It’s the survival of the fittest out there in the business world. Companies today essentially have two choices to keep up with the rapid pace of technological innovation and remain relevant: they can either hire and train new staff internally or partner with a Managed IT Services Provider (MSP).
In 2000, the global outsourcing industry was worth only $45.6 billion. According to CompTIA, a non-profit trade association responsible for issuing professional certifications for the information technology industry, the managed services market is expected to grow to $193 billion by 2019, which means more companies than ever have decided to use some form of managed services instead of hiring and training new staff internally. What’s more, 61 percent of IT leaders who haven’t yet invested in some form of outsourcing plan to do so over the next two years, as noted by C.J. Arlotta of MSP Mentor.
The organizations that have already realized the benefits of a partnership with an MSP, such as Vology, know the pros far outweigh the cons.
The International Data Corporation (IDC) conducted research on the value managed IT services provide businesses and discovered each organization in the study saved $146,801 per 100 users every year just on costs related to infrastructure.
“Organizations interviewed by IDC indicated that, when it came to financial management, managed services enabled them to drive down costs while also freeing up funds for investment. According to these firms, the use of managed services was driven by internal cost-savings mandates and the potential high costs of upgrading to new infrastructure technologies,” stated IDC.
IDC additionally found MSPs optimized the productivity of existing in-house IT staff by 42 percent, enabling organizations to grow their application environments without adding resources. The productivity-boosting effects of IT outsourcing led to an annual business productivity benefit of $229,511.
“[A partnership with a MSP] elevates the IT staff and brings them out of the shadows within the organization,” said Carolyn April, Senior Director of Industry Analysis at CompTIA. “It allows them to focus on a custom app dev project or cloud initiative—something highly strategic. I think that’s a win-win for your IT staff.”
At Vology, we have many customers—both large and small—who viewed managed IT services as yet another IT investment with a questionable ROI. After allowing our experts to handle their IT operations with our proven award-winning managed IT services, the same customers now understand that managed IT services are about more than the technology. They are about focusing on one’s core business, and also about the partnership with someone who can talk about how their services are going to help further your goals from a business perspective.