Seattle Companies Are Using Outsourced IT to Act as a CTO

With technology being so prevalent in business, many companies now have a Chief Technology Officer, also known as the CTO. This person is in charge of all technical operations and often reports directly to the CEO. Having a CTO is not a requirement for success. However, it does help organizations use technology more efficiently and effectively.

Especially in Seattle, where the tech industry is booming, many companies are looking for the strategic direction and leadership that a CTO can provide. But many companies aren’t able to hire an in-house CTO for a variety of reasons. That’s why these organizations are turning to outsourcing. In this blog, we are going to discuss how outsourcing your IT can fill a CTO role and, ultimately, benefit your business.

What Does a CTO Do?

A CTO oversees both the short and long-term technical needs of a company. They examine business objectives and help determine crucial technology investments. They create strategies and solutions to help decrease costs, optimize processes, and develop an agile and sustainable technology environment. Their goal is to use technology to establish a competitive edge and increase profits. Seattle companies that have a CTO are focusing, and often succeeding, on growing the company and improvement.

Why Some Companies Can’t Hire a CTO In-House

The CTO role is beneficial for any business. In 2020, Seattle businesses rely on technology to optimize their operations and rise above the competition. However, many companies in Washington State are not able to hire an in-house CTO. Firstly, many simply can’t afford it. In 2020, the reported average salary for a CTO is $159,000— and don’t forget hiring costs, training costs, bonuses, or benefits. Many small or medium-sized businesses in Seattle don’t have the budget for that. 

Secondly, a good CTO has years of experience under their belt. They have the expertise and knowledge to fill this strategy-driven role. That experience can be difficult to find. In Seattle, many of the professionals with these skills are already working for tech giants, such as Microsoft or Amazon

With these two factors in mind, it’s no wonder many Washington companies are still absent this position. But, many organizations are finding that by outsourcing their IT, they can receive the direction a CTO would provide without compromising their budget.  

How Outsourced IT Can Fill This Role

One of the many benefits of outsourced IT is that it can fill many different gaps in your company. Maybe you want your provider to focus less on larger projects and strategies and more on daily helpdesk-type tasks. Or maybe there is a specific project you have hired them for, such as a cloud migration. Or, as we’ve been discussing, maybe you are partnering with them to fill a more CTO-level role, relying on them to create overall, long-term strategies and solutions. If this last scenario is the case, there are many reasons why an outsourced IT provider can provide everything a CTO would for your company.

Managed Service Providers Have Experience and Expertise

As we stated above, a CTO must have experience and knowledge to complete their job successfully. Outsourced IT providers have exactly that. They’ve worked with many different businesses and industries, giving them a holistic understanding of technology and the many different ways to utilize it. They have a deep understanding of many different solutions and will be able to strategize the best solution for your company and implement it. 

On top of that, managed service providers have the backup of dozens of experts. It’s an extremely collaborative environment, meaning your company has access to specialized knowledge and expertise. You don’t have only one person working for your business. You have an entire team with CTO-level knowledge and abilities.

Outsourced IT Providers Can Work With In-House IT Departments

Many businesses may not be able to hire a CTO, but they do have in-house IT technicians. By working with an outsourced IT provider, you don’t have to give these technicians up. Instead, your provider will work with them to provide them the direction a CTO normally would. 

This will create a more unified process across your technology team and get everyone working together towards the same goals. Having a strategic direction will give your business a more proactive approach and get your technology to a place where it is truly supporting your organization.

Outsourced Technology Consultants Know How to Cut Costs and Improve Efficiency

We mentioned above that critical objectives of a CTO are to cut costs and improve efficiency using technology. Outsourced IT providers understand these goals and know how to reach them. Their entire focus is using technology to improve your business. 

Your managed service provider can analyze your business and find the best solutions to decreasing your spending. Even more, they will work with you to develop a technology environment that is agile, sustainable, and secure. 

In Conclusion

In a city as technology-heavy as Seattle, making sure your environment is up to par is crucial. That’s why so many companies are utilizing a CTO. If you don’t have the resources to hire a CTO in-house, you might consider outsourcing. Outsourced IT providers have the expertise to fill a CTO role for a fraction of the cost. They’ll be there to support your business and take your technology to the next level.

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