Business Managed Application
A business managed application is an enterprise software system operated under a formal managed services agreement — meaning a third-party provider handles upgrades, incident response, performance monitoring, and tier-2/3 support, while the business retains ownership of configuration and business logic.
How it works
Under a managed application model, the provider maintains an SLA-backed support stack: a monitoring layer watches application health, an incident queue handles break-fix, and a change-advisory process governs upgrades. The business's IT team shifts from reactive firefighting to governing the provider relationship and managing change requests.
Selection criteria
| Criterion | What to evaluate |
|---|---|
| SLA tiers | Define response and resolution times by severity. P1 (system down) should carry a resolution commitment, not just a response one. |
| Upgrade cadence | How frequently does the provider apply vendor patches? Quarterly is standard; monthly is better for SaaS ERP. |
| Escalation path | Who handles issues the provider cannot resolve? Confirm the escalation route to the ERP vendor. |
| Data residency | Where does the provider's monitoring tooling store log data? Matters for GDPR and SOX audit trails. |
| Handover provisions | What data and documentation do you receive if you terminate? Exit planning starts at contract signature. |
Frequently asked questions
What is the difference between application managed services and break-fix support?+
Who owns the application under a managed services model?+
How is managed services priced?+
Ready to assess your ERP managed services options?
Our specialists work with IT directors and finance leads at organisations managing one or more ERP platforms. An assessment takes 45 minutes and produces a written summary you can share with your steering committee.