For a lot of small and medium-sized businesses, the relationship with the Managed Service Provider (MSP) grows gradually. It might start with someone looking after computers and fixing problems, then before long that same provider is managing Microsoft 365, software licences, backups, cybersecurity, cloud services and access to some of the most important systems in the business.
There is nothing unusual about that. In many cases, it makes far more sense than trying to maintain all of that expertise internally.
The problem is that the relationship can become so familiar that businesses stop looking closely at it.
An invoice arrives every month. The systems are working. Staff know who to call when something goes wrong. So everything must be fine, right?
Maybe. But when was the last time someone actually sat down and looked at what the business is paying for?
Technology has become increasingly subscription based. A licence gets added for a new employee. Another platform is introduced for security. A backup service is added. Someone leaves, the business changes systems, or a product is no longer needed, but the monthly costs can keep rolling along in the background.
That doesn’t mean an MSP is deliberately overcharging its clients. There is real value in having somebody manage licences, systems, security and support properly. Providers also need to make money.
What matters is whether the business understands what it is buying.
Can you look at your technology costs today and explain what the major charges are for? Do you know how many licences you have compared with how many you actually use? If your provider recommends another product, do you understand what problem it is solving?
Then there is the part of the relationship that isn’t visible on an invoice.
Your MSP may have administrator access to systems, cloud environments and business information. The Australian Signals Directorate’s guidance for organisations engaging managed service providers specifically recommends understanding what systems and data providers can access and establishing clear security responsibilities.
That makes the conversation bigger than price.
Who can access your systems? How is that access protected? Who is responsible for backups and patching? What happens if there is a cyber incident? And if you decided to move to another provider, how easily could your accounts, licences and data move with you?
These aren’t particularly technical questions. They are business questions.
And a good provider shouldn’t be uncomfortable answering them.
In fact, one of the better signs of a strong relationship is a provider willing to tell a client that something is no longer necessary. Sometimes good technology advice means adding another service. Sometimes it means looking at an invoice and saying, you don’t need to keep paying for this anymore.
Business owners don’t need to understand technology at the same level as the people managing it.
But there is a big difference between outsourcing the work and outsourcing your understanding of it.
Your MSP may know your technology better than you do. You should still know the relationship.
