MSP Model Vs. Hardware As a Service

As far back as I can remember, technology resellers have used the manufacturer/hardware value proposition to sell solutions to clients. Selling the installation services was always part of the package and, in many cases, it was done for the client's convenience. Later, it became the bulk of the profit. But selling managed services without creating hardware guidelines or technology benchmarks for clients to follow can best be described as flying an airplane and building it at the same time. In other words, your organization runs the risk of supporting products without the technical expertise--thus increasing costs and decreasing realized revenue.

Providing a guaranteed support model, such as managed services, while maintaining the distributor line card for clients requires an enormous amount of resources. If profits are thin with the traditional delivery model of technology, and you decide to be an MSP provider but you don't change the way you do business, how could you expect the profit outcome to be different? Support tools provide better ways to manage your own business, not your clients'.

To provide a true MSP model, you must have a plan that addresses hardware refresh cycles for your client and fits your internal core competency; you must keep your MSP offering simple in order to duplicate the process effectively. Most important, you must define the overall expectations for both clients and internal staff members. Your client must understand that their networks will have to meet certain guidelines, and by meeting those guidelines they will increase the overall network reliability along with a guaranteed support service, or SLA.

By delivering this type of MSP model, you'll realize higher profit margins while maintaining the trusted adviser role for hardware-technology procurement. It's difficult to sell services and not be a part of the decision-making process of technology for your clients. That's why the Hardware as a Service (HaaS) model is the best way to deliver MSP support services. HaaS allows you to control the hardware procurement, deliver a refreshed network solution and get your monthly support services on a network that will require less reactive support calls.

The MSP model can be your future business revenue, and HaaS can drive your MSP business if you truly adopt it into your offering.