Automation, IT Talent Shortage Emerge as Top Areas for MSPs to Address

MSP SUMMIT — Managed service providers need to automate processes, address the ongoing IT talent shortage and keep looking for ways to deliver top-notch customer service.

Those were the top takeaways on Monday during the MSP Summit panel, “2021 MSP 501: Meet Today’s Influencers & Innovative Leaders,” hosted by Channel Futures editor Allison Francis. The emphasis on those three pieces of advice came largely as a result of lessons learned during the past 18 months of COVID-19. As the world shifted to cloud computing to accommodate remote work, and as societal awareness grew around diversity, the MSPS on the panel have adjusted. And those who haven’t yet, must.

For starters, machine learning and robotic process automation help end users make the most of their “scarce resources” amid the IT talent shortage, said Kurt Guenther, group president, business solutions, Computer Services Inc.

“Automation is going to be the future,” he said. “If you’re not talking automation, I think we’re going to have some problems.”

Rob Stephenson, CEO and board member at Thrive Networks, agreed. Most of the company’s engineers live in expensive markets — Boston, London, New York City. That’s a hefty amount of salary overhead to pay each year. But the company did not want to risk losing good people, especially at a time when they have their pick of enviable jobs. So, to save money, Thrive Networks turned to automation.

“We bought a SOAR that plugs into our SOC and ServiceNow and allows us to automate client issues,” Stephenson said.

Relieving pricey staff of those more mundane duties took some worry off Thrive Networks.

“Our engineers had tons of opportunity,” Stephenson said.

Addressing the IT Talent Shortage

Indeed, the IT talent shortage is very real. MSPs are having a hard time hiring skilled people who know security, cloud, data and analytics, and other pressing subject areas. They need to take more steps to attract and retain new workers, including older people with experience and savvy, yet who might require more help understanding newer technology. Automating processes can help meet that challenge, Guenther said.

“But if we don’t do that, it takes so long to educate, train, onboard … I think we need to take a look at that not only as an industry but as a country — let’s train staff to come in a lot earlier.”

Thrive Networks, for its part, is trying something new. The company started Operation Rising Tide, where it hires people with little or no experience, and trains them so they and their peers can move up through the ranks. Thrive Networks sees this strategy as one that will help it combat the IT talent shortage.

“It’s a lot cheaper to keep your employees” than to bring on new ones, Stephenson said.

Of course, the IT talent shortage is hurting customers, too. End users can’t afford to lose people, either. That’s where tools such as machine learning and robotic process automation come into play for an MSP.

“That gives you a second touchpoint … because there’s no labor in the marketplace,” Stephenson said.

As a result, he added, MSPs can change the sales conversation.

“Forget IT, you’re doing that,” Stephenson said. “Let’s talk about digital transformation, business and operations, processes.

Winning Amid Pandemic Conditions

But COVID-19 didn’t just put end users in tough situations — it tested MSPs, too. For example, Insight, like thousands of organizations around the world, suddenly had to get its people working from home.

“The bigger issue wasn’t moving technology but the actual collaboration environment,” said Stephen Moss, senior vice president and general manager at multinational MSP Insight. “And we still had to hire people.”

For Stephenson and Thrive Networks, a major challenge lay in figuring out …