IT support for the smaller business is can be a management headache, but help is at hand
In the BBC sitcom The IT Crowd, tech support geek Roy lurks in the basement and answers the phone by snarling: 'Have you tried turning it off and back on again?' It's funny on TV, but if that's the kind of IT support you get in your business, you're probably not laughing.
Many smaller businesses rely on a tech-minded member of staff or a local one-man-band IT technician to help out with their IT requirements. This can work for day-to-day issues like changing a printer cartridge or applying a software upgrade, but can be woefully inadequate when a business has an IT system failure.
Although the temptation may be there to approach IT on a 'break / fix' basis, the upheaval to your business that can occur when your computers fail not to mention the hourly rates of a service technician could end up costing you more than would a preventative IT approach. 'If you're a 10-person accounting firm that bills $150.00 to $200.00 per hour, then $2000 an hour is what that down time is costing you,' says Peter Lowe of The Cavalry, an IT support provider.
What is the first step?
Whether your business has one computer or 20, the decision to seek outside IT help requires some thought before you pick up a phone and call a service provider.
The first step should be an internal audit of what your current IT needs are and what you have in the way of computer equipment and capacity. Even if you're not a technical expert, a list of what you need and what equipment you have will help, says Lisa Harvey, CEO of IT consulting and services firm Energetica. 'This way you're not approaching an IT consultant feeling completely lost,' she says.
Get some advice
'Small businesses can find it extremely difficult to get IT advice and support relevant to their business size,' says Sara Sause, founder of IT consultancy Technology Choices. 'Make sure the service provider you engage has experience dealing with businesses of a similar size to yours.'
Energetica's Harvey advises thinking about the kind of strategic and business advice a business will need. 'If you're growing your revenue and your client base, you need strategic advice on how your IT can be flexible to grow with your business,' she says. 'Your little client database may not be suitable once you have 4000 clients on your books.'
Form a strategy
To get the most out of your IT system, you need to think about how it meets your business needs, says The Cavalry's Lowe. Finding out the about the clients' businesses helps his IT consultants find a 'common goal' with their clients, and build an IT plan from there, he says.
'We have a 200-point audit we go through with a prospective client before we engage,' says Lowe. This covers things like how quickly you need your systems back up in event of a disaster, as well as whether there are any regulatory requirements you need to fulfil.
'When you engage an IT service provider, they should undertake an audit which looks at what IT you have, including looking at your current software and licensing arrangements,' Energetica's Harvey says. 'Most organisations either have too few or too many licenses.' It should also cover any existing service and support agreements you have, including warranties.
Take care of security
No matter how small your IT system, you have must security in place to ensure that your valuable business data is protected. This includes making sure that system passwords, directories and files are secure and that any backups are functioning and adequate.
Any connection to the internet must be secured from viruses and other 'malware' using products such as internet firewalls and anti-virus software. A lot of the problems that can cause IT systems to break down, such as computer viruses, are avoidable through regular maintenance. Your service provider should be able to provide a regular security update, or at the very least, set up security procedures for staff to follow.
Disaster recovery
Many business owners don't realise what a difficult and time-consuming task it can be to get their computer systems back after a failure, says Peter Philipp, director of IT service provider TechOnline. He says setting up a server usually takes one to two days after such an incident.
When deciding on the kind of IT support you need, you need to think about how long you're prepared to be without your IT system in case of a system failure. 'Some businesses might lose thousands of dollars a day if their systems are offline,' says Energetica's Harvey.
If you need a provider who can respond quickly in a crisis, rather than one who has you last on their client list, you will need to pay for that availability.
How much should i spend?
Your IT budget may be up to 25 per cent of your operations costs, says Sause. 'Try to buy as high [a] quality equipment ... as you can afford,' she says, warning that cost cutting with cheaper equipment or ad hoc installations will not save you money in the long run. 'The support costs,' she says, 'will eat you up.'
Energetica prefers its clients to choose name-brand computers and servers. 'I absolutely recommend that every piece of hardware you buy is covered by a three-year warranty,' Harvey says.
What kind of IT service is appropriate for you?
The level of IT support you need will depend on what kind of business you have, how complex your existing IT system is, and what kind of IT skills you have on staff. Generally speaking, an IT consultancy will be able to tailor IT support to your business, whereas managed service providers generally offer service packages for you to choose from.
If you expect that most of your computer problems can be solved via a phone call or email, you could look at a remote service offering. This is an entry-level option, although you'll need to pay extra if you need someone to come onsite to fix a problem.
Advise-IT offers a business advisory service, which founder Farai Savahu says gives small business owners the benefit of an onsite IT manager, without the cost. Customers who take up a subscription will pay from $400.00 for three months, which buys them unlimited web, phone and email advice. The adviser will also source local service providers for onsite work such as installations, repairs and tuition, and you pay for those services on an as-needs basis.
Stepping up to a remote-managed service offering, TechOnline offers a subscription-based computer management service to businesses with 20 PCs or less. Using your internet connection, it delivers updates to your computer system overnight, including virus and spyware protection and backup of data. It offers a 24-hour, seven-day-a-week helpdesk and remote management, which logs into your network to fix problems as they occur. TechOnline's PC*Ensure service starts at $75.00 per month, with a set up fee of $225.00.
The Cavalry offers three levels of managed services, starting with remote support. Director Lowe says the company's clients typically choose a service level with an onsite component. Its top level of support includes a strategic IT manager who will provide you with a network update and recommendations at a monthly meeting. Its fee structure starts at about $800.00 per month for a 10-person office.
Lowe says the inclusion of unlimited support at every level of service guarantees clients that the consultants are dedicated to solving problems, rather than prolonging them to make more money from service fees.
He says a managed service offering is a way to get your IT spending under control. 'Every three to five years you will undergo a major capital expenditure on your IT,' he explains. 'This way you avoid the headaches of ad hoc solutions falling over, and you smooth out the cashflow over three to five years.'
Shopping around until you find a supplier who listens and understands your business is key to finding the IT support you need. 'One big fear businesses have is that they'll be ripped off by IT people, because they don't understand the technology,' says Energetica's Harvey. 'It comes back to building a relationship.
As that relationship develops you'll learn to speak each other's language.'
10 Questions you should know the answer to
Do you understand how dependent your business is on IT?
Do you know how long you can operate as a business without IT?
Are you confident that your data is secure?
Do you know if you are spending too little or too much on IT in your business?
Do you know if you are getting the maximum value from your existing IT investment?
Who is accountable for the business benefits of IT investment in your business?
Are your IT systems keeping abreast or ahead of your competition?
Will your IT systems support future business growth?
Is the level of IT service meeting the business' needs?
Do you have an inventory checklist of all your IT investments, both hardware and software?
(Source: CPA Australia's SME Guide)
Good reasons for using technology
To increase revenues
To lower costs
To increase productivity
To open up new lines of business and new markets, and extend geographic reach
To keep up with the competition
To add value to existing products and services
To get ahead of the competition
For finance and administration systems
For innovative purposes such as research and development.
(Source: CPA Australia's IT Checklist for Small Business)
