The technology treadmill is a tough place to be these days. Technology refresh cycles last only a mere three years, forcing firms to change out their infrastructure and make costly software and hardware upgrades on a too-frequent basis. And with hedge fund budgets tighter than ever, many firms cannot afford to stay on this path.
But the technology treadmill is not a firm’s only option anymore. Costly in-house, traditional IT services are giving way to more cost-effective outsourced IT and managed services that get firms off the treadmill and on a path to success.
Let’s have a look at some of the key reasons why firms are moving from traditional, on-premise IT services to managed services.
What are the keys factors driving hedge funds to managed services?
With hedge funds still feeling the effects of the financial meltdown, including tighter control on budgets and staff, many firms are turning to managed IT services, allowing them to align their IT requirements with their business needs.
Moving to managed services provided by an outsourced IT provider not only makes it easier to deploy technologies, but they are also designed to meet the constraints of limited IT resources and budgets in downtime.
Two of the most important factors driving firms to switch from traditional IT services to managed services are lower costs and lower risk.
Moving to managed services is one of the most effective methods for hedge funds to reduce IT costs while gaining access to innovative network technologies that can provide a competitive advantage.
Managed services also eliminate the risk that the company will need to make a large capital expenditure to accommodate unplanned business changes.
Some other benefits include:
The ability to focus on core business competencies and save time
Increased levels of support and network availability, without the requirement of additional staff
Instant access to the latest technology solutions
Easier adaptation to changing business conditions
Managed IT services can help firms to evolve in the midst of difficult economic conditions, giving them access to cutting-edge technologies and management expertise – without ongoing investments and technology upgrades.
By turning to managed services providers, hedge funds can save both time and money.
The biggest trend in the hedge fund technology is cloud computing. This trend looks to continue to gain popularity throughout the hedge fund industry, particularly given its cost benefits and flexibility.
What are the benefits of switching to managed services?
Managed services offer firms access to affordable, best-of-breed technologies, which can be deployed quickly and cost-effectively and can solve staff recruitment and retention issues.
Managed services have become a cost-effective way to manage the IT infrastructure of a firm. With so many reasons to move to a managed services platform, the technology treadmill shows no signs of slowing down.