A managed service provider (MSP) is a business-to-business (B2B) company that manages IT-related systems and infrastructure for other companies.
“To innovate rapidly and run IT services across diverse hybrid multicloud environments with consistency and visibility, many organizations are turning to managed services providers.” — “Top 10 criteria for selecting a managed services provider” (IBM report)
Quick links:
What are managed services?
What does an MSP do?
What are some MSP examples?
MSP for cybersecurity
MSP for infrastructure
MSP for support and CX
How to choose an MSP?
A good MSP should help your business lower costs and increase efficiency across its systems and operations. Here are some of the areas an MSP can be of service:
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The term “managed services” refers to IT-related services that many enterprises outsource to third-party providers, known as managed service providers.
Here are some of the types of services that companies outsource to MSPs:
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The right MSP can make all the difference for your business. A good MSP should be dedicated to doing what’s right for your bottom line, as well as highly competent in their areas of specialization. We cover what to look for in an MSP below.
An MSP essentially takes the day-to-day management of key business functions and handles it on your behalf. Doing so can free up your people to focus on what they do best so that your business can thrive.
Here are some managed service provider examples to help you understand the range of what MSPs can provide. These represent amalgamations of different customers we’ve helped; names and other details have been altered.
Customer: a small e-commerce business
Service needed: cybersecurity management
Description: we referred the customer to a US-based cybersecurity firm with deep expertise in ecommerce security. The MSP helped protect the business from cyber threats and data breaches by providing 24/7 monitoring and threat detection, risk assessments, vulnerability scans, and incident response.
Customer: a growing technology company
Service needed: Colocation services
Description: after reviewing the customer’s requirements, we referred them to a data management provider. This MSP provided the technology company with colocation services, allowing them to securely store and maintain their servers in a state-of-the-art data center. The company was able to scale their IT infrastructure without incurring the capital expense of building and managing their own data center.
Customer: a large healthcare organization
Service needed: IT infrastructure management
Description: we connected the customer with a managed IT provider with deep knowledge of the healthcare industry. The MSP helped the healthcare organization improve their IT infrastructure, reduce costs, and increase efficiency.
Customer: a financial services firm
Service needed: disaster recovery as a service (DRaaS)
Description: after assessing the customer’s needs, we connected them with a DRaaS and data protection company that worked with the firm to design and implement a disaster recovery plan, and provided ongoing backup and recovery services. The firm had peace of mind knowing that there were measures in place to ensure business continuity and minimize downtime in the case of a disaster.
Managed service providers offer a range of services that help businesses protect their networks, systems, and data from cyber threats. These services can include:
By outsourcing security to an MSP, businesses can benefit from cost savings compared to hiring a dedicated security team, as well as the increased expertise of a specialist. MSPs can also provide 24/7 monitoring and support, which is critical for businesses that need to maintain availability and uptime.
In today’s landscape, where cyber threats are constantly evolving and becoming more sophisticated, partnering with an MSP for security can help businesses stay ahead of the curve and protect against potential threats.
Managed service providers offer a range of services that help businesses manage their IT infrastructure. These services can include:
Businesses can benefit from an MSP’s specialized expertise and technology, as well as cost savings compared to maintaining an in-house IT team. MSPs can also provide scalability, flexibility, and 24/7 monitoring and support, which is critical for businesses that need to maintain availability and uptime.
In today’s rapidly evolving technology landscape, where businesses need to stay agile and competitive, partnering with an MSP for infrastructure can help businesses stay ahead of the curve and meet their technology needs.
Many MSPs offer support services across IT and customer experience functions, including the following:
With the help of a support MSP, businesses can benefit from specialized expertise and technology, as well as cost savings compared to maintaining in-house customer experience and IT support teams. Overall, partnering with an MSP for support can help businesses improve their performance, reduce downtime, and increase productivity.
Many organizations are turning to managed service providers, but how do you select the right one? IBM’s “Top 10 Criteria for Selecting a Managed Services Provider” offers valuable insights on what to consider. We mostly agree, but have our own criteria to add, which we’ll share at the end of this section.
Here are the IBM criteria:
Here are the ones we’d add to the IBM list:
Let’s look at each in more detail.
A good managed service provider should have certified skills beyond basic operating system maintenance and availability management.
They should have experience in managing change, virtualization, high availability, middleware and databases, multiple network technologies, cross-platform integration, mobility, security, and cloud technologies.
Additionally, they should have the scalability and availability of staff with specialized skill sets, organized specialists that share knowledge, and communicate best practices.
A proactive managed services provider emphasizes problem prevention and continuous improvement rather than the traditional “break/fix” mentality. They should go beyond simple monitoring and device management and employ sophisticated technologies like advanced analytics that can drive incident prevention.
Look for technologies that provide sophisticated alert mechanisms, automated workload categorization and prioritization, automated incident escalation, and automated incident remediation.
DevOps methods, including continuous integration and delivery (CI/CD), are crucial to cloud-enabled IT transformation. A good managed service provider should implement agile DevOps methods to improve business processes and increase the pace of application development and business innovation.
“The right services partner will help your company minimize risk and cost while leveraging new and existing investments to innovate” —IBM
A good provider can simplify the implementation and management of modern infrastructure for rapid scaling, and effectively manage your application landscape. It’s also important that they provide you with visibility into the health of your infrastructure and the performance of your managed services, so you can identify and fix any problems quickly.
They should offer a security-rich web-based portal that consolidates related services into a single dashboard, providing access to real-time service visibility. The portal should be capable of managing IT services across diverse hybrid multicloud environments with consistency and visibility.
Today’s IT infrastructures are typically heterogeneous, hybrid environments of traditional IT, and public and private clouds from various vendors. A good managed services provider should have experience in working with multivendor, multicloud hybrid environments and relationships with leading vendors to help ensure availability today and visibility into product evolution paths and emerging technologies.
Choosing a managed services provider with global capabilities can position companies of all sizes for growth and expansion. Global delivery capabilities offer many advantages, including rapid implementation in new locations, effective management of customer projects that span operations in multiple countries, local-language support for branches or subsidiaries, and in-country location of resources and data to help address regulatory and legal requirements.
Many companies run workloads that simply can’t move to a public cloud, or don’t fit into the public cloud model. A managed services provider can provide a dedicated, private, managed cloud infrastructure that helps deliver a consistent, scalable, OpEx-based, as-a-service capability.
To preserve future flexibility, require that any prospective provider offer a thorough suite of managed services, including infrastructure and enterprise application management; managed security, resilience, and mobility; and managed hosting and cloud. Also, look for a provider that offers flexibility in doing business with you, such as giving you the option to retain your current equipment and, where it makes sense, your current processes.
If innovation and transformation are critical components of your business strategy, it’s important to consider the impact that sourcing relationships can have on a company’s core business model and corporate culture. A prospective managed services provider should have proprietary insights or experiences that can shed light on future technological or market shifts. They should have expertise, assets, reach, and partner networks that can help you develop new business.
A good MSP should be fired up to make sure your business succeeds. They will take the time to understand your business goals and align their services accordingly, continuously looking for ways to optimize your IT infrastructure. They will proactively come to you with recommendations for how you can save time, money, or both.
In contrast, an MSP that lacks passion may only focus on delivering the minimum service level agreement required, rather than going out of their way to make you succeed. This can result in missed opportunities for improvement.
MSPs should prioritize their client’s success over their own interests, even if it means going the extra mile or making difficult decisions. They will not hesitate to challenge their client’s decisions if they believe that it may harm their business, but they will also respect their client’s autonomy and work collaboratively to find the best solution.
MSPs that lack this mindset may be less likely to challenge their client’s decisions or offer honest feedback, even if it may ultimately harm their business.
MSPs should be easy to communicate with. They should be transparent in their communications and be willing to work with their clients to find solutions that align with their business goals.
MSPs that are not approachable or relatable may be challenging to work with and may not take the time to understand their client’s unique needs. This can lead to miscommunications and misunderstandings, ultimately resulting in suboptimal service delivery.
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When you work with us, you have a partner committed to doing what’s best for your business, with deep expertise, connections, and resources. Contact us today to discuss what’s going on in your business.
Cloud services and managed services are two distinct approaches to IT system and infrastructure management.
Cloud services are often offered through the internet and hosted on the servers of the cloud provider. They provide services such as infrastructure as a service (IaaS), platform as a service (PaaS), and software as a service (SaaS). Cloud computing services enable enterprises to gain access to scalable computer capabilities without the requirement for actual hardware or infrastructure. As a result, businesses can swiftly provision and deprovision resources as needed, without having to worry about hardware maintenance, upgrades, and updates.
Managed services, on the other hand, are often provided by a third-party supplier who manages and maintains a company’s IT infrastructure. This can entail overseeing the management of hardware, software, and network components, as well as providing ongoing support and maintenance. Managed services can be supplied on-premises or in the cloud.
The primary distinction between cloud and managed services is that cloud services supply the infrastructure and platform, whereas managed services manage and maintain the IT infrastructure. On the other hand, cloud services are more concerned with offering scalable computing resources, whereas managed services are concerned with providing continuing management and support for IT systems.
Another significant distinction is that cloud services are often charged on a usage-based approach, whereas managed services are typically charged on a fixed monthly cost or hourly rate. Furthermore, cloud services may provide better flexibility and agility, whereas managed services may provide greater control and personalization.
No, managed services and serverless are not synonymous. Managed services are outsourced IT services in which a third-party provider manages and maintains a company’s IT infrastructure and applications. Cloud computing, data storage, network monitoring, and security are examples of such services.
Serverless, on the other hand, is a model for developing and running applications that does not require the use of dedicated servers. In serverless computing, the cloud provider manages the allocation of computing resources dynamically and charges the user only for the time spent using the service.
While both managed services and serverless computing can be used to increase IT efficiency and lower costs, they are distinct ideas with distinct objectives and benefits.
The three types of cloud platform services are Infrastructure as a Service (IaaS), Platform as a Service (PaaS), and Software as a Service (SaaS).
AWS is not typically considered a managed service provider in the traditional sense. While they do offer a wide range of cloud-based services, including infrastructure and application management, they are primarily known as a cloud computing provider.
Microsoft 365 is not considered a traditional MSP. Instead, it offers a suite of cloud-based services that includes email, productivity tools, and collaboration solutions. Microsoft also offers a range of services, such as cloud migration and data management, to help organizations optimize their use of these services.
Azure can be considered an MSP of sorts as it offers a wide range of cloud-based services, including infrastructure and application management. In addition, Azure offers a range of managed services, such as security and compliance management, to help organizations optimize their use of these services.
Salesforce is a managed service provider in the traditional sense. While they do offer a range of cloud-based services, such as customer relationship management (CRM) and marketing automation, they are primarily known as a software as a service (SaaS) provider. However, Salesforce does offer a range of managed services, such as consulting and support, specific to their SaaS offering.
A fully managed service is a managed service provider (MSP) solution that offers full management and support of an entire IT system.
This might range from the installation of hardware and software to continuous maintenance, upgrades, security, and troubleshooting. The MSP assumes complete responsibility for the seamless running of the IT environment with a fully managed service, allowing the customer to focus on their core business tasks.
Small to medium-sized enterprises that lack the resources or skills to maintain their IT infrastructure in-house frequently use this type of service. It can also be a cost-effective choice for larger businesses wishing to outsource specific IT services in order to free up internal staff.
The specifics of a fully managed service vary based on the MSP and the customer’s demands, but they often include proactive monitoring and management, regular reporting, and 24/7 assistance.
A managed service often includes continuous monitoring and management of IT systems, proactive problem-solving, regular maintenance and updates, access to expert assistance, and, in some cases, some amount of customisation to match the customer’s specific needs.
The service provider is responsible for providing these services, which are often outlined in a service level agreement (SLA) that specifies the scope of services and the expected standards of performance.
A managed service’s purpose is to provide a greater degree of IT support and maintenance than a firm could do in-house, while still allowing the customer to focus on their core business activities. To deliver the service, the service provider often employs a combination of automated tools, industry best practices, and skilled individuals.
Managed services offer several benefits to businesses, including:
Managed services are generally divided into three levels:
An MSP monitors, manages, and maintains a customer’s systems, including IT infrastructure, applications, and security. This can include basic maintenance and updates as well as more complicated duties such as data backup and disaster recovery.
The MSP employs cutting-edge tools and processes to optimize performance and availability of the customer’s IT environment, while also offering predictable prices and freeing up internal IT workers to focus on more strategic objectives.
The MSP provides visibility into the customer’s IT operations and the value of the services delivered. An MSP’s specific services can vary depending on the customer’s needs and the MSP’s capabilities. They can include a range of services from remote monitoring and management of IT systems, to software engineering and artificial intelligence solutions.
The three main types of technology services are Infrastructure as a Service (IaaS), Platform as a Service (PaaS), and Software as a Service (SaaS).
In healthcare, managed services relate to the outsourcing of certain operations and management to a third-party supplier. These services can include customer support, workforce management, information technology (IT), cybersecurity, database management, and much more. Engaging an MSP allows healthcare organizations to concentrate on their primary business of providing patient care.
Network management, data backup and recovery, vendor management, security management, application management, human resource assistance, cloud management, and helpdesk support are examples of managed services in healthcare. These services are supplied by specialized MSPs with healthcare industry experience and knowledge of the unique difficulties and requirements of healthcare IT.
Healthcare MSPs provide healthcare organizations—both private corporations and public sector organizations—with access to dependable, secure, and high-performing IT systems that support their operations, improve patient outcomes, and meet regulatory requirements. Healthcare firms can save money, enhance productivity, and deliver better patient care by outsourcing their IT operations to a qualified managed services provider with deep expertise in the healthcare industry.
There are a wide range of MSPs available for everything from IT to digital business transformation to international trade and supply chain management to customer experience to business automation.
Here at Symplicity, we connect you with the best MSP for your needs—and we usually save you a bundle of money in the process!
MSPs can drive cost savings in a number of ways. By providing proactive maintenance and support, MSPs can help reduce downtime and minimize the risk of costly outages. Additionally, MSPs may offer subscription-based pricing models that can help organizations better manage their IT budgets.
MSPs can help businesses improve their supply chain management, reduce costs through subscription-based pricing models, and implement secure access service edge (SASE) solutions.
SLAs, or service level agreements, are contracts that outline the specific services to be provided by a managed services provider. These agreements can help establish expectations and ensure that both the provider and client are on the same page when it comes to service delivery and performance.
Yes, government agencies can benefit from managed services. MSPs can provide specialized expertise in areas such as security, asset management, and international trade. Additionally, MSPs may offer partner programs that allow government agencies to take advantage of specialized solutions and services.
Digital transformation refers to the process of using digital technologies to fundamentally change how organizations operate and deliver value to customers. MSPs can help support digital transformation initiatives by providing expertise in areas such as artificial intelligence, software engineering, and remote monitoring and management.
MSPs can help organizations manage their IT assets by providing proactive maintenance and support, as well as monitoring and reporting on asset utilization. Additionally, MSPs may offer asset management solutions that help organizations track and manage their hardware and software assets.
A chief information officer (CIO) is a senior executive responsible for the strategic direction of an organization’s IT operations. CIOs often work closely with MSPs to ensure that their IT infrastructure is aligned with the organization’s overall business goals and objectives.
A secure access service edge (SASE) solution is a cloud-based security model that combines network security functions with WAN capabilities to provide secure remote access to cloud applications and services. MSPs may offer SASE solutions to help organizations better manage their remote workforce and protect against cyber threats.
A pricing model is a method of charging for goods or services. MSPs may use various pricing models, such as subscription-based models or pay-per-use models, to help organizations better manage their IT budgets and costs.