If you’re a non-techie who has been left to look after the IT department of your workplace, you may be wondering exactly how your IT provider stacks up in comparison to the industry standards of others in the country.
The following review will give you a break down of the industry standards across four categories: client satisfaction, service deliverability, IT spend and managed services cost.
1. Client Satisfaction
In August 2015, Client Heartbeat surveyed the clients of Australian IT providers to determine how happy they were with their IT provider. The survey asked clients to rate their IT provider on a scale of 1 to 10 across 5 areas: promptness, accuracy, partnership, advice and overall performance.
Here are their findings:
2. Service Deliverability
Pink Elephant (the company who initiated this survey) collects, analyses and presents IT management metrics benchmarks. Between 2010 and 2012 a survey was taken by IT managers across the globe to measure the standards for incident, problem and change-management metrics.
Here are some of the standout findings:
The report found that the number of incidents an organisation experiences is influenced by the organisation’s size, number of users and the number of years that the company has had an incident management practice in place. The numbers below represent an average of the total incidents per month during the survey period unless otherwise indicated.
First contact resolution: 74%
Incident maximum priority: 6%
Incident resolution within expected interval: 82%
Problems with known errors: 48.8%
Problems Assigned Highest Priority: 8%
Problem / known error age at closure: 4.4 months (average of entire survey period)
Problems without known errors: 42%
Requests for change with no issues: 87%
Requests for change / right the first time: 90%
Among the several interesting metrics is an average 90% Change Executed Right First Time (no rollback or cancelation, and as scheduled). This appears to indicate that 10% of all Changes fail in at least 1 of the 3 ways, which is quite a disappointing benchmark.
3. IT Spend
According to research compiled by software security company Trend Micro, Australian small businesses spend an average of $52,100 per year on IT related expenses.
In the last year, small businesses with between five and 25 employees spent an average of $25,200 per year, while businesses with between 26 and 50 staff spent $20,600 and businesses with 51 to 100 employees spent, on average, $77,300 on IT.
The survey of 300 businesses found the way in which IT was managed across a business depended heavily on the size of the business, with smaller businesses more likely to manage IT simply on an ad hoc basis, and those with more employees more likely to have dedicated IT support.
Nearly one quarter of businesses surveyed said they had external technology consultants and channel partners provide their IT support, a figure much larger than other countries around the world.
Mark Sinclair, head of small and medium business at Trend Micro, said if small business owners have to manage IT themselves it can lead to inefficiencies and increased security incidents.
As a rule of thumb, if you’re spending less than 5% on IT, you should consider how important it is to your organisation’s success and how you can increase spending to at least 5% to take advantage of tools and services that will help you operate more efficiently.
4. Managed Services Cost
Kaseya surveyed 700 managed IT service providers to determine a few industry standards for pricing. Here’s what they found (in AUD):
Average hourly rate: $92 (level 1), $120 (level 2), $171 (level 3)
Average desktop support and maintenance charge: $51-65
Average server support and maintenance charge: $160-195
Average billing fee per user: 39% charge, between $65-130 per user
Average size of managed service contract: between $1300-6500
These industry standards should be referred when reviewing your current IT provider. Consider, are they meeting your business needs at a reasonable cost?
If you would like to speak with us about how we can effectively and efficiently manage your businesses IT, contact the eStorm office today.