Managed IT services

A managed service provider (MSP) is a company that remotely manages a customer's IT infrastructure and/or end-user systems, typically on a proactive basis and under a subscription model.

MSPs usually charge a flat monthly fee under the subscription model. This approach provides the MSP with amonthly recurring revenue stream, in contrast to IT projects that tend to be one-time transactions. MSPs often provide their offerings under a service-level agreement, a contractual arrangement between the MSP and its customer that spells out the performance and quality metrics that will govern the relationship.

To keep labor costs in check and improve efficiency, most MSPs employ remote monitoring and management (RMM) software to keep tabs on clients' IT functions. RMM software lets MSPs remotely troubleshoot and remediate issues with servers and endpoint devices. With RMM, MSPs can manage numerous customers' IT systems simultaneously.
More organizations are turning over certain IT functions to managed service providers, freeing internal IT staff to focus on strategic IT projects.

Organizations are increasingly turning to managed service providers (MSPs) to handle elements of their IT needs as part of a collaborative arrangement with the internal IT department, according to new research .

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