How the Managed Service Provider Benefits America’s Enterprise Level Companies

More and more American enterprises are turning to Managed Service Providers (MSPs) for IT support. An MSP is an outsourcing agent that handles certain IT duties for a company. As an example, so as to better focus on core business offerings, an online seller of gardening products might choose to hire out its IT help desk coverage to an MSP. With the modern proliferation of cloud-based services (SaaS, LaaS, Paas), many enterprises are charging their Managed Service Provider with IT vendor management.Recently, a Nimsoft survey of leaders in enterprises studied why companies use MSPs. To clarify, an enterprise is defined as a firm with 1,000 to 20,000 workers. The Nimsoft survey revealed that 55% of American enterprises currently maintain contracts with at least one Managed Service Provider; another 29% are planning to work with an MSP in the near future.Below, we list the benefits CIOs and other enterprise leaders say stem from MSP partnerships.1. Expert knowledgeThe Nimsoft study mentioned earlier found that 37% of enterprises hire MSPs for their “improved technical experience/depth.” A successful Managed Service Provider is usually an IT expert. Working with different clients in various arenas teaches MSPs how to find creative, cutting-edge answers to IT issues.2. Lowered RiskIT has become incredibly complex in the last few years. Nowadays, it’s nigh impossible for one person to continually watch all IT systems for potential trip-ups. As such, many enterprises share IT responsibility with an MSP so as to decrease the chance of system failures.3. Open Up In-House ResourcesJust over a third of enterprise executives choose to work with an MSP so as to “Improve focus on core business” services. If IT isn’t at the heart of your business, why try to handle it in-house? An MSP can provide masterful IT management, allowing in-house workers to focus more on what matters most to the brand.4. Lowered CostsWorking with a Managed Service Provider can do wonders for your IT budget! Indeed, cutting costs is the number one reason enterprise-level executives cited for hiring an MSP. Because they are specialists, Managed Service Providers can often deliver superior IT service at a lowered cost.To be more specific about how this might work, many MSPs offer a special tool called a Vendor Management System (VMS). A VMS clearly shows where IT spending is going, something that every CIO is eager to know. However, it would cost prohibitive to create a VMS in-house, so most enterprises instead hire an MSP.Both through improved efficiency and through smarter vendor and hardware purchases, an MSP can help an enterprise decrease costs.5. Twenty-four hour Support, Across the GlobeThe standard business day is growing as the Internet expands. Just a few years ago, it was impractical to operate outside of business hours, even if your overseas customers were awake. Now, however, a customer from Japan will expect continual service, no matter what time it is where your company is located. This shift accounts for the fact that 22% of the enterprise-level executives in the Nimsoft survey said they hired an MSP for “Better coverage for off-hours.”As we have seen, lowered costs, increased knowledge, diminished risk of system failure, and continual IT support are a few of the benefits enterprises can see from working with a Managed Service Provider.