A closeup of a handshake between two businessmen signifying the importance of a partnership with a Managed Service Provider.

Managed Service Provider: Advantages, Types, and Considerations for Businesses

A Managed Service Provider (MSP) provides services that remotely run a client’s information technology (IT) framework and user-end structures. The services usually include security, network, infrastructure, and application management in a third-party company or from the MSP’s data center. Businesses that use MSPs can spend more time focusing on their services without stressing about system interruptions or increased downtimes. This article will provide you with more information about managed service providers, as well as their different uses, benefits, and pros and cons of using one.

How Do Managed Service Providers Work?

When companies require assistance to reach their goals and objectives, they’ll turn to MSPs for help with IT processes and infrastructure. Here’s how MSPs work:

  • Once chosen, the selected managed service provider begins by thoroughly inspecting outsourced operations. This allows them to identify how to increase resource application, improve system efficiencies, and decrease costs. Additionally, MSPs discover any challenges within your systems that you might have missed or were unable to identify by yourself.
  • After a full analysis of the company’s processes is complete, the MSP constructs a customized solution and delivers ongoing support and care for outsourced operations.
  • Every organization or company will have a different arrangement and setup based on their needs and requirements. An example of one of the services that MSPs offer is technical support fix services.
  • Whichever service you require, MSPs will supervise your network while also providing optimized IT infrastructure, modern technological tools, and enhanced security.

Different Types of MSPs

The type of managed service provider depends on the guidelines and specifications used to categorize them.

An MSP that is categorized by the magnitude of its target audience and the amount of responsibility handled can be arranged this way:

  • Pure-play MSPs: These consist of smaller managed service providers that focus on application execution and monitoring.
  • Staffing legacy MSPs: These consist of managed service providers that focus on mid-level companies and provide reporting, software upgrades and installation, and monitoring services.
  • High-level MSPs: These consist of managed service providers that offer a large variety of services and allow their customers to request as much outsourcing operations for IT infrastructure as required.

Additionally, MSPs can be organized based on the type of services they offer:

  • Remote support: This type of MSP delivers cloud-based applications, maintains remote gadgets, and fixes technical issues remotely.
  • Centralized supervision: These MSPs deliver management services for networks, remote supervision, security programs, and patch control.
  • Monitoring: MSPs immediately monitor various applications, websites, and network gadgets.
  • Proactive and dynamic support: MSPs offer preventative support and maintenance to anticipate any network or processing issues that may arise.
  • Scheduled maintenance: MSPs deliver network support to companies on a regular, scheduled basis.
  • Simplified billing services: MSPs maintain the billing operations of an organization and control invoices, budgets, and payments.

Different Uses of MSPs

MSPs assist companies in enhancing operations. Whether you’re a small business with limited IT ability or a larger business with budget cuts and hiring restrictions, an MSP is a great option.

MSPs manage the entire IT and user-end framework, including the complexities and repetition involved in the daily functions. Many providers offer the following services:

  • Control the IT systems management
  • Attach cybersecurity programs to IT
  • Supervise user access records
  • Control contract handling
  • Provide technical support to workers
  • Deliver payroll services
  • Provide compliance and risk supervision
  • Recruitment
  • Human Resources

Benefits of Managed Service Providers

A managed service provider ensures that the allocated operations of an organization are being run smoothly, affording the organization time to focus on its core competency.

Additional benefits of MSPs include:

  • Highly specialized experts manage the processes and systems of a business.
  • An organization gains access to the newest applications and technologies.
  • The business gains more longevity as the MSP is well-prepared for disasters.
  • MSPs provide highly specialized security programs.
  • Save on employee budgets as some of the work can be managed by outsourcing to the MSP.

Pros and Cons

Before investing in an MSP, it’s good to find out about its advantages and disadvantages. You may find that one of the pros of MSPs will help your business thrive, or one of the cons is something that can’t be overlooked.


  • Improve Overall Performance – MSPs enhance the overall efficiency of operations by documenting systems for extra security. They determine opportunities to upgrade and streamline processes to boost general performance. This is achieved by identifying the specific tasks the MSP should control, how they will perform, and the point that they should escalate and inform the client.
  • Leverage IT Professionals – One of the other benefits of controlled services is collaborating with highly experienced teams of IT professionals with expertise in solutions, practices, and strategies. These professionals can also aid organizations to improve the reliability of their operations.
  • Utilize the Benefits of Automation – Companies usually require help to determine which manual operations can be switched to automation. MSPs analyze the different procedures to assist companies in optimizing and streamlining before switching to automation systems.


  • Outsourcing – One of the disadvantages of utilizing an MSP is that it requires you to outsource and ultimately waive authority to a third party. However, if a company is experiencing budget cuts or staff shortages, then an MSP is probably the next best option.
  • Automation Restrictions – It’s important to have an in-depth and informative discussion with an MSP before utilizing their services. Some MSPs lack full automation capabilities, which might be a downside for your organization. Automation is an essential tool for MSPs to identify risks in security and repetitive, compromising patterns. The lack of increased automation services will hugely restrict the MSP’s potential to determine risk factors.

Secure the Perfect MSP for Your Business

Managed service providers will ultimately increase the reliability and longevity of a company or organization by improving security, enhancing network systems, and boosting automation operations. Additionally, MSPs improve an organization’s overall performance by constantly identifying risks and changing processes to combat issues. Contact Stargel Office Solutions for seamless managed services and find out more about the available solutions for your Houston-based business.