IT Outsourcing vs IT Managed Services

Jul 3 2023
Stone Forest IT
IT Outsourcing vs IT Managed Services

Do you know which IT services model works best for your business? IT outsourcing or IT managed services? Understanding the differences will save you a lot of headaches, time and money with trial and error.


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Outsourced IT

Reactive model: We work FOR you

Outsourcing is the delegation of ad-hoc or planned tasks to a third party. Due to the lack of in-house resources and expertise, it is more cost-effective and efficient to have someone else to take care of them.

The outsourced company performs services as needed and bills the customer only for the work done. IT support here is more reactive and typically covers break-fix services where they act as technicians to diagnose and rectify IT problems that appear so your business operations can resume thereafter. The service may include repairs, upgrades, or installation of systems, components, peripheral equipment, networking, or software.

The outsourcing company does not research the requirements to ensure they get the best results. Nor do they analyse the current IT process to see if it could be streamlined or if there are gaps. They only do what is asked of them and that is all.

This model works best for small start-ups with minimal technology users and for those with only basic IT requirements like only emails and printing, which does not require much maintenance.



Managed IT

Proactive model: We work WITH you

If your aim is to minimise manual task and the burden of managing IT, and your company is information-dependent and technology-driven, Managed IT is a simple way to increase your business’s productivity and security.    

Managed Solutions Providers (MSPs) can either be your dedicated IT resource or complement your existing IT team. They are specialists in the areas your business needs help in and they will leverage their expertise to manage one or several IT areas more effectively than your business could do in-house. Common managed services include data backup management or cybersecurity-as-a-service. 

IT support here focuses on the day-to-day IT administration and user support, and more importantly preventive, proactive, and real-time maintenance. The MSP’s goal is to prevent regular issues and operational downtime.

This set-up will cost more than the break-fix IT model. It is up to the company to decide if the benefit of having peace of mind with a team of IT experts for hassle-free IT management, can justify the cost. You should also note that MSP’s pricing can vary according to the service time required, number of users and servers, amount of data and the business’s evolving needs. 



Value-added IT Managed Services

Technology as a Business Enabler: We GROW with you

For forward-looking businesses looking to streamline and optimise their IT function to accelerate business growth in a secured IT environment, having a trusted technology partner that provides IT management and strategic IT advisory is key.

As IT advisors, they will perform an assessment of your current infrastructure and operations to understand the pain points before proceeding to create a plan for immediate improvements, as well as cater for long-term technology requirements based on your business goals. This is vital to allow your business to leverage technology as a business enabler, especially in today’s digital world where it is difficult to keep up with all the technology advancements, cybersecurity threat landscape and growing compliance requirements.

A value-added IT Managed Service partner develops technology roadmaps and proactively incorporates IT best practices that help drive digital transformation efforts and strengthen the foundation for accelerated business growth.

Look for a partner with in-house specialists in a broad range of technologies and skillsets, an extensive partner ecosystem of their own, and the flexibility and scalability to meet your growing business needs.

A great IT partner should also be able to understand your industry nuisances and translate operational requirements into practical IT solutions to increase productivity and savings, while not compromising on agility and IT resilience.




If you are still unsure of which IT model works best for your business, we understand. Our AvailEase Client Service Advisors at Stone Forest IT can walk you through the differences so you’ll get a thorough understanding of the benefits and considerations of each model before committing to anything.

Email us now for a quick consult. Click to learn how we have helped businesses with our Value-added IT Managed Services.