Why Use a Managed Service Provider?

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Companies today are reliant on technology and data. And that data is constantly exposed to all kinds of cyber-attacks that threaten downtime and financial risks. As a result, it’s difficult for SMBs to manage the complexities of an IT infrastructure. Budget limitations make it difficult to staff appropriately. So why use a managed service provider?

More and more organizations are moving to a managed service model, with the market expected to reach $274.20 billion by 2026. According to a Mordor Intelligence report, that projects to an 11.2% CAGR from 2021-2026.

COVID-19 has fostered significant growth for cloud services as companies have adjusted to a remote workforce. In addition, the proliferation of the Internet of Things (IoT) platforms has impacted companies. Cisco reported that 46% of network devices would become machine-to-machine or IoT by the end of 2020. Unfortunately, these devices expose organizations to a greater risk of attack.

To help manage these complexities and vulnerabilities, more and more companies are turning to managed services.

7 Benefits of Managed Services

Mordor Intelligence reported that the successful deployment of managed services reduces IT costs by 25-45%. At the same time, it increases operational efficiency by 45-65%.

Here are 7 benefits that help answer the question why use a managed service provider:

  1. Reduced Downtime

The average employee loses 12.4 hours a year owing to server downtime and another 6.2 hours from network downtime. More concerning, that unplanned downtime costs businesses nearly $60,000 for every 100 users.

According to International Data Corporate (IDC), managed IT can reduce downtime by 85% or more.

2. Infrastructure Reductions

By using managed IT services, you can eliminate or reduce data center costs. Consequently, you’ll realize capital expenditure savings on hardware, software, and workspace costs.

Investing in your IT infrastructure can be costly. With managed services, costs are consolidated and fixed into your operational expenses. Hardware breakdowns, maintenance, software updates, and system repairs are calculated into OPEX.

3. Productivity

Managed services allow staff members, both IT and non-IT, to focus on core responsibilities. A study by Cisco reported that managed services reduce maintenance costs by 40%. As a result, IT staff can offload tasks to focus on other tasks.

4. Economy of Scale

As your business grows, your IT resources must scale with it. Using managed IT lets you adjust your service levels up or down with just a phone call. That’s particularly helpful for startups. Or during economic fluctuations, as we’ve faced with COVID.

5. Business Productivity

Stable, reliable, and scalable IT increases production. IDC calculated the effects of business productivity on the revenue at $230,000 annually.

6. Expertise

With the complexities associated with IT, SMBs can’t staff their companies with all the expert resources required to address every area of IT. The costs of hiring on-staff professionals are prohibitive with already tight budgets.

An MSP can fill knowledge and skill gaps cost-effectively. Because they work with lots of companies, they encounter issues that broaden their knowledge, enabling them to transfer that experience to your business. Equally important, you can gain that expertise for one flat monthly fee.

7. Proactive Support

Managed service providers take a proactive approach to IT support. They will monitor your networks, ensure your systems are updated, and meet compliance requirements. You’ll also benefit from 24/7 support to make sure your systems remain in operation even during non-standard business hours.

Cybersecurity concerns continue to escalate. It makes business sense to have a dedicated cybersecurity company in your corner to address potential risks actively. Passively addressing cybersecurity is asking for a problem.

Make Sure You Select the Right MSP

Your business will see real gains when you find the right MSP … emphasis on the right MSP! You can read more about how to select an MSP here.

Talk to our IT company today about our CompleteIT offering. It’s as comprehensive a package as you’ll find, with 24/7 support. In addition, our monthly fee even includes projects, unlike many managed service providers.

We’ve helped SMBs locally and nationally manage their IT operations. In fact, Channel Futures routinely cites us as a World-Class MSP. Call us for a free assessment that will uncover your vulnerabilities. You’ll get the answer to why use a managed service provider!

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