A Detailed Analysis of the Cost of Outsourcing IT Services
Outsourcing IT services has become a strategic move. This is especially true for businesses that want to optimize operations and reduce costs. For businesses operating in or targeting the UAE market, knowing the cost of outsourcing IT services is crucial.
Because of the UAE’s robust business environment and technological advancements, there is a wide range of IT outsourcing options available.
IT companies offer a comprehensive selection of services. Each of these services is tailored to the specific needs of the client. There is also enough room to customize the services to fit one’s budget and requirements.
Cost may be one of the critical factors determining the cost of outsourcing IT services for most businesses. Let us find out the average cost in the UAE and everything else associated with it.
The Average Cost of Outsourcing IT Services in the UAE
There is no set outsource IT services cost in the UAE. The charges may vary based on:
- The type of services required
- The charges of the vendor
- The complexity of the business’s IT needs
In general, the average cost of outsourcing IT services for small businesses is around AED 200 to AED 800 per hour. For bigger corporations, the rates typically range between AED 500 and 800 per hour. Below is a comprehensive overview of the average costs for each service category:
| Type of Service | Average Cost (AED) |
|---|---|
| Managed IT Services | 2,000 – 10,000/month |
| Hourly IT Support | 300 – 800/hour |
| Cybersecurity Services | 5,000 – 25,000/month |
| Cloud Management | 3,000 – 15,000/month |
| IT Infrastructure Consulting | 15,000 – 50,000/project |
| Project-Based IT Services | 20,000 – 100,000+ (one-time) |
Want to know what the different types of IT outsourcing options may cost? Here’s a detailed overview:
Managed IT Services:
There are several types of managed IT services. However, they all share the same concept. They help businesses shift the internal responsibilities of IT maintenance to a third-party provider. It typically includes:
- Network management
- IT infrastructure support
- Ongoing maintenance
In the UAE, managed IT services may cost anywhere between AED 2,000 to AED 10,000 per month. The scope of services and the size of operations determine the pricing.
Hourly IT Support:
The outsource IT services cost for hourly support tends to be lower than full-time support. The hourly rates may vary widely from one vendor to another. However, it averages around AED 300 to AED 800 per hour.
The complexity of the issue determines the hourly rate. Typically, specialized services like advanced troubleshooting and server support command higher rates.
Project-based IT Services
Need help with cloud migrations, system upgrades, software implementation, or some other IT-related task? You can outsource for specific projects as well!
In such cases, the outsourced IT pricing can be around AED 20,000 to AED 100,000. However, depending on the technical complexity and timeline of the project, it can cost more.
Specialized IT Services
Services like cybersecurity and disaster recovery planning fall under the more complex category. That’s why they tend to have a more premium pricing.
Outsourcing cybersecurity-related tasks can cost around AED 5,000 per month. However, in the case of more advanced protection and monitoring, the charges can go upwards of AED 25,000 per month.
Want to budget effectively for the IT department? You must know the average cost of outsourcing! When it comes to managing business expenses, outsourcing is certainly the smart choice.
Factors That Influence the Cost of Outsourcing IT Services
Several factors can impact the cost of outsourcing IT services. These considerations often differ from one business to another. Having a clear understanding of these can help a business make informed decisions. With this knowledge, they can also tailor the outsourcing strategy and optimize costs.
Type and Scope of Services
The range of services required has a significant impact on the pricing.
Basic services like desktop support and monitoring are generally affordable. Specialized services like cloud solutions and cybersecurity, however, cost a lot more.
Comprehensive managed IT services tend to come at premium pricing, especially if they cover end-to-end IT management.
Level of Expertise and Specialization
What is the level of expertise required for the specific tasks? If it requires specialized expertise, the cost will naturally be high.
For instance, cybersecurity specialists with global certifications like CISSP or CISM command higher rates than general IT technicians.
Make sure to take this into consideration when hiring IT support outsourcing services. Vendors with a highly skilled team will charge more.
Vendor Location and Reputation
Where is the vendor located? The geographical location makes a huge impact on pricing. So does the reputation of the vendor.
In the UAE, established vendors with a proven track record tend to charge higher. Also, the average cost of IT outsourcing Dubai is higher than any other city.
However, for businesses located in North America or Europe, outsourcing to these firms may be cheaper. International vendors, especially those in Asia, often offer affordable rates.
Service Level Agreements (SLAs)
Well-defined SLAs are crucial when outsourcing IT services. A standard SLA covers everything like the
- Scope
- Response time
- Performance standard
A comprehensive SLA with fast response time usually comes at a higher price tag.
Customization and Integration Requirements
Want customized solutions to meet the specific demands of your business? It may cost you more!
IT solution providers in Dubai offer various customization options to tailor their services. With it, they allow businesses to integrate new solutions with existing systems.
While this makes for more comprehensive support, it also adds to the pricing.
An in-depth understanding of the various factors can help you budget appropriately. Start analyzing your requirements and the vendor’s services to guesstimate the pricing.
Opt for Established Vendors When Outsourcing IT Services
So, your business cannot afford to maintain an in-house IT team? Worry not! Outsourcing IT services is a cost-effective solution.
It can simplify a broad range of complex problems, from optimizing operations to accessing expert support.
However, its success depends entirely on which IT firm you choose. A competent team like the one you will find at Samtech can significantly strengthen your IT infrastructure.
