Top Benefits of the Managed Services Model

The Managed Services Model takes outsourcing to a higher level. Simply, it means outsourcing an entire IT department to a Managed Services Provider, not doing a single tech task in house. This means no staff, no programs not covered by the outside provider. If you are considering outsourcing IT support like this, here are some of the benefits you can expect.

What is a Fully Outsourced Managed Services Model?

A Managed Services Model, also called a “fully outsourced model” is a specific kind of outsourcing that covers absolutely all IT functions. Many times, it is the next strep from a simple augmented staff solution that just assists an IT department to taking over it completely. In a Managed Services Model, the provider takes over all the decisions that have to do with technology as long as they are within the parameters the business has set. The only role of the business is to review these processes.

The Managed Services Model Shifts Risk

Businesses who run their own IT departments assume all of the risks associated with it. That means if a program doesn’t work, data is lost or a system breaks down completely, it is up to the business to fix it. This could mean wasted hours, costs and other consequences. In a Managed Services Model, the provider takes over all these risks. If technology is damaged, physically or otherwise, the Managed Services Provider (MSP) has the responsibility to repair it. This means the business never has to worry about IT support working.

The Managed Services Model = Fixed Monthly Costs

Running an internal IT department might sound like a basic cost: pay for a few programs each year and add in salaries for each employee in the department. Unfortunately, technology rarely exists as a fixed variable. Upgrades for programs come out constantly, hardware breaks down, and Murphy’s Law happens. A Managed Services Model can guarantee a fixed cost. That means month-to-month a business will always know exactly how much they need to budget on IT with the Managed Service-Provider Model.

Knowledge Retention

Knowledge retention stems from the concept that many companies “lose knowledge” over time by changing employees. When someone leaves or retires, important processes and other information they know about the company disappears. A Managed Services Model can increase knowledge retention. Since the IT department is run by an outside company, there is no employee turnover. Also, an MSP will keep on file not just information about your company but expertise they have gained through other clients as well.

Leverage the Managed Services Model and Focus on Core Business Goals

A Managed Services Model can make it easier for a company to focus on its core business goals in two ways. The first is to free up the rest of the employees and the owner from any IT concerns. The second is that this model is made to work towards long term deliverables. This means the MSP can weed out any extraneous processes that do not help the company reach its goals. This streamlines the IT department and increases overall efficiency.

For companies considering MSP Services, a fully outsourced model can be a highly effective system. This model is a completely hands off approach that works only towards the company’s primary goals. This article has covered some of the remarkable benefits in a Managed Services Model.


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