Using IT service management can help businesses cut costs and reduce the hassle of running their own technology services. IT managed services are prepackaged hardware, application software, and associated support, usually sold with bundled pricing. Subscription-based cloud applications fall into this category, and if your company already uses Google Workspace, Microsoft 365, or Adobe Creative Cloud, you’ve experienced a managed service.
Managed services allow businesses to focus scarce resources on projects that provide the most business benefit. This can free up staff time and funding for areas that offer the most business benefit. If your tech staff no longer have to worry about supporting network ops or collaboration software, they can focus their attention elsewhere.
Managed services ultimately allow businesses to “pay for what they use” versus paying to acquire software licenses and support in large increments. This can enable companies to access technology and resources that would be unaffordable if purchased on the open market.
Adding users, capacity, or performance can be as simple as updating your MSP agreement via an online portal versus assessing and upgrading an in-house technology platform. In an uncertain business environment, the ability to scale your managed services and only pay for what you require can be a significant asset.
However, there are potential drawbacks to IT managed services. Like any vendor relationship, it pays to do your homework and ensure your managed service provider is reliable and capable of meeting your requirements. You may also give up a degree of control over the technology and people during a transition to managed services.
Assessing the long-term viability of your MSP, understanding the pricing and contract terms, and setting the foundation for a productive relationship is perhaps even more important than the quality of the technology. Taking time to assess what you’re trying to accomplish as well as the criteria for success will help shape your MSP selection and position your company for a successful relationship.