Intelligent Tech Channels Issue 86 | Page 56

EXPERT SPEAK

AUTOMATION CAN HELP MSPS REVISIT THE GOLD STANDARD

MSPs should prioritise automation, which is a timesaver, a resource-saver, and a quality-enhancer and can ensure these benefits are consistently delivered. Automation takes care of the fundamentals and creates a foundation of reliability on which the MSP can build a stable of offerings. Automation also helps the provider business revisit the gold-standard of 350 fully managed endpoints per technician says Ziad Nasr at Acronis Middle East.

For Managed Service Providers, MSPs, the Middle East market has come of age. Growth in recent years has been healthy, and analysts are bullish about medium-term prospects. Revenue currently sits above US $ 7.1 billion and is growing annually at 8.7 %.

One of the great market success stories is found in the UAE, with revenue of US $ 1.7 billion, growing at 12.8 %. Along with South Africa, the UAE also leads the wider Middle East and Africa region, where the estimated per-unit, calculated in seats or devices MSP revenue is now US $ 67, up from US $ 60 in 2024.
Today’ s MSP has a significantly deeper toolbox to draw upon than it had just five years ago.
As MSP revenue shifts more to managed services, the average provider business now derives 78 % of its revenue from managed services, it is prudent to reassess business strategy and the allocation of resources, particularly talent. Research has shown that the optimal number of fully managed and supported units, seats or endpoints per technician is 350.
Beyond that, quality of service starts to decline as overworked people experience burnout and teams fall prey to resignations. Something must change if the industry is to efficiently absorb the growth in demand for managed services.
For the modern MSP, financial stability and operational efficiency go hand in hand. As tools get more advanced, so too does efficiency. This is good news for smaller MSPs for whom these tools are now within reach. Success is more attainable than ever, provided best practices remain the guiding principle of service delivery. All the advanced tools in the world will not compensate for poor strategy.
For example, MSPs would be wise to implement the 40-20-40 rule of financial stability that calls for the allocation of
Ziad Nasr, General Manager, Acronis Middle East
40 % of revenue to overheads and internal technology, 20 % to external technology, and 40 % to services gross margin.
Today’ s MSP has a significantly deeper toolbox to draw upon than it had just five years ago. Automation makes standardisation easier. In theory, a routine task should be performed immaculately every time by a human professional. But even the best-rested humans fall short of such perfection.
As guarantors of accuracy, MSPs should therefore prioritise automation. It is a
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