To run the business successfully there are lots of things required like investment, equipments, proper setup and last but most important is human resource. Human resource is always taken as the back bone of any business either new or old. Although human resource is always taken as the valuable asset for any company but due to modern technological inventions, new ways of doing businesses are coming every day that has affected the human recourse’s hiring to some extent.

As the businesses are becoming more virtual or online day by day so some employers are also moving towards getting some part of their businesses done from online sources or from the third party. The major reason of doing this thing is to cut the cost in a way that it couldn’t affect the profitability and operations of business. As we all knows very well that companies usually have to invest a huge amount in hiring process. The hiring includes time consuming processes from short listing among the huge number of candidates to their test, interviews, hiring and finally their training. So it wastes lots of time, energies and cost too. The main problem comes when the company gets the big project for once and it has to complete it in a limited time period. At that time companies used to look at the most reliable and cost effective way rather than hiring new people and trained them. The one option that could be taken in this regard is to ask the employees that either they are able to serve the company as part time workers or not. If the workers get agreed to the management’s proposal then it would be the best option for management rather than hiring new staff. But if the workers don’t want to avail that opportunity then the management has to think something different to meet their business requirement.

To shed down the load of extra work, management can hire a third party. Work can be assigned to any one, either to a physical company or the virtual one, depending upon the reliability in satisfaction of needs. Managed service provider is the name used for third party providing service. The managed service provider serves various companies at a time and manages their work properly in addition to earn income. They charge the served companies on the basis of monthly schedules. Their income is based on the tasks assigned by different companies in order to provide the service to them

IT related problems and needs that are satisfied by the virtual service providers include the old data storage, maintaining the new data, their strong web presence by maintenance of web sites, building strong customer satisfaction features, logo designing and many more same kind of assistance services.

Companies realized after analysis of expenses incurred by company’s IT department and the outer service that the costs are minimized in hiring the services from outside. Hiring them as the IT department save the company from unnecessary wastage of time and cost

Managed service provider has some advantages that help him to replace the idea of hiring new employees with its services. It is the best solution to cope up with the limitations of cost, time and space that instead of opening a new IT department get IT service done by any service provider. This method can prove to be the cost efficient and helps the company in saving time. It is basically a replacement of an employee by a whole organized system with providing deep guidance in case of any query. Their survival needs the trust based relationship with their customer companies, in order to maintain that customer and retain those companies, they offer highly productive, reliable and time saving work output.

From the above benefits it is shown that this is a good concept for all type of businesses, either any company follows it or not, and it seems to have growth in near future.