MSPmentor

Most of us have heard by now that cloud computing is set to displace managed services, forcing MSPs to rethink their role as value-added trusted advisors to their clients. Don’t believe these dire predictions of impending MSP doom. It’s hype and in fact, as a true MSP your value proposition doesn’t have to change with cloud computing. If you play your cards well, the cloud will bring you more business, not less. Here’s why.

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Let’s face it: life on the bleeding edge is not for everyone — companies or individuals. If you are anything like me, some days you ask yourself why you do it. Yet for most of us in the IT services world, the good days in 2009 far outnumbered the bad, and the lessons learned were invaluable. Here are four takeaways I am keeping top of mind in 2010:

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When you think of what it is your company does, who do you think could explain it well?  Here’s a newsflash: Probably not your employees. Here’s why.

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The managed services market is growing rapidly and has strong, long-term potential for many who are pursuing it. It is changing the way IT services are consumed and delivered. It is helping many of us diversify and strengthen our value propositions and balance sheets. We are all bullish about the future and the opportunity in front of us. There is one significant hurdle, however, that nobody seems to want to acknowledge — the proverbial elephant in the room.  Here’s the problem.

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The managed services market is never without its intrigue. Vendors, application developers, tool providers, platform aggregators, managed service providers, solution providers, and end customers all swimming about in the fragmented, highly competitive, primordial soup that is a growing market. Now, for the challenge…

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Managed services as an IT service delivery model is here to stay. Now for the risk: As with any other relatively new market, the SMB managed service space is highly fragmented. There are hundreds of existing application and service vendors and just as many new entrants to the industry competing for solution providers’ mind share and market share. So how do you tell the good partners from the bad ones?

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Generally speaking, IT managed service providers are technologists, both in training and previous professional pursuits. The managed services market is also highly fragmented, with a long list of small technology and software companies all battling for the attention and business of end users and IT service providers. The value focus in all of the selling and marketing efforts has resulted in a disturbing trend carried over from the hardware selling models: A focus on tools, technology, and features/functions. Here’s how to avoid that trap at all costs.

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The current economic crisis is a monster – no doubt about that. If you are under the age of 80, this is shaping up to be the worst market downturn of your life. Cautious and prudent fiscal, managerial, and operational policy in our personal and business dealings is critical. But what many companies and managers, in the midst of a crisis like this, may not recognize is this: Downturns are significant opportunities that don’t come along very often.

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