What are managed services? Does it offer any benefit to businesses? Not many business owners may be aware of this concept, but it’s something worth considering. It is the practice of outsourcing processes and functions vital to the operation of a business. It serves as an alternative to the fee-for-service method of outsourcing, wherein the services are on an on-demand basis. In this kind of setup (managed), the services are available all of the time, forming an integral part of the operation of a business.

IT support is one of the best examples of managed services. Some companies outsource their support services for many reasons and with the following advantages considered.

No need for additional equipment

Using managed services comes with the advantage of not needing to buy new equipment. The purchase of new hardware is not something many businesses can afford. It’s a capital expenditure that may require companies to take a loan or sacrifice other investments or plans. By using managed services, the high cost of hardware purchase is avoided without sacrificing IT capabilities. Additionally, businesses won’t have to worry about allocating office space for the equipment.

No need for additional employees

Because the purchase of expensive equipment is avoided, it becomes unnecessary to hire more people to operate and maintain the equipment. Managed services are often easy to set up, so technical expertise is not required. There’s no need to spend on the training of personnel to handle IT services. Businesses avoid not only the salaries they have to pay for the additional staff. They also save on employee benefits.


Without on-site equipment to house and operate, companies get to eliminate maintenance expenses. There’s no more need for ventilation or air-conditioning systems to make sure the equipment doesn’t overheat. There are no software licences to purchase, no cybersecurity solutions to install. Updating software and obsolete hardware are also unnecessary.

Lower costs, greater efficiency

The non-need for new hardware and employees, as well as the zero-maintenance operation of managed services, create the benefit of lower capital and operating costs. This benefit leads to a cost-efficient business operation, which entails higher profitability. It’s like hitting two birds with one stone, as companies reduce expenses while boosting efficiency in the process. This advantage is not just about being pecuniarily efficient. Businesses also benefit from the efficiency brought about by not having to spend time and resources learning the technical skills necessary to use IT hardware and software.

Instant expertise and experience

Moreover, managed services offer the advantage of using solutions that are backed by years of experience and high-level expertise. If companies were to invest in their own IT equipment, software, and personnel, it would take time before the IT team can achieve the knowledge and experience that can match what managed service providers offer.

There’s nothing wrong in establishing in-house IT capabilities. However, for the sake of efficiency, it’s worth giving managed services a second look. The advantages listed above are good enough reasons to try managed IT solutions.

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