Alastair Kitching, Sales and Marketing Director for managed services provider, Esteem, explains why he predicts strong growth in managed services for the mid-market sector in 2013.
“The managed services market has matured and developed in the past 12 months. The heavily marketed term ‘Cloud’ has indirectly helped raise awareness of traditional managed services in the mid-market sector. During 2012 we’ve seen more mid-sized organisations question whether maintaining and operating their own IT systems is the most cost effective approach? Asking questions about cloud, has led them to the answer of a managed service, particularly where that service embraces “cloud” technologies.
Enterprise scale organisations have been outsourcing IT for many years, but in our experience, medium and small sized businesses can benefit as much, if not more, from outsourcing some or all of their IT, if they work with the right outsourcing partner.
IT has not only become critical to organisations of all sizes, it has also become increasingly complex and specialised, even with a fairly simple IT infrastructure. Organisations today typically need e-mail and security experts; storage specialists and virtualisation specialists; as well as application experts to function effectively. But for most small to medium sized organisations, gaining and retaining this breadth of skills in-house isn't viable with a relatively small in-house IT team.
Outsourcing the day to day management of their core IT infrastructure provides small and mid-sized organisations with the ability to focus on their core business functions and business objectives. It is even more vital for mid-market organisations to use IT as a strategic advantage, rather than spending their budget on simply maintaining systems. However, it's important for mid-market organisations to find the right Managed Service Partner (MSP) who can offer them the level of support and flexibility they need.
The other area I see growing in 2013 is organisations looking at third party, multi-vendor maintenance options to reduce their IT operational costs and improve service. These savings can then in turn be used to invest in IT infrastructure projects which can further improve business service and drive down costs.
This is where we have seen our growth in 2012, and where we predict further growth in 2013. In particular, the continual marketing of Cloud Computing in 2013 will lead more and more mid-market organisations to ask the question - could outsourcing or a managed service be a more cost effective option?”
Article published: 03/01/2013