The Hidden Risks of Relying on Independent IT Consultants

The Hidden Risks of Relying on Independent IT Consultants

In a recent conversation with a prospective client, I was curious about their current IT setup. The business owner explained, "We have an independent IT guy. He has a full-time job, but he helps us out during evenings and weekends."

When I inquired about the cost, he mentioned, "We pay him by the hour." I then asked who handles IT issues during business hours. His response was, "We handle them ourselves or wait until he can fix it." When questioned about technology planning, IT budgeting, and cybersecurity, he admitted, "We don't have any of that."

While this might be an extreme case, many businesses rely on independent IT consultants. For some, this might seem acceptable, but it's crucial to understand the risks and hidden costs associated with this approach.

Understanding 1st Party & 3rd Party Risks

If one of your employees clicks on a phishing email leading to a cyberattack, this is considered a 1st party risk. Your business insurance and cyber insurance can help cover your losses. However, when using a 3rd party, such as a software vendor, IT consultant, or Managed IT Provider, it becomes a 3rd party risk. Does your consultant have cyber insurance to protect themselves and professional liability insurance to protect you in case of their error?

The Importance of Big Picture IT Planning

With an independent IT consultant paid by the hour, you often miss out on comprehensive IT planning, like a regularly updated technology roadmap, IT budgeting, or cybersecurity recommendations. This may be because either you don't want to pay for these services, or your consultant doesn't offer them.

Hidden Costs and Risks to Consider

• Internal Staff Handling IT Tasks: When your IT consultant is unavailable, or you avoid paying for their time, your internal staff might handle IT issues themselves. This not only slows their work but also increases cybersecurity risks if they inadvertently cause an incident.
• Slow Response to IT Issues: If your IT consultant can't address critical issues promptly, your team may face productivity losses and potential revenue loss.
• Lack of Comprehensive IT Planning: Without proper planning, your IT systems could become inefficient, outdated, or vulnerable to severe cybersecurity risks.

Aligning Goals with a Managed IT Provider

The reality of an independent IT consultant working by the hour is that they benefit more when you have IT issues. Conversely, a Managed IT provider, acting as your Technology Success Partner, offers flat monthly billing for IT support. Their goal is to ensure your IT operations run smoothly, which means fewer IT issues for you and more efficiency and profitability for your business. This alignment means both you and your Technology Success Partner are working towards the same goal.

If you're interested in improving your IT results, let's schedule a complimentary Discovery Call. Visit www.bitxbit.com or call 877.860.5831 today!