IT Outsourcing vs Managed IT Services: How The Two Differ

Organisations looking for help with their IT environment have two main options they can turn to: managed IT services and IT outsource services in Singapore. While these two avenues of getting IT support seem similar at first glance and often get misinterpreted for one another, the truth is that they are not the same thing. Understanding what each means enables business owners to better understand their IT needs and be more confident with their decisions moving forward.

What is IT Outsourcing?

IT outsourcing is when organisations enlist the services of a third party to accomplish a specific IT task. Third-party IT providers now offer many forms of IT assistance and can fulfil their obligations across the globe, with many working remotely.

This service generally runs on a break-fix service model, wherein the IT outsourcing company tackles their clients’ IT problems as they come on a case-by-case basis. For instance, if several workstations or laptops encounter software problems, the third-party vendor will see to their speedy resolution.

Furthermore, IT outsourcing typically involves assisting client organisations with specific duties like patch management or a collection of tasks like setting up new infrastructure, installing upgraded security measures, and so on.

What are Managed IT Services?

Managed IT providers or Managed Services Providers (MSPs) offer managed IT services. One of the main focuses of MSPs is to help businesses manage their IT environment while providing a consultative approach to how they handle their IT operations.

Depending on a business’s needs, MSPs may prioritise introducing cost-effective hardware and software solutions to optimise their IT infrastructure, overhauling their existing cybersecurity, or implementing protective measures for all their computing devices.

MSPs have the necessary resources and expertise to perfectly handle various aspects of a business IT environment, and they can also integrate with an organisation’s existing team while providing consultative assistance and IT advice.

Key Differences Between The Two Services

Business model

As mentioned, IT outsourcing adheres to the break-fix service model. This means it specialises in one-time tasks requiring speedy resolutions to IT problems as they arise instead of focusing on big-picture plans for future business IT goals. In addition, they rarely take a holistic approach to IT infrastructure optimisation and only deal with the specific problem they are tasked with.

Unlike IT outsourcing’s typical one-off service, managed IT services follow a business model based on the partnership approach. MSPs put substantial effort into building long-term consultative relationships with their clients, striving to find new ways to propel their businesses to greater heights.


Managed IT services generally run on a subscription model, while IT outsourcing operates on a task-by-task basis. Even if the third-party vendor for IT outsourcing gets paid by the hour, they will focus on completing the specific and itemised IT tasks on their checklist.

For some businesses, outsourcing minor IT tasks is much more affordable than hiring certified professionals for long-term IT needs. These small tasks often only require the temporary assistance of a highly specialised IT technician who can provide the needed help.

Preventative and maintenance measures

Last but not least, the most important difference between the two services is that the MSPs offering the latter are proactive regarding maintenance and updates. Partnering with an MSP entails having a team of reliable IT experts constantly monitoring and tracking the organisation’s entire IT infrastructure to patch vulnerabilities and address security risks before hackers exploit them. In addition, they will also ensure deployed systems are up to date, secure, and run smoothly while providing insights on areas for improvement and how new technologies could be applied to achieve it.

In other words, managed IT services usually become an extension of an organisation and work as a dedicated IT department. On the other hand, IT outsourcing involves a reactive approach and is only called into action when an issue arises.


It is understandable that some may get confused between IT outsourcing and managed IT services, but hopefully, it is now clear how they differ: IT outsourcing is best for on-demand, one-time IT services while managed IT services ensure a business’s IT infrastructure performs optimally in the long run.

For managed IT services and IT outsourcing you can rely on, look no further than TYPENT. As one of the top IT outsourcing companies in Singapore, we provide a wide range of solutions that ensure your IT infrastructure’s reliability and robustness, including network support services, server migration, and email security services. For more details about our solutions, don’t hesitate to reach out to us at any time.

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