Managed IT Services vs. In-House IT: Which is Right for Your Business?

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Are you considering outsourcing managed IT services or hiring an in-house IT team? The decision can be a critical factor in the success of your business and should not be taken lightly. On one hand, outsourcing may sound easier than building an internal team. On the other, having control over such important operations is reassuring. This article explains the pros and cons of each as explained by Computerbilities, Inc.

According to a report by MarketsAndMarkets, the global managed services market is expected to reach USD 354.8 billion by 2026. This is no surprise as businesses continue to outsource their IT services and focus on core operations.

However, In-house IT teams are not going away anytime soon. Having an internal IT team has its advantages. So, let’s compare the two.

Managed IT Services

A Managed IT Service is an outsourced IT service provided by a third-party provider that assumes responsibility for providing IT services for their clients on agreed terms. It is a contract-based service agreement for IT services, such as support and maintenance.

In-House IT 

On the other hand, an in-house IT team is a dedicated internal resource for IT services. You can hire a team to manage your technology infrastructure and provide technical support.

Now that you understand the basics let’s look at the pros and cons of each.

Managed IT Services Advantages

Here are some advantages of Managed IT Services:

Cost Savings

Despite seeming expensive upfront, managed services can be cheaper in the long run. Outsourcing managed services can save costs associated with hiring and training IT personnel. Thus reducing the cost of providing IT services. With an MSP (Managed Service Provider), you only pay for your needed services.

Accessible Expertise

When you pay for a managed IT service package, you’ll get a turnkey solution. You’ll have the opportunity to access a pool of experts with varying technical expertise that you would take time to build internally.


A key upside of outsourcing managed services is that you can access services and resources anytime, day or night. This is because many MSPs provide 24/7 support and monitoring. This is unlike having an In-house IT team, where your IT technician may be on sick leave or vacation.

Managed IT Services Disadvantages

Now let’s look at some of the drawbacks:


One of the biggest downsides of outsourcing managed services is the remote, hands-off approach. Despite having access to experts, communication can be limited due to the distance. So, for businesses that want to be involved in day-to-day operations, managed IT services may not be the best option.

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In-House IT Advantages

Here are the contrasting advantages of having an In-house IT team:


Building your own IT team from scratch allows you to tailor the technology solutions to suit your business’s needs. Moreover, with an in-house IT team, the service delivery has a personal touch as you can directly communicate with the IT technicians.


For companies that want to be involved with the day-to-day operations, having an in-house IT team offers the best option. You have direct control over the processes as you would oversee, manage and review their activities.

In-House IT Disadvantages

Now let’s look at some of the drawbacks:


Building your own IT team can be costly. From the cost of salaries and benefits to the training of personnel, it can be an expensive undertaking. Besides the direct costs associated with employees, you’ll also need to factor in purchasing hardware, software, and other tools that your IT team may need. Find out the benefits of installing an Access Control System.


Despite an in-house IT team being present, issues like sick leaves and vacations can affect service delivery. Also, your team may lack the skill set to handle complex tasks.

With this information, you can now decide which of the two IT models is best suited for your business.

There is no one-size-fits-all answer when deciding between managed IT services and an in-house IT team. The decision should be based on the needs of your business, including budgeting, operational capabilities, and desired level of control. It is important to weigh both the pros and cons of each option before settling on a final choice. Ultimately, you have to select the model that best meets your company’s goals while still being cost-effective. By considering all these factors, you can make the right decision for your company’s unique IT needs. 

Emma Garcia is an expert researcher and writer with a passion for exploring new technologies and their potential to improve people's lifestyles. With a degree in computer science and a gift for making complex ideas accessible, she provides her readers with valuable information and practical tips for incorporating technology into their daily lives. She is committed to providing unbiased information and is a trusted source for anyone looking to make informed decisions about the technology they use. Ultimately, Emma Garcia aims to empower her readers to make the most of the technology available to them and improve their lives in the process.