How Managed Cloud Services Can Help Your Organization

by | Jul 11, 2023

Cloud technology has changed how many companies handle their data and software. There are a lot of benefits that can save money and boost productivity, which is why 57% of businesses are migrating more workloads to the cloud. However, getting the most out of it requires a lot of planning, knowledge, and industry experience. That’s where the value of managed cloud services comes in.

Outsourcing to a cloud service provider allows businesses to leverage the expertise and resources of an entire IT team without the cost of maintaining them in-house. That means organizations can better utilize their limited budgets without worrying about unexpected costs from maintaining cloud infrastructure. While not everyone may need managed cloud services, many organizations can get a lot of value from it.

Why Businesses Use Cloud Services

Businesses leverage cloud services for their many advantages, including cost-effectiveness and boost to productivity. Cloud services eliminate costly expenses such as on-site servers, data centers, and dedicated software. Since most cloud solutions use a cost-scaling model, organizations can match their purchases with their needs, allowing better use of a limited budget. With 60% of all corporate data being stored on the cloud, the flexibility and ease of access allow employees to work from anywhere and on any device, providing better work continuity.

Another reason businesses use cloud services is for the extra protection they offer against digital threats. Data stored in the cloud is encrypted and protected by multiple security layers, which helps prevent unauthorized access. Cloud service providers can also conduct regular data backups and have disaster recovery plans, which can minimize the damage of any problem. Thus, combining cost savings, enhanced flexibility, and strengthened security make cloud services an attractive choice for businesses.

What Are Managed Cloud Services?

Managed cloud services refer to partial or total outsourcing of cloud-based service management and infrastructure. Notably, around 90% of companies consider cloud computing key to enabling their outsourcing efforts. Managed Service Providers (MSPs) are commonly used to handle software licenses, vendor relations, data storage, backup, recovery, and maintenance. There are many moving parts with cloud services, which is why outsourcing can save time and headaches.

These services can be especially beneficial for businesses that lack the expertise or resources to manage their cloud solutions. MSPs bring technical knowledge and capabilities to the table that many organizations lack. In turn, managed cloud services combine the cost-savings, flexibility, and scalability of cloud computing with the convenience and expertise of IT service management.

Types of Managed Cloud Services

Managed cloud services can be categorized into several types based on the level and kind of services being managed. They can range from partial to total cloud management, depending on what businesses prefer handling on their own. Many MSPs will provide multiple cloud services at once, usually packaged into a more extensive service model. Here are some cloud management models that businesses commonly use:

Software as a Service (SaaS)

SaaS lets users access cloud-based software and apps over the internet on a pay-as-you-go basis, providing flexibility and minimal cost investment. Businesses use this model the most. Microsoft 365 is a popular example of software as a service.

Infrastructure as a Service (IaaS)

For IaaS, the MSP manages cloud infrastructure like virtual machines, servers, storage, and networks. The customer is responsible for managing their data and applications.

Platform as a Service (PaaS)

The PaaS model involves hardware, software, and infrastructure as a cloud-focused platform. It’s scalable and provides a lot of flexibility for app development, development, and management.

Managed Data Services

These include database management, data analytics, business intelligence, and other data-related services. The managed cloud services provider handles the databases, allowing businesses to focus on data analysis and decision-making.

Managed Security Services

This model involves managing a company’s cloud security infrastructure. That can include setting up firewalls, conducting vulnerability assessments, monitoring threats, and responding to incidents.

Managed Network Services

These include managing and maintaining a company’s network infrastructure, monitoring, load balancing, and optimization.

Managed Storage Services

Cloud service providers can manage storage infrastructure, providing a safe and productive way for users to interact with company data. They also offer services like data backup, archiving, and disaster recovery.

Managed Communication Services

This includes services like managing and maintaining cloud-based communication systems, including VoIP, video conferencing, instant messaging, and email services.

Each type of managed cloud service provides unique benefits. To get the most value, some organizations will want to mix and match what they need if one model doesn’t cover everything their infrastructure needs. 

How an MSP Can Help With Managing Your Cloud Services

Managed cloud services offer significant value to organizations in several ways. First and foremost, they alleviate the burden of managing and maintaining cloud resources. MSPs bring knowledge of the latest advancement in cloud technology and are already familiar with proven industry-level strategies. That is especially beneficial for small businesses, which may lack the internal resources and knowledge to manage their IT effectively.

Another significant value proposition of managed cloud services is cost-effectiveness. While using cloud services can save money, it must be utilized effectively. By leveraging the assistance of an MSP, businesses can avoid the cost of developing and maintaining an in-house IT department. Moreover, MSPs typically provide services based on a subscription model, allowing companies to have predictable IT costs that scale to their needs.

Finally, managed cloud services offer improved security and compliance. 68% of cybersecurity experts view misconfiguration as the biggest cloud security concern. MSPs employ various measures to secure the cloud environment, including encryption, identity management, network security, and intrusion detection. They also understand the ins and outs of each industry, ensuring regulations are being met and clients can receive the best protection possible.

How to Judge if Managed Cloud Services Are a Good Fit

Determining if managed cloud services are a good fit largely depends on the needs of a business. Ones with complex IT environments can significantly benefit from the added expertise an MSP can bring. If the organization has an understaffed IT team, managed cloud services can also provide support by augmenting the capabilities of the in-house staff. Additionally, companies anticipating rapid growth or a major digital transformation can benefit.

Budget considerations also come into play. With around 30% of budgets going to IT infrastructure, moving to the cloud can save around 10-20% annually. Managed cloud services typically operate on a subscription model, offering predictable and scalable costs. That makes it a preferred option for organizations with tight budgets and irregular needs. Ones with simpler cloud needs or minimal technology won’t see as much benefit with outsourcing.

Get Managed Cloud Services With ITonDemand

Partnering with ITonDemand for your managed cloud services means entrusting your business’s cloud operations to a team of professionals who understand the technology. We provide a broad range of cloud services, each tailored to meet your specific needs and resources. We strive to help you easily navigate the complexities of cloud management, ensuring your IT environment is efficient and secure. Your cloud journey doesn’t have to be a solitary one. Let ITonDemand guide your path toward success and sustainability through the power of the cloud.

Does your business need help with managing your cloud solutions? To schedule a consultation, reach out via our contact form or call us at +1 (800) 297-8293

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