What would happen tomorrow if modern technology ceased to exist? In 2023, businesses are heavily reliant on technology and data as a means of productivity. Without it, many of the processes and procedures on which our day-to-day operations rely would come to a grinding halt. For these reasons, the modern IT team is no longer just a service centre for troubleshooting—they’re highly critical, strategic contributors to business strategy, efficient operations, and digital transformation.
Over the past few decades, the pace at which technology changes and data proliferates has continued to heighten. As a result, IT teams are challenged to keep up with everyday duties while also leading strategic change initiatives. That’s why many IT teams have turned to outsourcing.
According to this ISG Index report, IT services make up 72% of all global outsourcing contract values. If those statistics aren’t telling enough, consider these—
- 92% of G2000 companies use IT outsourcing [ISG]
- 83% of IT leaders are considering outsourcing IT security [Syntax]
- IT outsourcing spend is predicted to hit $519 billion in 2023—a 19% increase from 2019 [Deloitte]
These staggering numbers tell us that there is inherent value in IT outsourcing, and it’s only projected to grow into the future. Businesses that can get ahead of the trend and find those right-fit contracts, empowering their IT team with the support they need, will be better set up for success in the long run.
What is IT Managed Services?
In contrast with professional services, IT managed services are typically packaged offerings from your IT service provider that include ongoing, contractual support services based on your organization’s unique needs. Within your Managed Services package, you might have several facets of IT under management ranging from managed backup, to security, patching and so on.
Typically, your IT Managed Services Provider (MSP) acts as a strategic business partner and extension of your IT team by providing services like—
- Ongoing systems maintenance and repairs
- Cloud-based information solutions (storage, backup, disaster recovery)
- Software licensing (i.e. Microsoft 365 subscriptions)
- On-demand and helpdesk support services
- Support with IT planning
- Security services (network monitoring and threat response)
- Support for special projects, and so on
Why choose IT Managed Services for your organization?
1) Cut costs
Deloitte’s Global Outsourcing Survey finds that cost reduction is the primary driver for business outsourcing (followed by flexibility and speed to market). There are several compelling reasons outsourcing facets of your IT will result in cost savings. Most notably, when you outsource more specialized IT functions to an MSP, you save yourself the cost of having to hire in-house resources with a unique skill set (such as expertise in cyber security). Essentially, you’re getting expertise on-demand—essential for organizations who don’t require full time access to those services.
There are also several less obvious but equally valid cost savings discovered when working with an MSP. For example, MSPs often approach your IT environment with a proactive and preventive approach rather than reactive and remedial. This minimizes organizational downtime caused by unexpected outages—leading to huge cost savings in the long run.
2) Focus on the big picture
Today, IT leaders have a critical seat at the executive table. It’s their job to guide digital transformation, lead major change initiatives, and protect the organization’s valuable assets from harm. While the IT team is tasked with spearheading those initiatives, they’re also often bogged down by the day to day. It’s difficult to stay focused on the big-picture strategy when there’s a backlog of help desk support requests. That’s where an MSP can alleviate the pressure—taking on the daily management and freeing up time for your IT team to get back to what matters most.
3) The IT talent shortage and access to expertise
IT experts and specialists in the field are increasingly hard to come by. A recent Gartner report states that IT executives cite talent shortages as the most significant barrier to adopting new technologies today. In Q1 of 2022, 3.5 million cybersecurity job postings remained open–a staggering number that highlights the extreme shortage of specialized skills in our industry.
Why does this matter for your organization? Skill shortages not only make it harder for businesses to find expertise when they need it, but it can also come at a steep cost. MSPs like IX Solutions can remediate these effects with a simple approach. We hire the specialists and fraction out their time based on your business needs. If you suddenly have a project that requires expertise in a specific technology, you can tap into our experts and “build your own IT team”—all at a fraction of the cost.
4) Build redundancy into your team
It’s not uncommon for mid-sized organizations to have limited IT resources. If someone becomes ill or takes time off for vacation, suddenly your perfectly capable in-house team becomes vulnerable to heightened workloads and other risks. Afterall, while you’re away on Christmas vacation, cybercriminals have the perfect opportunity to exploit your absence. With an MSP, you’ll build redundancy into your IT team that ensures minimal downtime and 24/7 coverage.
Are outsourced services right for your IT team?
Whether or not adopting a managed service model is right for your team depends on your organization’s IT infrastructure, the nature of the work you need outsourced, and other critical factors. If you’re looking for outsourced expertise for more project-based rather than ongoing initiatives, a Professional Services engagement may be a better fit.
If you need IT guidance, we’d love to hear from you. Tell us about your objectives and pain points and we’ll help you determine the next step forward.