6 Managed IT Service Provider Myths

In the past few years, managed service providers (MSPs) have become popular, both in the IT industry and with small businesses‌. A managed service provider is a third-party organization that manages all the IT-related services of its clients.

From monitoring the company’s IT environment and security to managing end-user systems, an MSP can handle many tech-related business tasks. MSPs can also speed up digital transformation and boost your company’s growth. They are particularly popular amongst small and medium-sized businesses. These organizations sometimes lack the resources to establish an in-house department to cover each service, or simply understand how savvy, experienced, and helpful a managed IT service provider can be. 

With the tremendous growth in the technology sector, the importance and demand for managed IT services have grown exponentially. However, with an increase in their popularity, MSPs have also found themselves surrounded by several misconceptions and plenty of misunderstanding. Questions involving security, efficacy, efficiency, and value are common. 

Many business owners find it difficult to make a clear decision about the direction of their IT efforts because of these common misunderstandings. In this article, we are going to look at the top six managed IT service provider myths. Then, to help you separate fact from fiction, we are going to bust each of these up and give you the real picture. Let’s jump in!


Myth #1: Hiring an MSP Means Losing Control of Our IT Operations

The Misconception

Hiring an MSP will result in dilution of control. Owners and top management will not be able to make important decisions, as the reins will be in the hands of a third-party company.

The Truth

This is one of the biggest misconceptions that most business owners have about outsourcing business and IT-related solutions. No matter what people believe, hiring an MSP would not make you lose control of your company’s operations. You can decide exactly how much decision-making authority you want to delegate to the provider.

Every relationship with MSPs requires a clear service-level agreement (SLA).

This helps you in setting clear expectations about control and authority in different areas, the kind of services to be delivered and their scope of influence, metrics for measuring effectiveness, and so on. Thus, you can list and discuss your requirements beforehand and choose the MSP that meets them. Reputable and reliable managed service providers share their suggestions and recommendations with their clients, but they never challenge their client’s control.


Myth #2: Managed IT Service Providers are not Worth the Money

The Misconception

Hiring an MSP will cost a fortune to our company. Additionally, outsourcing services that the company’s staff can manage on their own is a sheer waste of money. On top of that, the results these MSPs might generate are not guaranteed. 

The Truth

While managed IT service providers are not for everyone and hiring them depends on your business goals and budget, believing that MSPs aren’t worth your investment couldn’t be further from the truth. 

According to a survey conducted by McKinsey, almost 70% of business executives plan to outsource services and hire contractors for on-site roles in the coming years. This is because MSPs are valuable and worth it when it comes to implementing digitalization and enhancing your IT landscape.

Managed IT service providers offer world-class IT solutions that can prove invaluable for the growth of your business. Not only that, MSPs even help in reducing your recurring in-house costs by 30% to 40%. They free up the time for you and your staff, keeping you focused on core activities instead of IT concerns. 

employees wondering about IT service provider myths

Myth #3: MSPs Can Negatively Affect Existing Jobs in Our Company

 The Misconception

Partnering with managed IT service providers can reduce or take away existing jobs from either my company or my existing IT department. This will create nervousness and a sense of insecurity in my team.

The Truth

MSPs are not there to replace your IT team or create redundancies within any department. If anything, they strengthen both existing IT department members by reducing their workload and boosting productivity. They take over some of the arduous tasks so that your internal IT team can focus on other, more important projects.

MSPs provide specialized IT solutions that will be beneficial to your end-user or customers. Thus, MSPs help you by increasing business efficiency and promoting growth. Managed service providers are meant to fill the gaps of your IT department and work closely with them. MSPs make every department in your company stronger by supporting them with the added efficiency, clarity, and access that smooth networks, innovative technology, and years of experience provide. 


Myth #3: Our Company’s Data is not Safe with an MSP

The Misconception

Hiring an MSP can put our company’s data at risk. Cybercrimes are on a massive rise today. And with the growing dominance of technology and digitalization in workplaces, a company’s data is at risk more than ever. Ransomware attacks cost a whopping $75 billion and more annually, and it can take months for a business to recover from such an attack.

An MSP has nothing to lose if our company is under cyberattack. So, how can we believe that our data is safe with them? They also have incredible access to our data which makes it vulnerable to theft or corruption. 

The Truth

Managed IT service providers do not put your data at risk. In fact, the opposite is true. MSPs help businesses secure their IT environment and create a robust ecosystem to avoid cyberattacks.

As specialized IT service providers, MSPs have considerable expertise in IT security. They can help you leverage cloud security systems and design a compliant environment that ensures your data is safe from the clutches of cyber-attackers.

MSPs wouldn’t stay in business for long if they are not able to keep their client’s data safe, right? Beyond this, if they were attacking their clients’ private data they’d not only be out of business, but prosecuted as criminals. Managed IT service providers stake their reputation and success on their professionalism, loyalty, and integrity. Lastly, you will always have total control over the arrangement and the systems you want to allow them access to. 


Myth #5: MSPs are Only Suitable for Large Corporations

The Misconception

Only big companies can benefit from MSPs. They are not meant for small and medium-sized businesses.

The Truth

While all sizes of businesses can benefit from managed IT service providers, small and medium-sized businesses are the ones that can enjoy the maximum advantages of hiring an MSP.

Large companies have enough financial resources to hire an in-house IT team for their daily business needs. It is the small and medium companies that often find the most value in MSPs, by gaining a wide range of services and IT support at affordable rates. 

MSPs help small businesses in handling their daily technology requirements, boost security, speed up digitalization, help you make sense of analytics, and keep technology running smoothly. Thus, these service providers are invaluable for small and medium-sized businesses.


Myth #6: MSPs Only Offer a One-Size-Fits-All Approach to Every Business

The Misconception

Most managed IT service providers are generalists. They provide the same kind of solutions to all business problems. This will degrade the efficiency and quality of our business and not give me the specialized approach I need. 

The Truth

Many business owners carry the false idea that MSPs use the one-size-fits-all approach. While MSPs cater to the needs of different kinds of businesses across multiple industries, they are not generalists.

Any good MSP seeks to understand the complexities and nuances of your business and then draft a tailored plan to meet your IT needs in the best manner. Managed service providers are up-to-date with all emerging IT trends and new technologies, and thus, they improve your company’s efficiency and effectiveness.



So, there you have it. These were the top six common myths about managed IT service providers that trip up too many business owners looking for help. 

Hiring an MSP for your company’s IT needs depends on your finances, business objectives, data needs, level of technology, and more. As a business owner or busy manager, it’s important that you get the true picture of managed IT services before making decisions. Do your research. Discuss your needs and desires with prospective IT partners, read reviews, and get to know them a bit to see if the collaboration will be a productive and positive experience. When it is, it’s one of the best decisions you can make for your business. 


Tech Masters helps businesses of all sizes thrive and grow with superb IT support. We ensure your networks run flawlessly, keep your data safe, and help you make the most of your technology. Contact us today to get started.

For quick answers to a few managed IT service provider inquiries, check out frequently asked questions below.  




Why do people contact managed services?

People buy managed services for a number of reasons. The major ones include:

Strengthening IT infrastructure

To reduce recurring business costs

Enhancing IT security

Manage day-to-day operations

To provide more flexibility to the IT department

To gain access to new technologies


What are some examples of managed services?

Managed services come in different types. The kinds of managed services you should choose will depend on your business requirements and goals.

Common examples of managed services include:

Managed security services, cloud infrastructure management, software as a Service (SaaS), data management, analytics services, wireless and mobile computing services and so much more. 


What industries need managed IT services the most?

Some industries that require managed IT services include:

Healthcare, finance, automotive, entertainment, production and manufacturing, warehousing, distribution, education, non-profit, hospitality and leisure, insurance, and many more. 


Will partnering with a managed IT service provider cause me to lose control of my business?

Definitely not. MSPs actually bring you greater safety and security for every part of your company. Managed IT service providers bring years of experience, a deep knowledge of data management, an understanding of analytics, access to a range of technological tools, improved communication strategies and general business know-how. They succeed only when you succeed. They are here to help you realize your vision of your company. They just want to make that journey smoother and quicker than you thought possible. 


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