Moving Beyond MSP: Reflections on Partner Growth and Real Profitability

I recently had the privilege of speaking with a fantastic group of partners about the ongoing evolution in our industry, and I wanted to share some personal reflections and practical insights for those navigating the changing landscape. If you missed the presentation, I hope this blog captures the spirit and key takeaways—for me, it’s about the industry moving past the traditional Managed Service Provider (MSP) model and genuinely helping to set up your business up for long-term success.

Why the MSP Journey Isn’t the Destination

After 14 years at an MSP, I’ve seen first-hand that becoming an MSP is only half the story. For a long time, we believed that repeatable billing and operational consistency would naturally drive profit. The reality? It can actually inhibit it if we’re not careful. Many of us don’t measure our managed services enough to know whether they’re truly profitable or just keeping the lights on. If you feel stuck in a cycle of low margins and high reliance on scale, you’re not alone.

The turning point comes when you start leveraging your technician time, platforms, and automation. It’s not about serving one or two customers well—it’s about scaling your best practices across your base. Once you nail this, things really start to gel, and you can shape your customer base into one that suits your business, not the other way around.

Back to Basics—But Smarter

It’s tempting to chase every shiny new thing, especially with AI bringing fresh governance and compliance challenges to the table. But sometimes the answer is to double down on the basics. Get your foundational processes right, measure what matters, and build profitability the right way. That’s been my lived experience, that happy teams and customers follow when the basics are working.

The Power of Companion Vendors

There’s something you will start hearing us talking about more and more: Companion vendors. Everyone sells While Microsoft products are the backbone of your businesses, companion vendors are the ones that support, not replace, what Microsoft does. This is critical for partners in the SMB space who don’t have the luxury of large teams. With the right companion vendors in play, you free up valuable time, reduce support tickets, and avoid the common pitfalls that arise when Microsoft frameworks, particularly policies, aren’t properly enforced.

Efficiency: The Real Game Changer

One practical tip I always share, is to set aside a small amount of time, each month, to address at least one high-volume ticket category each month and find efficiencies wherever possible—whether that’s through automation or improved processes. When you start leveraging our companion vendors, and start to reduce high volume tickets regularly, you will see ticket loads drop. This freed-up time can then be reinvested in training, upskilling, and building a business that attracts better customers.

It’s a virtuous cycle, and you’ll wonder how you ever managed without it.

Consistency Counts—Value Your Time

If I could offer just one piece of advice, it’s this: Don’t ever give away your time – it is the most valuable thing you have and the only thing you can’t buy. We all want to be nice to our customers; however inconsistent charging only invites complaints and undervalues the critical services you provide. Consistently measuring, billing, and setting clear expectations is key. You are the reason your customers can operate day in, day out—you need to recognise your worth and maximise the value you bring. This is what customers expect.

Packaging for Profit and Compliance

We’re currently in the process of rolling out suggested packages to help partners not just upsell but truly deliver better outcomes for themselves and their customers. From getting data management right to overlaying robust security and governance, these packages are designed to improve profitability and compliance. Regulations are tightening, and customers will need to adapt—why not lead the conversation and position your business for success?

Saving Time at Scale

With premium SKUs and solutions like Devicie, you can start to save a minimum of four hours per tenant per month. Multiply that across your customer base and the numbers are impressive—hundreds of hours a month freed up, which can be rebilled or reinvested. This kind of operational efficiency isn’t just theoretical; I’ve been a partner that realised tens of thousands of dollars a year simply by tightening our processes and charging appropriately.

Let’s Continue the Conversation—Join Us!

We’re keen to share more, and help partners one-on-one at upcoming workshops in Melbourne, Sydney, Perth Christchurch, Wellington and Auckland. For those in Brisbane, Adelaide, and Hobart—if you’re interested, reach out and let’s make it happen! These events cover the full business picture, and I’m genuinely excited about what we can achieve together.

In closing, remember: Technical skills, sales, and marketing are vital, but getting the business strategy right is what ties it all together. Thanks for taking the time to read, and I hope to see you at our events soon. If you have questions or want to chat, email me directly at adam.smith@dickerdata.com or ping me on Teams.

Let’s double down on business, value our time, and build something truly special together.