If your business is exploring outsourcing options to free up time, cut costs, and lighten your workload, you’ve likely come across the terms “managed services” or “managed IT services.” But what exactly are they, and how do they differ? More importantly, which one should you choose to meet your company’s unique needs? Let’s talk about it!
Managed Services vs Managed IT Services
Before we get into the nitty-gritty, let’s first define these terms.
What Are Managed Services?
Managed services refer to the practice of outsourcing specific business functions or processes to a third-party provider. These services can encompass a wide range of business operations, including IT, but are not limited to technology-related tasks.
Examples of managed services include:
- Human Resources management
- Customer support
- Supply chain logistics
- Accounting and financial services
What Are Managed IT Services?
Managed IT services are a subset of managed services that focus specifically on information technology support and infrastructure. Managed IT Service Providers (MSPs) offer a comprehensive suite of technology-related solutions, including:
- Network monitoring and management
- Cybersecurity
- Data backup and recovery
- Help desk support
- Cloud services management
The Key Differences
The main key differences between the two services include the following:
- Scope of Services: Managed services cover a broad range of business functions, while managed IT services specialize in technology-related tasks.
- Expertise: Managed IT service providers offer specialized IT knowledge and skills, whereas general service providers may have expertise in various business processes.
- Proactive Approach: Managed IT services typically employ a proactive strategy, continuously monitoring and maintaining IT systems to prevent issues. Traditional managed services may be more reactive in nature.
- Service Model: IT services often operate on a subscription-based model with ongoing support, while some managed services might be project-based or on-demand.
7 Benefits of Managed Services for Businesses
Managed services, in general, offer a range of perks that appeal to organizations across industries. Here are the key benefits:
1. Cost Efficiency
Managing specific functions in-house can become expensive over time. Building an internal payroll or marketing team, for instance, requires hiring, training, salaries, and resources. Managed service providers can reduce these costs by providing expert assistance at a fraction of the investment.
2. Scalability
Managed services are designed to grow alongside your business. Whether you’re a startup with evolving needs or a mid-sized organization expanding into new markets, service providers can scale their solutions as required. Instead of hiring additional staff or implementing new systems in-house, you can simply lean on your provider. Research has shown that a lack of scalable solutions can lead to a hefty loss for businesses, ranging anywhere from 8% to 28% of overall revenue.
3. Reduced Risk and Compliance
Many managed service providers have deep expertise in regulations specific to their focus area, such as tax laws for payroll providers or privacy laws for customer service providers. Partnering with them helps businesses stay compliant with local regulations while reducing risks associated with legal or regulatory oversights.
4. Constant Monitoring
Managed IT service providers offer all of the above plus 24/7 active monitoring of your critical IT systems. This means they detect and address potential issues before they escalate into costly failures. Monitoring can prevent outages, downtime, and long-term damage to your IT infrastructure.
5. Proactive Security
Cybersecurity threats are constantly evolving, and businesses need layers of protection to stay ahead. Long gone are the days of reactive support where reconciliation only happened after the damage had been done. Managed IT services include proactive security solutions such as firewalls, anti-virus software, endpoint protection, and advanced threat detection tools.
6. Reduced IT Costs
Maintaining an in-house IT team can be expensive. Salaries, benefits, training, and access to the latest technology stacks quickly add up. Managed IT services enable businesses to access top-tier IT solutions and expertise without taking on the high costs of an internal IT department.
7. Expertise on Demand
Managed IT providers bring years of expertise to the table, offering access to experienced professionals for specialized projects like cloud infrastructure migration or ERP implementation. The breadth of expertise they bring often surpasses what a small in-house team can deliver.
Choosing the Right Solution
When deciding between managed services and managed IT services, consider the following:
- The specific needs of your business
- Your current in-house IT capabilities
- The level of technological support required
- Your budget and long-term business goals
For businesses seeking comprehensive IT support, managed IT services offer a more specialized and technology-focused solution. However, if your needs extend beyond IT, a broader managed services approach might be more suitable.
To make an informed decision, it’s advisable to consult with experienced providers who can assess your unique requirements and recommend the most appropriate solution for your business.
Take the Next Step Today
Whether you’re looking to outsource IT operations, enhance cybersecurity, or gain peace of mind knowing experts have your back, Alt-Tech has you covered. Our managed IT services combine cutting-edge technology with personalized expertise to help your business thrive.
Contact Alt-Tech now for a free consultation and learn how we can help optimize your operations today.