Comparing Service Models
For some companies, a hot economy means unparalleled growth. With that growth comes more business and higher revenues. The downside? It’s difficult to find the resources your company needs to support this new business in a hot labor market.
This is when companies look to outside sources—such as Beyondsoft—to fulfill their staffing needs. At Beyondsoft Consulting, we offer Professional Services, Managed Services, and Staff Augmentation to help you get the job done.
So, which of these three options best fits your needs? Below you will find an explanation of the differences between the three, so you can make the best choice for your company’s growth.
Sometimes, the role of professional services is confused with “consulting services.” However, professional services are designed to provide your organization with licensed or certified professionals who will perform the work—such as accountants, project managers, and lawyers.
In contrast, consulting services provide research, strategy, and direction in the form of recommendations. The work of a consultant is to advise your company on whatever issue your company has identified as requiring outside assistance. Additionally, professional services tend to be longer-term engagements, while consulting services are usually a short-term implementation of recommendations.
Using professional services is best when you need a professional specialist to enact, implement, or customize an essential aspect of your business, such as a product or project. The use of professional services will to allow your company to tackle complex problems requiring licensed or certified experts.
Typically, companies bring in a Managed Services Provider (MSP) to handle their IT systems and processes. Using an MSP makes it easier to utilize a specialized team, the latest technology, and strategic knowledge to meet your business growth and needs.
The partnership between your company and the MSP is spelled out in a Service Level Agreement (SLA) specifying the scope, cost, contract length, performance measures, and deliverables of the arrangement. The MSP will meet expectations set in the SLAs knowing that future contracts are contingent upon this.
Why Organizations Use IT Managed Services:
- Costs: Rather than hosting the resources and infrastructure, the MSP takes on the necessary costs for these resources and equipment. Your costs are tied directly to the requirements and specific expected outcomes in the SLAs, which allows for easier budgeting of your IT costs. Your finance team will be able to lower your capital expenditure (CapEx) costs on equipment and use that money, instead on your operating expenditures (OpEx).
- Scope and Deliverables: In addition to the SLAs, when you bring in an MSP, you can specify the outcomes and performance measurements. You will know exactly what you will receive, how performance will be measured against the contract using Key Performance Indicators (KPI), and what technologies will be used.
- Specialized Knowledge and Skills: Depending on your IT or business system, there are many specialized positions, such as Azure Certified Architects or ERP Implementation Project Managers, that are much easier and more cost effective to outsource to an MSP. These positions become a part of the MSP-contracted work, allowing you to focus on other tasks.
Staff augmentation allows your company to use a service provider to add personnel and expertise to your current staff. This is a great option when your personnel needs are not permanent, such as staffing for a specific project or contract. Staff augmentation allows you to scale up or down and still get quality personnel.
The potential downside to this method is that the cost can be higher. You pay for the resource, plus a margin to the provider. This expense needs to be measured against the total cost of hiring a full-time employee, which can include salary, benefits, workers compensation, and unemployment insurance. However, many organizations feel the flexibility of this method outweighs the additional cost.
Here at Beyondsoft Consulting, we have the experience and knowledge, to provide you with the best resources available and to help you decide which options are best for you: Professional Services, Managed Services, or Augmented Staffing.
Our expertise spans multiple industries, from retail and e-commerce to high-tech & telecom and manufacturing. If you are interested in discussing which of these services might work best for you today – or in the future – contact us today and one of our team members will gladly reach out.
Interested in learning more? Contact our team today.
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