With businesses in every industry seeking to cut down costs while improving efficiency and productivity, it should come as no surprise that recent research predicts the global market for managed services will increase by nearly 80 percent between now and 2018. According to the research, the market for managed services currently sits at $142.75 billion and is projected to explode to $256.05 billion in five years. That represents a compound annual growth rate of 12.4 percent.

According to the report, North American companies are likely to generate a large chunk of that revenue by employing a managed service provider. Still, it’s important to keep in mind the fact that the markets in Europe, Asia Pacific, Latin America, the Middle East and Africa are expected to gain more and more traction as well each year.

With the ability to reduce IT costs by 30 to 40 percent on the enterprise level, demand for managed service providers is increasing across all verticals. In addition to the reduced costs, acquiring the expertise of a managed service provider can also increase operational efficiency by as much as 50 to 60 percent, according to the report.

Businesses are increasingly figuring out that it doesn’t make sense to devote as much of their resources on areas of their companies that are not central to their mission. Technological infrastructure is the backbone of any company, but why should a chain of restaurants, for example, employ a robust IT staff when their mission is to serve food and keep customers happy. Instead of investing heavily in in-house IT, the chain could employ a handful of people and contract the services of a managed service provider that would then oversee the company’s technological infrastructure, making sure it runs without any hitches. The restaurant chain could then invest the money saved in other mission-critical aspects of the business.

If you’re a business owner thinking about acquiring the services of a managed service provider, click here to learn more about why Apex Technology Services might be the best fit for you.