One of the major benefits of an MSP arrangement is freeing up internal IT staff to work on initiatives that drive revenue and business growth.
There’s at least one very good reason to move some IT-related functions into the hands of an outside provider: Revenue.
A number of organizations are finding that managed services agreements are exceeding cost-savings expectations and covering essential needs such as tech troubleshooting, integration and cyber-security. CIOs and senior IT managers said managed services can provide a number of both strategic and ROI-boosting benefits, according to recent survey from CompTIA.
While the number of companies that rely on an outside IT provider is growing, customers’ usage is somewhat selective. Most companies are using an MSP for only a few applications, such as email hosting, customer relationship management (CRM) applications, storage, backup and recovery and network monitoring.
“While one-time projects account for some of these engagements, a significant portion is ongoing management of one or more IT functions by a managed services provider,” said Carolyn April, senior director, industry analysis, CompTIA, in the report. “There is a much higher degree of familiarity with the term ‘managed services’ and greater adoption.”
One of the major benefits of an MSP arrangement, however, is freeing up internal IT staff to work on initiatives that drive revenue and business growth.
“Very few companies get rid of their IT staffs because they contract with an MSP,” April said. “Especially among larger companies, bringing an MSP on board frees up the IT staff to work on more strategic projects. It elevates the IT staff and brings them out of the shadows within the organization.”
The CompTIA report also revealed:
*49% of survey respondents said their companies’ IT functions are either mostly or partially outsourced today.
*50% said they'll consider using an outside IT firm over the next two years if the need arises, while another 15% are evaluating the employment of an outside IT firm now.
*90% are either "mostly" or "very" satisfied with their managed services experience.
*93% said their managed services arrangements either met or exceeded cost-savings expectations.
Patrick K. Burke is senior editor of CIO Insight.