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How Using a Managed Service Provider Can Save Your Organization Money

August 11th, 2023 | 4 min. read

By Jordan Pioth

Business man talking on phone in an office

If your organization is looking to improve its telecom solutions, it can be challenging to find the right solution for your organization.

Additionally, if your organization does not have any in-house IT expertise, you will need help installing and managing your solution.

A managed service provider can not only help install the solution for you but also help manage it as well.

If you are unaware of how a managed service provider can help manage your solution and help save your organization money, you may overlook using a managed service provider to deliver excellent cost-effective results.

Coeo knows how important a reliable telecom solution is to an organization and has managed the telecom solutions of thousands of customers.

We want you to know how a managed service provider can deliver great solutions and help your organization save money so you can determine if this is worth evaluating.

By the end of this article, you will know what a managed service provider is, how a managed service provider can help your organization save money, and if your organization can benefit from using a managed service provider.

What is a telecom managed service provider?

A managed service provider (MSP) is a third-party company that installs and remotely manages the IT and telecom infrastructure for a customer.

In a nutshell, they manage an organization’s telecom solutions so the customer doesn’t have to.

MSPs help organizations that do not have any IT expertise in-house or have an IT team that is focused on other work tasks asks that prevent them from managing a telecom solution.

Organizations of all sizes can benefit from a managed service provider but the majority of MSP customers are small to medium-sized businesses.

Small and medium-sized businesses typically have more limited IT or telecom expertise in-house which is why they benefit from using an MSP to manage the solution for them.

Larger businesses on the other hand, while still can find value from using an MSP, typically have an IT team in-house that would be in charge of managing the telecom solutions instead of having to rely on a managed service provider.

How a telecom managed service provider can help your organization save money

Many organizations looking for improved telecom solutions typically think that using a managed service provider will be more expensive. This is often not the case.

There are a few ways a managed service provider can help your organization save money including:

Fixed monthly cost

Managed telecom solutions typically charge a fixed monthly cost.

This fixed monthly cost ensures that your organization will pay for only what you need and nothing more enabling your organization to budget for a consistent monthly fee.

Managed service providers are flexible and can work with your organization to find the right solutions without having to charge for any solution or service your organization does not need.

The all-inclusive price for a managed service reduces any unforeseen costs that may come up if your organization manages your telecom solutions internally allowing a managed service provider to save your organization money.

Hardware and software is less expensive

Managed service providers use their strategic partnerships to find the best price for their customers.

After a managed service provider understands the needs of your organization, they can identify the best solutions to meet your needs.

After identifying your organization’s needs, your MSP can also negotiate the lowest and most competitive pricing for the solution by leveraging their partnerships with IT manufacturers and vendors.

Cut IT department expenses

An MSP can act as an extension of your IT team. If your organization uses an MSP, the need for additional IT expertise will be reduced so there will be less need to retain much in-house IT expertise.

In most cases, it is more expensive to staff for in-house expertise. Using an MSP will allow your organization to operate more cost-effectively.

Is a telecom managed service provider a good fit for your organization?

A managed service provider will benefit most organizations looking to improve their telecom and IT solutions. However, some organizations will benefit more than others from using an MSP.

If your organization has IT expertise in-house, you may benefit less from working with a managed service provider. If you have a full staff of IT experts, you may be better off.

However, if your organization does not currently have internal IT expertise, it may be challenging or impractical to effectively manage your telecom solution.

If your organization attempts to manage the solution without proper IT expertise, a managed service provider is likely your best option to avoid having a poor-performing solution.

Additionally, if your organization has an IT team that is focused on other important tasks, they may not be able to dedicate the time to manage your telecom solutions effectively.

In this case, your organization may benefit from using a managed service provider.

Utilizing a managed service provider will often reduce the organization’s operating cost or at least keep those operating costs neutral as well as the capital expenditure to acquire the solution.

Next steps to using a managed service provider

Now you know what a managed service provider is, how a managed service provider can help your organization save money, and whether a managed service provider is a good fit for your organization.

This information will help you determine if your organization should use a managed service provider.

Coeo knows how important a reliable telecom solution is to an organization and has managed telecom solutions for thousands of customers.

We want you to understand what a managed service provider is and how it can help your organization save money so you can determine if a managed service provider will help you operate your business more effectively.

If you would like to speak with our team to learn more about managed service providers or ask any questions you may have about Coeo as a provider you can schedule an appointment.TALK TO AN EXPERT

Read these articles below to learn more about managed service providers and some of the solutions they offer:

Jordan Pioth

When he's not creating content for Coeo, Jordan loves to watch sports, hang out with friends and family, and anything sneaker-related.