IT Service Models & Business Size – Case Study

by Excite IT Pty Ltd on Tuesday, October 18, 2011 at 6:19pm

Through Excite IT’s own experience and research conducted over the past 4 years, we have been able to differentiate IT services for various businesses into three service model categories. Each of our customers has the choice to utilize any of these models depending on their specific requirements and business objectives. Below is a list of the three categories;

1. Large Business Choice

Service Type: Task Fulfilment & Backfill

Description: This scenario is applicable where a client has a set of tasks within their IT department and only requires specific services to be carried out by a specialist, whilst retaining the remaining skillsets in-house. Backfill services are also offered where organisations are looking to reduce costs. By reducing the full time costs of having cross skilled resources,( where absenteeism is experienced for example), a supplier can provide the backfill of that skillset on an as needed basis. Over time, currency of knowledge is achieved by continuous association of the two organisations and retainers are funded in block of hours or on a T&M basis.

Common Consumer: This is often a service model attained by Large businesses.

Benefits: This arrangement enables the commoditised tasks to be serviced by a specialist and gives the organization the ability to focus on its core competencies and retain its IP on its technology set. It also assists in the achievement of cost reduction by minimizing headcount, sustaining service levels and providing access to scalability only when and as required.

2. Large & Medium Size Business Choice

Service Type: Hybrid of Task & Service Fulfilment

Description: Description: This involves a client that seeks to outsource a task but also requires the outsource provider to assist in IT strategy sessions, Planning and / or project management The outsource provider assists in these facets but is not the owner of the components.

Common Consumer: This is a service model often attained by Large & Medium size businesses.

Benefits: The benefits of this is the same as item one above but also seeks to attain the specialist “know how” to assist in other areas of the IT spectrum where internal headcount & industry experience limitations may also be a challenge.

3. Small & Medium Size Business Choice

Service Type: Total Outsource of IT Management (Virtual CIO & IT).

Description: Where all IT services are outsourced.

Common Consumer: This is an option Excite IT has witnessed as being preferred by Small to Medium size businesses and the rate of ‘take up’ has increased by 54% over the past 18 months – this rate of ‘take up’ is also becoming a trend in the other two models. This statistic has been seen to be influenced by the growing concern of the economic outlook, the associated risks, and also the flexibility of organisational change where restructure and review of operational costs are required.

Benefits: This option allows businesses to focus on their core competency and not be drawn into the day to day IT operations & low level strategy definition/planning details and the associated costs. This also facilitates cost effectiveness for IT infrastructure and services where services encompassing a full IT environment are required without the full time resources . For example; many businesses require fulltime dependency on IT services but could not justify to invest in full time resourcing. They may require skills on a wider spectrum to that fulfilled by their current resourcing arrangement. They may also face challenges associated to loss of IP where there are key person dependencies (i.e. one person in IT). When faced by these challenges, it is therefore a much more viable option for businesses to outsource the entire IT service management which can benefit the organisation in reductions of cost, expansion of IT capabilities and the mitigation of key person dependency.

Excite IT supplies services in all three models to its client base and can help you determine the benefits of these when applied to your current environment.

If you have any questions, require further information or would like to know how Excite IT can assist you in any of the above models, please do not hesitate to contact our team on 1300 147 369.

Excite IT acquires itaba3 Business – 24/12/2010

It is with great pleasure to announce that Excite IT has successfully acquired the itaba3 (Intelligent Technology & Business Advisory) business as of 24 December 2010.

Over the past 12 months, Excite IT has been working extensively to build up its capabilities into Business Process Automation (BPA), Software Development, Remote Management Service methodologies, and various Virtualisation concepts and initiatives in the forever changing IT market.

This acquisition supplies the framework and building blocks for Excite IT to move forward with these initiatives while enabling it to deliver additional value added, complimentary and unyielding services to the existing and new customers of both itaba3 and Excite IT.

Fundamentally, the acquisition of itaba3 enables Excite IT to embrace the strong foundations established by itaba3 over the past 10 years and build upon those in order of achieving its long term goals.

I personally look at this acquisition as a major milestone in Excite IT’s tenure and a verification of its abilities and commitment to deliver exceptional service and growth.

An extensive amount of effort has been invested by many of the staff, in particular Robbie Elhassan (General Manager) and Ronald Sporri (Head of Operations) and it does not go without immense appreciation and a congratulations on a job well done.

2011 is a big and exciting year and I look forward to sharing the experience with the team, partners and customers.

Sincerely,

Bryan Saba
Director