2 min read

Start vCIO with Quick Productized Projects

By Denes Purnhauser on Mar 2, 2017

Starting vCIO services can be a struggle not just for you and your people, but for the clients too. There are some established expectations of vCIO services, which sets a hurdle right at their kickoff of these services. There is, however, a natural way of solving this problem: use easy to sell and easy to deliver productized vCIO projects.

Of course, developing such effective and elegant solutions does take time, so we’ve set up a shortcut to start, and let you build up vCIO Project products instead. Don’t worry - this isn’t taking on new work - just solve problems you’re expected to already, but start getting paid for all you do.

Let's see seven examples of typical vCIO products:

Topics: vCIO IT management Virtual CIO consultative sales Account Management Pricing
5 min read

Systematic service development process

By Denes Purnhauser on Feb 17, 2017

One of the hot topics in the bootcamp was a typical MSP issue - managing client agreements. The problem gets verbalized in different ways: "I have many new services I would like to sell to existing clients" or "I have to re-onboard all of our customers because the agreement is very old" or "I want to increase our prices to reflect the improvements and additional tools we introduced" or "I barely make any money and I need to renegotiate our prices". Sound familiar? We’d like to introduce a systematic approach to solve this problem for now and the future.

 

Topics: MSP best practices IT management MSP Business Building MSP
6 min read

ROI Calculation of the Account Management role

By Denes Purnhauser on Feb 2, 2017

If you’re running a successful, growing and modern MSP practice, you either have solid Account Management / Technical Account Management practice in place, or you’re still doing it ad-hoc, and plan to develop a clear structure as soon as possible. In both cases calculating the ROI of the new role is critical, as well as setting goals and realistic expectations for the employees. Check out this ROI calculation and the huge potential of proper Account Management to growing your business.

Topics: vCIO MSP best practices IT management Account Management
4 min read

Managing "unrealistic" expectations

By Denes Purnhauser on Jul 25, 2016

I just watched a hilarious 2 minute Youtube video where a comedian recounted the tale of someone righteously indignant over the atrocious inconvenience of the wi-fi breaking up during his trans-Atlantic flight. It made me ponder the trend of setting unrealistic expectations when it comes to technology. We have a short memory for problems fixed, take progress for granted and miss the chance to revel in our achievements.

Then I was thinking that perhaps this reminds you of a type of client of yours who is spoiled by all the progress and never satisfied. Who set these unrealistic expectations? How can we make sure we're not creating the problem ourselves? Check out this quick video and see what we can do to prevent it happening.

Topics: vCIO Sales MSP best practices IT management MSP CIO Account Management
1 min read

What is your pink cable?

By Denes Purnhauser on Mar 16, 2016

pinky-cable

This is a motif that’s had some traffic in the last few weeks in several situations, coming up in conversations about differentiation, going the extra mile, remarkable service, engaging clients, building a brand and the use of stories in this business.

One of our managed services provider clients told us a story about a fashion design client in Los Angeles with fashion conscious California team members. The office is artistically designed of course, with bricks, standing desks and an open cafeteria with bar tables. Lots of nice, creative radiant people having lattés while working makes this the place where techs are making up reasons to go every day.

He had some work out there and got inspired by the environment to get expressive, so he bought pink cables instead of the boring black ones.

He was just having fun. He didn’t predict the result...

Topics: vCIO Sales MSP best practices IT management MSP
6 min read

4 Disciplines of MSP Service Development

By Denes Purnhauser on Mar 4, 2016

 

One of the most under-appreciated success factors of an MSP is its capacity to develop services. We’re the purveyors of Managed Services; there are hundreds in the repertoire of any given MSP. This keeps us busy - going from concept to a product that can be sold and delivered is a long road. While product based companies have a process for product development, we service companies too often overlook the value in this powerful business practice, where all our innovation, differentiation, profitability and growth can be formulated in advance.

The trend of fragmentation in services - into verticals, delivery tools, integrations - just multiplies the need for planned process.

The usual development process for managed services providers is to do a project - develop something that solves a problem for (and with) a specific client and standardize it later. This can lead to long term future revenue, but without a clear process mixing up service development and the real revenue generating activity of the company will not only kill our internal productivity, but likely our relationship with the client, if everything they see is always in beta testing.

Let’s identify some basics to ensure our process is better than the average and pull ahead of the competition.

Topics: vCIO Sales IT management MSP Demand Generation MSP Marketing Virtual CIO consultative sales
4 min read

Trending Topics in the MSP 2.0 Peer groups

By Denes Purnhauser on Feb 19, 2016

A few months ago we started sessions of real peer groups, to get people together to discuss real issues, problems and challenges we’re all facing and hopefully to come up with some individual plans that boost the accountability of process execution. From these I’ve compiled a list of topics that are front-of-mind among participants. I can report that the discussions dealt with the problems in a very forward looking manner, with creative solutions and not stuck in status-quo thinking. In my opinion these sessions are giving a unique insight into where the industry is going.

Topics: vCIO IT management MSP vCIO MSP Virtual CIO CIO
2 min read

Teams vs individuals for IT management roles

By Denes Purnhauser on Feb 11, 2016

Baby boomers, Gen X, Millenials: the different generations in the workplace set some challenges for IT leaders and service providers as well. Who’s best suited for the vCIO role?

I came across an illuminating infographic in the last week that discusses the different strengths and weaknesses involved in these demographics.

Topics: vCIO IT management MSP vCIO MSP Virtual CIO CIO
7 min read

The Fall of the Era of Free IT Advice

By Denes Purnhauser on Jan 21, 2016

Many IT managed services providers (MSPs) and internet telephony service providers (ITPs) are suffering the challenges of charging for IT consultation. The IT industry has taught its customers that we sell big expensive boxed packages that come with free consultation, placing the value in the big boxes and none in the advice. There are no big expensive boxes anymore, but still the advice remains free. However a systemic shift is taking shape finally reversing this conundrum. It is about offering low-cost SaaS applications and solutions with high-grade consultation fees, placing more value in the advice rather than the tool.

Topics: vCIO IT management MSP vCIO MSP Sales MSP Virtual CIO CIO consultative sales
15 min read

7 Requirements for a Scalable vCIO Offering

By Denes Purnhauser on Jan 11, 2016


The MSP 2.0 model is catching fire around the world. Many MSPs have already started to design, sell and deliver vCIO services. Adding $2.000 - $4000 of vCIO monthly recurring revenue (MRR) to a current 40 seat $5000 MSP MRR is now doable but requires some preparation. We’re going to take a look at the requirements (which can be easily overlooked) of the delivery to make sure we make it profitable.
All seven requirements center around a common set of principles: realizable expectations, efficiency in execution, excellent communication, and transparency.

Let's see the requirements one by one:

Topics: vCIO IT management MSP vCIO MSP Virtual CIO CIO
1 min read

MSP Financial Intelligence with Larry Cobrin

By Denes Purnhauser on Nov 27, 2015

Larry Cobrin, CEO/Founder of MSP CFO, has been working on a project to make financials available for IT managed services provider to make better decisions. In my first call with him I knew we needed him to talk about finances! I was fascinated by his insights about clients’ profitability trends, classifying them and taking actions for better profitability.

He shares a lot of hints and tips about different data you need to look into (which are mostly available already in your PSA) for your organization to make better decisions. If you feel you are leaving money on the table check out this interview!

Topics: MSP best practices IT management MSP vCIO MSP Business Building MSP
9 min read

12 mistakes most MSPs make with their Virtual CIO services

By Denes Purnhauser on Nov 19, 2015

The Virtual CIO phenomenon is not new, yet the promises of the role have not been realized across the industry. Some mature MSPs who believe they have a functioning Virtual CIO practice, on closer inspection, still show challenges with delivery, scalability and profitability.

While we could go in depth to identify the root of these problems, instead here we'll highlight the twelve most common mistakes MSPs make with their vCIO. At the end of this article there is a questionnaire where you can measure yourself against other MSPs.

#update - We released this blog a year ago. This is an updated version covering the latest developments. It seems that the MSP 2.0 community was able to solve most of the issues during the last year. These mistakes now can be prevented. It has been a long year, for sure... :-)

Topics: vCIO Sales MSP best practices IT management MSP vCIO MSP Demand Generation Virtual CIO CIO consultative sales
1 min read

Increase revenue with process related Virtual CIO services

By Denes Purnhauser on Oct 8, 2015

Ryan Williams is a superstar CEO of the ProcessPlan SaaS application. He really knows the MSP arena well, as he is also VP of Business Development for the MSP Nexxtep

I was intrigued to have an interview with him because of my belief that IT companies are specialists in process. Clients need process management experts, but that’s usually seen as a management role, and not a tech discipline. Ryan has changed this with his tool: ProcessPlan is awesome software that can be used for planning and managing processes. It makes the process problems tech problems, so the IT managed services providers can leverage them to sell process related Virtual CIO services to their clients.

Topics: vCIO MSP best practices IT management MSP vCIO MSP Virtual CIO CIO
1 min read

Implementation of the Virtual CIO Services with Rich Anderson

By Denes Purnhauser on Sep 17, 2015


Implementing vCIO services can be a challenge. New ways of thinking, new lines of services, pricing and packaging, and service delivery all abound. Rich Anderson, CEO of Imagine IT has been working on this for a couple of months now. I asked him about his experiences, challenges, solutions and results. If you are thinking on implementing Virtual CIO services, or if you have been working on that already, let’s pick his brain. He’ a smart guy and explains everything very clearly with tons of hints and tips. Enjoy!

Topics: vCIO IT management MSP vCIO MSP Virtual CIO CIO
6 min read

Starting vCIO projects the right way

By Denes Purnhauser on Sep 11, 2015

Many IT managed services providers see opportunities with their clients that aren’t related to the existing infrastructure. Clients are instead looking for help deciding which CRM they should use; how they should migrate their many Excel spreadsheets to a Process Management application or with something else that needs IT management expertise. You want to help them, of course; you are the trusted advisor, even a dedicated vCIO. The main question is: how do you start a project AND start charging for your project management duties from day one?

Topics: vCIO IT management MSP vCIO MSP Virtual CIO CIO
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