Managed Services and SaaS are often bundled together but the reality is that the two are not the same. While SaaS may form part of Managed Services, SaaS is a third party software provider hosting and managing a business’s applications, as opposed to a provider that is offering a broad range of IT services. It may be that your business only requires the support of SaaS but for many enterprises, the benefits of additional options that come with Managed Services can sometimes make all the difference.
How does SaaS work?
You will pay a fee to remotely access software that your provider is responsible for. So, when it comes to updates and installing, software configuration and security, these all fall to the SaaS provider and not to your business. This can save on time and money with the only clear downsides that the SaaS provider will only support their own software and the service is not part of a comprehensive IT solution.
What about Managed Services?
Managed Services incorporate SaaS, as well as a range of other options. Many businesses start out with a Managed Services package and then progress on to SaaS when there are the resources or the inclination to set up IT support and management in-house. Managed Services can include SaaS plus remote monitoring, disaster recovery, handling hardware issues, providing security, data storage options and dealing with software problems that arise, as well as software deployment.
Which is the best fit?
- No in-house IT team. For businesses without internal IT support, Managed Services may be essential, as there may simply not be the resources to handle maintenance and security of hardware and software on site.
- Lower up front investment. SaaS is a simple solution to the obstacle of up front capital required for investment in hardware and software, their maintenance and security. For limited budgets, SaaS makes the necessary software available at a reduced cost and without the requirement to manage ongoing updates and security. SaaS as part of Managed Service can enable IT to be streamlined by outsourcing everything to a provider to handle, reducing the cost and staff burden on the business.
- Less monthly spend and predictable costs. Both SaaS and Managed Services can be used to reduce monthly spend on IT and to make budgeting simpler by providing transparent and predictable IT costs. Whether your organisation is outsourcing all its IT requirements, or just a single software need, by removing the responsibility from in-house, the expense is reduced.
- Support requirements. One key difference between SaaS and Managed Services is the level of support you’ll get if something goes wrong. Support often comes as part of the Managed Services package but with SaaS you may be completely dependent on the software provider if any problems arise. So, if there is no capacity in-house to deal with IT problems, Managed Services can be the better choice.
Both SaaS and Managed Services have many benefits in terms of cost, efficiency and use of resources. Which one works best for your business will depend on the level of IT support you already have in-house and what kind of services you’re looking for. Get in touch with MarketDeveloper today on +44 1784 432 082.