Why you can’t say no to Managed IT Services


When you say “NO” to Managed IT Services for your IT systems, be sure you are not saying “YES” to risk.

Internal IT teams are best focused on strategic applications where a managed service is not available.  For your critical servers, routers, back-ups, internet, File Shares, Microsoft systems (e.g. Exchange Mailboxes, SharePoint and CRM systems), outsourcing your IT support and management of your IT system makes financial sense.  Many larger companies such as Commonwealth Bank already outsource non-core business functions to specialist.

Over the last 10 years, we have come across many small businesses that say “no” to managed services and try to save money by enlisting in some form of “casual support”.  We believe folks that have “casual support” are playing Russian roulette with their IT infrastructure.

Recent Examples

  1. A well intentioned CFO said he’d “wait” and do managed services “later”. (We in IT know that “waiting til later” is often a euphemism or polite way of saying “no”.) Later in the year, they had a major server outage caused by corruption of their server. When we told the MD what the CFO had said, he informed us that the CFO advised him to save money by not signing a contract.
  2. A penny pinching MD avoided spending any money on IT support.   His network and data were attacked (Malware) with the well-known Ransom virus. The virus automatically encrypted his data so that his staff could not access it. They refused to pay ransom money to “unlock” the data and their back-ups were not working. They lost some financial data and had to rebuild from scratch.

The above problems could have been avoided altogether if they had subscribed to managed services.

So What is Managed IT Services?   Why can’t my IT guy do it?

From MSPMentor 2013 report:

Generally speaking, Managed Service Providers use remote monitoring and management and IT automation software to proactively maintain customer systems (servers, desktops, mobiledevices, network infrastructure, applications, cloud services etc.).

Managed IT Services

According to MSPmentor survey of 500 Managed Service Providers, the top ten managed services offered are:

  • remote monitoring
  • managed storage, backup, disaster recovery
  • service desks
  • patch management
  • managed security
  • software license management
  • network operations center services
  • mobile device management (MDM)
  • vendor management
  • warranty management

Proactively testing, monitoring and patching are all critical devices in a network.  Service Level Agreement (SLA) specify response times for minor or major faults, keep track of warranties and licenses are all part of what differentiates Managed Services from Casual Support. Critical devices include Servers, Back-up systems and Routers, but can include mobile devices in some businesses. A pro-active plan includes a back-up restore test to ensure back-ups are really working (e.g. data not corrupted) and frequent checking of error logs, hard disk space, CPU capacity and other indicators of network or hardware issues.

Casual Support –

Another word for casual support is “Reactive”.   Effectively, this is “set-up” and forget til something goes wrong. This is very much an Australian “She’ll be alright” attitude. No Server Level Agreements with Casual support means you have no guaranteed response or resolution times from your supplier.

Why you can’t say no to Managed IT Services

  1. The Casual support person/team will not be familiar with your network or your applications.   This means it will take them longer to support you and they could potentially make matters worse by “following standard procedures”. (An example of this is to apply all the updates, not realising that one of them can bring down your network.)
  2. You will not have the latest patches and therefore will be vulnerable to virus attacks
  3. When you call for support, the person is not able to help you or you because you are not a priority.
  4. Many of the “failures” are avoided when proactive steps are taken
  5. Risk Mitigation. Any good business should have a plan to manage risk. For a list of common risks or potential failures, see here.