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What are the Benefits of Managed IT Services?

What are Benefits of Managed IT Services?

Managed IT services help businesses to reduce expenses through the outsourcing of dedicated teams to perform IT management tasks. The level of engagement and the type of IT services depends on several factors, including internal employees’ skills, the business’s IT needs, and budgetary considerations. Handing off some or all of the IT management overhead to a managed IT services provider ensures the smooth running of operations and more time to focus on increasing the overall growth and performance of the business.

This article provides an overview of some key benefits of managed IT services that can be gained from working with a managed IT services provider.

Managed IT services – What is it?

Managed IT services are provided by a managed service provider (MSP). With the MSP acting as their IT department, they manage the IT infrastructure and perform IT tasks as required, saving your business time and freeing up resources.

Related – What are Managed IT Services?

The scope of Managed IT services can vary depending on the IT needs of an organization. Most MSPs today provide different levels of IT expertise as needed and offer additional services for the things most businesses rely on, including managing remote storage, ongoing infrastructure management, data backup and restore, hosted email services, cybersecurity needs, and more.

With that said, let’s look at some of the benefits of Managed IT services.

Top Benefits of Managed IT Services

Highly resilient and secure infrastructure

MSPs have the expertise and resources to implement best-practice security measures, ensuring that your data is well-protected from external threats.

In the event of a system failure or successful attack, an MSP can quickly restore data allowing you to resume operations, minimizing disruption and protecting your business reputation.

Future-proof services

Managed IT services providers partner with technology vendors that provide the best technologies and equipment to deliver their services, so you can be confident that your IT infrastructure is always up-to-date.

As new technologies emerge, managed IT service providers are well positioned to leverage the new technology to define and deliver new IT services for your business.

Reduce capital outlay

By outsourcing your IT needs to an MSP, you can avoid the high upfront costs associated with purchasing hardware and software and the cost of hiring, training and retaining in-house IT staff.

Working with an MSP, you can determine what IT services you need and spread the cost of your IT services across a monthly subscription fee, making it much more affordable in the long term.


Engaging with a single vendor to manage the IT services for your business gives you a single point of contact for all IT-related issues

Instead of relying on different departments or individuals within your company to manage the different aspects of your IT infrastructure, your business has access to a team of experts to handle everything, including software updates, security patches, and infrastructure monitoring.

Centralization also helps businesses to be more efficient with their IT budget. You can negotiate discounts and lower rates by working with a single provider.

Disaster recovery and business continuity

Partnering with a managed IT service provider gives you peace of mind knowing that your business data is automatically backed up. Data loss can happen from human error, hardware failure, or a natural disaster that physically impacts your operation.

If a data loss occurs, the MSP can quickly restore lost data and get your operations up and running again. This helps minimize the financial impact of a disaster and ensures your business can quickly return to regular operations.

Green technology

Awareness of the impacts on the environment that technology has is on the rise. The need to reduce power consumption and ensure the safe disposal of obsolete equipment is important to many businesses looking to reduce their environmental impact. Many managed IT service providers recognize this and incorporate sustainable solutions into their services.

Many MSPs are deploying energy-efficient data centre practices to help their clients reduce their carbon footprint. Additionally, green-managed IT services can help organizations save money by reducing their reliance on older hardware and peripherals.

Some MSPs offer process automation solutions that help businesses to streamline their current business processes and reduce waste.

Flexible, responsive service

Whether you need help with a short-term project or ongoing IT support, Managed Services Providers can create a custom support plan for your business.

MSPs offer a variety of IT and consulting services. You can add or remove services as your business changes or engage them for additional consulting services for a specific project. This flexibility means you only pay for the services you need when you need them.

Benefits of Managed Services over Break-Fix Services

There are many benefits associated with managed services approach compared to just engaging with an IT provider that offers a break-fix service model. Let’s compare the break-fix model with a Managed Services model.

Type of Service

With Break-fix companies, they are called upon to identify the issue and fix it when something goes wrong. The model is reactive and about solving issues after they arise instead of a proactive, preventative support approach.

MSPs can proactively monitor your IT systems and infrastructure 24/7/365, meaning they can identify and fix problems before they impact your business operations.

Service level agreements

Break-fix companies engage on an as-needed basis, so they rarely have an ongoing support contract with their customers. They are generally engaged on a time and materials basis for identifying and resolving issues in progress.

The response time for break-fix companies can vary. With no support contract in place, they are not obliged to commit to response times. The longer an incident is in progress, the greater the potential impact on your business operations.

Managed IT services offer more holistic IT support – terms and conditions detailed in a service level agreement (SLA) guarantee response times for issues based on severity. This generally includes remote maintenance and proactive monitoring to address issues before they become system issues and guaranteed response times for anything that impacts operations.


IT systems are complex, and technology-related issues can often arise out of nowhere. Engaging with a break-fix company as needed may appear to be the most cost-effective option. However, there are many unpredictable costs associated with a break-fix engagement.

  • Higher hourly rates based on the time of day or whether it’s a weekend (outside business hours)
  • Impact on your business operations
  • Downtime could mean a loss of revenue and customer satisfaction
  • No guarantee on how long it may take to restore operations

Engaging with a managed services provider keeps your spending predictable and manageable; you know what IT services are being provided, and having an SLA agreement guarantees the response times you can expect in the event of an incident. These things will save your company money in the long run.

Financial benefits of Managed IT services

Economy of Scale

As your business grows, it becomes increasingly expensive to support the same number of employees with in-house IT staff.

Engaging a managed IT service provider allows you to scale IT services as needed, saving you a significant amount of money. In addition, during periods of rapid growth, the ability to quickly add or remove support services can be essential for maintaining profitability.

Predictable monthly costs

With an MSP, you’ll know precisely what you’ll be paying monthly for the support services you need. This is great for budgeting and cash flow management. Additionally, predictable costs make you more flexible when investing in other business areas.

Infrastructure expenses

When an MSP manages your IT infrastructure, they often do so using their data centres. Moving to the cloud allows you to downsize the hardware you have on-site, reducing the associated costs of energy usage, space rental, and the hardware itself.

Also, MSPs often include licensing, training, and consulting services in their monthly fees, meaning you don’t have to invest in these services separately, saving you significant money over time.

Choosing the right Managed Services Provider

1. Your IT needs and MSP offerings

Identify the service provider’s service offerings and verify they match the IT service requirements for your organization.

2. Service portfolio and presence

The MSP’s service portfolio will give you an idea of all the services they offer and how they benefit your business.

Their market presence will give you an idea of how long they have been in business, the geographic areas they cover and how well-known and respected they are in the industry.

Finally, their experience with clients in the same vertical and that are a similar size will indicate how well they will understand the needs of your business.

3. Technical expertise and certifications

Checking the training qualifications and certifications will help you understand their capabilities and whether they’re a good fit for your IT needs. Look for IT service providers with relevant skills, experience, and industry certifications. It will authenticate that the provider is up to date in the field and can guarantee service and quality standards.

4. Culture and working relations

As you are about to enter into a partnership with a managed services provider, ensuring a good cultural fit between the two organizations is essential. The MSP should understand your business culture and values and align with them.

How can CG Technologies help you?

Every MSP has a unique set of skills and services that cater to the needs of organizations of all sizes. CG Technologies has built its reputation, providing managed IT services to small and medium-sized businesses in the greater Toronto area for over 25 years.

We work with you to define your business goals and IT requirements and walk you through the best options for your business. Contact us to start your managed IT services journey.

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