Software as a Service (SaaS) is a cloud-based software solution that provides companies with the tools they need to run their business. It offers a range of benefits, such as scalability, cost-effectiveness, and flexibility. Managed services, on the other hand, go one step further and provide additional support for both network and hardware requirements. When it comes to cost, managed services are more expensive than SaaS.
Smaller companies may find it more cost-effective to use a hosted service instead of investing in an entire server infrastructure. However, larger organizations can benefit from the flexibility of having full control over their servers. Managed IT service providers collaborate with their customers to provide IT expertise and pre-designed IT infrastructure. Common services include remote monitoring and management of servers, desktops, and mobile devices.
This allows companies to enjoy the benefits of SaaS while also improving integration, upgrades, and maintenance. For example, a managed security company might recommend that a company replace its outdated servers with cloud-based services. Security Information and Event Management (SIEM) software can be provided as a SaaS solution, but it is not considered a managed service until an external company takes over tasks such as monitoring by internal IT staff. Organizations of all sizes are turning to managed services to reduce the costs and hassle of managing their IT systems and using traditional packaged applications.
The managed service provider is responsible for maintaining the organization's IT operations that benefit the service. There are also remote IT service providers that fully maintain and control their customers' IT operations so that these customers can focus on more critical business projects and processes. Managed security services are a popular option, as companies demand IT security support from their remote service providers. Customer Relationship Management (CRM) tools also provide an excellent example of the difference between SaaS and managed services.
