Managed Services

What is the Difference Between Managed Services And Outsourcing?

Managed Services and Outsourcing are two approaches that are commonly used interchangeably. However, although there are some similarities, there are also key differences that separate the two.

Knowing these differences can help your business make the correct and most suitable decision based on your needs. You will find it easier to identify which type of service will be beneficial for maintaining your IT networks and systems to ensure consistent performance and dependable service for a wide range of clients.

What are Outsourced Managed Services?

There are many reasons why companies choose to outsource their managed services needs. These reasons include cost savings, increased flexibility, improved customer satisfaction, and reduced risk.

Cost savings are important reasons why organizations outsource their managed services. You will save money on labor costs and equipment expenses. You will avoid managing your IT infrastructure, and your company will have more time to focus on core competencies. Increased flexibility is another reason why organizations outsource their IT infrastructure.

When you outsource your managed services, you give yourself greater freedom to make changes without worrying about how they will impact your current system. This allows you to adapt better to changing market conditions. Improved customer satisfaction is yet another benefit of outsourcing your managed services. As an organization grows, it becomes increasingly difficult to effectively manage all aspects of the business. Outsourcing managed services allow you to concentrate on what you do best – running your business! Reduced risks are yet another benefit of outsourcing managed services. If you are not familiar with the technical side of your business, you may find it challenging to keep up with the latest trends in the industry. Outsourcing your managed service provider gives you access to experts who know exactly what you need to succeed.

The Difference Between Managed Services vs. Outsourcing

When looking at Managed Services vs. Outsourcing, you must understand how the two differ. On the surface, they seem very similar, and you may have referred to one as the other in the past. With this guide, you’ll discover the key differences and how managed services for IT are more beneficial for the service you offer.

Managed Services Offer More Specialized Results

Outsourcing your network needs means that everything is handed over to the outsourcing firm, which can limit your freedom if you need to make adjustments. Compare this to managed services, and you’ll see why the latter is so popular. Instead of handing over everything, a managed IT service will take everything you cannot do and provide uniquely specialized results alongside your IT team.

Managed Services Provide Long-Term Assistance

While outsourcing is a pay-as-you-need service, managed services will deliver long-term assistance. This means you continuously manage your IT system and enjoy peace of mind that all your sensitive data and network access are running. This eliminates downtime should an issue arise, keeping your clients happy.

Managed Services Providers Tell You the Costs Upfront

Instead of waiting until the end of the outsourcing process and perhaps needing to request more work on your systems, a managed IT service will tell you the cost upfront. So, your long-term service will be billed month-by-month, allowing you better control of your budget compared to outsourcing solutions.

Managed Services Has Evolved From Outsourcing

Perhaps the main reason that managed services and outsourcing are confused is that one begat the other. Many believe that outsourcing, which emerged in the 1980s, paved the way for managed services, and this emerged as a more sophisticated approach to providing a service.

Managed Services Focus on using the Right People, Processes, and Tools to Achieve Success

A primary difference between managed services and outsourcing is the goal. The managed service is more appealing if a company is looking for a high-quality and holistic service. It provides a long-term and dependable partnership that allows you to build a strong professional relationship. However, if the company requires efficiency above all else, especially in the short-term, then outsourcing is typically preferred. By utilizing the most appropriate tools and most qualified individuals, managed services deliver something more personalized, which has the potential to be more successful in the long term.

Is Managed Services Better than Outsourcing?

If you are looking for long-term support for your networks and IT systems, managed services will always have the edge over outsourcing for the reasons described above. These services provide consistent and cost-efficient solutions that enable your business to maintain its networks and keep customer and employee data secure while also ensuring your website or platforms remain operational.

Still, outsourcing does have a place for modern business, although it is not always suitable. If you require short-term support or require full-scale management, your business may be better off selecting outsourcing, but only if you have the budget to afford it.

Therefore, it is always best to consider your circumstances and determine which approach will keep your business and your clients protected from the multiple risks associated with digital storage and other system issues.

How Can I Find the Right Managed Services Provider?

If you decide that managed services are the perfect option compared to outsourcing, you can easily find the right managed service provider right here. At ExterNetwork Managed Services, we offer a broad range of options suitable for all types of businesses both in the U.S. and in Europe. Our dedicated and highly experienced team is ready to help you manage all of your network demands and provide continuous support that will enhance your stature in your industry and keep your clients satisfied.

Work With ExterNetworks Managed Services

ExterNetworks Managed Services provides a business data-centric approach designed to maintain your business’ safety and security while keeping all of your systems fully operational. Get in touch today to Request a Quote or give our offices a call at US: (732) 624-1900 or UK/EU: +44 0207 096 1655 to find out more.