Managed Services: Per-User vs Per-Device

A managed services approach provides predictable costs, proactive maintenance, scalability, and better user support, making it a financially advantageous option over ad hoc support. Additionally, a per-user model in managed services offers long-term cost savings compared to a per-device model, taking into account multiple devices per user, device replacements/upgrades, and the changing dynamics of remote work.

Having managed services over ad hoc IT support offers several financial benefits. Here are the reasons why opting for managed services is a better option financially:

1. Proactive Maintenance: Managed services provide proactive maintenance and monitoring of your IT infrastructure. This approach focuses on preventing issues before they escalate into costly problems. By addressing potential issues early on, managed services can help minimize downtime and associated costs compared to ad hoc support, which often only responds to issues after they occur.
2. Predictable Monthly Costs: Managed services typically operate on a subscription-based model, where you pay a fixed monthly fee for a comprehensive range of IT services. This predictable cost structure allows for better budgeting and financial planning, as you know exactly how much you’ll be spending on IT support each month. In contrast, ad hoc support can lead to unpredictable costs since you’re billed on a per-incident or hourly basis, making it harder to forecast expenses accurately.
3. Scalability and Flexibility: Managed services providers (MSPs) can easily scale their services to match your business needs. As your organization grows or experiences fluctuations in demand, MSPs can adjust the level of support accordingly without requiring significant upfront investments. With ad hoc support, scaling can be challenging and expensive since you might need to hire additional IT staff or engage external experts on a case-by-case basis.
4. Enhanced Productivity: With managed services, you can minimize downtime and disruptions, enabling your employees to work more efficiently and productively. MSPs often provide proactive monitoring, rapid issue resolution, and ongoing optimization, all aimed at maximizing system uptime. Ad hoc support, on the other hand, may result in longer response times, extended periods of system unavailability, and decreased employee productivity.

Now let’s consider why having managed services on a per-user basis is a more cost-effective long term than the per-device model commonly offered by IT companies:

1. Multiple Devices per User: In today’s workplace, it’s common for employees to use multiple devices, such as computers, laptops, smartphones, tablets, IP phones, printers, etc. A per-user model covers support for all the devices used by an individual, regardless of the number. This approach simplifies billing and allows employees to use their preferred devices without incurring additional costs. In a per-device model, each device typically incurs a separate support fee, which can become expensive as the number of devices per user increases.
2. Device Replacement and Upgrades: In a per-user model, device replacements and upgrades are typically managed by the user, reducing the burden on the IT department and minimizing associated costs. Users can replace or upgrade their devices according to their needs, budget, or the organization’s technology refresh cycles. In a per-device model, the IT company is responsible for device maintenance, repairs, replacements, and upgrades, which can lead to higher long-term costs for the organization.
3. User Mobility and Remote Work: With the increasing trend of remote work and the need for user mobility, a per-user model is more suitable. Employees can access IT support regardless of their location or the device they are using. This flexibility aligns with the modern workforce and allows for greater productivity. In contrast, a per-device model can be restrictive and may result in additional support costs for remote or mobile employees.
4. Simplified Administration: A per-user model in managed services simplifies administrative tasks. Instead of managing support contracts for each individual device, IT departments can focus on managing user accounts, permissions, and access. This streamlined administration reduces complexity and the associated administrative overhead, leading to potential cost savings in terms of time and resources.
5. Software Licensing: Software licensing costs can be significant for organizations. With a per-user model, software licenses can be allocated to users, allowing them to use the required applications on any device. This approach optimizes licensing expenses since the same license can be utilized across multiple devices used by a single user. In a per-device model, each device may require separate software licenses, resulting in higher licensing costs.
6. Consolidated Services and Vendor Management: Managed services providers often offer a wide range of IT services beyond support, such as cybersecurity, cloud management, data backup, and disaster recovery. By opting for a per-user model with a comprehensive managed services provider, you can consolidate your IT services and have a single point of contact for all your IT needs. This consolidated approach simplifies vendor management, reduces administrative overhead, and potentially leads to cost savings through bundling services.
7. Focus on User Experience: The per-user model aligns with a user-centric approach to IT support. Instead of treating devices as individual entities, the focus shifts to providing a seamless and consistent user experience across all devices. This approach can improve user satisfaction and productivity. In contrast, a per-device model may prioritize device-specific troubleshooting, which might not fully address the user’s overall experience and can lead to higher support costs due to repeated device-related issues.
8. Long-Term Partnership: By opting for managed services on a per-user basis, you establish a long-term partnership with a service provider. This partnership enables the MSP to gain a deeper understanding of your business, IT infrastructure, and specific requirements. Over time, this knowledge translates into more efficient support, proactive recommendations, and tailored solutions, ultimately leading to cost savings and optimized IT operations.

It’s important to note that the most cost-effective model can vary depending on your organization’s size, IT needs, and specific circumstances. Consulting with a managed services provider can help you evaluate your requirements and determine the most suitable model to optimize both your financial investment and IT support.

For more information on how vCloud Group does managed services on a per-user model, please visit:
https://www.vcloudau.com/managed-services/