MSPs, or managed IT services providers, are companies focused on outsourcing the Information Technology sector within an organization. These services can include infrastructure, management, and systems used by the company.
The main objective of this approach is to optimize internal business processes, improve competitive positioning, and add value to the business. Furthermore, it's a strategy that helps the company reduce costs and increase its profitability.
Depending on the business needs, a company can contract managed or co-managed IT services. However, which is the best alternative for your organization? See what we will discuss in this article.
- What are managed IT services?
- Pros and cons of managed IT services
- What are co-managed IT services?
- Pros and cons of co-managed IT services
- Outsourcing IT services for businesses?
- How does full or partial outsourcing impact my business?
- Managed or co-managed services: which are the most outsourced?
- Managed or co-managed IT services: choose the best solution for your business
What are managed IT services?
As mentioned above, managed IT services refer to the outsourcing of tasks and processes within the technology sector . Through this, the company can ensure that all processes in this sector function as expected, without the need to hire a specialized team for this purpose.
Due to the benefits it provides, this strategy has become increasingly popular in the market . This is because, by outsourcing these services, it is possible to focus on tasks that are important to the business without worrying about technological resources.
MSPs enable the identification of potential improvements in information technology strategies and process enhancements. In this way, the company can establish an optimized customer relationship and service.
Understand better how this business model works for companies through this article.
According to a survey conducted by Zendesk in 2023, 40% of consumers indicate that interacting with a fully automated system can harm the relationship between customer and company, negatively impacting the customer experience.
Furthermore, this strategy helps improve the response to potential cyber incidents that disrupt business operations. Given the growing need for more secure alternatives, contracting managed IT services has become a safer and more efficient option.
Pros and cons of managed IT services
Every day, technological advancements provide increasingly efficient solutions to optimize processes and improve business activities. Certain projects within an organization require a large budget to ensure the best resources are available for their successful completion.
Outsourcing through specialized companies helps the company maintain focus on its core business tasks and ensures the best resources for day-to-day operations. Below are the advantages and disadvantages of contracting managed IT services for your company.
The advantages of managed IT services
Managed IT services can contribute to the growth and smooth operation of your company in several ways. Below are the main benefits of this strategy:
Less worry for the company
Managed services help reduce the need to worry about managing the company's infrastructure and technology resources . This allows companies to focus on their core business and leverage their business strategy. Since the contracted MSP will handle all the technology aspects, these resources will no longer be a concern for your employees, who can then focus on activities essential to the business.
No specific technical knowledge is required
Outsourcing these services allows your company to rely on a specialized team without having to hire your own. They help ensure the updating and security of all technological resources that are essential for the operation of your business.
Full services
By outsourcing technology services, your company can count on a team of specialized professionals to constantly monitor tools and mitigate threats. This team will be qualified to deliver all the services your business needs.
Reducing internal costs
The search for cost reduction is constant in companies of all sizes and sectors. Without the need to hire an internal IT team, organizations can save money and guarantee higher-than-expected returns.
Constant infrastructure and network upgrades
With modern and increasingly efficient solutions becoming available daily, keeping a company up-to-date is costly and complex. Hiring a specialized company will ensure that your organization has access to all the resources necessary for good performance and the appropriate level of security.
The contracted company will have a specialized team fully focused on the technology sector , so your company will have access to the most modern resources available on the market. The goal is to ensure that your business has access to the most innovative tools and strategies in the sector.
Disadvantages of managed IT services
Less control
Since all technology services are performed by a third-party company, the contracting company has less control over the IT strategy. However, it is essential to remember that, although the contracted company provides guidance on the IT strategy, the details are still the responsibility of your company.
Your company will not be prepared for an immediate response
Since all technology processes are handled by the contracted company, organizations will lack the resources to deal with immediate demands. For this reason, it is crucial to hire a company that offers quality support resources to ensure your business has all the necessary support in case of emergencies.
There are no internal staff available to handle IT issues
Since no specialized employees were hired to perform technology services, the company will have no one to turn to in specific situations. If any problem arises, it will be necessary to contact the contracted MSP to obtain the appropriate support.
What are co-managed IT services?
Co-managed IT services are a solution developed to address the disadvantages of contracting a managed service and deliver a more customized alternative for companies that want to maintain an internal IT department but also outsource certain services. In this way, these companies can combine external and internal resources so that the company has the collaboration of an MSP without losing control of its technology sector.
Thus, companies are able to operate in a consolidated manner to provide balance and internal control of technology tasks, relying on specific technical knowledge and support from external specialists to provide assistance whenever necessary. This combined effort allows for assertive and differentiated control.
Pros and cons of co-managed IT services
Based on what has been said previously, we can understand how co-managed IT services can provide a partnership process that allows the company to access all the benefits of MSPs without losing strategic control. Below are the main advantages and disadvantages of this service for your organization:
The advantages of co-managed IT services
Continuous collaboration
Considering that co-managed IT services provide an empowering process for organizations, your company's employees will have a more assertive involvement within the IT strategy. In this way, your team will be able to handle day-to-day technical demands without needing to request external support.
Increased flexibility
The support provided by a co-managed IT services company allows for adaptable support. This ensures the entire process is tailored to meet the specific and personalized needs and demands of each business.
All the demands and needs of your company are established according to the real needs of the business, so that only what is truly indispensable is contracted.
Internal IT team
Unlike managed IT services strategies, this solution allows your company to maintain an internal team to provide day-to-day support and resources. Because of this, your company will always have emergency support for immediate technical situations, as well as specialized technical support to ensure maximum availability and efficiency of processes. While your employees handle day-to-day tasks, the MSP provides support for emergencies and more specific strategies.
Cost reduction
Considering that the IT strategy demand is divided between your company and the contracted company, managed IT services usually cost less than fully managed services . The investment amount will depend on the number of customized services included in the contract.
Specialized support
Even if your company maintains an internal IT team, it's also possible to count on qualified support whenever the company needs it. This way, your business can rely on greater technical expertise to address specific demands and day-to-day challenges.
Disadvantages of co-managed IT services
Considering that each solution aims to meet a specific demand, there are some drawbacks to managed IT services that should be considered before adopting this solution:
Increased responsibility
Since not all services are outsourced, companies need to assume some responsibility regarding the control and management of this sector . For this reason, the entire communication and management process must be coordinated to maintain a transparent relationship. Collaboration ensures a more assertive decision-making process.
Structure reduction
It's important to remember that outsourcing certain technology processes leads to a reduction in structure and controls. For this reason, a lack of resources can pose a challenge in managing IT processes. Part of the infrastructure will be provided by the contracted company, sometimes requiring support to resolve specific situations.
Increase in internal costs
Considering that some tasks will need to be performed internally, it becomes necessary to hire and train a specialized team to maintain the routine. Thus, contracting a co-managed IT service, despite allowing the outsourcing of several activities, may require investments in a skilled team.
Outsourcing of IT services by companies
The emergence of new technologies and specific demands in the technology sector has made IT service outsourcing a viable and economical alternative. Currently, most companies depend on technological resources to remain operational, and maintaining this service can be challenging.
Therefore, managed and co-managed IT services have gained visibility. Contrary to popular belief, this strategy is not exclusive to large companies. Considering the increase in cyberattacks, it is essential that all businesses protect themselves and have advanced technological resources.
For this reason, to avoid the large investment required to keep technology infrastructure constantly updated, outsourcing becomes an efficient alternative. Managed IT services, as well as co-managed services, strengthen the security strategy and ensure the protection of data and information handled daily.
How does outsourcing IT, whether fully or partially, impact your business?
Outsourcing IT resources is a strategy that not only reduces costs but also provides excellent cost-effectiveness. In addition to savings, IT outsourcing, whether total or partial, offers advantages such as:
- Process optimization: Outsourcing services brings intelligence and efficiency to work routines, allowing the internal team to deliver more complete solutions in record time.
- Anticipating problems and solutions: Unlike a traditional problem-solving approach, outsourcing IT services helps establish a proactive approach, with constant monitoring to identify and resolve problems in a shorter timeframe.
- Effective monitoring of the entire IT infrastructure: Outsourcing allows for continuous monitoring of new technologies without the need to invest internal resources.
- Focusing available resources on the core business: Even with partial outsourcing, it's possible to direct the team's efforts towards the company's strategies, developing and implementing solutions for business growth without worrying about all the technology-related services.
- Constantly adapting to market needs: The outsourced company, using modern solutions, helps the company to quickly adapt to market changes, achieving a competitive advantage.
- Increased productivity among employees: With systems functioning as expected, employees can focus on their tasks, increasing efficiency and productivity.
Managed or co-managed IT services: which are the most outsourced?
The type of service to be contracted depends on the company's specific strategies and needs. Businesses without an internal technology department generally require a complete managed services contract, while companies with their own departments may co-manage only some tasks.
In this sense, we understand that the ideal service model depends on the company's reality and demand. It is possible to customize a solution according to the business needs, providing greater efficiency and productivity.
In the case of managed IT services , the MSP provides all IT infrastructure management solutions, including hardware, software, and all network infrastructure to keep services running.
In the case of co-management, a partnership is established between the company and the MSP. In this case, the contract is customized according to the business needs and the demands presented by the IT sector.
Differences between Help Desk, Service Desk, and Field Service
When dealing with support, it's necessary to determine the organization's actual needs and priorities. With so many terms describing similar solutions, understanding the differences and choosing the best strategy is crucial.
Help desk
A help desk is a support service focused on day-to-day problems, such as printer configuration, internet issues, email setup, and simple software or hardware changes. It's usually performed remotely, using remote access to reduce workload and allow specialists to focus on more important tasks. When the service is not of low complexity, it is escalated to the service desk.
Service desk
Service desk support is geared towards more complex needs that require a more specialized agent. Handling security issues, system access problems, and other issues that can hinder business operations, service desk support can be provided remotely, as long as an interface is available.
Field Service
This support layer is provided in person and relates to supporting devices or requests that could not be addressed in the first two layers. This support is more specific and is usually carried out by a trained and specialized team.
Managed IT Services versus Co-managed Services: Choose the best solution for your business
Now that we've covered the main differences between managed and co-managed services, it's easier to understand which solution best suits your company's strategy. It's crucial to consider the actual technological needs of your business and which resources can be outsourced to a third-party company.
The main objective of the outsourcing strategy is to ensure greater organizational efficiency and resource control. With the help of managed and co-managed IT services, your company can establish a more strategic and efficient demand, reaching a new competitive level.
By opting for a fully managed solution, such as an IT management service, your company eliminates the need for an internal technology team. Considering that hiring employees for an internal IT team entails various costs and challenges, outsourcing can be an ideal solution.
Through managed IT services, businesses reduce costs, have access to qualified specialists, and ensure the best solutions on the market. Even if your company doesn't have IT professionals, the contracted MSP can provide comprehensive reports to guarantee access to all necessary information.
When contracting a co-managed solution, it's important to remember that your company needs an internal IT team for collaboration. The co-managed company provides services and resources to complement your IT strategy, ensuring your company operates with the best solutions on the market.
Through the co-managed solution, your company's IT team will have all the essential resources and tools to deliver greater efficiency and productivity. The MSP's responsibility is to provide all the necessary enhancements so that your business can build a complete and effective IT department.
Below are some key differences that need to be understood regarding managed IT services and co-managed solutions:
Software patch
Software updates are crucial to ensuring that the resources used by the company remain secure against the strategies employed by cybercriminals. Both managed and co-managed IT services offer an appropriate strategy to guarantee the updating of the systems and software used by your company. The focus is on correcting vulnerabilities and strengthening the security strategy.
Data backup
Maintaining a backup process is fundamental to ensuring that the company remains operational even after a cyberattack or data loss. Through managed IT solutions, MSPs manage and establish a backup protocol to maintain a secure copy of your company's essential data.
In the case of co-managed services, it's necessary to adopt a collaborative strategy with the company to ensure regular backups of your information. This is because all services provided by a co-managed strategy must be customized according to your business needs.
Remote access
Both managed and co-managed IT services offer the possibility of remote access to increase flexibility and provide greater efficiency to processes. In the case of managed IT services, MSPs have a team for problem resolution and support. In the case of co-managed services, operations are integrated with remote access to allow for a continuous collaboration process.
Software and Security Solutions
Implementing security features for your company is fundamental in both managed and co-managed IT services. In the case of a fully managed solution, the installation of security systems and software is carried out by the contracted MSP
In the case of a co-managed solution, it is essential that there is a collaborative process between your company's team and the MSP to establish the security layers that are appropriate to your organization's needs.
Digital Security and Internet Access Control
Regardless of the strategy used by your organization, it is essential to have security resources that help increase the protection of information within your company. One of these resources is internet access control.
Considering the numerous websites and applications that can hinder your company's operations, access control becomes an indispensable strategy. Blocking unwanted content will help your company stay protected and prevent threats from damaging devices and impacting results .
Digital security solutions for MSP partners
Managed IT services (MSPs) help in carrying out technology sector activities, providing your company with the best infrastructure and management. For this reason, outsourcing has gained prominence in the market, being adopted by companies in various segments seeking to optimize their resources and ensure an innovative strategy.
MSPs are constantly seeking security solutions to offer their clients and partners. Lumiun has developed complete and customized tools that optimize security and guarantee the best solution on the market.
Considering all the losses that can affect your business and your image in the eyes of the competition, investing in security is more than necessary. Adopting more comprehensive digital security solutions is fundamental for businesses that intend to remain competitive and offer the best resources to their partners and consumers.
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