What is a System Integrator (SI)?
A System Integrator (SI) offers third-party software and hardware solutions at a markup, along with some combination of procurement consulting, configuration, and customization services.
SIs charge flat-rate fees per license and billable hours, but their engagement is finite, reactive, and limited. This approach charges in term of hours spent; therefore, in some ways, it actually rewards inefficiency and ineffectiveness. It does not incentivize the SI to improve its process, work flow, and engineers’ competencies.
What is a Managed Service Provider (MSP)?
A Managed Service Provider (MSP) is a company that plans, builds, deploys, operates, manages, and maintains your business IT Infrastructure for a finite period (3/6/12 months) in exchange for a fixed, recurring fee (like a retainer).
MSPs typically offer a range of services such as network maintenance, network security, hardware repair, help-desk services, web hosting, web design, email hosting, and administration, and anything else that requires a day-to-day administrator to keep running. They also purchase IT hardware, software, and solutions from a 3rd-party vendor, a cost which is bundled with their services and passed on to the customer.