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Colocation offers outsourcing solutions

As the current economic decline continues many organisations looking at outsourcing as a serious option and this trend could also prove to be a turning point in the way outsourcing is perceived as an alternative to IT management in house.

For many the word 'outsourcing' is still perceived as 'Staff Reduction' and Far Eastern Call centres. Organisations believe they have to take on additional hidden costs in order to manage the outsource contract with elements such as training, network links and extra communications which can eliminate savings that outsourcing offers.

Outsourcing however doesn't always have to lead to a staff cull. The outsourcing of routine and labour intensive tasks can provide valuable internal resource to work on other business critical projects. Colocation offers a practical outsourcing option. There are no physical premises to invest in and there is resource to manage and maintain both the equipment and the facility.

The most important words to consider when outsourcing and choosing a provider are: Proven Experience and Service Level Agreement The most important factor with IT outsourced services is the agreed levels of service that you can expect from a supplier. You should look for a provider who recognises that your business will have specific needs. If you have an agreed and defined SLA in place then you know what you can expect, you can benchmark against it and even penalise it if the terms are not for filled.

Make sure that your provider is established and has the experience to deliver the type of service you require. Managing IT infrastructures is not an easy job. The provider you choose must realise that you are handing over your business processes to manage and must also be fully aware of the consequences should they be unsuccessful in meeting their obligations.

One advantage that colocation does provide over other outsourcing markets is that you have the option to 'hand over' services when you feel the time is appropriate. For example you could begin with server monitoring and work your way up through the value chain until your infrastructure is fully managed on your behalf.

Outsourcing does not suit every managed hosting need but it can provide a proven method of reducing costs whilst sustaining core business continuity.

Continue to: Factors to Consider when You Compare Web Hosting Plans

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