The best model for any organization is based on its objectives for outsourcing. The more traditional staff augmentation model meets the needs of most organizations by providing “just in time” top-notch services. The managed service model allows an organization to off-load the risk of future operations based on an agreed committed scope and tenure that ultimately reduces costs and improves reliability.
Critical Requirements Identified by Managed Services Buyers
Are the basics covered (firewalls, intrusion detection)?
How will regulatory requirements be addressed locally? Across multiple geographies?
Can the provider build a business case? Provide actual ROI assessments?
How will the provider reduce risks and meet service delivery targets related to: Availability? Performance? Provisioning?
Are there contractual SLAs with financial goals?
Is there a formal governance model incorporating program and project management?
What management tools and dashboards are provided?
Does the service provider have deep skills? Broad skills? Around-the-clock coverage?
Is all service labor based? What processes are automated?