Case Studies

Hosting and Managed Services

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Key Considerations World-class IT infrastructure can provide you with a compe ve advantage, but only if you have the talent, exper se and experience on staff. Otherwise, your IT opera ons will most likely fall short of expecta ons and end up cos ng you more. The reasons for aligning with an IT services firm are not always just financial: n Are you looking to solve tac cal issues like projects with short-term results, immediate cost reduc ons or staff augmenta on? n Do you want to free up your me for strategic ini a ves? n Do you want to improve your service-level measures? n Is your leadership frustrated with current IT capabili es? It's important to understand the advantages to working with an IT service provider. Equally important is an assessment of your internal capabili es, including: n Would other companies hire you to do this for them? n Will tomorrow's leaders come from this area of the company? n Are you receiving world-class services at a compe ve cost? n Does this create or defend your compe ve advantage? n Is this directly contribu ng to your growth or expansion? Answers to these ques ons will help align IT projects with business priori es Cost Considerations IT managers must know the costs associated with their current IT opera ons and the state of their efficiency and effec veness. Other expenses to consider include hardware refreshes, a disaster recovery plan and compliance requirements. Examine if these costs can be reduced or eliminated by working with a partner. When it comes to selec ng a service provider as your partner, determine what criteria ma ers most to your organiza on: n Does the provider fit within cost objec ves? n Do you want your service provider to be onshore, offshore or both? n Does your partner have specific experience in an applica on or your par cular industry? Another considera on is the type of delivery model your service provider will use. If you operate within a me and materials model, you will pay for resource me as it is incurred. Guaranteed service delivery levels are included. You have substan al flexibility in managing your projects but less control over spending. With Service Level Agreement (SLA) models, you pay a defined fee for a defined service level. Your costs are fixed and your results are predictable. The provider manages your environment on an agreed upon service level rather than the amount of me it takes to complete tasks. Most IT partners require a contract term for such an arrangement. Service Models Many service models exist for companies to deploy, although they may vary slightly between providers. Remote Managed Services Hardware and so ware con nue to be located on your premises and the partner monitors and controls the devices from their loca on. The most common services deployed in this model include 24/7 support, infrastructure management, security management and opera ng system administra on. Introduction In today's economy, every dollar saved and every dollar earned counts more than ever. As such, every IT ac vity needs to be jus fied to find new funding and support. Those with the highest ROI usually move forward. That's what makes hosted and managed services an a rac ve alterna ve to tradi onal in-house IT service delivery. O en a partnership with an independent hosted and managed services firm can provide the same— or be er— services at a lower cost. It can also save the organiza on money on an ongoing basis and free up resources that can be deployed against other high-value projects. For every IT project analysis, decision-makers should include an "in-house versus service provider" cost comparison. Although the benefits of hiring specialists are evident, enterprise managers should ask ques ons and evaluate all costs before undertaking any strategic IT ini a ve. Solution Case Study Hosting and Managed Services Assessing real-world benefits

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