Building on their appetite for XaaS, many senior leaders are also looking to managed services to mitigate some of the risk associated with tech investment decisions.
In this operating model, companies can access advanced technology, embedded domain expertise, and leading practices, all in an as-a-service package with predictable costs and a multi-year contract.
Consider these findings from the most recent KPMG and HFS Research Managed Services Outlook:
- 72 percent of executives say managed services exceed expectations on their goal to access new technology.
- In the next two years, 76 percent anticipate that managed services will significantly impact technology innovation, which could otherwise be challenging to build or evolve internally. For example, this innovation might include generative AI for improved cyber threat detection or chatbots that can diagnose IT issues and write new code.
- As managed services help companies keep up with rapid change, 67 percent of executives say C-level leaders or the board decides.
With the relentless speed of digital evolution, most companies can’t afford to fall behind. Inaction due to risk aversion can be costly in the form of lost market share, stakeholder trust, and overall competitiveness.
Instead, progressive companies are designing operating models that can harness emerging tech, continue to evolve, and quickly pivot as priorities change. Managed services are a way to do just that while limiting disruption and risk.
