Can you relate to this?
- Your IT department is overwhelmed with requests and struggles to provide solutions promptly.
- Your network isn’t operating fast enough.
- You're not quite sure if the data is sufficiently backed-up.
- You'd like your IT department to participate in more strategic initiatives, but your IT staff is too busy putting out fires to operate proactively or strategically.
If you are in charge of managing a rapidly growing business, you may be facing these technology-related hurdles.
IT issues come in different forms, and some problems may lead to significant disruptions that can be difficult to overcome even for large companies. In fact, IT downtime alone can cost businesses a staggering $1.55 million every year.
If you can relate to even one of these challenges, you are probably not working with a Managed Service Provider and you are certainly not alone.
The Evolving Role of the Managed Service Provider (MSP)
In 2020, Managed Service Providers (MSPs) in Melbourne and around the world are becoming recognized for the important role they play as the critical support system for many organizations.
For many years, MSPs have been working discreetly behind the scenes to help businesses maintain their operational IT functionality including:
- General IT support and day-to-day administration
- Security
- Network Administration
- Data backup
In today’s unprecedented disruption, MSPs are more than just backing up their clients’ IT infrastructure. They are proving themselves to be strategic partners in three critical areas:
- Helping companies stay afloat
- Transitioning from a reactive to a proactive IT methodology
- Uncovering digital transformation opportunities and making them possible
According to research firms like Gartner and Deloitte, customers are recognizing the benefits being provided by their MSPs.
- 71% of organizations surveyed are expecting service providers to innovate rather than merely improve back-office functions.
- By 2024, more than 50% of cloud agreements will include app development and managed services, up from 10% in 2019.
- 84% of executives surveyed have initiated discussions, conducted pilots, or implemented at least some disruptive outsourcing solutions to drive competitive advantage.
How Can an Experienced Managed Service Provider (MSP) Help My Business?
Having a managed service provider (MSP) can fundamentally change the way an organization leverages its contingent workforce. As a result, an MSP can positively impact how the workforce is perceived, and become a key driver of business growth and success.
The benefits of an MSP can generally be grouped into five categories:
Cost Savings
Companies often miscalculate the cost-benefit analysis of hiring an MSP. Managed services provide businesses with a neatly packaged set amount of costs to be paid on an annual or monthly basis. On the other hand, having an in-house IT team can result in frequent and unexpected expenses that can quickly drain a business's budget.
Networks require ongoing equipment maintenance, and sometimes repairs or replacements. MSPs offer maintenance, repairs, and replacements as part of their contract, which means that costs that could have otherwise amounted to thousands of dollars are absorbed by the provider. This model shields a business's budget from extreme fluctuations, ultimately improving the stability of the business as a whole.
Because of the nature of their business model, MSPs develop partnerships with hardware and software companies and have access to the best prices. They also provide their clients with access to companies that don’t sell directly to businesses, but only to partners and resellers like an MSP.
Small businesses can benefit greatly from managed services because the initial cost to start is much lower. When starting a business from scratch, the costs of hiring and training a team, while simultaneously paying for servers and other necessary equipment, can be financially overwhelming.
Best Practices
When you engage an MSP, you are engaging an expert that specializes in IT. For an MSP to maintain a competitive advantage in its niche, it must remain up-to-date on every new development in the industry, which means you don’t have to.
Reduced Risk
As cyberattacks grow in number and severity throughout all industries, it is understandable that organizations are concerned.
Security requirements must be monitored and frequently updated. Because of the constantly changing nature of the vulnerabilities, it is challenging to address them all even with the most vigilant approach.
This security risk is further compounded by the estimated 3 million-person deficit of qualified cybersecurity professionals.
An MSP’s primary responsibility is to deliver consistent service to its clients. Therefore, job one is protecting customers against breaches and loss of data. When you work with an MSP and your business encounters a crisis, data centers, and networks are on standby to keep your business up and running.
The IT professionals who work with MSPs must remain up-to-date on the latest security threats and the best security software to ensure the safety of your data. This means one less concern on your plate and significantly less risk for your business.
Scalability
The right MSP can expand its services seamlessly.
Each MSP works with a variety of client systems with different sizes, use cases, and types of hardware and software.
An MSP knows a 3CX phone system just as well as they know Office 365. For this reason, you can rest assured that your MSP will be able to expand its services when the time is right for your business.
Centralization
When all of your IT services, apps, and data are housed in one location, the decrease in bureaucracy leads to improved connectivity and performance for your teams.
Centralizing data centers within the network also provides access to virtual services, as well as stronger storage and backup infrastructure.
Choosing the Right Managed Services Provider (MSP)
To ensure that outsourcing management service is successful, it's important to choose the right Managed Service Provider (MSP). Here are some factors to consider when selecting an MSP that's right for your company:
Defined Service Level Agreements
Service level agreements should be tailored to fit the unique needs of your business. A good MSP will have flexible options to ensure compliance and timely response times. A clearly-defined service level agreement benefits both parties by setting expectations from the start.
Experience in Your Industry
It's important to look for an MSP that has experience in your industry. Staying up-to-date with regulatory requirements takes experience, and a track record of success in your industry is a good indicator that they have what it takes to successfully maintain your network.
Commitment to Growth
MSPs should be focused on the future and should have an innovative approach to taking on new challenges and technology. Look for a provider that is committed to staying ahead of the curve in terms of advancements in IT.
Exceptional Customer Service
Good customer service is crucial when it comes to selecting an MSP. The people you'll be communicating with if something goes wrong should be honest, friendly, and dedicated to anticipating your needs. The right services provider will have a dedicated team ready to go above and beyond to ensure your satisfaction.
What About Our Existing IT Department?
One of the primary concerns of organizations considering working with an MSP is what would happen to the existing IT team.
According to CompTIA, more than half of organizations keep their internal IT department the same, 15 percent had no internal IT department, to begin with, and only 6 percent let go of their internal IT employees.
Of course, you know best when it comes to which option is the right one. Whether you choose to redeploy your IT team in new ways or have them partner with the MSP to some degree, it’s always nice to know options are available.
Final Thoughts
In today’s technologically advancing world, there has never been a better time to leverage the expertise of an MSP.
Leaders in every industry are actively seeking guidance about which digital transformation project to tackle first, not to mention figuring out how to maximize the return on investment of such endeavors.
Today’s MSPs are wearing many hats – IT support leaders, strategic partners, and trusted advisors. Let an MSP wear whatever hat you need them to in order to drive your business toward financial success. Contact us today to learn more about the value an MSP could bring to your particular organization.
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