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As you grow your managed service practice, it becomes increasingly important that your business is scalable and profitable. This means deciding to build efficient systems and processes into your company based on facts.
If you’re not sure where to start, we suggest asking yourself these three questions.
Profitability is different from the client who you billed the most. You must measure based on which client actually generates the most profit.
As your service delivery team grows, this question will become increasingly complicated. Your most valuable engineer may not necessarily be the same as the engineer who knows the most, or even the engineer who works and/or bills the most hours. Look for the engineer who is the best utilized and generates the most profit.
Most MSPs offer a variety of services to their clients – spam-filtering, anti-virus, off-site backup, disaster recovery, and much more. But are those services profitable to your business, and do they support growth? Do any of those services take up more time than they are worth?
An IT business is one of the most complex businesses to run – it’s not enough to service your clients, but you must understand how to do so profitably, incorporating data from not only your service delivery team but the rest of the business too.
You should be looking to capture information from areas such as:
Ask yourself – is my MSP business capturing this information already? If not, how can we make sure we record this data?
Once you have this data, you can start to build a foundation of service intelligence.
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