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Untitled-7876More organizations than ever are outsourcing business-critical IT processes like hosting, security, and application management to managed services providers. Statista was forecasting that the global managed services market might exceed $350 billion by 2025, even before the COVID-19 pandemic accelerated the trend. Companies opt for managed services for many reasons: so they can focus on their core competencies, increase workforce flexibility, improve scalability, reduce expenses, and in the case of managed services related to Atlassian tools, access the deep knowledge of a full team of experts that might otherwise be costly and challenging to hire.

In this blog post, we’ll explore the financial benefits of managed services in general, as well as look at a few areas where companies that invest in managed services related to their tools might experience those gains.


How Managed Services Reduce Costs

In their 2020 report entitled “Managed Services Market Size, Share - Growth, Trends and Forecast (2020 - 2025),” ReportLinker estimates that successful deployment of managed services may help in reducing IT cost by 25-45% and may also increase operational efficiency by 45-65%. Cisco’s report, "What You Need to Know about Managed Services,” tells a similar story: in it, they explain that managed services can reduce recurring in-house costs by 30% to 40% and increase efficiency by 50% to 60%. 

In our experience as an Atlassian managed services provider, we’ve seen this trend in action. Two key areas where organizations can realize cost benefits with Atlassian managed services are in the hiring of full-time, in-house staff and in realizing operating efficiencies.

  • FTEs vs. Fractional Support – Organizations that do not have a need for an FTE (or another FTE) to support their Atlassian tools can work with an MSP and essentially hire a fraction of an FTE. Further, in doing so, they’re able to access the specialized expertise of a larger team at an affordable cost, which is particularly valuable to small or mid-sized companies.
  • Operating Efficiencies – Managed services often results operating efficiencies that have a positive impact on the bottom line: the tools are better aligned with business objectives, they work better, there is greater adoption, automation streamlines processes and saves time, there are fewer problems, and they get resolved faster, and customer service and satisfaction improve.


If an Atlassian Managed Services Provider sounds like a great fit for your organization, see what Isos has to offer and how we can help you get the most out of your technology investment.

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