What Is a Managed IT Service Provider?

Keeping up with the latest advancements and innovations in information technology (IT) is essential for organizations. However, updating and maintaining IT infrastructure and security requires in-house experts to invest substantial time and effort.

A managed service provider (MSP) is a third party providing invaluable support and expertise. They offer a range of service offerings aimed at helping organizations optimize their technology operations. Many small and medium-sized businesses can use a cost-effective managed IT service provider to manage their IT infrastructure and adopt new technological processes.

What are IT MSPs Used For?

IT managed service providers offer regular maintenance and support for their customers’ networks, applications, infrastructure, and security. They manage services on-site, in their data center, or through a third-party data center like a cloud-based CRM.

Their services help organizations improve their technological capabilities to meet their business objectives:

• Remote Monitoring and Management (RMM): Monitoring and managing a company’s network remotely ensures smooth operations for networking monitoring issues like overloaded routers or connection issues. The MSP manages data flow between on-premise and cloud servers.
• IT Disaster Recovery: This service backs up important data and ensures that it is recoverable in the event of data loss, natural disasters, or business disruptions like cyberattacks and mass staff departures. IT disaster recovery ensures business continuity for the organization to regain access and functionality to its data.
• Technical Support: Managed service providers solve common IT issues for users, such as forgotten passwords, printing problems, or difficulties logging in. When a user has a problem, they can send a service ticket to the provider, who prioritizes tickets based on its urgency related to critical data loss.
• Cloud Service Setup and Maintenance: MSPs help companies transition their IT infrastructure to the cloud. They also provide security solutions and services to help protect cloud systems from cyber threats and data breaches.
• Email Access and Management: Managed IT service providers set up, monitor, maintain, and support email systems to ensure accessibility and availability. For example, they offer email retention policies and when to delete old emails to free up server space.
• Vendor Management: MSPs can help businesses identify their IT needs, find suitable technology vendors like managed print service, hosted phone and internet providers, and manage business relationships with these vendors.

How Do IT MSPs Work?

An MSP’s pricing model, service scope, and size and complexity of its IT infrastructure determine how it operates with your business. You should consider how these factors affect your IT infrastructure when choosing a pricing model:

• Number of Users: The amount you pay a managed IT service provider depends on the number of users in your organization. The more users you have, the more you will likely pay for them.
• Number of Devices: Consider the number, type, and location of company devices you must manage for your employees. For instance, when you add more servers to your network, you need more support to manage and secure it.
• Number of Business Locations: When you have more offices, the cost of the services from your managed IT service provider increases to meet each location’s needs. The IT management cost of a small business might be lower than that of a large company with multiple locations because they have fewer employees.
• Number of Remote Employees: Your company should consider additional remote technical support if its employees access its servers remotely through their devices. Managed IT Services will also cost more if you add extra network security measures for your remote workers.
• Amount of Data for Storage and Backup: If your company keeps a large amount of data, this affects your pricing with an MSP. Service costs increase with more data and equipment.

IT MSPs must offer transparent pricing so that their clients can see which have customized pricing or standardized models to meet their IT concerns:

• Break-Fix Models: In a break-fix business model, providers charge companies for each infrastructure issue they resolve. This billing model may be best for a business that needs to address specific issues like downtime.
• Subscription Model: Companies pay a monthly or annual fee to MSPs. This fee covers the cost of ongoing IT support, infrastructure management, and other services.
• Per Device Cost: The MSP charges companies per device, so they only pay for each person in their office who uses the technology. This model can work for companies due to its flexibility and adjustment when adding or removing devices for users.

What are the Benefits of IT MSPs?

An IT MSP enables you to continue business operations with few disruptions. They offer the following benefits:

Minimize Business Disruptions

Dun & Bradstreet reported that nearly 60 percent of Fortune 500 companies experience 1.6 hours of downtime every week. When your business suffers from unplanned downtime, it costs you 35% more per minute than planned downtime. Choosing managed IT security services means partnering with a team that knows what to look for and is proactive about protecting your IT systems.

High Cost-Effectiveness

Working with a managed IT security provider can be a cost-effective solution for companies looking to secure their IT infrastructure. These providers ensure that your systems, software, and other technologies are current and can adapt to the evolving needs of your business. You can save time and money by using a managed IT security provider instead of hiring in-house IT workers.

Access to IT Experts

Your IT MSP provider will have a team of trained and certified IT experts who stay up to date on your company’s most cutting-edge cloud computing solutions. The provider’s team understands regulations like HIPAA, Sarbanes-Oxley, and PCI to protect sensitive data from cyberattacks and disruptions. Their 24/7 remote and on-site support allows you to get assistance whenever needed.

Is an IT MSP Right for Your Business?

Figuring out if an IT MSP is appropriate for your business requires assessing your company’s IT needs and the employees who rely on them. National Technology Management (NTM) can work with you to understand how our services can best secure your company’s network and infrastructure.

Contact us today to learn more about how IT Service Management can benefit your business.

FAQs:

What’s the Difference Between a Co-Managed or Fully Managed MSP Plan?

A fully managed plan outsources all IT services needs to the IT MSP and provides the latest tools and best practices for optimal security and performance without the need to manage internal IT staff. The co-managed plan provides additional IT assistance for businesses with internal IT staff to address issues and set up a risk monitoring system.

How Does a Service Level Agreement (SLA) Work for MSPs?

A service level agreement (SLA) describes the level of IT services an MSP will provide and the cost of those services. The SLA details the IT management costs based on the number of managed devices, users, and the length of the contract. You will receive a detailed explanation of the SLA from your IT MSP.

Can an IT MSP Scale With the Growth of My Business?

An IT MSP can scale quickly and smoothly to accommodate the growth of a business. The MSP’s processes, products, and services are designed for rapid scalability to ensure that the business receives the necessary IT services.