Reports indicate that 78% of businesses worldwide are facing a tech talent shortage. Given that number, it’s unsurprising that 75% of SMBs outsource their technology to a managed service provider (MSP) in some capacity. The only problem is that there are managed service challenges that business leaders must anticipate.
“Understanding the possible challenges is your first step toward preventing them, and doing so can help you ensure that your managed IT service provider consistently provides significant advantages.” – David Gracey, Founder & President of Network 1 Consulting.
However, the good news is that most of the challenges that come with managed service providers (MSPs) are easy to avoid and resolve. Knowing what the challenges are and how to spot them as you navigate the MSP market can help ensure you enjoy the benefits of the service without the potential problems.
This article shows you how. We’ll go over 7 potential IT managed service challenges and provide tips on how you can avoid providers that cause them or resolve the issue if you’re already facing it.
7 Managed Service Provider Challenges to Avoid
1. Cost Management
Cost overruns and hidden expenses can escalate quickly. If the price of all service offerings isn’t clearly laid out in the MSP’s service level agreement (SLA), you may be at risk of receiving a much higher bill than you expected.
2. Ensuring Consistent Service Quality
You might find it frustrating when the service quality from your MSP varies with each interaction. This inconsistency makes it hard to trust that your issues will always be resolved efficiently. This challenge often arises when an MSP lacks standardized processes or sufficient oversight.
3. Adapting to Rapid Technological Changes
Keeping up with the rapid pace of technological advancements can be challenging for your business. To put this pace into perspective, research shows 96% of Americans owned a smartphone in 2023 while only 35% did in 2011.
You rely on your MSP to provide the latest solutions, but if they can’t adapt quickly enough, you might fall behind. This delay can impact your competitiveness and operational efficiency.
4. Security Concerns
As cyber threats continue to evolve, security services become increasingly important. You expect your MSP to have strong security measures in place, but if these protections are lacking, your sensitive data could be at risk.
43% of Cyber Attacks Target SMBsThat’s why you need an MSP with a solid cybersecurity strategy. & management. |
5. Remote Work Challenges
With the rise of remote work, your MSP needs to efficiently manage complex IT needs across multiple locations. Without reliable remote work solutions,you could face disruptions and issues with connectivity, security, and support when working remotely.
6. Inadequate Response Times
Slow response times can lead to prolonged downtime that impact your productivity and bottom line. You need an MSP with timely customer support, but you also need to strike a tricky balance between timeliness and high-quality services after they respond.
7. Compatibility Issues
You may encounter compatibility issues when integrating new technologies with your existing systems. These problems can disrupt your operations and require additional time and resources to resolve. You expect seamless integration, but compatibility challenges can lead to delays and unexpected costs.
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How You Can Prevent or Resolve These IT Managed Service Challenges
| Challenge | How to Avoid the Challenge | How to Resolve the Challenge |
| Cost Management | Review the MSP’s SLA thoroughly for clear pricing details and ask for a comprehensive cost breakdown before signing. | Negotiate the contract and request a detailed explanation of any unexpected charges to adjust future costs. |
| Ensuring Consistent Service Quality | Look for an MSP with documented processes and consistent client reviews highlighting reliable service quality. | Request regular service reviews and insist on clear service standards documentation to address inconsistencies. |
| Adapting to Rapid Technological Changes | Choose an MSP that actively invests in ongoing training and new technology adoption. | Hold your MSP accountable for staying current with technology, or consider supplemental training for your team. |
| Security Concerns | Evaluate the MSP’s security certifications and inquire about their data protection protocols and incident response plans. | Conduct a security audit and demand stronger protections or additional measures if current security is inadequate. |
| Remote Work Challenges | Ensure the MSP has experience supporting work from home environments and ask for case studies or references. | Address specific remote work issues with your MSP and explore additional tools or services to enhance remote support. |
| Inadequate Response Times | Check the MSP’s average response times and client testimonials for prompt service before committing. | Set clear response time expectations in your SLA and request regular performance reports to monitor improvements. |
| Compatibility Issues | Verify the MSP’s experience integrating systems similar to yours and ask about their process for ensuring compatibility. | Work closely with your MSP to resolve compatibility issues, potentially involving third-party experts, if needed. |
Choose an MSP With Fewer Associated Challenges
The best way to avoid challenges is to choose a reliable MSP as your long-term partner. As your business continues to grow, you need certainty that your IT provider can scale and adapt to your changing needs. An MSP that puts you first will be able to do that.
You can count on Network 1 Consulting as your reliable partner. Since 1998, we’ve been working with businesses just like yours and helping them adapt and achieve success through immense technological changes. If you’re not fully satisfied, we offer a 60-day opt out clause.
Contact us today to get started.
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