The Hidden Costs of Office 365 Management

office 365 logoChampion Solutions Group surveyed 101 Office 365 administrators in February 2017, and found that for small organizations, the costs of managing Office 365 can nearly double the per-seat subscription costs, and therefore concluded that outsourcing Office 365 management is a better value than going it alone.

Champion found that for a 50-seat Office 365 deployment costing $500 per month from Microsoft, management costs would be an average of $469 more. The $1,235 additional management costs on top of $5,010 in Office 365 subscription costs for organizations with 501 seats is proportionally much lower, but still significant.

“The end-user community is spending a good amount of time on managing this endeavor, which is probably not the most strategic thing for an end user,” Champion CEO Chris Pyle told Redmond Channel Partner Magazine in the March/April 2017 issue. “Small businesses are spending more time on it than large businesses because they don’t have knowledgeable staff.”

Time and money spent managing Office 365:

Employees 1-50 51-100 101-250 251-500 501+
Avg. Hours per Month 13 9 19 29 34
Total Spent per Month $469 $3,160 $671 $1,055 $1,235

This helps make the case to end users that they should outsource management of Office 365 to a partner who can do it more efficiently at less expense.

Fpweb.net provides expert, all-USA-based, 24/7 Absolute Support® for Office 365. The managed services and cloud provider is a member of Microsoft’s Cloud Solutions Provider and Partner Network programs.

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2017-11-09T09:13:45+00:00 May 10th, 2017|

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