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FAQ

What is a Managed Service provider?

The term MSP applies to outsourced IT services. Particularly, the following areas of business activity are regularly performed by MSPs:

  • Managing IT infrastructure
  • Adding cybersecurity hardening to IT systems
  • Offering technical support to staff
  • Managing user access accounts on clients’ systems
  • Offering fully managed hardware outsourcing

MSPs can offer remote storage or servers and provide Software-as-a-Service. Some managed service providers just supply hard-to-find IT expertise to prevent problems on a client’s system or assist users with usage difficulties.

What are some of the benifits of using a MSP?

Benefits of managed service providers include the following:

  • Help an organization fill staff shortages. If an organization lacks workers, it can outsource some of its tasks to the MSP.
  • Provide expertise. Hiring a reputable MSP provides an organization with access to expert resources.
  • Provide business continuity. An SLA documents the MSP’s obligations to the business to prepare for or recover from a disaster.
  • Provide constant network monitoring. Many MSPs offer 24/7 monitoring services using network monitoring tools that offer system visibility and cloud management.
  • Improve security. Some MSPs provide security software and awareness training.
  • Improve cost efficiency. If numerous unplanned repairs are needed, paying a fixed monthly charge can be more cost-effective than paying hourly. While the MSP handles the day-to-day management services, customer organizations can focus on improving their services.

 An MSP can replace a company’s IT department entirely, or provide a single niche service. The industry is evolving to provide expertise to all points of the globe and makes cutting-edge technology available at a low price.

What are the challenges of managed service providers?

Despite their advantages, managed service providers may also come with challenges, for example:

  • Not all MSPs offer security measures. Many MSPs do not have a major focus on cybersecurity.
  • Dependent on third-party organizations. Organizations that depend on an MSP to handle daily tasks may form a reliance on them. If the MSP fails to follow through on the SLA, the organization could experience system downtime.
  • Waiting on a response. It may take time for an MSP to respond to an issue.
  • Potential upselling. An MSP may try and upsell an organization on technology or services they do not need.
What is the pricing model for managed service providers?

Managed service providers typically use one of the following pricing models:

  • Per-device pricing. The MSP charges the customer a flat fee for each device it manages.
  • Per-user pricing. The MSP charges a flat fee for each user, accommodating users who use multiple devices.
  • All-inclusive pricing. Also referred to as the all-you-can-eat model, the MSP charges a flat fee for its IT infrastructure support and management services.
  • Monitoring-only pricing. MSPs only offer monitoring and alerting services for an organization’s IT infrastructure.