Skip links

Behind the Curtain: How Does an MSP Justify Spend on Hardware?

When downtime can cost up to $427 per minute, and the average employee loses 46 minutes a day on tech issues like slow, out-of-date hardware, knowing when and how to invest in hardware is critical for a company’s survival. But how do the most experienced pros do it? How does an MSP justify spend on hardware?

The analytical reasoning a Managed Service Provider (MSP) uses to justify spend on hardware saves money, keeps your business running at 100%, and helps you make the best decisions for your business.

So, let us take you behind the curtain.

How Does an MSP Justify Spend on Hardware? The Holistic and Proactive Approach

The best way to justify spend on IT hardware and infrastructure is not to do it reactively. The reactive approach to hardware management means you’re always a step behind. You don’t act until something breaks, and it’s time to fix it. This break-fix method of hardware management is a costly way to run a business.

It leaves businesses scrambling to fix the problem creating, you guessed it, downtime that harms service and outputs. The reactive approach can also make your company vulnerable to cyber attacks like ransomware

The ideal way to manage hardware is to dig the well before you’re thirsty. A holistic and proactive approach to IT infrastructure management puts your business a step ahead.

Proactive management includes continuous monitoring and support so that nothing breaks in the first place. It means having IT professionals who constantly analyze systems and identify potential bugs before they slow down workflows.

A good MSP helps small businesses in many ways, including a proactive approach to IT infrastructure budgeting. They will work with you to understand what kind of technology experience your organization needs.

Assessing your business’ hardware needs is the second part of the answer to, “How does an MSP justify spend on hardware?” More about that in the next section.

Getting it Right: What Hardware Does Your Business Need?

With the proactive approach to hardware management, an MSP will analyze the hardware your business needs to thrive for years.

For example, they’ll work with you to determine how uptime, user experience, security, and data storage are critical to your business. They will work to understand your organization’s budgetary constraints and find hardware solutions that fit your needs.

If your organization relies on phone and email for around-the-clock communication with clients and stores sensitive customer data, it’s easier to justify spending on critical infrastructures like firewalls, switches, data recovery and workstations.

If your organization is small, data storage requirements make the cloud a cost-effective option. But it’s critical to think about overall user experience. You will likely want to invest in updated, functional workstations for your team members, wireless access points and a strong internet connection. 

Of course, each business has its own set of unique needs and challenges. A great Managed IT service provider will use their experience to learn all of the ins and outs of your hardware needs to provide your unique answer to the question, “How does a managed service provider justify spend on hardware?”

It’s How Old? Assessing the Current State of Your IT Hardware

Once you’ve identified what type of environment best suits your organization, the next step is understanding your hardware’s current state. 

An audit of your systems will allow an MSP to evaluate the status of your equipment, systems, and applications to assess performance. The process makes sure your hardware is firing on all cylinders and properly protected. 

When you systematically assess your IT equipment, you can better see your hardware’s age and performance. From there, you can work out which equipment needs to be replaced. Then anticipate when it will need replacing.

An MSP can offer a comprehensive site analysis. This includes a needs audit complete with a cost analysis, and device utilization report.

Following a comprehensive audit, your MSP will help build a roadmap to achieving your desired future state environment.

But now you’re thinking, “What if I can’t do it all at once?”

Most organizations can’t. Your MSP will help identify what investments are business critical and what will have the most impact towards progressing to your desired future state. They can help you determine to allocate spending between the must-haves and the nice-to-haves.

Once you and your MSP determine your most business-critical hardware investments, the next step is to work with you to create a plan for equipment management.

How Does a Managed Service Provider Justify Spend on Hardware? Creating a Plan..

Equipment management involves planning what you need and figuring out when you need it. It involves sourcing the best possible options for your company with the top manufacturers.

Suppose your infrastructure plan indicates that in year 2, you will be upgrading X number of workstations. In that case, your MSP can start the search early and wait to find workstations that meet your specifications that are also on sale with the manufacturer. 

At different times in the year, manufacturers will discount their equipment without warning because a new model is coming out or because they have excess inventory. That’s when the MSP will act to save your organization money.

Pre-planning with your MSP doesn’t just save your company money. The proactive process also improves user experience, reduces downtime and helps you make informed decisions.  

So, going back to the original question, “How does an MSP justify spend on hardware?” The answer is a holistic and proactive process that includes understanding your business plan, requirements, and future goals.

In short, the best way to justify spend on IT hardware and infrastructure is to not have to. 

Now, on to the next question: Who will help you understand what IT environment you need to support your business?

We’re ready to help your business position itself to thrive now and in the future with expert infrastructure planning, so give us a call!

As you can see, there’s no wizard behind the curtain. Just a team of experienced professionals delivering top-notch transparent service.