As more companies embrace digital transformation while seeking to reduce costs, the Managed Services industry has seen significant growth. Today, most businesses have collaborated with an IT Managed Service Provider at least once since their inception.
What Are IT Managed Services?
IT Managed Services are solutions provided by Managed Service Providers (MSPs) that offer IT support on a subscription basis, along with proactive assessments of IT workspaces and equipment. The real power of IT Managed Services lies in their role as a key to success when implementing innovative cutting-edge technologies. In this collaboration model, the client and the IT service provider are bound by a contract that outlines performance issues and deliverables.
What Services Are Driving the Managed Services Market?
The cloud-managed services market is projected to reach USD 53.8 billion by 2022. Services driving this growth include data center and network management, desktop management, server management, IMAC (Install, Move, Add, Change), and IT software development. IT maintenance is another critical area, with an increasing number of services offered by external companies. This trend indicates that businesses must implement IT maintenance for better cost control and efficient work planning. Moreover, it ensures that a company remains compliant with regulations while minimizing and preventing downtime.
Data center and network management services are expected to continue dominating the global IT Managed Services market. This trend is primarily driven by the rise in the number of tech-savvy employees and the growing demand for managed services, as more devices with internet connectivity are being used worldwide.
Server management services hold the second-largest share of the IT Managed Services market, with IMAC services following in third place. It is predicted that IMAC services will grow at the highest CAGR due to the increasing demand in developing countries as businesses seek to upgrade their IT infrastructure.
Types of IT Managed Services Offered by Outsourcing Companies
In IT management, a company can either opt for an in-house IT team, ready to pay top salaries, or outsource IT tasks to a Managed Services provider for a lower subscription fee. IT Managed Services companies offer a wide range of outsourced services to businesses and clients. Some types of services you can receive from them include:
- Computer security management and risk protection
- IT communication
- Data analysis
- Cloud computing management
- Software as a Service (SaaS)
- Computer network management
- Infrastructure setup and management
When Should You Use IT Managed Services?
IT Managed Services are recommended when continuous service is required. For example, you can work with a Managed Service Provider to implement, monitor, and maintain your IT security. Besides risk management, it is also advisable to use Managed Services in the initial phases of setting up a new IT system through to the maintenance phase. Many companies are transitioning from physically owning and managing their resources to partnering with an external provider to maintain their IT environment.
In other cases, it may be beneficial to hire Managed Services when you urgently need specialized software developers that you do not have in-house, or when IT failures or errors could spell disaster for your business. When deciding whether your operation requires managed services, consider factors such as industry standards, your transaction volume, compliance requirements, and competitive differences.
The Benefits of Using IT Managed Services
The benefits a business gains from using managed IT services depend on the types of services. However, outsourcing IT Managed Services guarantees immediate advantages such as:
- Increased efficiency
- Access to new software and market-leading technologies
- Access to experienced technical support
- Reduced risks from security vulnerabilities
- Better infrastructure maintenance
- Reduced IT and labor costs
Conclusion
A business can gain more by outsourcing IT Managed Services than by building its own team. The latter has a lot of uncharted territory to cover, and you can never be sure what to expect. To successfully implement Managed Services, choose a good Managed Services provider, determine the right transition approach, and build a long-term partnership.
