Should MSPs Outsource Their DevOps? Benefits, Use Cases, Drawbacks

For Managed Service Providers (MSPs) DevOps isn’t a buzzword; it’s a strategic imperative to deliver robust, scalable, and secure services. By adopting DevOps practices, MSPs can accelerate deployment cycles, optimize resource allocation, and improve overall service reliability. However, implementing and maintaining a comprehensive DevOps framework internally can be daunting – that’s where lies the allure of outsourcing it altogether.

That’s why, in this article, we delve into the complex terrain of DevOps outsourcing, exploring its benefits, practical use cases, and potential drawbacks. From cost savings to enhanced scalability, outsourcing DevOps promises a strategic advantage. Yet, with advantages come challenges, such as quality control, communication hurdles, and security risks, that demand careful consideration.

Introduction to DevOps Outsourcing

As technology evolves, the pressure on MSPs to deliver faster, more reliable, and scalable services has never been greater. Enter DevOps, a practice that combines development and operations to streamline software development, deployment, and infrastructure management. DevOps aims to foster a culture of collaboration between development and operations teams, resulting in quicker delivery cycles, improved efficiency, and enhanced reliability of IT services. However, implementing DevOps in-house can be challenging due to the need for specialized skills, resources, and continuous effort.

This is where DevOps outsourcing comes into play. By partnering with external experts like Scaled, MSPs can leverage the benefits of DevOps without the overhead of developing these capabilities internally. DevOps outsourcing allows MSPs to access a pool of skilled professionals who bring expertise in automation, continuous integration/continuous deployment (CI/CD) pipelines, cloud services, and infrastructure as code (IaC).

Benefits of DevOps Outsourcing for MSPs

Cost Savings in MSP Staffing

One of the primary benefits of outsourcing DevOps for MSPs is significant cost savings. Hiring and retaining skilled DevOps professionals can be expensive, particularly when considering the competitive salaries, benefits, and ongoing training required to keep them up-to-date with the latest technologies and practices. Outsourcing allows MSPs to access these specialized skills without the financial burden of maintaining a full-time, in-house team. This can free up budget for other critical areas, such as expanding service offerings or investing in new technology.

Additionally, outsourcing providers often operate in regions with lower labor costs, further enhancing cost-efficiency. By outsourcing DevOps, MSPs can convert fixed labor costs into variable costs, paying only for the services they need when they need them, which is particularly advantageous in managing budgets and financial planning.

Access to Specialized DevOps Talent

DevOps outsourcing provides MSPs with access to a broad pool of specialized talent that might be difficult to find and attract locally. DevOps professionals at outsourcing firms typically have extensive experience and expertise across various industries and technologies. They are well-versed in the latest tools, best practices, and methodologies, ensuring that MSPs benefit from cutting-edge solutions and innovative approaches. This level of expertise can be crucial for implementing and maintaining robust CI/CD pipelines, automating infrastructure, and optimizing cloud deployments.

Furthermore, the diverse experience of outsourced DevOps teams can lead to more creative problem-solving and a higher likelihood of successfully overcoming complex technical challenges.

Improved Efficiency and Productivity

Outsourcing DevOps can lead to significant improvements in efficiency and productivity for MSPs. DevOps practices emphasize automation, continuous integration, and continuous delivery, which streamline development processes and reduce the time needed to bring new features and services to market. Experienced DevOps teams can quickly set up and optimize these processes, leading to faster deployment cycles and reduced downtime.

This allows MSPs to respond more swiftly to customer needs and market changes, giving them a competitive edge. Moreover, by offloading DevOps responsibilities to experts, internal teams can focus on their core competencies, leading to better overall productivity and more effective use of resources.

Scalability and Flexibility

One of the standout advantages of outsourcing DevOps is the scalability and flexibility it offers. As MSPs grow or face fluctuating demand, their DevOps needs will change. Outsourcing provides the ability to scale services up or down quickly without the complications of hiring, training, or laying off staff.

This ensures that MSPs can adapt to changing business conditions and customer requirements efficiently. Outsourced DevOps teams can provide additional support during peak times, such as product launches or major updates, and scale back during quieter periods.

Focus on Core Business Operations

By outsourcing DevOps, MSPs can concentrate on their core business operations rather than getting bogged down with the complexities of development and operations management. This strategic focus allows MSPs to enhance their service delivery, improve customer satisfaction, and drive business growth. DevOps can be highly resource-intensive, requiring constant attention and specialized knowledge. Delegating these tasks to an external partner enables internal teams to allocate more time and effort to areas such as client engagement, service innovation, and strategic planning.

In the long run, this can lead to better business outcomes and a stronger market position, as the MSP can deliver higher quality services without being distracted by the technical intricacies of DevOps.

Use Cases for MSP DevOps Outsourcing

Small to Medium-Sized MSPs

For small to medium-sized MSPs, outsourcing DevOps can be a game-changer. These businesses often operate with limited budgets and resources, making it challenging to build and maintain a full-fledged DevOps team in-house. Outsourcing provides a cost-effective solution, granting access to experienced professionals without the overhead costs associated with hiring full-time employees.

This approach allows smaller MSPs to implement robust DevOps practices, such as automated testing, continuous integration, and continuous delivery, which can significantly improve service reliability and speed. For example, a small MSP might outsource the setup and management of their CI/CD pipeline, enabling them to focus on delivering high-quality services to their clients without being bogged down by the technical complexities of DevOps.

MSPs Handling Complex Projects

MSPs that handle complex projects, such as large-scale software development or multi-cloud deployments, can greatly benefit from outsourcing DevOps. These projects often require sophisticated infrastructure management, automated workflows, and continuous monitoring, which can be resource-intensive and demand specialized skills. An outsourced DevOps team can bring the necessary expertise and tools to manage these complexities efficiently.

For instance, an MSP working on a major cloud migration project might outsource DevOps to ensure seamless integration and automation across different environments, reducing the risk of downtime and ensuring a smooth transition. The external team can also help with optimizing performance and scalability, ensuring the project meets all technical and business requirements.

MSPs Lacking In-House DevOps Expertise

Many MSPs struggle with a lack of in-house DevOps expertise, which can hinder their ability to adopt and implement effective DevOps practices. Outsourcing offers a practical solution by providing access to seasoned DevOps professionals who can quickly bring their knowledge and skills to the table. This can be particularly beneficial for MSPs looking to modernize their infrastructure or adopt new technologies.

For example, an MSP that traditionally managed on-premises servers might outsource DevOps to facilitate a shift to a containerized environment using Kubernetes. The outsourced team can handle the setup, configuration, and ongoing management, allowing the MSP to leverage cutting-edge technology without the steep learning curve.

Startups and Rapidly Growing MSPs

Startups and rapidly growing MSPs face unique challenges, including the need to scale their operations quickly and efficiently. Outsourcing DevOps can provide the flexibility and scalability required to support rapid growth. Startups, in particular, often operate with lean teams and need to maximize their resources. By outsourcing DevOps, they can focus on product development and market expansion while ensuring their infrastructure is robust, scalable, and secure.

For example, a tech startup might outsource DevOps to manage their cloud infrastructure, automate deployment processes, and ensure high availability and performance as they scale their user base. This approach allows startups to remain agile and responsive to market demands without being constrained by internal capacity limitations.

MSPs with Seasonal or Variable Workloads

MSPs that experience seasonal or variable workloads can benefit from the flexibility that DevOps outsourcing offers. These MSPs often face fluctuating demand, requiring them to scale their operations up or down accordingly. Outsourcing DevOps allows them to adjust their resource allocation without the challenges of hiring or laying off staff.

For instance, an MSP that supports e-commerce clients might see a significant increase in demand during the holiday season. By outsourcing DevOps, they can ensure that their infrastructure can handle the increased load, with automated scaling and monitoring to maintain performance and uptime.

Potential Drawbacks of DevOps Outsourcing for MSPs

Potential Quality Control Issues

One of the primary concerns with DevOps outsourcing is the potential for quality control issues. When an MSP relies on an external provider, it may have less direct oversight and control over the work being performed. This can lead to inconsistencies in the quality of service, particularly if the outsourced team does not fully understand the MSP’s specific requirements and standards. For example, an MSP might experience delays or subpar performance if the outsourced team does not adhere to agreed-upon processes or fails to communicate effectively.

To mitigate these risks, it’s essential to establish clear expectations, performance metrics, and regular review processes to ensure the outsourced team meets the required quality standards consistently.

Communication and Coordination Challenges

Effective communication and talent management are crucial for the success of any DevOps initiative. Outsourcing can introduce challenges in this area, especially when the external team is located in different time zones or comes from different cultural backgrounds. These differences can lead to misunderstandings, delays, and misalignment between the MSP and the outsourced team. For instance, if an urgent issue arises outside the outsourced team’s working hours, it could result in prolonged downtime.

To overcome these challenges, MSPs should invest in robust communication tools, establish clear communication protocols, and schedule regular meetings to keep all stakeholders aligned. Building strong relationships and fostering open communication channels can help bridge any gaps and ensure seamless collaboration.

Security and Confidentiality Concerns

Outsourcing DevOps involves sharing sensitive data and access to critical systems with external providers, raising significant security and confidentiality concerns. There is always a risk that sensitive information could be mishandled or exposed to unauthorized parties, either intentionally or accidentally.

SPs must carefully vet potential outsourcing partners to ensure they have stringent security measures in place, such as data encryption, access controls, and regular security audits. Additionally, clear confidentiality agreements and non-disclosure agreements (NDAs) should be part of the contractual terms to protect the MSP’s intellectual property and client data. Regular security reviews and audits of the outsourced team’s practices can also help mitigate potential risks and ensure compliance with industry standards and regulations.

Dependence on External Providers

Relying heavily on external providers for critical DevOps functions can create a dependency that poses risks to the MSP’s operational stability. If the outsourcing partner doesn’t have all the necessary qualities or if the partnership ends unexpectedly, the MSP may find itself scrambling to fill the gap. This dependence can also limit the MSP’s ability to build internal capabilities and reduce its agility in responding to changing business needs or emergencies.

To mitigate this risk, MSPs should develop a contingency plan that includes knowledge transfer, documentation of processes, and training for internal staff to handle key DevOps tasks if necessary. Building a hybrid model, where both internal and external teams collaborate, can also provide a balanced approach, ensuring continuity and resilience.

Hidden Costs and Long-Term Expenses

While outsourcing DevOps can offer cost savings initially, there may be hidden costs and long-term expenses that MSPs need to consider. For example, additional costs may arise from managing the outsourced relationship, such as travel expenses for face-to-face meetings, communication tools, and project management overhead. Furthermore, if the MSP does not have clear contracts and SLAs, unexpected charges for out-of-scope work or additional services might occur. Over time, these costs can accumulate, potentially offsetting the initial savings.

It is crucial for MSPs to conduct thorough cost-benefit analyses and include detailed terms in their contracts to avoid surprises. Regularly reviewing and renegotiating terms based on evolving needs can help manage costs and ensure the outsourcing arrangement remains financially beneficial.

Conclusion

DevOps outsourcing offers compelling advantages to MSPs: from cost savings and access to specialized talent, to enhanced efficiency, scalability, and the freedom to focus on core business operations. These benefits are particularly pronounced for smaller MSPs, those handling complex projects, lacking in-house expertise, experiencing rapid growth, or managing variable workloads.

However, this strategic choice is not without its caveats. MSPs must contend with potential pitfalls such as quality control issues, communication barriers, security risks, dependence on external providers, and unforeseen costs. Addressing these concerns demands meticulous planning, clear communication channels, rigorous security measures, and contingency plans to safeguard operational continuity and client trust.

And not to suffer from these risks, make sure to collaborate with an experienced DevOPS outsourcing partner, don’t hesitate to reach out to Scaled – we’ll make your team smarter, stronger and faster.