On the spot

On the Spot - Managed Services

In this month's On the Spot feature, we asked local experts why South African companies should opt for a managed service as opposed to outsourcing. Or are they the same thing?

01 July 2008

Local organisations seem to use the terms `outsourcing` and `managed services` relatively interchangeably, but there is a difference. Technically speaking, an outsource, according to BMI-T, involves a long-term, contractual arrangement in which a service provider takes ownership of and responsibility for managing all or part of a client`s information systems infrastructure and operations based on a service-level agreement.

A managed service, on the other hand, as defined by Dr Gerard Macioce*, is the practice of transferring day-to-day related management responsibility as a strategic method for improved, effective and efficient operations. Brainstorm sought local views on the matter.

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