IT complexity driving managed services adoption

Managed services and IT consulting began to gain a degree of prominence as businesses began rolling out branch offices across specific markets. The theory was that the corporate team could establish IT protocols, best practices and strategies and let a managed services provider handle the actual support in various facilities. The tactic was simple, reliable and cost efficient. Now, the IT world has changed. Branch offices can function through the cloud, and many businesses find themselves completely revisiting how they manage technology. Along the way, managed services have become only more important.

The internet of things is leading to a massive increase in the number of devices businesses have to manage. At the same time, the need to broker cloud and on-premise services leaves many IT leaders without any time to handle day-to-day system administration, patching and updating for traditional tech configurations. These factors all point to the growing need for managed services in the modern enterprise, and the solution model is taking hold.

Managed services gaining steam
The managed services sector is positioned for rapid growth in the immediate future. MarketsandMarkets found that the industry was valued at $152.45 billion in 2017 and will expand at a compound annual growth rate of 11.1 percent to reach $257.84 billion by 2022. A variety of industry conditions and marketplace dynamics are coming together to drive these changes, but one stands out: Even small businesses are starting to adopt managed services in response to increased IT complexity.

"The managed services sector is positioned for rapid growth in the immediate future."

In many ways, the large businesses using managed services at branch locations are facing challenges turning each branch into its own IT entity, at least in terms of the need for support and maintenance of local systems. However, small businesses must develop IT strategies that help them keep up with large enterprise, balance diverse service models to find the right solutions for their specific needs and handle all of the devices and systems in a typical configuration. All of this must happen in an increasingly complex and demanding IT world, making the right help critical for organizations with small or nonexistent IT departments.

As more small organizations implement managed services to keep up with new IT demands, the IoT is emerging and disrupting longstanding operational models.

The device deluge
Watching over the actual hardware that supports operations is not a hot topic right now. It typically gets pushed to the backburner as the excitement centers on highly virtualized solutions that empower people to work where they want and on whatever devices they prefer. It's understandable, but neglecting system administration, particularly in enterprise settings, can lead organizations on a path to problems:

  • Asset management best practices can slip, leading to wasted cost as batteries, laptop cables and similar parts end up needing to be replaced because nobody was managing them.
  • Update and patch processes become unwieldy because IT isn't readily tracking what devices use different services and have access to the network.
  • Support tasks, such as repairs and maintenance, end up being difficult to complete because staff doesn't understand the nuances of the hardware configuration.

These types of issues add up fast, creating demand for managed service providers that can step in and alleviate the overhead. However, the IoT is taking these issues to another level. As businesses invest in sensors, monitoring solutions and other connected devices – even robots – they're going to need help keeping their assets straight.

Infoholic Research found that there will be more than 30 billion connected devices in use worldwide by 2020, leading to strong demand for managed services that support IoT systems. The IoT managed services sector will therefore rise at a compound annual growth rate of 15.3 percent for the 2016-to-2022 period.

Everything from a specialized environmental sensor to an employee iPhone is an IoT device, and many companies are going to need help when it comes time to keep all of those devices straight. Managed services are the solution, and MC Services can help. Contact us today.