Kaseya Signals ERP-Like Shift In Managed Services Market
Roughly 400 managed service providers, corporate IT managers and industry partners have converged on Las Vegas for the Kaseya Connect User Conference 2009. And Kaseya is using the stage to proclaim an ERP-like shift in the managed services market. Going forward, expect Kaseya to speak a lot about four key words…
… they are: Information Technology Resource Planning (ITRP). According to a prepared statement from Kaseya, the company has spent the past five years focusing on the IT Managed Service Provider market. Looking ahead, Kaseya expects the managed services industry to increasingly focus on ITRP.
But what exactly is ITRP? According to Kaseya, the ITRP concept is:
“unashamedly borrowed from ERP and will be the primary driver of consolidation in the vendor ranks as well as of true long-term competitive advantage for managed services providers. Just as the emergence of the major ERP vendors saw the disappearance of specialty application vendors, the rise in ITRP will be swift and equally unforgiving to those who cannot adapt quickly. Without an ITRP framework driving its business, the managed services provider conducting business the old way will not survive against competition that can drive a broad spectrum of high quality services at a fraction of the operating cost of the non-ITRP shop.
I’m frequently skeptical when software companies attempt to define a market disruption or emerging opportunity. But Kaseya is quick to offer an example of ITRP — involving Tata Consultancy Services selecting Kaseya as the core IT managed services platform to support their launch of their “IT-as-a-Service” business in India.
Consolidation, Kaseya predicts, will happen at an increasing pace over the next five years and as the financial markets rebound to health it is not hard to see a series of independent “roll-ups” occurring as IPOs. The only way for the current MSP community to survive, let alone prosper, is to grow larger and offer more and better services to the customer, all the while preparing for the coming opportunities.
I expect to hear more about ITRP during the conference sessions on May 27 and 28. And I’ll be sure ask Kaseya partners and software companies if they think ITRP is the real deal — or just another acronym in the crowded IT universe.