ChannelTrends: Tackling the Challenges and Opportunities of Managed Services

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  • ChannelTrends: Tackling the Challenges and Opportunities of Managed Services

    by Brian Sherman  | May 07, 2014
    Remote monitoring and management tools have been available to channel companies for quite some time. Just last week, a friend of mine sent me a link to the first article I ever wrote on managed services — from almost a decade ago — to congratulate me on 10 years of covering this industry-changing topic. Though it was just a brief mention from the former Gartner System Builders’ Summit and VARVision show, the Business Solutions magazine piece reminded me just how much the channe ...
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    by Chris Gonsalves  | April 23, 2014
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Remote monitoring and management tools have been available to channel companies for quite some time. Just last week, a friend of mine sent me a link to the first article I ever wrote on managed services — from almost a decade ago — to congratulate me on 10 years of covering this industry-changing topic. Though it was just a brief mention from the former Gartner System Builders’ Summit and VARVision show, the Business Solutions magazine piece reminded me just how much the channel has changed since my conversations at that event.

Early MSPs often emphasized the unique technological traits of managed services software and typically highlighted the automated features specific to each client application. Of course, today’s solution providers are more apt to leave out a lot of the speeds and feeds of their services portfolio and concentrate more of their customer discussions on addressing specific business needs. While the tools are perhaps an even more important part of the equation, the real money comes from helping clients address more of their long-term organizational challenges and goals.

Managed services have forced channel companies to undergo a major transition, encouraging traditional VARs to upend many of their former practices to better serve their customers. The proactive nature of remote monitoring and management contrasts significantly with the reactive response of a break-fix model. Where the latter often depends on the customer to report problems or determine when they need upgrades, the MSP has to be more engaged in their clients’ daily operations. Networks, applications and computing equipment are no longer the central focus. Process improvement, compliance and security have taken over the conversation and providers must be capable of engaging in those types of discussions to survive. If an MSP doesn’t have what it takes to create solutions that meet or exceed their customers’ current and future business needs, their long-term viability is definitely questionable.

Whether it’s an IT services company or a small-town restaurant, every organization has to adapt to change or its chances for survival will diminish measurably. That’s the principle reasoning behind many of CompTIA’s initiatives over the past few years, and the CompTIA Managed Services community has championed a significant number of projects to help providers adapt to the changing business landscape. The group has played an instrumental role in developing resources and training programs designed to improve MSPs’ organizational best practices. The Managed Services community has a laser-like focus on business skill development, strengthening the foundation that providers need to close more sales and to forge deeper, enduring customer relationships.

Managed Services Businesses: A Look to the Future

Continuing with that tradition, the group recently reached out to current and former members to learn more about their business and professional interests, and to gather suggestions for future initiatives. Based on the online survey responses, managed services professionals would like to focus more of the community’s efforts on operational management, sales and executive management topics. Each was ranked number one by 18 percent of respondents, with marketing (13 percent) and customer service (10 percent) not far behind. Contrast those results with technical operations, which only received 5 percent of the first place votes. While MSPs are highly dependent on their computer and networking skills, the survey validates need for greater IT business education and support.

Which topics are most valuable to managed services professionals? Based on the survey, 73 percent would like more help nurturing opportunities with long sales cycles. More than half of the respondents would like to discuss ways to improve their sales appointments and how to create more effective proposals. In the age of solution selling, those are both critical skills for any MSP.

On the marketing front, 82 percent of the respondents would like to discuss general advertising and promotional concepts, as well as website best practices. Again, MSPs indicate a greater need for business preparation and skills development than technology enablement. That theme was prevalent throughout the community’s survey. From building a customer service culture and improving project management capabilities to developing a win-win relationship with vendors, managed services professionals recognize the organizational talents they need to prosper.    

That’s a big part of the motivation behind most of the nine collaborative CompTIA communities in the U.S., Canada and the UK. While the Advancing Women in IT group has a slightly different mission — empowering women with the knowledge and skills necessary to help their pursuit of successful IT careers — the others are strongly dedicated to business-enhancement. Surveys such as the one completed by the Managed Services Community help members validate their current initiatives and give them a greater incentive for creating new ones. Most of all, these activities keep them focused on the task at hand: collaboration for the greater good of the IT industry.

If you’re interested in getting involved in a current managed services initiative or just looking to learn more about the latest resources and programs for IT services, get in touch with the CompTIA community team. There are plenty of great ideas to be had.

Brian Sherman is founder of Tech Success Communications, specializing in editorial content and consulting for the IT channel. His previous roles include chief editor at Business Solutions magazine and senior director of industry alliances with Autotask. Contact Brian at Bsherman@techsuccesscommunications.com.

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