An MSP is a company that monitors and manages the information technology (IT) systems and infrastructure for businesses. The distinction between a Managed Service Provider and cheaper option is MSPs operate on a fixed fee monthly subscription and the cheaper options operate on the pay-per-hour model.
Some managed service providers specialize in specific industries such as healthcare, legal, oil & gas, etc. Though many make their specialization in the way they deliver services (proactive vs. reactive).
An MSP at a minimum should be doing the following:
Make your business a hard target for cyber threats
Provide fast and friendly tech support
Help in the employee onboarding and off-boarding process
Manage user accounts and access
Perform vendor management for software, printers, phones, etc
Provide risk management and cybersecurity compliance
Provide backup and disaster recovery
Even if an MSP uses the fixed fee monthly billing model, there's still a distinction to be made between a good and bad MSP.
WHAT'S A GOOD MSP
An oversimplified definition of an MSP is outsourced IT, but it has the potential to be so much more. A GOOD MSP with high operational maturity, proper frameworks, and good processes should be delivering proactive services that make their customers better. They should respond quickly to issues, understand your business, and make improvements to the way your business uses technology.
WHAT'S A BAD MSP
Bad MSPs or better yet CHEAP MSPs are reactive in their approach to supporting their customers. The reason for this is that it's cheaper to understaff technicians and engineers when those employees only need to spring into action when systems are down.
WHY MSPs MATTER
The global managed services market was $240 billion in 2021 and is forecast to grow at a compound annual growth rate (CAGR) of 12.5% from 2022 to 2030. That's significant. In 2021, 72% of companies disclosed the use of a managed IT services provider.
In this survey, these 72% of businesses cited these reasons for their decision:
Lower operational cost of IT
Faster and practive IT support
Higher ROI per dollar than hiring internally
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Several businesses across the United States have partnered with S1 Technology to help them get a grip on IT, protect them from cyber threats, and elevate their experience with technology. The partnership gives these business leaders peace of mind knowing that they're following best practices and fully leveraging their technology budgets to be most effective.