs, the need for specialized engineering talent is constant. Whether it’s to address unique client requirements, stay ahead of technological advancements or bolster internal capabilities, the decision to hire an outsourced engineer is a strategic option that MSPs must carefully consider. In this blog, we’ll delve into the specific considerations that you must bear in mind when contemplating the inclusion of external engineering expertise in your MSP’s operational framework.
The Need for Specialized Talent for MSPs
MSPs operate in a dynamic environment where the complexity of technological solutions continually evolves. As clients seek customized, cutting-edge solutions to meet their business needs, MSPs find themselves challenged to provide specialized services. This is where the imperative for specialized engineering talent becomes evident.
The decision to hire an outsourced engineer stems out of the recognition that certain projects or client demands may require expertise beyond the current capabilities of your internal team. This strategic move allows your MSP to tap into a global talent pool, accessing professionals with niche skills and experience that align precisely with the requirements at hand.
Outsourcing Versus Hiring Internally
Before delving into the specific considerations, it’s crucial to understand the dynamics of outsourcing for MSPs. Unlike traditional hiring models, outsourcing provides MSPs with the flexibility to scale up or down based on project demands. It also introduces the opportunity to explore a diverse talent pool, often bringing in fresh perspectives and innovative approaches to problem-solving.
Hiring Internally
When it comes to filling critical roles within an organization, the decision between hiring internally or seeking external talent is a pivotal one. This section explores the advantages of hiring internally, focusing on the unique benefits that come with considering candidates who are already part of the company’s ecosystem.
- Familiarity with company culture: Among the key benefits of internal hires is their pre-existing familiarity with the company’s culture, established processes and overall expectations. This familiarity forms a solid foundation for a seamless integration into the team, fostering a quicker adaptation to the organizational ethos. As employees who are already immersed in your MSP’s values, internal candidates are poised to contribute to the workplace environment positively.
- Direct oversight: Internal hires offer the advantage of being directly supervised and managed by in-house teams. This level of direct oversight can be instrumental, particularly for projects that demand close collaboration, intricate coordination and constant communication. The interconnected nature of team dynamics becomes more fluid when team members are already accustomed to working together, ensuring efficient project execution.
- Long-term commitment: Opting for internal hires often signifies a commitment to fostering long-term relationships with employees. This commitment becomes especially advantageous for projects with extended timelines or those requiring ongoing maintenance and support. Internal hires, already invested in the company’s mission and objectives, are more likely to exhibit dedication and loyalty, contributing to the sustained success of projects and the overall growth of the organization.
Outsourcing
The practice of outsourcing has emerged as a strategic approach for MSPs to optimize their operations, tap into specialized skills and enhance operational efficiency. This section explores the multifaceted advantages of outsourcing, shedding light on how this global strategy offers a gateway to a diverse pool of talent, cost efficiency and unparalleled scalability.
- Access to global talent pool: One of the hallmark benefits of outsourcing lies in its ability to provide access to a vast and diverse pool of engineering talent from around the world. This global talent pool becomes an invaluable resource, particularly when your MSP requires specific skill sets that may not be readily available locally. The infusion of international perspectives and expertise brings a richness to projects that goes beyond geographical boundaries.
- Cost efficiency: Outsourcing stands out as a cost-effective solution, offering your MSP the opportunity to save significantly on various fronts. For short-term projects or endeavors with fluctuating workloads, outsourcing eliminates the need for extensive recruitment processes, onboarding and the provision of employee benefits. This streamlined approach to talent acquisition translates into direct financial savings for businesses, allowing them to allocate resources more efficiently.
- Scalability: The scalability afforded by outsourcing is a dynamic advantage that resonates particularly well in the MSP landscape. Your MSP can swiftly scale up or down based on project requirements, adapting to the ebb and flow of demand. This flexibility not only ensures that the right resources are allocated at the right time but also positions organizations to respond promptly to changing market dynamics, enhancing their overall competitiveness.
Pros of Outsourcing
While the advantages of outsourcing are noteworthy, it’s essential to be aware of the specific benefits to make an informed decision.
- Access to specialized expertise: Outsourcing equips your MSP with the ability to tap into professionals with niche skills, particularly crucial when navigating the complexities of niche technologies or fulfilling specific client demands. This infusion of specialized knowledge ensures you can deliver tailored solutions that meet the unique requirements of your clientele.
- Scalability for varied client needs: The dynamic nature of MSP services often entails fluctuating client demands. Outsourcing provides a scalable solution that aligns seamlessly with these variations. Your MSP can swiftly scale their operations up or down based on project requirements, ensuring that the right level of expertise is deployed precisely when and where it’s needed. This agility in scalability can enhance service delivery efficiency, allowing your MSP to optimize your resources in response to evolving client needs.
- Cost-effective solutions: Cost efficiency stands as a cornerstone benefit for MSPs embracing outsourcing. The financial advantages extend beyond direct cost savings associated with recruitment, training and infrastructure. By leveraging outsourced talent, your MSP can establish a more agile and financially efficient operational model. This, in turn, empowers your business to allocate resources strategically, focusing on core competencies and maximizing the overall value delivered to clients.
Cons of Outsourcing
While the advantages are noteworthy, it’s equally important to understand the potential challenges associated with outsourcing engineering tasks. When you understand the challenges, you put yourself in a position to overcome them.
- Communication barriers: Differences in time zones, languages and communication styles can pose challenges when working with an outsourced team. Effective communication becomes crucial to ensuring project success.
- Dependency on external partners: Relying on external partners means placing a certain level of dependency on their performance. If the outsourcing partner encounters issues, it can directly impact the progress and quality of the project.
- Security concerns: Sharing sensitive data with external parties can raise security concerns. Your MSP must implement robust data protection measures and ensure that the outsourcing partner adheres to strict security protocols.
- Cultural differences: Cultural differences can lead to misunderstandings and misinterpretations. It’s essential to foster cultural awareness and establish clear communication channels to overcome potential challenges.
Co-Managed Engineering Talent
Recognizing the need for a middle ground between outsourcing and hiring internally, the concept of co-managed engineering talent is gaining traction. Co-management of talent involves collaborating with external engineering teams while maintaining a level of internal oversight and control.
- Shared responsibility: Co-managed engineering teams operate as an extension of the internal team, sharing responsibilities and working collaboratively on projects. This model combines the benefits of outsourcing, such as access to specialized skills, with the control and oversight that come with internal hires.
- Strategic alignment: In a co-managed setup, the external team aligns its processes, goals, and methodologies with the internal team. This ensures that both parties work towards common objectives, fostering a sense of unity and shared purpose.
- Enhanced communication: To address communication challenges associated with outsourcing, co-managed teams prioritize transparent and effective communication. Regular meetings, project updates, and collaboration tools help bridge the gap between internal and external team members.
- Flexibility and scalability: Co-managed engineering talent offers the flexibility to scale the team based on project requirements. This approach combines the adaptability of outsourcing with the stability of internal hires, providing companies with a dynamic and scalable solution.
IT By Design: Your Source for Co-Managed and Highly Skilled Talent
We understand that it’s daunting to find the time and resources to identify, train and onboard new talent swiftly when client needs arise. It can often leave your support teams burdened and stressed, risking underserved customers and the potential loss of both clients and valuable team members. Hence, it’s evident that you need a cost-effective and sustainable solution for consistent customer support, aiming to break free from the cycle of scrambling during periods of increased demand and refocus on core strengths.
Hire highly skilled outsourced talent from our global pool of MSP-trained and ready-to-go IT engineers, based in India and the Philippines. Our engineers are fully trained in the skills your MSP needs, from customer service to the MSP business model and your tech stack. Combining technical training with emphasis on the service mindset that defines best-in-class MSPs, IT By Design’s MSP-Dedicated Engineers are the premier talent solution for the channel
Most importantly, our co-management approach stands as a cornerstone of our service offerings, distinguishing us in the competitive landscape. We assign a dedicated service manager to work closely with your MSP. This service manager’s role is to ensure that your engineer seamlessly aligns with your specific requirements. They act as a point of contact, facilitating ongoing communication and support to guarantee that the engineer’s performance continually matches your expectations.
In short, the fact that we co-manage them can reduce the administrative burden on your team, relative to hiring internally or even outsourcing with another company.
Talk to us today about your MSP’s talent needs and let us tell you how you can hire talent fully capable of fulfilling your clients today and in the future.
