As businesses deal with the financial consequences of COVID-19, enterprises are now lowering operating expenses as much as they can. Apart from cost-cutting on any potential investments, many also limit growth while ensuring that they can still withstand after the pandemic is over. Sadly, many have gone out of business or are on the brink of shutting down.
Some have adjusted well, but almost all businesses suffer from hindrances while dealing with multiple company difficulties, including restricted or no operations and reduced growth projections.
Due to these conditions, selling and replacing tech service contracts has become more complex. Bidding for contracts is rising, and many companies, including MSPs, are now facing problems.
Addressing the Difficulties!
While employees’ health and safety are critical, most companies grappled with their legacy systems. All resources are on a stress test during the volatility. Many were incapable of supporting remote working and, thus, customers. Hence, going back to the “normal” is not an alternative. Businesses must either address gaps, access new possibilities, or both.
COVID-19 has challenged most of the MSPs, but most are potent enough to come through the crisis. MSPs that transform difficulties into possibilities by building value to the customer can significantly change and deepen customer relationships.
Telecommuting & More
Moving to the cloud helps businesses become more resilient and scale their companies accordingly to meet market requirements and customer demands. The opportunity that prevails for MSPs is around remote-work operations in the short term. It may be cloud governance and administration in the future.
Insights for Innovation
Successful transformation will facilitate quicker, more reliable decisions that fuel smarter innovation. Managed services can provide deep business expertise, coupled with advanced data analytics, leading to smart strategic changes.
Organizations that are open to doing different things have managed to fare better. In the restoration period and beyond, this new thinking will establish successful businesses. Businesses ready to let managed services take on board-critical functions can free CIOs to concentrate on the innovation that will accelerate recovery.
When businesses move functions like tax, finance, risk, and compliance to managed services, they avoid substantial upfront costs and instead use services in a flexible, on-demand way. Managed services go beyond Business Process Outsourcing to leverage providers’ core domain expertise and technology expenses to make critical functions more productive and effective. IT enables businesses to reap instant cost savings while reshaping their strategy to capital investment.
Many companies were already improving operations with digital tools and capabilities. Still, the impact of COVID-19 has emphasized the importance of hastening this shift. Managed services provide companies solutions that already involve fast access to technologies like AI, automation, and the technical skill needed, without the upfront expenses or hurdles in talent.
The coronavirus disruption, especially across supply chains and infrastructure, has increased companies’ need to adjust quickly to change. Developing this agility into operations will need businesses to renew their focus on building new ecosystems with partners, including managed services providers.