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The Impact of IT Outsourcing on Law Firm Costs and Revenue
Blog //31-03-2023

The Impact of IT Outsourcing on Law Firm Costs and Revenue

by OneAdvanced PR, Author

Organisations are under increasing pressure to achieve more with tighter budgets and resources in order to stay competitive and gain advantage, and the same can be said for the legal sector.

In this blog, we'll explore how IT outsourcing can play a critical role in achieving these goals, the impact of IT outsourcing on law firms' costs and revenue, the benefits of outsourcing IT functions, and key considerations.

Cost savings
By outsourcing IT functions such as 24/7 support or cybersecurity to a Managed Service Provider (MSP), organisations can avoid the high costs associated with hiring in-house IT staff, such as salaries, benefits, and training.

An MSP can also help law firms to modernise their environment and leverage the power of cloud, transitioning to Opex costing models where you only pay for what you use and scale as required. If you select the right MSP, that can also ensure your IT environment is built on evergreen solutions, ensuring that your technology will stay efficient and future proofed.

Additionally, outsourcing IT functions can provide law firms with access to specialised expertise and technologies that may not be available in-house without large upfront investments.

Revenue generation
As well as saving costs, outsourcing IT functions can even help firms generate revenue.

An experienced MSP can evolve your IT estate to provide reliable and secure access across devices and locations, providing anytime, anywhere, any device freedom for employees, boosting productivity. MSPs can also provide 24/7 monitoring and support, ensuring potential issues are identified and resolved, preventing downtime and a loss of billable hours.

Improving processes and sysems can also positively impact the customer experience, leading to increased satisfaction, loyalty and referrals. Additionally, outsourcing can help firms implement new technologies and services, such as cloud computing and automation that can provide new revenue streams.

Factors to consider
When deciding whether to outsource IT functions, law firms need to consider several factors. These include the costs of outsourcing versus in-house staff, the reputation and expertise of the outsourcing provider, the quality of the provider's service level agreements (SLAs), and the potential impact of outsourcing on the firm's culture and operations. To ensure a successful outsourcing partnership, law firms need to select the right provider and maintain a strong relationship with them.

Organisations will also need to measure the impact of IT outsourcing to determine if it's delivering the expected benefits. Metrics such as return on investment (ROI) and total cost of ownership (TCO) can help firms evaluate the effectiveness of their outsourcing strategies. For example, ROI can be used to measure the financial benefits of outsourcing, while TCO can help firms compare the costs of outsourcing versus in-house IT staff.

Outsourcing certain IT functions to a trusted MSP can provide cost savings, revenue generation, and improved service quality, helping law firms stay competitive and efficient. However, you need to consider factors such as costs, reputation, SLAs, and culture fit when selecting your partner and evaluate the ROI.

Read our free guide for advice on selecting the right MSP for your business or click here to discover our IT Services for Legal.

Why Advanced?
With more than 20 years’ experience in the legal sector, Advanced IT Services stand ready to help your firm on the journey to a stronger future. Our strategists can help you assess and overcome your challenges, using our considerable expertise in technology and the legal sector. If you have any questions or would simply like to arrange a call to discuss your requirements further, please contact us here.

 “Having a flexible and reliable platform allows us to create a long term IT strategy leading up to and after the completion of the tunnel, in addition to increasing staff productivity.” Robin Johns, Head of IS - Tideway

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At Advanced, we understand that every industry faces unique challenges and requires tailored IT services to meet specific needs. With extensive cross-sector experience, Advanced are able to support, design, implement and manage your IT environment and empower your organisation. Learn more about our IT Services for Legal.

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