A managed IT service provider is a third-party provider that offers specialized, proactive IT management for businesses that don’t have the in-house resources or expertise to do it on their own. This enables companies to focus on their core activities while ensuring their technology infrastructure is efficient, secure, and scalable. 

Managed IT service providers are more than just outsourced technical support. They're responsible for the day-to-day management and monitoring of IT systems, including networks, servers, cloud services, and cybersecurity. This proactive approach helps prevent issues before they arise, reducing downtime and mitigating the risk of costly security breaches that could harm both finances and reputation. 

Reports show that 73% of organizations allocate larger IT budgets to prioritize digital transformation; however, approximately 46% of cybersecurity breaches target small businesses. These findings underscore the importance of adopting managed IT services to access the technical expertise and skills necessary for maintaining an efficient and secure IT environment. 

IT managed services providers proactively manage their clients' technology infrastructure, handling various tasks, from providing remote assistance, network infrastructure management, and cloud services to offering cybersecurity and disaster recovery support. 

The most common types of managed IT services include: 

• Help desk and support
  Providing 24/7 remote assistance for employees and/or customers, which minimizes the impact of technical issues on your organization’s productivity. 
• Security management
  Security monitoring, threat detection, antivirus management, firewall management, and incident response. 
• Disaster recovery and data backup
  Ensuring that a business's files and databases are regularly backed up and can be quickly restored, preventing significant data loss and downtime. 
• Network infrastructure management 
  Managing essential IT infrastructure, including setup, monitoring, maintenance, and optimization of servers, networks, and storage systems.  
• Cloud services
  Managing cloud platforms such as AWS, Microsoft Azure, or Google Cloud, as well as hybrid cloud solutions 
• Software and application management
  Deployment, updates, and support for Software-as-a-Service (SaaS) applications and other business-critical tools 
• Cybersecurity
  Implementing security measures, threat detection, and compliance management to protect data and systems 
• Reporting and analytics
  Managing tools and infrastructure for data analytics. Providers help in data collection, storage, analysis, and reporting, allowing businesses to gain insights from their data. 
• Vendor management
  Handling relationships and communications with other technology vendors on behalf of the client 
• Compliance and regulatory management
  Ensuring the IT systems and processes comply with relevant industry standards and regulatory requirements 
• IT strategy and consulting
  Advising on technology upgrades, budgeting, and aligning IT systems with business goals 

The differences between IT services and MSPs are in their scope, delivery model, and client relationship.  

IT services generally refer to specific, task-based technology solutions, such as software installation, network setup, or technical support for systems or applications. In contrast, IT managed service providers (MSPs) offer a more holistic, ongoing approach by assuming responsibility for the management, maintenance, and optimization of a client’s entire IT infrastructure. 

Below is a more detailed comparison: 

IT managed service providers typically charge an average of $80 to $200 per user per month. The cost depends on various factors and is often priced per user or device to ensure the pricing aligns with the specific needs and support level required by the business. 

Other managed IT services pricing models are: 

• Per user: Pricing is based on the total number of users within the organization 
• Per device: Costs are determined by the number of devices requiring support, including desktops, servers, and mobile devices 
• Tiered: Service is offered in levels, with each tier tailored to meet the specific requirements of the organization 
• All-inclusive (flat rate): A fixed monthly fee covers unlimited IT support and services 
• À la carte: Clients select only the specific services they need, avoiding the commitment of a full-service package 

Several key factors can affect the cost of managed IT, including:

• The type of services provided
• The level of involvement required from the managed IT experts
• The complexity of the client's infrastructure
• The business industry
• The amount of data that needs to be backed up
• Whether the business already has an IT team

The top 50 managed IT service providers on DesignRush charge an average of $68/hour. 12.4% of these companies accept project budgets under $1,000 for basic or limited-scale solutions, while 2.6% require a $50,000 minimum budget for comprehensive IT services and support. 

You should hire IT managed services providers because they offer expert and reliable support for your IT infrastructure, including the proactive maintenance of hardware and software components. These providers help prevent critical system failures and ensure your technology functions smoothly without interruptions, minimizing downtime and optimizing performance. 

Hiring IT managed services providers (MSPs) offers many key advantages for businesses because they: 

• Have specialized knowledge and expertise in managing IT systems 
• Can efficiently resolve complex IT issues 
• Can implement the latest cybersecurity measures to protect sensitive data and systems 
• Offer continuous monitoring and proactive maintenance of IT systems 
• Proactively prevent potential issues, reducing downtime and minimizing costly repairs 
• Have access to the latest technology and tools, and can ensure the IT infrastructure stays up to date 
• Reduce overhead costs associated with maintaining an in-house IT team 
• Ensure compliance with industry standards and regulations 
• Provide scalable services that grow with your business, eliminating the need to hire and train new staff 
• Offer disaster recovery solutions to maintain business continuity in the event of data loss, system failures, or cyberattacks 
• Can provide round-the-clock IT support, so your business operates seamlessly around the clock 

Success story 

Managed IT service providers play a vital role in optimizing processes across various industries. We have chosen this case study to highlight the impact of modern IT solutions on improving asset tracking, performance, and security in the logistics sector: 

• Challenge: Deployed Resources, an industry leader in facility support and logistical services, relied on DRAT, a legacy PHP-based asset management application, to track over 2,000 assets. However, as the number of assets grew, the application's performance and user interface deteriorated, leading to inefficient asset management. 
• Solution: Kanda Software stepped in and developed a modernized DRAT asset management system, including desktop and mobile versions with offline synchronization and improved usability. The new solution also featured enhanced asset management, AWS migration, better data protection, advanced search, and integration with third-party services, significantly improving performance and security. 
• Results: The new DRAT 2.0 system streamlined asset management, improved data security, and enhanced reporting capabilities. Successfully migrating over 2,000 assets and incorporating features like offline synchronization and advanced search, the solution significantly boosted Deployed Resources' efficiency and provided better control over asset information. 

Follow these key steps to choose the best managed IT service provider that delivers reliable managed services: 

1. Define your IT needs
   Identify specific managed IT services you require, like network management, cybersecurity, or data backup. 
2. Research potential managed service providers
   Look for managed IT companies with experience in your industry. Check online reviews in reputable directories like DesignRush, ask for referrals, and browse agencies’ websites for service details. 
3. Evaluate their expertise
   Make sure the managed IT service provider has demonstrated expertise in the specific services you require and a has proven track record of success within your industry or niche. Ask for its previous work, case studies, or client testimonials to gain insight into their experience and success. 
4. Check for relevant certifications
   Check the MSP’s certifications, which should include but aren’t limited to: ISO/IEC 27001, CompTIA, AWS, Microsoft Certified Partner, Data privacy certifications, and vendor-specific certifications (e.g., Dell, HP, IBM). 
5. Shortlist and request proposals
   Narrow down your choices and send out requests for proposals (RFPs) with details of your project requirements. 
6. Evaluate their technical skills and capabilities
   Make sure the managed IT service provider is proficient in the technologies, frameworks, and cybersecurity relevant to your project. 
7. Interview potential candidates
   Meet or call potential providers to understand their team and approach better. Ask questions about their process, services, communication style, and workflow. 
8. Assess their communication style 
   Evaluate the team’s communication skills and responsiveness in addressing your questions and concerns, as clear communication is crucial in keeping the project on track. 
9. Assess their project management style   
   During your call, inquire about the IT managed service provider’s project management approach. Ask if they provide frequent updates, collaborative project management tools, and a clear point of contact. 
10. Choose the managed IT provider you will work with
    Focus on the value provided, not just the cost. Choose the managed IT service provider that aligns best with your requirements, budget, and work culture. 

Do you need help finding the right managed IT services provider? Go to our Marketplace and tell us about your project. We will connect you with the best companies based on your specifications — for free. 

DesignRush's advanced filters make it easy to find the best managed IT service providers that fit your budget. Filter by budget ranges from $1,000 to $50,000 and refine your search with additional criteria to discover the perfect provider for your needs. 

You can also browse our directory to review company profiles, including their location, industry expertise, team size, pricing, and hourly rates, allowing you to comprehensively compare IT managed service providers that match your project requirements. 

Here are some key success metrics that can be used to measure the effectiveness of a managed IT service provider (MSP): 

• Service level agreement (SLA) compliance 
  The adherence to the terms and performance standards outlined in the SLA 
• System uptime/availability
  The percentage of time IT systems are operational and accessible 
• Mean time to resolution (MTTR)
  The average time required to resolve IT issues 
• Mean time to detect (MTTD)
  The average time taken to detect potential issues or threats before they escalate 
• First call resolution (FCR)
  The percentage of issues resolved during the initial client interaction 
• Incident response time
  The speed at which the MSP reacts to cybersecurity threats or IT incidents 
• Customer satisfaction score (CSAT)
  Direct client feedback on satisfaction levels with MSP services 
• Net promoter score (NPS)
  Measures the likelihood of clients recommending the MSP to others, indicating overall trust and satisfaction 
• Number of security incidents prevented
  The number of cybersecurity threats that were proactively identified and mitigated, reflecting the MSP’s effectiveness in protecting client systems 
• Help desk ticket resolution time
  The average time to resolve support tickets submitted by users 
• Downtime avoidance rate
  The percentage of potential downtime prevented through proactive maintenance and monitoring 
• Cost savings realized
  The financial benefits gained due to the MSP’s efficiency, such as reduced downtime or optimized resource use 

Beware of the following red flags when hiring IT managed service providers (MSPs): 

• Lack of clear communication
  Avoid providers that are vague about their services or unable to explain their approach in detail, as it could signal potential misunderstandings down the line. 
• Poor response time
  Be wary of a managed IT service provider that is slow to respond or inconsistent in addressing inquiries and support requests because it could cause problematic collaboration down the line. 
• Inadequate security measures
  Don't work with MSPs that may have weak cybersecurity practices, including a lack of regular security audits and reliance on outdated security tools, which could result in data loss and downtime during system failures or cyberattacks. 
• Limited technical expertise
  Don't consider working with an MSP that lacks specific expertise in your industry, as it may struggle to address your unique IT challenges. 
• Lack of certifications
  Be cautious of the absence of relevant industry certifications (e.g., CompTIA, Microsoft, Cisco) as this could indicate a lack of technical expertise or a commitment to ongoing professional development among the MSP's staff. 
• Absence of transparent SLAs
  Don't choose IT managed service providers that are unwilling to share details about service level agreements (SLAs), pricing, or incident resolution processes because this can lead to confusion about expectations and service performance. 
• No scalability
  If the MSPs don't offer flexible services that can grow with your business, they may not be able to adapt to your future needs. 
• Negative reviews and reputation
  Avoid MSPs that have negative feedback or are cited for poor service quality or unethical practices. Check for verified reviews on platforms like DesignRush, Google, or specialized IT review sites. 

Ask the following questions before hiring a managed IT support company: 

Its Relevant Background

1. How long have you been providing managed IT services, and what industries do you specialize in? 
2. What's the size of your company and your history in this field? 
3. How much experience do you have in our industry? 
4. What tools and technologies do you use? 
5. Can you provide examples of projects similar to ours? Can you offer client references? 
6. What certifications and accreditations does your company hold? 
7. What are your pricing models and what does it include? 
8. What is included in your SLA, and what guarantees do you provide regarding response times and uptime? 

Its Services and Processes 

1. What’s your approach to managing IT services? 
2. Do you offer specialized services like cybersecurity or cloud management? 
3. What is your response time for IT issues? 
4. How do you ensure continuous system uptime and reliability? 
5. How do you ensure data privacy and integrity? 
6. Do you provide detailed reporting and analytics? 
7. Are your services scalable to match our business growth? 
8. How do you stay updated with the latest IT developments? 
9. What is your approach to disaster recovery and business continuity planning? 
10. How do you handle client escalations? 
11. How do you ensure compliance with industry regulations (e.g., GDPR, HIPAA, SOC 2) 

Relevant to Your Project 

1. How will you tailor your services to our specific needs? 
2. What is the process for onboarding our company? 
3. Can we meet the team who will be handling our accounts?
4. How will we communicate and collaborate on ongoing projects? How quickly can I expect a response from you? 
5. What are the expected outcomes for our business? 
6. How do you handle changes or additional requirements mid-project? 
7. Are there any long-term contracts or commitments involved? 
8. What security measures do you have in place to protect our sensitive data? 
9. What is the level of expertise of the technicians who will be handling our systems? 
10. Do you offer 24/7 support, and how can we contact you in case of emergencies? 

The best managed IT service providers in the US are:

1. Kanda Software
   • 4.7 stars on DesignRush (15 reviews) 
   • 4.8 stars on Google (9 reviews) 
   • Top clients: OneSky, Rue La La, Imprivata, Lionbridge 
2. Suffescom Solutions Inc
   • 5.0 stars on DesignRush (38 reviews)  
   • 4.7 stars on Google (89 reviews) 
   • Top clients: Modani Furniture, King Cubs, Lead Action, PropertyMe
3. Ntiva
   
   • 4.8 stars on DesignRush (5 reviews)  
   • Top clients: Aetna, Blue Cross Blue Shield of Illinois, Illinicare, Fairlife 
4. MilesIT  
   
   • 5.0 stars on Google (4 reviews)  
   • Top clients: Henning’s Market, The Fence Authority, PSS Distribution, LD Davis 
5. LeverX
   • 4.9 stars on DesignRush (16 reviews) 
   • 5.0 stars on Google (2 reviews) 
   • Top clients: 3M, PHILIPS, SAP, DHL