- Written by David Callman - Team Lead MSP
- Connect with David on LinkedIn
Maintaining an internal IT team or outsourcing your IT to a managed service provider (MSP) is a strategic business decision as the right choice affects cost, control, risk, agility, and alignment with your business growth.
Understanding the key differences between in house IT and managed service providers
Businesses with an in house IT team directly employ IT staff and are responsible for the full spectrum of IT services, including maintenance, user support, infrastructure, and strategic planning. They are embedded in the business and understand its culture, priorities, and processes.
Whereas a managed service provider, on the other hand, is a third-party specialist provider that is contracted to deliver a range of outsourced IT services under a fixed monthly agreement. These services often include proactive monitoring, maintenance, help-desk support, infrastructure management, cybersecurity, and strategic IT advisory.
Choosing the right IT support model for your business
Choosing between in-house and outsourced IT support depends on several factors. Businesses that require high levels of control, have specialised internal systems, and sufficient budget may benefit from an internal team. In-house IT offers full control, direct alignment with your business culture, and faster responsiveness, but it comes with higher fixed costs which are often unpredictable and limited expertise, especially in niche areas like cybersecurity or compliance.
On the other hand, businesses that are growing rapidly, face skill shortages, and want to make their IT expenditure cost effective or want to shift IT from a capital expenditure to an operational model often find managed services more suitable. An MSP offers broader expertise, lower and more predictable costs, and greater scalability. For flexibility, cost-efficiency, and breadth of support, MSPs tend to win.
A comparison of in house IT and MSP IT support services
| Factor | In house IT | Managed IT / MSP |
|---|---|---|
| Control & customisation | You retain full direct control of systems, processes, culture. Deep business integration. | You’re dependent on the MSP’s processes, which is potentially less tailored. But you’ll be able to do more with less. |
| Cost & overhead | Higher fixed cost: salaries, benefits, training, infrastructure. | You’ll benefit from a predictable monthly fee, access to wider team, and a lower “per‐unit” cost especially for smaller businesses. |
| Expertise & skill breadth | You build internal expertise, but might struggle to cover all areas (cloud, security, compliance) especially if team is small. | MSPs bring specialist skills, tools and 24/7 monitoring/maintenance that a small internal team may not be able to afford or sustain. |
| Scalability & flexibility | Scaling means hiring, training, increased infrastructure. This can be slow and expensive. | It’s easier to scale up/down with an MSP. You can take on services when needed, drop when not. MSP services are scalable. |
| Responsiveness & culture fit | Team is internal and understands business culture, immediate access. This is good for fast iterative support. | Response times can be slightly slower due to queuing or less “instant” access. Check SLAs before you sign. |
| Risk, compliance & vendor management | You keep control of data, security and compliance directly. Which is good for highly regulated industries. | MSPs often have mature tools and processes for security, backups, disaster recovery, yet you trade off some control. |
Is a hybrid model the best option?
A hybrid model is increasingly favoured by businesses that want to balance control with flexibility. It keeps strategic IT functions in-house, such as planning, system architecture, or compliance oversight, while outsourcing operational or specialist tasks to a managed service provider. This co-managed IT approach gives you access to external expertise and scalable support without losing internal knowledge or responsiveness where it matters most.
The strength of a hybrid model is its adaptability. As your business evolves, you can adjust the split, scaling outsourced IT services up during busy periods or pulling more in-house when internal capacity grows. It also reduces reliance on any single team or vendor. While it does require clear governance and coordination, a well-managed hybrid setup can deliver stability, agility, and long-term value.
Preparing to shift from internal IT support to outsourced
If your business is planning to shift from in-house IT to a managed service provider, or move towards a hybrid setup, it is important to prepare for the transition itself. These changes can be disruptive if not carefully managed. Typical issues include unclear handovers and mismatched expectations.
My advice would be that where possible, take a phased approach. For example, start by outsourcing help-desk support or specific infrastructure components while retaining strategic roles in-house. Avoid cutting internal capacity too early and make sure knowledge transfer is properly documented. And, agree clear responsibilities and timelines upfront and build in a review period to assess whether the new arrangement is delivering what was promised.
What to look for in an managed service provider?
If you decide to work with an MSP, choosing the right provider is critical. Many offer similar services on paper, but what matters is how well they operate in practice.
Here are a few key factors to consider:
- Service level agreements (SLAs): Confirm their guaranteed response and resolution times, and whether support is available around the clock.
- Security standards: Look for evidence of recognised certifications such as ISO 27001 or Cyber Essentials.
- Sector experience: Choose a provider familiar with your industry’s systems, workflows, and compliance requirements.
- Visibility and reporting: Ensure you will have access to performance data, system logs, and regular reporting.
- Cultural fit: Make sure their ways of working align with your team and business expectations.
It is worth asking detailed questions at the start to avoid problems later. The best providers will act as a strategic long term partner, not just a service desk.
Align your support with your business goals
There’s no one-size-fits-all answer when it comes to IT support. Each business must assess its needs, resources, and growth trajectory to determine the most appropriate support model. Whether you choose in-house, outsourced IT support, or co-managed IT support approach, the key is to align your IT function with your broader business goals and ensure it remains an enabler of growth, resilience, and innovation. Managed IT support offers a whole host of business benefits and we support many UK businesses with this service.
Get in touch to speak directly with one of our consultants to discuss our managed IT support services, we would love the opportunity to share some case studies with you.
