It’s been two weeks since IBM announced its new program for Managed Service Providers (MSPs). We’ve been working with these types of businesses for years, but with the launch of this program, IBM is acknowledging how MSPs are at the forefront of using cloud computing to reinvent business.
Throughout the industry, the term “MSP” is broad and vague. Its roots trace back to the Application Service Providers of the late nineties. Back then, we had some notion that increased bandwidth could enable small businesses to get out of running their own data centers and simply pay an offsite service to manage their applications. Over time, this notion blossomed into a business model where service providers add value through their expertise in application usage, systems management, and business process.
MSPs, then, do much more than keep the data center running: they provide expertise that businesses of all sizes—not just small businesses—simply cannot maintain on their own.
For example, Doug Mow, Senior Vice President of Sales and Marketing at Velocity Technology Solutions, explains that what clients value about Velocity’s managed service is their deep expertise on Infor applications. There are several functions that most businesses only perform once or twice a year, such as processing bonuses or adjusting payroll deductions. For on premise environments, teams often have to relearn how to perform these functions every time they do them. But an MSP like Velocity performs these functions regularly on behalf of many clients, thus increasing efficiencies for everyone involved.
MSPs bring expertise and economies of scale to their customers. In turn, IBM brings affordable, robust technology, worldwide marketing reach, and business transformation support to the MSPs. For more information on how we’re working with MSPs to reinvent business, visit our MSP Virtual Briefing Center.