Managed service is a practice by the Industries where experts in the area managing the service where as customer looks at only his core business and leaves the specialized service to be managed by specialized providers.
For ex. A Manufacturing company who produces goods will have core competency in manufacturing and related things. These companies utilizes Information technology to improve their business and employees of the company only uses specific parts of these IT systems and software’s for their need and are not involved in day to day operations against these Infrastructure. This is where an Organization with specific expertise in managing IT infrastructure comes into picture and provides service which is called as Managed Service and in this specific case its called as Managed IT Service.
Recently most of the organizations are combining projects and environments bringing in a strategy to have one or more vendors for related work to improve manageability and also to reduce other factors influencing issues. Managed services are helping organizations with this phases as software services are often bundled and provided as opportunity to vendor who has to look at strategy to deliver, skills to deliver as well as resources to deliver with in the specific contractual obligations that are specified in the agreement.
Often these services are awarded by clients to companies for a specific period of time which may range from 1 year to 5 Years depends on the clients future growth plans as well as internal assessments.
Major expectations by the organization under managed services are mentioned below but may not be just limited to those.
- Year on Year cost reduction
- Effective Service delivery
- Always on Latest technology