{"id":50132,"date":"2023-04-07T08:15:09","date_gmt":"2023-04-07T12:15:09","guid":{"rendered":"http:\/\/insiit.scdconsultingservices.com\/?p=50132"},"modified":"2023-04-07T08:15:09","modified_gmt":"2023-04-07T12:15:09","slug":"msp-outsourcing-dangers","status":"publish","type":"post","link":"https:\/\/insi.net\/insi-articles\/msp-outsourcing-dangers\/","title":{"rendered":"Does Your MSPs Outsource To Other Countries?"},"content":{"rendered":"

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It is no secret in the IT support industry that many Managed Service Providers (MSPs) outsource their work offshore to make more profit. However, this way of doing business could significantly impact your efficiency and time. <\/span><\/h4>\n

We all have had outsourcing nightmares, such as language barriers, multiple transfers, disconnects, and repetitive conversations, until you finally find someone to address your issues. Yet, it is even more frustrating to find out that your MSP is also outsourcing your work overseas and making a killing on profits while you suffer subpar service.<\/span><\/h4>\n

Why Do Some Managed Service Providers (MSPs) Outsource Your Work?<\/strong><\/h2>\n

Money! It\u2019s really that simple. In the book \u201cInfinite Scale\u201d the author details how the average engineer costs him $65K per year, and he only gets 65% billable time out of him. He reasons that he could make a much bigger profit outsourcing offshore. And that is how many outsourcers think. However, outsourcing the work to India, Columbia, or many other countries can cost as little as $6 per hour for programming or IT support work. Still, they charge their clients $150 per hour. That is an incredible profit margin.\u00a0<\/span><\/p>\n

MSPs who outsource overseas sacrifice quality for the almighty dollar, especially when the service is customer-facing. However, this is also true when the MSPs have their internal engineers work with the outsourcers. They also experience communication barriers, and you end up with subpar work.<\/span><\/p>\n

However, technological stagnation is the real danger for MSPs using overseas outsourcers. Other countries do not have the same advancements as the United States, which can create a massive financial risk to your business.<\/p>\n

Legal Disputes with Outsourcing Your Work Overseas<\/strong><\/h2>\n

Do other countries abide by US laws or their own? It is challenging to hold offshore companies accountable. And you are at risk if you have access to government-regulated information, client domains, intellectual software code, enterprise clients, network passwords, etc. Therefore, asking if your MSP is using an offshore company to do any<\/strong><\/em> of your IT work is especially important.<\/p>\n

The Problem for America!<\/strong><\/h2>\n

Outsourcing overseas hurts our economy. We are all part of the supply chain, and it is essential to hire locally. We all know that Americans have to make money to spend money. So why send our money overseas?<\/p>\n

In the same way, why would you want to work with a company that outsources overseas if you<\/strong><\/em> don\u2019t get the cost savings? Why risk all the legal implications with offshore services and receive subpar services? Instead, use a company that only hires locally and supports your community. You will have better communications and better service. In addition, you will be able to verify their work quality with other local companies.<\/p>\n

INSI ONLY Hires Atlanta-Metro Engineers<\/strong><\/h2>\n

INSI supports our local community by hiring Atlanta Metro engineers, partnering with Atlanta Metro companies, and giving back to the local community. Most important, we do not outsource any engineering work overseas.<\/p>\n<\/div>\n

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About INSI: The Best MSP in Atlanta!<\/h3>\n

Innovative Network Systems, Inc. has a unique approach to integrating IT support<\/a> and cybersecurity<\/a>. Our month-to-month programs range from basic support to proactive support, managed support, and customized support. Each program is tailored to the client’s needs and internal IT strengths.\u00a0\u00a0<\/p>\n

For more information about cybersecurity dangers and the preventative measures for your company, connect with the top MSP in Atlanta; Contact INSI: 770-387-2424, option 2 or click the link below. In addition, we offer 16 different cybersecurity programs<\/a>\u00a0to protect you and your data.<\/p>\n

About the Author<\/span><\/h3>\n

Deborah Frazier<\/a>\u00a0is the author of\u00a0IT Outsourcing Secrets \u2013 A Small Business Guide to Compare IT Support Companies.<\/em><\/strong> With nearly 20 years of experience consulting small and medium-sized businesses on their IT support needs, she brings a wealth of knowledge to INSI as Head of Marketing and Sales. If you like this article and want to get notified when a new article is posted, click here<\/a>.<\/p>\n

To make an appointment for more information about INSI and our Marietta and Atlanta metro IT Support services, click here<\/a>.<\/p>\n

 <\/p>\n

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It is no secret in the IT support industry that many Managed Service Providers (MSPs) outsource their work offshore to make more profit. However, this way of doing business could significantly impact your efficiency and time. We all have had outsourcing nightmares, such as language barriers, multiple transfers, disconnects, and repetitive conversations, until you finally […]<\/p>\n","protected":false},"author":3,"featured_media":57109,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_et_pb_use_builder":"on","_et_pb_old_content":"

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MSP Outsourcing Client Work<\/h2>\nMSP outsourcing has it's dangers. We have all had outsourcing nightmares.\u00a0 In fact, time has shown that the word \u201coutsourcing\u201d has a negative connotation.\u00a0 More than likely, certain instances come to mind as you read this article.\u00a0 For example, many times you couldn\u2019t understand the representative on the phone.\u00a0 Or the times you have been transferred over and over again, each time having to repeat yourself, only to be disconnected.\u00a0 Does all that sound familiar?\u00a0 Yet, it is even more frustrating to find out that the company you outsource with is also outsourcing your work overseas.\n

Why Do MSP\u2019s Outsource\u00a0 Your Work?<\/h2>\nMSPs outsource your work offshore to make more money.\u00a0 It\u2019s really that simple. In the book \u201cInfinite Scale\u201d the author goes into great detail about how the average engineer costs him $65K per year and he only gets 65% billable time out of him.\u00a0 He reasons that he could make a much bigger profit outsourcing offshore.\u00a0 And that is how many outsourcer\u2019s think.\n\nThere are a number of problems with this mentality.\u00a0 First, the cost savings are generally not passed on to you.\u00a0 For example, I know of one company that pays an offshore outsourcer in Columbia $6 an hour for project work, and yet they still charge their clients $150 an hour.\u00a0 Yikes!\u00a0 Now that is a good profit margin\u2026.that you never benefit from!\n\nSecond, they sacrifice quality for the almighty dollar.\u00a0 This is especially true when the offshore outsourcer is customer-facing.\u00a0 Hence, the example is first given in this article.\u00a0 However, it is also true when it is only the Outsourcers engineers who talk to them.\u00a0 Understandably, this is due to communication barriers, which makes it difficult for offshore engineers to understand the requirements.\u00a0 In the end, you get subpar work.\n\nThird, technological advancement in other countries is not equal to the United States.\u00a0 Weaknesses in IP security can not only be dangerous and a massive financial risk, but also impact the speed of business processes.\n

The Biggest Issues with Your MSP Outsourcing Your Work Is\u2026\u2026<\/h2>\nLegal disputes.\u00a0 Clearly, other countries abide by different laws and rules.\u00a0 For this reason, it is difficult to hold the offshore companies accountable.\u00a0 Understandably, this can pose a huge problem if they are given access to client domains, intellectual software code, network passwords, etc.\u00a0 Therefore, it is especially important to ask if your MSP is using an offshore company to do any<\/strong><\/em> of your IT work.\n

The Problem for America!<\/h2>\nI am actually writing this article at home during the Coronavirus shutdown.\u00a0 Today, nearly 30 Million people have lost their jobs because of this epidemic.\u00a0 That\u2019s why I believe, now more than ever, it is important to hire locally.\u00a0 Clearly, we are all part of the supply chain.\u00a0 Americans have to make money to spend money.\u00a0 So why send our money overseas?\n\nIn the same way, why would you want to work with a company that outsources overseas if you<\/strong><\/em> don\u2019t get the cost savings?\u00a0 Further, why risk all the legal implications with offshore services and receive subpar services?\u00a0\u00a0Instead, use a company that only hires locally and supports your community.\u00a0 You will have better communications and better service.\u00a0 In addition, you will be able to verify their work quality with other local companies.\n

INSI ONLY Hires Atlanta-Metro Engineers<\/h2>\nINSI supports our local community by hiring Atlanta Metro engineers, partnering with Atlanta-Metro companies, and giving back to the local community.\u00a0 Most important, we do not outsource any engineering work overseas.\n

Do You Want To Learn More About IT Outsourcing and What to Watch Out For?<\/strong><\/h2>\nGo\u00a0here\u00a0to see the various types of IT support, their pros and cons, and great questions to ask the provider on each one.\n\nIn addition, if you would like to know more about this topic and how it affects you, visit\u00a0Amazon\u00a0or\u00a0Barnes & Noble\u00a0for a copy of the book\u00a0IT Outsourcing Secrets \u2013 A Small Business Guide to Comparing IT Support Companies.<\/em><\/strong>\n\n<\/div>","_et_gb_content_width":"","footnotes":""},"categories":[18,65],"tags":[37,38,31,49,60,50,51,52,53,43,21,24,25,56,44,55],"yoast_head":"\nDoes Your MSPs Outsourcing Their Work Offshore?<\/title>\n<meta name=\"description\" content=\"If your MSP Outsources its work offshore, you are paying a lot for substandard service. Find out how you can know for sure.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/insi.net\/insi-articles\/msp-outsourcing-dangers\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Does Your MSPs Outsourcing Their Work Offshore?\" \/>\n<meta property=\"og:description\" content=\"If your MSP Outsources its work offshore, you are paying a lot for substandard service. 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