5 Signs of an Underperforming MSP Partnership and How to Overcome Them

In today’s business landscape, companies face challenges such as falling investment, global conflicts, and inflation driving up costs. To minimize the impact of these factors on profitability, corporate leaders are turning to managed service providers (MSPs) to free up internal resources for innovation and value-added activity. However, the success of this partnership depends on cultivating a strong relationship with the MSP. If not, it can become yet another thorn in the side for businesses to fret over. In this article, we will detail the five signs of an underperforming MSP partnership and what businesses can do to fix it.

One of the signs of an underperforming partnership is impersonal service. While larger MSPs offer specialized services and rapid response times, this can lead to problems with impersonal service. Classic signs of this include the same issues coming up repeatedly, or not being addressed fast enough, and a gap between your business goals and your MSP’s ability to meet them. To overcome this, businesses should ensure they have multiple communication channels with their MSP and a direct line to the person overseeing their project/service.

Another sign is unreasonable and/or rigid contract terms. Red flags to look out for include overly long and unnecessarily complicated contracts, often signs of MSPs making lofty promises and trying to tie businesses into longer projects. The advice here is not to rush the contract signing. Instead, businesses should ensure that the draft contract is passed through the necessary channels, so that all stakeholders have complete oversight. And, they should think pragmatically about what they want to achieve with their MSP relationship and make sure the contract reflects their goals.

The Importance of a Strong MSP Partnership

Outsourcing IT infrastructure to a managed service provider (MSP) is crucial for businesses looking to build a long-term strategy that minimizes the impact of external factors on profitability. A strong MSP partnership allows companies to take advantage of new growth opportunities while improving efficiencies and cutting operational costs.

According to a recent Forrester Total Economic Impact™ (TEI) report, 95% of IT executives agree that a strong MSP partner is essential for achieving these goals. However, cultivating a strong MSP relationship requires effort and attention from both parties.

To ensure a successful partnership, businesses must prioritize personalized service and communication with their MSP. This means having direct lines of communication with the person overseeing the project or service, as well as multiple communication channels to address any issues that may arise.

In addition, businesses must carefully review and negotiate contract terms to avoid unreasonable or rigid terms that may hinder the partnership’s success. Rather than rushing to sign a contract, businesses should ensure that all stakeholders have complete oversight and that the contract reflects their goals and expectations.

Overall, a strong MSP partnership is essential for businesses looking to stay competitive and agile in today’s challenging economic climate. By prioritizing communication, personalized service, and contract negotiation, businesses can build a successful long-term strategy that maximizes growth and minimizes risk.

Signs of an Underperforming MSP Partnership

When outsourcing IT infrastructure to a managed service provider (MSP), it is crucial to cultivate a strong relationship to ensure long-term success. However, sometimes the partnership may not work out as expected. Here are some signs that your MSP relationship is underperforming and what you can do to fix it.

Impersonal Service

One of the key benefits of engaging the services of a larger MSP is the plethora of specialized services and rapid response times available. However, this can lead to problems with an impersonal service. Classic signs of this include the same issues coming up repeatedly or not being addressed fast enough, and a gap between your business goals and your MSP’s ability to meet them.

To overcome this, ensure you have multiple communication channels with your MSP. Ensure you have a direct line to your MSP, specifically to the person overseeing your project/service. This will help to provide personalized service and ensure that your business goals align with their capabilities.

Unreasonable and/or Rigid Contract Terms

Red flags to look out for here include overly long and unnecessarily complicated contracts. These are often signs of MSPs making lofty promises, trying to tie you into a longer project, and pre-emptively trying to raise bureaucratic walls to make accessing the services you are entitled to more complex.

The advice here is simple – don’t rush the contract signing. Instead, ensure that the draft contract is passed through the necessary channels so that all stakeholders have complete oversight. Also, do not be tempted by outlandish promises; think pragmatically about what you want to achieve with your MSP relationship and make sure the contract reflects your goals.

Lack of Transparency and Communication

Another common issue with MSP partnerships is a lack of transparency and communication. This can lead to misunderstandings, missed deadlines, and unmet expectations. Make sure your MSP is transparent about their processes and communicates regularly with you to keep you informed of any issues or updates.

Inability to Meet Service Level Agreements

Service level agreements (SLAs) are a critical component of any MSP partnership. If your MSP is consistently failing to meet SLAs, it may be time to reassess the partnership. Ensure that your MSP has a clear understanding of your business needs and that they have the resources and expertise to meet your SLAs.

Lack of Flexibility and Adaptability

Finally, an underperforming MSP partnership may be due to a lack of flexibility and adaptability. Your MSP should be able to adapt to changes in your business needs and be flexible enough to adjust their services accordingly. If your MSP is inflexible or unable to adapt, it may be time to look for a new partner.

In summary, an underperforming MSP partnership can be detrimental to your business. By identifying the signs of an underperforming partnership and taking steps to address them, you can ensure a successful and long-term partnership with your MSP.

How to Overcome an Underperforming MSP Partnership

When a partnership with a managed service provider (MSP) is underperforming, it can cause significant problems for a business. Here are some steps to take to overcome an underperforming MSP partnership:

Establish Multiple Communication Channels

One of the most common reasons for an underperforming MSP partnership is a lack of communication. To overcome this, it is essential to establish multiple communication channels with your MSP. This can include regular meetings, email, phone, and chat. By having multiple channels, you can ensure that you are always in contact with your MSP and that any issues are addressed promptly.

Take Time to Review and Negotiate Contract Terms

Another common issue with MSP partnerships is unreasonable or rigid contract terms. To avoid this, take the time to review and negotiate the contract terms before signing. Ensure that the contract reflects your business goals and that it is reasonable and flexible. You should also ensure that the contract includes service level agreements (SLAs) that hold the MSP accountable for their performance.

Demand Transparency and Regular Communication

Transparency and regular communication are essential for a successful MSP partnership. You should demand that your MSP provides regular updates on their performance and any issues that arise. This will help you to identify any problems early on and work with your MSP to resolve them.

Hold MSPs Accountable for Service Level Agreements

Service level agreements (SLAs) are critical for ensuring that your MSP delivers the services you need. You should hold your MSP accountable for meeting their SLAs and ensure that there are penalties for failing to do so. This will help to ensure that your MSP is motivated to perform at their best.

Encourage Flexibility and Adaptability

Finally, it is essential to encourage flexibility and adaptability in your MSP partnership. As your business evolves, your needs will change, and your MSP should be able to adapt to these changes. You should encourage your MSP to be flexible and adaptable and work with them to find solutions that meet your changing needs.

By following these steps, you can overcome an underperforming MSP partnership and build a successful, long-term relationship with your MSP.

Conclusion

In conclusion, partnering with a managed service provider can be an effective way to achieve business goals and minimize the impact of external factors on profitability. However, it is crucial to cultivate the relationship with the MSP to ensure it remains a positive and productive partnership.

The five signs of an underperforming MSP relationship include impersonal service, unreasonable and/or rigid contract terms, lack of transparency, poor communication, and failure to deliver results. To overcome these issues, businesses should prioritize communication, establish clear goals and expectations, and ensure that the contract reflects these goals.

When selecting an MSP, it is important to consider factors such as experience, expertise, and personalized service. Rx-IT is an MSP that offers personalized service and aligns business goals with their capabilities.

By addressing these issues and fostering a strong relationship with their MSP, businesses can free up internal resources for innovation and value-added activity, ultimately leading to long-term success and profitability.