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What are Managed Services?

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In simple terms, managed services are those that are taken care of by a third party. And such service providers are called Managed Service Providers (MSPs).

Why does a business need managed services?

Today, IT infrastructure is the backbone of a company. And a business may not have a proper IT infrastructure for its needs. In addition, the staff may not be sufficiently skilled to manage the infrastructure. In such situations, there are two options. First, you can hire either contractors or managed service providers. However, hiring contractors will require you to monitor them; this may increase your stress.

On the other hand, managed services could be a great business model if you don’t want to deal with stress. You only have to subscribe to their services for a fixed monthly fee. And the MSPs will take care of all the responsibilities for you.

Types of Managed Services

There are six basic managed services types.

1. End User: You can hire an MSP to take care of your IT Help Desk and Customer Support.

2. Infrastructure: MSPs can also maintain your IT infrastructure. It can have several versions, such as managing network infrastructure, print services, etc.

3. On-Site Services: You can give a charge for repairing, installing, and updating your infrastructure to an MSP.

4. Cloud Services: MSPs can take responsibility for your cloud infrastructure. It will include updating and securing the cloud.

5. Security Services: You can hire an MSP to manage your company’s security.

6. Technology Support: You can also hire an MSP to help you with changes in your company’s technology.

Benefits of Using Managed Services

Cost Control

It may be difficult to predict costs if you have variable expenses. However, with a monthly flat fee, you can calculate the costs precisely. You can then upgrade or downgrade the MSP tier based on your budget.

Risk Management

Business is risky. An MSP uses their technology; hence, they will carry the risk. Additionally, they will guide you to avoid danger.

Availability, Efficiency, and Productivity

Because of the skilled staff and high-quality infrastructure of MSPs, your downtime will be reduced. As a result, it will increase efficiency and productivity.

Future Proofing

As MSPs will take care of updating components and upskilling staff, you are future-proofing your company.

Merits and Demerits to Managed Service Providers

Merits of Managed Service Providers:

  • Managed services will help you fill your staff shortages.
  • Reputable MSPs can provide skilled staff.
  • You can ensure business continuity: deliver services after a disaster.
  • They will help you constantly monitor your network.
  • MSPs can improve the security of your company.
  • Paying a fixed monthly fee will give you more predictability in your company’s finances.

Demerits of Managed Service Providers:

  • Many MSPs don’t offer security services.
  • You have to trust your data with third-party organizations.
  • There may be a delay in the MSP’s response.
  • MSPs can try to upsell technologies that you don’t need.
  • Some information may not be available if the MSP uses a proprietary tool.

Difference Between Managed Services And Cloud Services

Managed services are services that a third-party company takes care of for you. This third-party company is the Managed Service Provider. They will sell their services for a flat monthly fee. That means you can focus on other crucial things about your company.

Cloud services are provided by various cloud service providers. These include owning space or computing power on a server. And they have many payment models depending on whether it is a software-as-a-service, platform-as-a-service, or infrastructure-as-a-service. But most cloud service providers provide a pay-as-you-go model.

Managed Services Best Practices

MSPs provide you with practical, predictable, and efficient services, and they reduce your stress. However, they must follow the best practices below.

  1. Their IT Service Management Methodology must be well-defined.
  2. They must provide a comprehensive description of their services. It means they are more likely to fulfill their promises.
  3. MSPs must be up to date with the latest technology and staff skills. Otherwise, you won’t benefit much from their involvement.
  4. They must follow the best practices in cyber security. They must have a well-audited cyber security plan.
  5. An MSP must have a plan for business continuity.

FAQs

What is a managed service?

A managed service is the service for which you have hired an MSP. For example, if your business needs security staff, you can hire an MSP to look for weaknesses, monitor threats, and stop them. The cost for their service is usually a monthly flat fee.

What are the types of managed services?

There are six basic types of managed services:

  1. End User Services
  2. Infrastructure Services
  3. Onsite Services
  4. Cloud Services
  5. Security Services
  6. Technology Services

What is a managed service offering?

Managed service offerings are the services provided by a managed service provider. It could be a help desk, security, infrastructure, etc.; you can hire these offerings for a flat fee. These offerings are best for companies that need skilled staff and don’t mind paying a flat fee.

What is an example of a managed service provider?

An example of a managed service provider will be an organization that takes care of your help desk service. That means you won’t have to worry about the customers who need help; it’s the MSP’s responsibility. They will manage everything from ticket generation to getting feedback.

Why do we need managed services?

You need managed services if you need skilled staff or technological equipment. But you don’t want to spend time hiring or selecting the right equipment. And you don’t want to hire contractors because then you will have to monitor them. In such a situation, an MSP will make your life easy.

What is the difference between managed services and outsourcing?

Both managed services and outsourcing involve hiring an external company. However, outsourcing means hiring an external company. That may only be for a short-term project. An example would be outsourcing the management of the hiring process.

A managed service is a specific form of outsourcing where you have a long-term commitment to a company. For example, an MSP will take care of your wifi infrastructure for a monthly fee.

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