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Managed IT Services - Types, Advantages, and Challenges

What are Managed IT Services?

Managed IT services act as an extension of your internal IT department, delivered by a specialized external company. This allows your internal team to focus on core business functions while benefiting from proactive IT management, improved security, predictable costs, and access to a wider range of IT expertise.
Here’s a breakdown of what managed IT services typically involve:

Proactive IT Management Services:

The MSP will constantly monitor and assess your IT infrastructure for weaknesses and identify opportunities for improvement. They’ll recommend solutions and take action to prevent problems from arising.

24/7 IT Support:

Unlike an in-house IT team that might have limited hours, MSPs can provide round-the-clock IT monitoring and support, ensuring your systems are up and running all the time.

Security Services:

This includes monitoring your network for threats, performing security audits, and implementing measures to safeguard your data.

Help Desk Support:

Your employees can get assistance with any IT issues they encounter through the MSP’s help desk.

Software Updates and Maintenance:

The MSP will take care of installing, configuring, and updating software on your devices.

Data Backup and Recovery:

The MSP will implement a strategy for backing up your data regularly and ensure you can recover it in case of a disaster.

What is a Managed Service Provider (MSP)?

A Managed Service Provider (MSP) is a company that acts as your outsourced IT department, managing and maintaining your technology infrastructure and systems. They offer ongoing support, typically under a subscription or monthly agreement, to keep your business running smoothly. MSPs provide a variety of IT services, including network management, cybersecurity services, data backup and recovery, software updates, help desk support, and cloud services. Unlike break-fix IT services where you call for help when something breaks, MSPs take a proactive approach. They constantly monitor your systems, identify potential issues, and address them before they disrupt your operations.

Businesses of all sizes can benefit from using an MSP. They can gain access to expert IT staff, improve operational efficiency, reduce IT costs, and enhance overall IT security. Especially for small and medium-sized businesses (SMBs) that might not have the resources to hire a full-time IT team, MSPs offer a cost-effective solution to manage their IT needs.

The Transformation of Managed Service Overtime

The transformation of managed services over time has been nothing short of remarkable. It’s a journey that’s seen them evolve from a reactive “break-fix” model to a proactive and strategic partnership for businesses. Here’s a breakdown of this transformation:

From Break-Fix to Proactive Management:

Early days saw managed services providers acting as IT firefighters, fixing problems as they arose. Now, the focus is on prevention through continuous monitoring, threat detection, and proactive maintenance.

The Rise of Cloud Computing:

Cloud adoption has significantly impacted managed services. MSPs have shifted their focus to managing cloud infrastructure and applications, offering expertise in cloud security and optimization.

Focus on Business Outcomes:

Today managed services go beyond just keeping the IT lights on. They partner with businesses to understand their goals and align IT solutions to achieve them. This strategic approach helps businesses leverage technology to drive growth and innovation.

Security Becomes Paramount:

With the ever-increasing cyber threats, security has become a core competency of managed services. MSPs offer advanced security solutions like intrusion detection, data encryption, and vulnerability management to safeguard businesses.

Automation Takes Center Stage:

Automation is transforming the managed services landscape. Repetitive tasks are automated, freeing up resources for MSPs to focus on strategic initiatives and providing clients with faster response times.

Overall, the transformation of managed services reflects the dynamic nature of technology. By embracing innovation and adapting to changing business needs, managed services have become a critical partner for businesses in today’s digital age.

8 Types of Managed IT Services

Here’s a breakdown of eight essential managed IT services, excluding Managed Print Services and Analytics Services:

Remote IT Infrastructure Monitoring:

This service involves the ongoing monitoring of your IT infrastructure, such as servers, network devices, and applications, from a remote location. The MSP will proactively identify and address any potential issues to ensure optimal performance and minimize downtime.

Managed End-User Services:

This service provides IT support directly to your employees, typically via a help desk or service portal. They can troubleshoot technical problems, answer questions, and resolve a wide range of IT-related issues.

Project-Based Managed IT Services:

For specific IT projects, you can leverage project-based managed IT services. This could involve network upgrades, software implementation, or data center migrations. An MSP can provide the necessary resources and expertise to ensure successful project completion.

Analytics Services:

Unlock valuable insights from your IT data. DigiOne’s analytics services help you understand user behavior, identify trends, and optimize your IT infrastructure for better performance and informed decision-making.

On-Site IT Services:

In addition to remote monitoring and support, some situations may require on-site IT services. This could involve hardware or software installation, troubleshooting complex technical problems, or providing physical security for IT equipment.

Managed Backup and Recovery:

This service ensures your critical business data is backed up regularly and can be recovered quickly in case of a disaster, such as a hardware failure, cyberattack, or natural disaster.

Remote IT Infrastructure Monitoring:

This service is mentioned twice in the diagram. It essentially involves the same concept of keeping a watchful eye on your network performance and infrastructure health remotely.

Managed Security Services:

With the growing threat of cyberattacks, robust security is essential. Managed security services encompass a variety of tools and technologies to safeguard your IT infrastructure, including firewalls, intrusion detection systems, and security software. MSPs can also provide security expertise and resources to manage these systems and keep your data protected.

On-Site IT Services:

On-site IT services are mentioned twice as well. The prior description applies here regarding the situations where a physical presence is necessary to address IT needs.

Commonly Used Managed IT Services

Basic IT services, like remotely managing servers, desktops, and mobile devices, have become a dime a dozen for managed service providers (MSPs). This fierce competition puts pressure on profits, forcing these companies to innovate and differentiate themselves.

One popular path to standing out is through managed security services. With cyber threats constantly evolving, businesses are hungry for robust security solutions. As a result, MSPs are either building their security expertise or partnering with security vendors to offer comprehensive protection.

The rise of cloud computing has also opened new doors for managed IT services. Some MSPs specialize in managing infrastructure as a service (IaaS), partnering with cloud giants like Amazon Web Services (AWS), Google, and Microsoft to provide a seamless cloud experience. Others might focus on managed platform as a service (PaaS) offerings or collaborate with software as a service (SaaS) vendors like Salesforce and ServiceNow to deliver specific solutions.

Looking beyond traditional IT, some managed service providers are venturing into the communication arena. For instance, they might offer managed IP telephony services, taking complete responsibility for a customer’s voice-over internet protocol (VoIP) system.

By specializing in areas like security, cloud, or communication solutions, managed service providers can escape the commoditization trap and offer unique value propositions to their clients.

Difference Between Managed IT Services and Cloud Services?

Managed IT services and cloud services, while often used interchangeably, address different aspects of your IT infrastructure. Imagine them as working together:

Managed IT Services:

This acts like your hired IT team, overseeing your existing IT systems (servers, desktops) on-site or remotely. They handle maintenance, security, monitoring, and user support, ensuring everything runs smoothly.

Cloud Services:

This refers to applications, storage, and computing power delivered on-demand over the internet. You access these resources remotely, like using webmail instead of storing emails on your computer.
While some MSPs offer cloud management services, they are distinct entities. Managed IT services focus on managing your entire IT environment, while cloud services provide access to applications and resources hosted remotely.

What is the Cost of Managed IT Services?

The cost of managed IT services can vary depending on several factors, making it difficult to give a one-size-fits-all answer. Here’s a breakdown of what typically influences the cost:

Service Package:

The specific services you require will affect the price. Basic packages that include remote monitoring and management might be priced per device (server, desktop, mobile) or per user. More comprehensive packages that include security services, cloud management, or other advanced features will naturally cost more.

Company Size:

Larger companies with complex IT infrastructure will typically pay more for managed services compared to smaller businesses with simpler needs.

Geographic Location:

Costs can vary depending on the location of your business and the MSP you choose. Rates might be higher in major cities compared to rural areas.

Contract Length:

Signing longer-term contracts often comes with discounted rates compared to month-to-month agreements.
Here’s a general cost range to give you an idea:

Per User Pricing:

$150 – $400 per user per month. This is a common pricing model for basic to mid-range service packages.

Per Device Pricing:

$20 – $400 per device per month. This can vary depending on the type of device (server, workstation, etc.)
Here are some resources to help you get a more accurate estimate for your specific needs:

Talk to Managed Service Providers (MSPs):

Contacting a few MSPs directly and requesting quotes based on your requirements is the best way to get a clear picture of pricing.

Online Cost Calculators:

Several websites offer online cost calculators for managed IT services. These can provide a rough estimate based on your input.

When evaluating cost, consider the value proposition beyond just the price tag. A reliable MSP like DigiOne registered on DesignRush can save your business money in the long run by preventing downtime, improving security, and boosting overall IT efficiency.

Advantages of Managed IT Services

Here are some benefits of Managed IT Services:

Cost Savings:

Managed services can be more cost-effective than hiring and training a full-time IT staff. You avoid overhead costs associated with salaries, benefits, and ongoing training for in-house IT personnel.

Improved Efficiency:

By outsourcing IT tasks to a managed service provider, your internal IT team can focus on core business functions and strategic initiatives. This frees up valuable resources and allows your team to contribute more directly to your company’s goals.

Enhanced Security:

MSPs have the expertise and resources to provide a more robust level of security for your IT infrastructure. They can implement advanced security solutions, monitor your network for threats, and ensure your data is protected.

Increased Uptime and Reliability:

Proactive monitoring and maintenance by an MSP can help prevent outages and ensure your IT systems are running smoothly. This translates to increased uptime and improved reliability for your business operations.

Access to Expertise:

Managed service providers employ a team of IT professionals with a wide range of skills and knowledge. By outsourcing your IT needs, you gain access to this expertise without the need to hire and retain these specialists in-house.

Scalability:

Managed services can easily scale up or down to meet your changing IT needs. As your business grows, your MSP can adjust the services you receive to accommodate your evolving requirements.

Peace of Mind:

Knowing your IT infrastructure is in the hands of qualified professionals allows you to focus on running your business. MSPs provide ongoing support and can address any IT issues that may arise, giving you peace of mind.

What are the Challenges of Using Managed IT Services?

Here are some challenges associated with Managed IT Services:

Vendor Lock-In:

Once you choose an MSP and integrate their systems, it can be complex and costly to switch providers later. Ensure the contract terms are flexible and allow for easy data migration if needed.

Loss of Control:

Outsourcing IT tasks can lead to a feeling of giving up some control over your IT infrastructure. Open communication and clearly defined Service Level Agreements (SLAs) can help mitigate this concern.

Security Risks:

Entrusting your data to a third-party vendor comes with inherent security risks. Conduct thorough due diligence on potential MSPs and ensure they have robust security practices in place.

Finding the Right Fit:

Choosing the right MSP is crucial for a successful partnership. Consider factors like the provider’s experience, expertise, and service offerings to ensure they align with your specific needs.

Hidden Costs:

Be wary of hidden costs that may not be readily apparent in initial quotes. Ensure a transparent pricing structure and a clear understanding of all potential fees before signing a contract.

Communication Challenges:

Effective communication is essential for a successful managed services relationship. Clearly define communication protocols and expectations to avoid misunderstandings or delays.

Integration Issues:

Integrating the MSP’s systems with your existing IT infrastructure can be complex. Discuss these potential challenges upfront and ensure the MSP has the expertise to handle seamless integration.

Performance Management:

Holding your MSP accountable for service delivery is crucial. Establish clear performance metrics outlined in the SLA and monitor the MSP’s performance to ensure they are meeting your expectations.
When evaluating cost, consider the value proposition beyond just the price tag. A reliable MSP like DigiOne can save your business money in the long run by preventing downtime, improving security, and boosting overall IT efficiency.

FAQs

DigiOne collects basic client information necessary to deliver our services effectively. This may include company name, contact details, and details about your IT infrastructure. We take data privacy seriously and ensure all information is kept secure.
DigiOne offers a variety of managed IT services that cover routine maintenance tasks. This can include server maintenance, software updates, network monitoring, and security patching, freeing you to focus on core business functions.
Traditional IT service providers might offer reactive support upon request. Managed service providers (MSPs) like DigiOne take a proactive approach, continuously monitoring your IT infrastructure and addressing potential issues before they disrupt your business.
The cost of our services depends on your specific needs and the services you choose. We offer flexible pricing models, including per-user, per-device, and tiered packages. We can provide a free consultation to discuss your requirements and provide a customized quote.
Cloud computing has opened new doors for managed IT services. DigiOne can help you migrate to the cloud, manage your cloud infrastructure (IaaS), platform services (PaaS), or integrate with Software-as-a-Service (SaaS) providers, ensuring a seamless cloud experience.
While we don’t directly offer application hosting, we can help you integrate with various application service providers (ASPs) or cloud providers that offer application hosting solutions.
Yes, DigiOne has expertise in working with major cloud providers like Amazon Web Services (AWS), Microsoft Azure, and Google Cloud Platform. We can help you choose the right cloud solution for your needs and manage your cloud infrastructure effectively.
DigiOne functions as a Managed Service Provider (MSP). Unlike contractors who might be hired for specific projects, MSPs offer ongoing management and support for your entire IT infrastructure.
By proactively monitoring and maintaining your IT systems, DigiOne ensures optimal functionality and performance. We identify and address potential issues before they cause downtime, keeping your applications and systems running smoothly.
DigiOne strives to deliver exceptional service quality while maintaining a healthy profit margin. We achieve this through efficient service delivery models, leveraging automation, and focusing on long-term client partnerships.
Some MSPs, including DigiOne, may offer managed voice services like Voice over IP (VoIP) solutions. We can manage your VoIP phone system, ensuring clear communication and optimal functionality.