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Why the Break-fix Model For IT Can Be Disastrous

If you’re currently operating under a break-fix model for your IT, you may be feeling a little defensive.  But there are reasons why break-fix isn’t the best solution.  Not the least of which is that you may be spending more money in the long run. 

Sure, your grandfather may have always said “If it ain’t broke, don’t fix it.”  But when it comes to your business, the Break-fix model for IT can be disastrous and costly.

So is there a happy medium between upgrading on a regular basis and only replacing hardware and software when you have no choice?

Breaking the Cycle of the Break-Fix Model for IT

We get it.  There are reasons behind why you think the break-fix model is working for you. 

Some things may have seemed important when your company was just starting out, but as you get bigger they simply get put on the back-burner.  Businesses may sometimes even change their model and service style after really fast growth and incorporate the break-fix model.  Sometimes you think you just don’t have the resources and you lean on the break-fix way.

Unfortunately, when break-fix includes your technology – computers, phones, servers, copiers and software – this can be a costly way to go.  There’s no built-in self-destruct date on these machines or programs.  But, just because you can use something doesn’t mean that you should.

Many of us have computers that we may have used for close to a decade.  But have you ever had a computer suddenly die on you?  Or have you ever needed a software upgrade, but realized your hardware couldn’t handle it?

These have happened to all of us at some point.  While it might be an inconvenience on a personal level, it can be devastating for a business to operate that way.  Equipment going down unexpectedly can mean a massive loss of productivity or worse, loss of precious data.

Despite this, many still choose to rely on replacing equipment only when it breaks.  This puts you at the mercy of whatever the items cost the moment you need it.  You might be able to find a sale, but more than likely, you’ll end up paying the full retail price.  If you choose to replace all equipment of a regular schedule, you can end up getting volume discounts.

Let’s use some general numbers here.  Suppose a workstation costs $1000 per employee.  If you have 25 employees that $25,000 to replace all the workstations.  If you buy everything at once, you’ll end up getting a volume discount.  In this case, we’ll go with a 20% discount.  That would be a savings of $5,000 to replace equipment that you would already have to replace anyway — or $5,000 wasted in purchasing one by one.

You would also have no idea how much you would be paying on a monthly or yearly basis if you replace one by one.  One month you could be paying $0 and the next $5,000.

Break-Fix is Not As Easy As It Sounds

Naturally, there’s a lot more involved in replacing equipment that signing a check.  For starters, when would you need to replace the hardware?  Where would you purchase it?  How are you going to negotiate the volume pricing?  What kind of equipment do you actually need?  How do you budget this out?  Who’s going to go to swap out the equipment?  What do you do with the old equipment once it’s replaced?

Needless to say, there’s a lot to do.  Your IT department or outsourced Managed Services Provider (MSP) typically handles these concerns.  If you don’t have either, you may want to rethink that.  Not only will your team be happier and more productive, it just doesn’t make financial sense not to have some sort of IT tech or service.

Spending Dollars Can Make Sense

As we’ve already mentioned, holding out to make purchases only when they’re absolutely necessary can end up costing you in the long run. It’s logical to make sure you have someone consistently addressing your IT needs before there are issues.

In our last blog post, we showed you how it makes the most financial sense to consider using an MSP over an in-house IT tech or team.  Beyond the factors of salary, insurance and other expenses related to that employee, you also have to consider how an MSP can save you money in different ways.

For example, you wouldn’t be their only customer.  This means that their purchasing power is much stronger, giving you better volume pricing.  you may only need 25 computers.  But that MSP might be purchasing 100 between you and their other customers, so they can negotiate a much better discount.

Also, a good MSP will replace all hardware and software not up to standard at the beginning of your contract. While this might seem like a financial shock at first, it saves you in the long run. If your MSP knows every single piece of your equipment, then future upgrades or repairs will be fast and within budget.

Another great advantage is being able to budget. Replacing your equipment only as it breaks can lead to extreme un-budgeted fluctuations in your IT expenses. When you hire an MSP, you know what you’ll be paying monthly and yearly.

Break Free from the Cycle

If you’re tired of being stuck in the same old break-fix cycle: contact us today!  We pride ourselves on helping our customers not only spend less by preparing for the future, but making sure there aren’t any gaps in productivity.  Our experienced staff will go over your current system in detail.  Then, they’ll create a comprehensive plan that makes sense for your business.  We’ll make sure that that the only cycle you’re involved with includes your success!

The Security of Your Business Is At Stake

This is the elephant in the room right now. Cyber threats are not only growing by the day, but they’re also changing. Being up to date is no longer an issue of merely updating your antivirus software.  Unfortunately, many of the attacks we see are the result of someone falling asleep at the wheel. Hackers are continuing to innovate new ways to get to their targets and cause damage.

There are two ways for IT professionals to make themselves useful in this regard.  One is to keep your software, hardware and network up to date.  But it’s also their job to educate your employees on ways to keep them from being the accidental cause of a data breach. This crisis prevention is one of the most important and proactive jobs for a successful IT professional.

The Truth About Your IT Needs

You may have noticed the number of duties in this article outside of fixing broken technology.  If it seems like way too much work for one person, that’s because it is.  To fulfill all of the responsibilities of a good IT professional, you would need to have multiple people with a variety of skill sets.  Of course, this adds to the expense of a department that’s supposed to help you keep costs down and simplify operations.

For this and other reasons, many companies turn to MSPs for their IT needs.  You have access to a team of professionals that have the expertise needed to do the job, but also have the time, opportunity, and personnel to stay up to date on the latest developments.

Do you find your business needing more assistance with your IT?  Have you thought wanting to budget for your IT needs accurately and get out of the break-fix model?  If the answer to these questions is yes, then contact us today to see how we can maximize efficiency while giving you one less headache to worry about.

 

 

Let Innergi help you set your business – and your employees – up for success. Call us at 321-275-5580 or send us a message here. We’ll be happy to talk to you further about office virtualization and how it can work for you.