IT Advisor

Managed IT Services: A Comprehensive Guide for Small and Medium Businesses

November 20, 2024
6 minutes
Sapientia (Spent) Thomas
GuideStack Expert

Small and medium-sized businesses (SMBs) increasingly rely on technology to stay competitive and relevant in today's fast-paced digital economy. From streamlining operations to enhancing customer experiences, the right technology solutions can make or break a business. However, managing IT systems effectively often requires expertise and resources that many SMBs may not have in-house. This is where managed IT services come into play.

According to Gartner, "A managed service provider (MSP) delivers services, such as network, application, infrastructure and security, via ongoing and regular support and active administration on customers’ premises, in their MSP’s data center (hosting), or in a third-party data center".

Managed IT services involve outsourcing the management of your IT infrastructure and systems to a specialized provider, ensuring your business runs smoothly without the burden of handling complex technical tasks internally. These services can include everything from network monitoring and data security to help desk support and cloud solutions.

In this comprehensive guide, we’ll explore what managed IT services are and how they work, the key benefits of adopting managed IT services, and signs your business may need managed IT services.

What is Managed IT Services?

Managed IT service providers typically aim to be more than just a "help desk."  You can think of Managed Service providers as a "one-stop shop" for all business IT needs. MSPs typically manage technology needs that span the entire business spectrum: IT Strategy, break/fix issues, short and long-term IT projects, vendor management, documentation and technical credential storage, cybersecurity, IT policy, disaster planning and recovery, hardware procurement, software implementation and planning, and even IT staffing.

Managed IT services refer to outsourcing the management and support of a company's IT infrastructure to a third-party service provider. Managed IT Services is a broad term, with service providers varying widely in what IT services they provide, the cost of services, billing style, service coverage, and tools used.  Rather than hiring an in-house person or team for IT management, businesses can rely on a managed service provider (MSP) to handle all their technology needs. Relying on a Managed IT Service provider allows companies to focus on core business operations without worrying about the complexities of maintaining their IT environment.

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Managed Service Providers (MSPs) can also have varying roles in a company; some may handle every aspect of IT, whereas, in other cases, they only manage a specific set of tasks or part of the IT Infrastructure. MSPs sometimes work entirely independently of the hiring company, using their processes, and sometimes work in tandem with in-house IT departments using a blended or "co-managed" strategy. Many MSPs service client across all industries, while others tailor their managed IT services to specific industry sectors they've developed a specialty in supporting.

There are two common "styles" of Managed IT Services:

"Fully Managed":  Fully managed IT services typically means the MSP is hired to cover all IT needs and serve as the single source of IT help. The MSP would provide help desk services for everyday break/fix issues as well as coverage for

"Co-Managed": Co-managed IT services typically means the MSP manages part of the IT tasks or environment in tandem with an on-site IT team. Co-managed IT comes in all shapes and sizes, and the influence and authority that co-managed IT has within a company varies depending on the business's needs.

What Does an IT Managed Services Company Do?

Managed IT services cover an incredibly diverse set of services. All MSPs are unique in what services they offer and what tools and 3rd party vendors they use to provide those services to you. Here are typical services you'll find offered by a standard managed IT service provider:

  1. Remote Monitoring & Management (RMM): Ensuring that all systems are continuously monitored to prevent downtime and detect issues before they become critical.
  2. Helpdesk Services: A team of IT technicians helps end-users of your company resolve break/fix issues or answer technical "how-to" questions day-to-day.
  3. Data Backup and Disaster Recovery: Managing data backup solutions and developing disaster recovery plans to ensure business continuity in case of data loss or system failure.
  4. Cybersecurity: Implementing measures to protect against cyber threats such as malware, ransomware, and phishing attacks using tools such as firewalls and antivirus.
  5. Network Management: Monitoring and maintaining the performance, security, and efficiency of your business network.
  6. Software and Hardware Support: Maintenance and support for hardware and SaaS (software) applications used in day-to-day operations.
  7. Cloud Services: Offering cloud storage solutions, cloud computing, and virtualization services to streamline operations and offer scalability.
  8. vCIO Services: Using quarterly business reviews, IT strategies and budgets are developed to align your business's technical environment with business goals.

What is the Difference Between IT Support and Managed Services?

IT support and managed services are sometimes used interchangeably, though typically, these two terms mean different levels of service within the IT Industry. When in sales conversations with prospective Managed IT Service providers, you may hear both terms used.

  • IT Services or IT Support: This is a broader term that encompasses any kind of technical support or service a company may require. IT companies that advertise themselves as providing IT support typically provide this service on an "as needed" or "hourly" basis. Smaller IT companies may provide IT Support as an "ad hoc" service to clients, meaning there may be no monthly fees. This type of IT service is considered reactive or "break/fix."
  • Managed Services: Managed IT services, on the other hand, are proactive and ongoing. An MSP takes responsibility for continuously monitoring, maintaining, and optimizing a business's IT infrastructure. Unlike traditional IT services, managed services are typically offered on a subscription basis, ensuring consistent support and management, robust documentation, and more personalized support.

Benefits of Managed IT Services for SMBs

Small and medium-sized businesses are unique and often face resource constraints, making it difficult to manage IT infrastructure effectively. Managed IT services provide several benefits that help SMBs overcome these challenges:

  1. Cost Savings: Hiring a full-time in-house IT team can be expensive. Managed services offer a more cost-effective alternative, with predictable monthly fees and reduced overhead costs.
  2. Access to Expertise: MSPs have specialized knowledge and experience, giving SMBs access to top-tier IT professionals without having to recruit and train an in-house team.
  3. Scalability: As your business grows, your IT needs will evolve. Managed IT providers offer flexible solutions that can scale with your business, ensuring that your infrastructure grows without disruption.
  4. Enhanced Security: With cybersecurity threats on the rise, having a managed service provider monitor your network and systems helps reduce the risk of data breaches, hacking, and other malicious activities.
  5. Improved Productivity: With IT issues managed proactively, employees can focus on their work without frequent interruptions or technical problems, leading to higher productivity.
  6. Business Continuity: Managed IT services include disaster recovery and data backup solutions, ensuring that your business can recover quickly in an emergency.

Common Tasks Covered by Managed IT Services

Managed IT service providers will work with you during the sales process to determine what tasks will be performed by the MSPs technical team versus an internal staff member and what tasks are included in the scope of your managed services contract with them. There are thousands of tasks an MSP can provide, but here are some of the most common "seen" and "unseen" tasks that technicians perform. Some tasks are obvious, such as providing call or email support as needed. Still, other critical tasks often go unnoticed by clients as part of proactive technical work.

Reactive Tasks:

  • PC & Laptop Troubleshooting & Repair
  • Printer Troubleshooting
  • Windows & Device Driver Installs
  • Desk & Mobile Phone Troubleshooting
  • Software Installation & Troubleshooting
  • Account & Permission Changes
  • On-Site Repair & Troubleshooting
  • LAN & WIFI Network Troubleshooting & Changes
  • Network Hardware Replacement
  • Vendor Ticket Management, ISP Management
  • Server Room Clean-Up & Cable Management
  • Cybersecurity Event Response & Mitigation
  • Email Account Management

Proactive Tasks:

  • Network Mapping & IT Systems Documentation
  • PC, Server, Cloud & Data Backups
  • Cybersecurity Alert Monitoring & Resolution
  • Network Monitoring & Alert Resolution
  • Disaster Planning & Documentation
  • IT Policy Creation & Enforcement
  • IT Project Recommendations
  • Hardware & Software Implementations
  • Asset Management & Reporting
  • Quarterly Business Reviews, Technology Strategy
  • PC & Server Patch Management
  • Storage & Database Monitoring

Outsourcing these tasks to managed IT services allows SMBs to focus on growth and innovation rather than dealing with everyday IT challenges.

Signs Your Business Needs Managed IT Services

Could your business benefit from managed IT services? Here are some signs that it may be time to consider outsourcing to a Managed IT Service Provider:

  1. Frequent IT Issues: If your business is frequently facing network downtime, slow systems, or other recurring IT issues, managed IT services can help identify and resolve these issues. An IT Team can prevent similar issues from happening in the future through proactive systems maintenance.
  2. Limited IT Resources: Small businesses may not have the budget or need for a full-time IT staff. Managed services provide access to expert support without the need for in-house personnel. MSPs often have tiered service plans to stay within your business's budget.
  3. Security Concerns: If you've recently experienced a cyber attack or security breach, managed IT services is highly recommended. An expert IT Team skilled in cybersecurity best practices will quickly and efficiently help secure and monitor your business environment to prevent further data loss.
  4. Lack of IT Strategy: If your business lacks a cohesive IT strategy, frequently purchases new IT hardware or software, and fails to implement those technology solutions in a way that creates notable efficiencies and improvements, managed services can help. Developing a roadmap to align your IT systems with your business goals is a Managed Service Provider's specialty.
  5. Growth Challenges: As your business expands, your IT needs tend to become more complex. Often, businesses see IT costs skyrocket from poorly implemented solutions that aren't scalable. An MSP can scale your infrastructure to accommodate growth while keeping costs reasonable.

How to Choose the Right Managed IT Provider

Shop around, and then shop around more. There are thousands of reputable Managed IT Service providers – big, small, remote, local, national, and international.  Most Managed IT Service providers understand that each business is unique and has systems in place to support just about any technological need, so often, the decision comes down to 3 factors: Trust, Reliability, and Budget.  You want to select a Managed IT Provider that will serve you well for many years, one that will develop and implement your IT strategy, aligning their business goals with your own. Even if you're on a strict budget, let these three key factors guide your decision-making:

Trust: In today's digital world, one where facts and figures are used to guide just about every decision, sometimes it's not the numbers that matter most.  Any reputable MSP will be able to provide you with SLA information, positive client surveys, and metrics that look great on paper during sales meetings.  Trust your gut.  Do you enjoy working with this Managed Service Provider's sales team? You'll work with that sales team frequently throughout your time as that MSP client, so you must trust what they're selling you.

Typically, you're allowed to meet the service manager or a member of the technical team during the contract process. Do you enjoy your interactions with technical resources?  Are you able to bring up concerns and get meaningful, helpful responses? When comparing two or more Managed Service Providers with similar pricing and service offerings, sometimes the decision simply comes down to good customer service and enjoyable interactions.

Lastly, trust works both ways. Make sure you're honest and transparent with a potential MSP regarding the state of your IT environment even if it's messy, neglected, or embarrassingly out of date. Consult an IT expert in advance to understand the challenges that your business has as a result of your current IT environment. Without accurate information about your environment, a new IT company may struggle to support your business needs, which can damage the relationship.  Neglecting to mention the 15-year-old server under a cardboard box in the closet that runs your entire business can be costly for both parties, and no one likes surprises, especially IT.

Reliability & Responsiveness:  You'll need a technical team that's reliable and responsive to your business needs. Having reliable responsiveness when critical systems break, or business operations are halted due to technical failure.  Choose an MSP with a technical team sized to accommodate your business needs and ask for service or ticket metrics.  These might include average response times, average resolution times, or Service Level Agreement (SLA) times.

Service Offerings: Make sure that the services offered by your incoming Managed Service Provider align with your business needs.  This can be challenging for SMB owners or professionals involved in sales meetings – how do you know you're not being oversold services?  It's beneficial to ask an IT consultant to review your IT environment and systems before entering the sales process to find managed IT support services. An IT consultant will be able to define what type of services are critical to your organization, which would be helpful, and which would likely be unnecessary or "overkill." MSPs can use many tools and strategies to get you to the same business goals, so don't be surprised if you get differing recommendations.  Luckily, you don't need to be an IT expert to determine which pitched set of services and solutions is best – sometimes there is no single correct answer; you simply need to trust the team you will hire to manage your IT.

Budget: Be upfront with potential Managed Service Providers if the monthly cost they've pitched is too expensive or not what you were expecting.  Mature Managed IT Service providers will usually attempt to align their service offerings with your budget.  If they can't and you're uncomfortable with the amount, move on in your search.  Remember, finding great IT service management is about finding a long-term technical partner.  Your IT budget will change over time, and a reliable Managed IT Support service provider will understand that.

Managed IT services provide SMBs with cost-effective, proactive, and expert IT management. By outsourcing IT responsibilities to a trusted Managed IT Support service provider, businesses can focus on growth and innovation while ensuring that their IT infrastructure remains secure, efficient, and scalable.

Not Sure If You're Ready for Managed IT Services? Let GuideStack Help.

Choosing the right Managed Service Provider (MSP) can be overwhelming, but you don't have to navigate it alone. At GuideStack, our IT experts specialize in helping SMBs like yours determine if MSPs are the right fit for your business needs. We’ll assess your IT environment, clarify your priorities, and help define the scope of work you need from an MSP.

👉 Schedule a Free Consultation Today and get personalized advice to make confident, informed decisions about your IT strategy.

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