The progress of a business depends upon the capital, land, machinery, labor and their proper placement. Human resource is considered as the most significant factor in any business set-up. The modern inventions have reduced the recruitment of the human resource, as it replaces the humans with machines and introduce new techniques to run the business efficiently.

The mobility of businesses towards online system is increasing day by day; it includes transferring the whole business setup as an online business or to transfer a part of business to get it done from any other online company. Companies are moving toward virtual businesses not only to save the time but also to reduce the cost that would surely be occurred in hiring new employees. To avoid the long and costly process of hiring most of the companies tends to be online. The hiring process becomes most urgent when any company finds big projects that need a huge number of employees to complete it on time, not only to get profit but to maintain their credibility in the market. In this situation the company can hire their in-house employees for some time as part time workers on additional pay. But the company has to think differently if employees show no interest in working as part time workers.

Presently the solution for this problem is hiring a reliable outer party for the extra work. This need can be satisfied by any online or real source. Another name used for this out source is managed services provider. Managed service provider has the function to manage the work of different companies in order to take benefit and manage their business. Third parties provide monthly services against the charges. Shortly speaking managed service providers get the projects of service provision from other companies and get profit in return.

IT related problems can be solved in a best way by using managed service provider. If we say that managed service provider meant to be for IT assistance, then it will not a false statement because most of the companies of recent world are transferring their IT functions to them by considering them a reliable source.

The services provided by managed service providers are supplied at lower cost as compared to the cost involved in the hiring of new employees so they are already trained people who are providing us this IT related services. This is very effective way to reduce the cost and time. This step towards the third party is taken mostly by modern companies.

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.

Though some companies still feel convenient with the traditional methods but a majority of them are increasing their outputs by reducing their costs and managing the work quicker. Consequently it seems very clear that in future not a single company will have its own IT department and they will feel secure and cost efficient in taking the services of the managed service provider.