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Category Archives: IT Support

Cybersecurity, IT Support, Technology

Why Should My Business Use Penetration Testing?

Why Should My Business Use Penetration Testing?

Businesses of all sizes face a variety of security threats that can compromise their sensitive data and cripple their operations. To ensure protection against cyberattacks, organisations must adopt proactive measures. One such measure is penetration testing, a vital component of a comprehensive security strategy.

Why should my business use penetration testing?

In an era where cyberattacks are rampant, it’s crucial to take pre-emptive action to identify vulnerabilities in your systems before malicious actors exploit them. Penetration testing, also known as ethical hacking, allows you to simulate real-world attack scenarios and uncover weaknesses that could be leveraged by cybercriminals. By proactively identifying and patching vulnerabilities, you can prevent costly breaches and protect your valuable business assets.

Benefits of Penetration Testing

Comprehensive Security Assessment

An effective penetration test provides a thorough evaluation of your organisation’s security posture. It goes beyond basic vulnerability scanning and examines the resilience of your network, applications and infrastructure. By emulating the techniques used by real attackers, penetration testing uncovers hidden weaknesses that may otherwise go unnoticed.

Early Detection of Vulnerabilities

Identifying vulnerabilities at an early stage is crucial to mitigating potential risks. Penetration testing allows you to detect weaknesses in your systems before they can be exploited. This enables you to address vulnerabilities promptly, reducing the window of opportunity for attackers and minimising potential damage.

Protection of Customer Data

Businesses have a responsibility to protect the personal information entrusted to them and the large amounts of data they hold. A single data breach can lead to severe reputational damage and legal repercussions. Penetration testing assists in identifying vulnerabilities that could expose sensitive customer data, allowing you to then implement the necessary safeguards and ensure compliance with data protection regulations.

Proactive Approach to Security

Taking a proactive stance towards security is important in the ever-evolving threat landscape. Penetration testing allows you to stay one step ahead of potential attackers. By regularly conducting tests and addressing vulnerabilities, you demonstrate a commitment to strong security practices, giving your customers, partners and stakeholders confidence in your business.

Validation of Security Controls

Implementing security controls and measures is not enough if they are not effectively tested and validated. Penetration testing provides an opportunity to assess the effectiveness of your security controls and determine their vulnerability to various cyber threats. This allows you to fine-tune your defences and ensure they are capable of withstanding real-world threats.

Cost Savings in the Long Run

While investing in penetration testing may seem like an added expense, it is a wise investment that can save your business substantial costs in the long run. By proactively addressing vulnerabilities, you mitigate the risk of data breaches, system downtime, legal fines and loss of customer trust. The cost of remediation and recovery from a breach far outweighs the expenses that come with conducting regular penetration tests.

These days where cyber threats are constantly in the news, businesses must take proactive measures to safeguard their data, systems and reputation. Penetration testing offers a powerful solution to identify vulnerabilities before they can be exploited by malicious actors. By conducting regular penetration tests, businesses can enhance their security framework, protect sensitive customer data and demonstrate a commitment to robust security practices.

Investing in penetration testing is an investment in the long-term success and resilience of your business. It allows you to stay one step ahead of potential attackers, detect vulnerabilities early and save costs associated with data breaches and recovery efforts. So, why should your business use penetration testing? The answer is simple: to fortify your defences, protect your valuable assets and ensure the trust and confidence of your customers.

FAQs about Penetration Testing

  • What is penetration testing?

Penetration testing is a proactive security assessment technique that simulates real-world attacks on a company’s network, systems or applications. It aims to identify vulnerabilities and weaknesses that could be exploited by malicious actors.

  • How often should penetration testing be conducted?

The frequency of penetration testing depends on various factors, such as the nature of your business, industry regulations and the level of risk you face. Generally, it is recommended to conduct penetration testing at least once a year or whenever significant changes are made to your systems or infrastructure.

  • Can’t we rely on automated vulnerability scanners instead?

While automated vulnerability scanners have their place in a security strategy, they cannot replicate the ingenuity and creativity of human attackers. Penetration testing involves skilled ethical hackers who employ manual techniques to uncover complex vulnerabilities that automated scanners might miss. It provides a more comprehensive assessment of your security systems.

  • Will penetration testing disrupt our business operations?

Penetration testing is carefully planned and executed to minimise disruptions to your business operations. Ethical hackers work closely with your organisation to ensure that testing is conducted at convenient times and in a controlled manner. They prioritise the security of your systems while minimising any potential impact on day-to-day activities.

  • How long does a penetration test typically take?

The duration of a penetration test varies depending on the size and complexity of your systems. It can range from a few days to several weeks. The ethical hacking team will provide you with a clear timeline and keep you informed throughout the process.

  • What happens after the penetration test is completed?

After the penetration test is completed, you will receive a detailed report outlining the vulnerabilities identified, their potential impact and recommended remediation actions. This report serves as a valuable roadmap for improving your security posture. The ethical hacking team can also provide guidance and support in implementing the necessary measures to address the identified vulnerabilities.

Cybersecurity, IT Support, MSP, Strategy, Technology

Why a Quarterly Business Review is important

Why a Quarterly Business Review is important

In our rapidly evolving business landscape, staying ahead of the competition requires constant adaptation and optimisation. As a business owner, you need to regularly assess your operations, identify areas for improvement and develop strategies to drive growth. This is where a QBR (Quarterly Business Review) from an MSP (Managed Service Provider) comes into play

What is a QBR?

A QBR is a comprehensive review conducted by an MSP, usually every quarter, to evaluate the performance, progress and alignment of your business objectives with the implemented IT strategies. It goes beyond simply analysing data and metrics; it is an opportunity to discuss challenges, uncover opportunities and strengthen the relationship between you and your MSP. Smaller businesses may only receive a QBR once or twice a year but ask your MSP what their processes are around this.

A QBR is not just a mundane business review; it holds significant emotional weight. It evokes feelings of security, reassurance and confidence in the path your business is taking. Knowing that experts are analysing your performance, identifying areas of improvement and providing guidance instils a sense of trust and peace of mind.

The QBR experience is an opportunity to have open, honest conversations about challenges, fears and aspirations. It allows you to express your concerns and receive personalised recommendations tailored to your specific circumstances. The empathetic approach of the MSP, coupled with active listening and understanding, creates an emotional connection that transcends the usual business-client relationship.

Components of a QBR

  • Infrastructure Assessment: The MSP assesses the client’s network, hardware, software and other technology infrastructure components. This evaluation helps identify any potential vulnerabilities, outdated systems or areas that require optimisation.
  • Performance Analysis: The MSP reviews the client’s technology performance metrics, such as network uptime, response times and system utilisation. This analysis helps identify bottlenecks, areas of improvement or potential risks.
  • Security Evaluation: The MSP examines the client’s security posture, including Cyber Security measures, data protection practices and compliance adherence. This assessment helps identify any vulnerabilities or areas where security can be enhanced.
  • Service Level Agreement (SLA) Review: The MSP reviews the SLA with the client, ensuring that the agreed-upon service levels are being met. This includes evaluating response times, issue resolution and overall customer satisfaction.
  • Future Planning and Recommendations: Based on the assessment findings, the MSP provides recommendations and strategic guidance to the client. This may include suggestions for technology upgrades, process improvements, security enhancements or cost optimisation measures.

The Importance of a QBR from an MSP

A QBR from an MSP holds significant importance for businesses of all sizes. Let’s delve into some key reasons why a QBR is crucial:

Gaining a Holistic View of Your Business

A quarterly business review provides you with a comprehensive overview of your company’s performance during a specific period. It does this by analysing various aspects, including financial performance, operational efficiency, customer satisfaction and employee productivity. By assessing these critical areas, you can identify strengths, weaknesses and areas for improvement. It allows you to identify what areas of your business are excelling and which ones require attention. By recognising your strengths, you can leverage them to gain a competitive advantage. Additionally, addressing weaknesses helps you minimise risks and enhance overall performance.

Uncovering Growth Opportunities

Through a QBR, an MSP can identify untapped growth opportunities that may have gone unnoticed. Analysing market trends, customer feedback and industry benchmarks can provide valuable insights into new markets, product enhancements and innovative strategies to drive business growth.

Enhancing Collaboration and Alignment

A QBR fosters collaboration and alignment within your organisation. By involving key stakeholders, such as department heads and senior management, in the review process, you can ensure that everyone is on the same page regarding goals, challenges and strategies. This collaborative approach promotes a unified vision and encourages teamwork.

Optimising Operational Efficiency

Identifying inefficiencies in your operations is vital for streamlining processes and maximising productivity. An MSP conducting a QBR can analyse your workflows, technology infrastructure and resource allocation to pinpoint areas where improvements can be made. By optimising operational efficiency, you can reduce costs, enhance customer service and achieve better overall performance.

Strengthening IT Infrastructure

A robust IT infrastructure is essential for business success in today’s digital age. A QBR from an MSP can evaluate your current IT systems, Cyber Security measures and data management practices. They can identify vulnerabilities and recommend solutions to enhance your IT infrastructure’s reliability, security and scalability.

Strategic Planning and Risk Mitigation

A QBR enables you to develop effective strategic plans and mitigate potential risks. By examining market trends, competitive landscape and emerging technologies, an MSP can help you formulate strategies that align with your business goals. Additionally, they can identify risks and provide proactive measures to minimise their impact.

Strengthens the Relationship with your MSP

A QBR serves as a bridge between you and your MSP. It fosters open communication, collaboration, and a deeper understanding of your unique business needs. This strengthened partnership allows the MSP to provide tailored solutions and support, ensuring your business thrives. When your MSP invests time and effort in conducting a QBR, it also demonstrates its commitment to your success. The personalised attention, proactive approach and customised recommendations leave you feeling valued and supported, leading to higher client satisfaction and long-term loyalty.

Learning your Business’ Technology Score

When an MSP completes a QBR for your business, oftentimes, you will receive a technology score. The concept of a technology score can vary depending on the specific MSP or service provider you are working with. It is not a universally standardised metric, but rather a subjective evaluation conducted by the MSP based on various factors related to your business’s technology infrastructure and performance.

The technology score typically reflects the MSP’s assessment of your business’s overall technology health, efficiency and alignment with industry best practices. It may consider factors such as:

  • Infrastructure: The MSP evaluates the robustness and scalability of your network, servers, storage and other hardware components. They assess whether your infrastructure meets the requirements of your business operations and future growth.
  • Security: The MSP examines your Cyber Security measures, including firewalls, antivirus software, data encryption, access controls and employee training. They look for potential vulnerabilities and weaknesses in your security posture.
  • Software and Applications: The MSP reviews the software and applications you use, assessing their relevance, performance and integration capabilities. They may consider factors such as licencing compliance, software updates and utilisation efficiency.
  • Performance and Reliability: The MSP evaluates the performance and reliability of your technology systems, including network uptime, response times and system availability. They may analyse historical data and metrics to identify areas for improvement.
  • IT Governance and Processes: The MSP assesses your IT governance structure, policies and processes. This includes evaluating IT documentation, change management practices, backup and disaster recovery plans, and adherence to industry standards.

Based on these factors, the MSP assigns a technology score to provide you with an indication of how well your business’s technology environment is performing and where improvements can be made. The score may be presented as a numerical value, a rating scale or a qualitative assessment, depending on the MSP’s methodology.

A QBR from an MSP is a critical component for achieving business success. It provides a holistic view of your organisation, uncovers growth opportunities, enhances collaboration, optimises operational efficiency, strengthens IT infrastructure and facilitates strategic planning and risk mitigation. By regularly conducting QBRs, you can stay ahead of the competition, adapt to market changes and drive growth. Remember to involve key stakeholders, seek a reliable MSP and embrace the insights and recommendations provided through the QBR process.

It’s important to note that each MSP may have its own methodology for calculating the technology score, so the specific details may vary. It’s best to consult with your MSP directly to understand how they determine and interpret the technology score for your business.

FAQs about QBRs

  • What is the purpose of a QBR?

A QBR aims to evaluate your business performance, identify improvement areas and develop growth strategies. It provides a comprehensive analysis of your operations and fosters collaboration within your organisation.

  • How often should QBRs be conducted?

Quarterly QBRs are typically recommended, as they provide a balanced frequency for evaluation and allow for timely adjustments. However, the frequency can be adjusted based on your business needs and industry dynamics.

  • Who should be involved in the QBR process?

A QBR should involve key stakeholders from different departments within your organisation. This includes senior management, department heads and individuals responsible for key areas such as finance, operations, marketing, HR and IT. By involving a diverse range of perspectives, you can ensure comprehensive insights and foster collaboration.

  • How long does a QBR typically take?

The duration of a QBR can vary depending on the size and complexity of your business. Generally, it can range from a few hours to a full day. It is important to allocate sufficient time to thoroughly discuss each aspect of the review and develop actionable plans.

  • What outcomes can I expect from a QBR?

A QBR can deliver several valuable outcomes for your business. These include a clear understanding of your business performance, identified growth opportunities, actionable recommendations for improvement, enhanced collaboration and aligned strategic plans. It also provides an opportunity to address any concerns or challenges faced by your organisation.

IT Support, Managed IT Services, MSP

Will my IT provider be held accountable if something goes wrong with my IT systems?

Will my IT provider be held accountable if something goes wrong with my IT systems?

As a business owner, it’s natural to worry about the accountability of your IT service provider if something goes wrong with your IT systems. After all, your IT infrastructure is crucial to the success of your business and any downtime or data loss can be catastrophic.

You probably have enough worry about the risks your company faces as it is, you don’t then want the added stress of thinking about the risks your managed service provider (MSP) faces. Knowing where the responsibility falls when you become a victim of a ransomware attack or other type of Cyber Security incident can be confusing.

Understanding MSPs

Managed Service Providers are external entities that specialise in providing IT services and support to organisations. Their primary goal is to ensure the smooth operation and security of a company’s IT systems. MSPs work on a subscription or contract basis, offering a comprehensive suite of services tailored to meet specific business needs.

MSPs play a crucial role in enhancing an organisation’s IT capabilities. By using their expertise and resources, businesses can offload certain IT functions to MSPs, allowing them to then focus on core business objectives. MSPs provide proactive monitoring, rapid issue resolution and strategic guidance, ensuring that IT systems align with business goals.

While MSPs offer valuable services and support, it is important to recognise that despite their expertise, MSPs cannot shoulder full accountability for your IT systems.

Limitations of MSPs in Taking Full Accountability

While MSPs offer valuable services, there are inherent limitations that prevent them from assuming full accountability for your IT systems. Understanding these limitations is vital for maintaining a realistic perspective and ensuring effective collaboration. Let’s explore some of the key reasons why MSPs cannot take complete responsibility.

Shared Responsibility Model

When engaging with an MSP, it is essential to establish a shared responsibility model. This model defines the division of responsibilities between the business and the MSP. While MSPs take charge of certain aspects like infrastructure management and proactive monitoring for reliability, businesses retain ownership of critical decisions, application management and user access controls. Therefore, the accountability for configuring and maintaining specific applications or ensuring user compliance remains with the organisation.

Limited Control over Infrastructure

Although MSPs play a crucial role in managing IT infrastructure, they often operate within the confines of the systems and technologies already in place. They may have limited control over the underlying infrastructure, which can impact their ability to implement certain changes or optimisations. Critical decisions regarding hardware upgrades, network architecture or data centre infrastructure typically require coordination and approval from the organisation’s management.

MSPs have their own tech stacks and baseline software and hardware that they require their clients to adopt. This is for several reasons; the MSP is familiar with running the infrastructure and can ensure it is working as it should, and these are the best recommendations the MSP can give their clients that will actively protect them or suit their budget. For example, while Cisco is a fantastic piece of software, it is also incredibly expensive. We have found that Sophos is also incredibly effective but at a much cheaper price point, so that’s what we implement within our clients’ businesses. If you don’t want to implement these, we usually won’t take you on as a client, but some MSPs will still work with you, and if you’ve ignored their recommendations, that’s on your business.

Cyber Security

Risk is an unavoidable factor that comes with running a business, but there are ways to mitigate these risks, hence why you work with an MSP in the first place. Another way to do this is to implement effective Cyber Security practices to protect yourself from the majority of cyberattacks. If your business refuses to implement these, the MSP will continue to pressure you to pursue these methods which can cause tension within the relationship. Your business should be implementing the recommendations of the MSP as if you did your research and are working with a reputable provider, they will have your best interests at heart rather than just pushing processes on you to make you spend money. Not only that but if you don’t implement effective Cyber Security strategies, you either won’t be eligible for Cyber Insurance or your current insurer won’t pay up.

When it comes to risks, failure often leads to blame. With Cyber Security though, there’s no question of if you will be hit by an attack, but when, as the majority of the time, breaches occur due to human error within your business, so your business can’t then blame the MSP. Employees should be paying close attention to what is happening on their devices and follow best practices. What the MSP should be doing is proactively monitoring your systems to then isolate the breach when it occurs and fix issues as soon as they happen. If they fail to do this, then you can hold them accountable until they fix the issue.

You should also be monitoring that your MSP is being diligent in reducing the liabilities within your business as well as their own if your business becomes exposed to an attack. MSPs should have strict internal Cyber Security policies and should demand the same from your business as a breach on your end can impact them.

MSPs cannot guarantee that nothing will go wrong with your IT systems. What an MSP does is implement mitigation measures to protect your business against the vast majority of risks out there and ensure that if something does occur, you can get operations back up and running. In that sense, there is no full accountability, other than a determination to fix issues at their root to mitigate threats in the future.

Choose a Reputable MSP

Businesses need to choose their managed service provider wisely and do some research about the provider to see if they are right for them. It’s crucial to understand your IT service provider’s track record. Check their references and read reviews online to get an idea of how they have handled issues in the past. Have they responded promptly and effectively to incidents, or have they been slow to act or unresponsive? This information can give you insight into how they will handle issues with your business’s IT infrastructure.

It is the responsibility of the MSP to use a proactive management approach when protecting your business’ systems and they must be regularly assessing their security systems as well as adding new measures to reduce both parties’ liability if an attack does occur. Cybercriminals are constantly testing new methods, so MSPs should be constantly learning and improving their defences. Make sure that your IT service provider has a clear process for reporting incidents and that they provide you with regular updates on their progress in resolving them. This communication is essential to ensure that you are fully informed of any issues and that your provider is working towards a solution.

As a business, you’re aiming to work with your MSP for as long as possible and to do that, you need to create a strategic relationship. This allows them to become invested in your business which then increases their dedication to ensuring your business is protected. The MSP should clearly be outlining their expectations of you and your expectations of them so that you both know what you are each responsible for. Doing this also allows the MSP to help plan your business’ technology and help you navigate as you grow as a business. They will take your ideas, goals and concerns as a company into consideration when they recommend software and hardware.

What Can You Do Now?

To help you understand if your MSP is doing right by your business, there are several areas you can assess them on.

  • How are they taking your concerns and needs into consideration?
  • How often are they meeting with your team to discuss priority items and long-term goals?
  • Have you experienced any additional, hidden fees outside of the MSP’s fixed costs?
  • Has the MSP been working on any projects/goals they outlined with your business?
  • Is the MSP showing you the results of their plans/actions?

If you’re truly concerned about whether your MSP will look after your business, make sure you’re asking them questions when you hear of new cyberattacks happening to other businesses to see how they are protecting yours.

The managed service provider you work with is there to look after you and if you have chosen a reputable one, they will do this with your best interests in mind. Accountability for your IT systems is on you though, as if you decide not to implement any of the recommendations the MSP is providing, then they are not to blame.

While MSPs cannot assume full accountability for IT systems, their collaboration with organisations remains essential for efficient operations and robust security.

IT Support, Managed IT Services, MSP

Why you should upgrade from Ad-hoc IT Support

Why you should upgrade from Ad-hoc IT Support

Running a small or medium-sized enterprise (SME) comes with its own set of challenges. One crucial aspect that SMEs often overlook is the need for reliable and professional IT support. In this digital age, technology plays a vital role in driving business growth and competitiveness, however, many SMEs resort to ad-hoc IT support, which can prove to be a risky choice. If your business relies heavily on its computers, SMEs should not rely on ad-hoc IT support and instead opt for managed service providers that provide a solid foundation for their IT infrastructure.

SMEs are the backbone of many economies, including Australia’s — according to the Australian Banking Association, 98 per cent of businesses in Australia are SMEs — and they contribute to job creation and innovation. These businesses operate with limited resources and often face tight budgets, however, neglecting proper IT support can hinder their growth potential. By investing in robust IT infrastructure and support, SMEs can unlock numerous advantages and stay competitive in their respective industries.

Ad-hoc IT Support: What is it?

Ad-hoc IT support, also known as break/fix support, refers to a reactive approach to addressing IT issues as they arise. Instead of having a structured plan and proactive measures in place, SMEs opt for ad-hoc support on a case-by-case basis. While this may seem like a cost-effective solution initially, it often leads to more significant problems down the line.

Ad-hoc IT support lacks a comprehensive strategy, making it difficult to manage and anticipate potential issues. It is primarily driven by reacting to problems rather than preventing them in the first place. This reactive nature can hinder business operations and create unnecessary downtime.

The Risks of Ad-hoc IT Support for SMEs

  • Increased downtime and productivity loss: Ad-hoc IT support focuses on resolving issues as they occur, leading to longer downtime periods. SMEs heavily rely on their IT systems for daily operations and any disruption can have a significant impact on productivity and customer satisfaction.
  • Higher costs in the long run: While ad-hoc support may seem cost-effective initially, the accumulated costs of reactive fixes and emergency repairs can quickly surpass the budget. If the problem recurs, you then have to pay again which can cause conflict between you and the ad-hoc support provider. Unplanned expenses can strain the financial resources of SMEs, making it challenging to invest in long-term growth initiatives.
  • Limited expertise and knowledge: Ad-hoc IT support often involves seeking assistance from multiple sources that may not have the necessary expertise or in-depth knowledge of the specific IT needs of an SME. This lack of expertise can result in temporary fixes or patchwork solutions that do not address the underlying root causes of IT issues. It’s like putting a band-aid on a deep wound — it may temporarily stop the bleeding, but the problem persists.

The only real benefit of using ad-hoc IT services is that it can be a cost-effective option for SMEs with limited IT needs and generally less than five PCs in the business, as they only pay for the services they use. If you only ever have an issue every six months or so, then ad-hoc is the most reasonable option. If your business has up to ten computers without a server, you can maybe get away with using ad-hoc, but if you have a server for your data, then most ad-hoc services would not know how to deal with these issues. Ad-hoc is a quick-fix solution and oftentimes, their solution to viruses and corruption is to format the hard drive, which does no good if you need that data. MSPs, on the other hand, try and fix the root of the problem as, if they don’t, it’s more work for them in the long run and it affects their reputation, so they ensure issues are properly addressed.

The Benefits of Managed Service Providers for SMEs

Recognising the limitations and risks of ad-hoc IT support, SMEs can greatly benefit from investing in professional IT support services like managed service providers, or MSPs. Some of the advantages of using these services include:

  • Proactive approach to IT management: Unlike ad-hoc support, MSPs take a proactive approach to managing an SME’s IT infrastructure. They conduct regular system monitoring, identify potential vulnerabilities and implement preventive measures to minimise the risk of disruptions. By addressing issues before they escalate, SMEs can enjoy smoother operations and enhanced productivity.
  • Cost-effective solutions and scalability: MSPs offer scalable solutions tailored to the specific needs and budgets of SMEs. Instead of paying for emergency fixes and ad-hoc repairs, SMEs can opt for cost-effective service plans that provide comprehensive coverage and predictable monthly costs. This enables better financial planning and allows SMEs to allocate resources to other critical areas of their business.
  • Access to specialised expertise: Managed service providers comprise skilled technicians and engineers with diverse expertise across various IT domains. They stay up-to-date with the latest technological advancements, security protocols and industry best practices. SMEs can use this specialised knowledge to implement strong security measures, optimise their IT infrastructure and explore innovative solutions that drive business growth.

Small businesses with only a few computers, but still heavily rely on them, may feel they would benefit more from using a managed service provider but may struggle to find one willing to work with them due to their size. If an MSP sees room for growth within your business and you inform them of such for the future, they may be willing to take you on.

Long-Term Partnerships with IT Service Providers

Instead of relying on ad-hoc support, SMEs should aim to establish long-term partnerships with professional IT service providers. This approach offers several advantages:

  • Tailored support for business needs: Managed service providers who understand the unique requirements of SMEs can customise their services accordingly. They collaborate closely with the SME to design an IT support plan that aligns with business goals, growth projections and budget constraints. This tailored approach ensures that the IT support provided is in line with the specific needs of the SME.
  • Continuous monitoring and proactive solutions: Long-term IT service providers take a proactive stance in managing an SME’s IT infrastructure. They constantly monitor systems, networks and applications, anticipating potential issues and resolving them before they impact the business. This proactive approach minimises downtime, maximises productivity and allows SMEs to focus on core business activities.
  • Peace of mind and focus on core business activities: By entrusting their IT support to professionals, SMEs can alleviate the burden of IT management and gain peace of mind. They can confidently rely on their MSP to handle system maintenance, upgrades, security and troubleshooting, allowing them to focus on what they do best — running their business and serving their customers. This sense of assurance frees up valuable time and resources, fostering a sense of confidence and empowerment within the SME.

Where does Ad-hoc IT support fail businesses?

Ad-hoc IT support does not continuously monitor your systems, which would enable a quick diagnosis, and offers no forecasts of potential issues and IT consultancy for your business. There are many preventative measures that MSPs put in place in your business to mitigate risks, which ad-hoc does handle, meaning the onus is on you to implement these.

When using ad-hoc services, businesses will generally have to spend more on IT infrastructure that will help sustain their systems and strengthen protection in the workplace. They will also have to look into also working with a Cyber Security specialist to determine where there are vulnerabilities in their systems, and then spend money and time on implementing these strategies.

With ad-hoc, businesses will need to evaluate the effect downtime will have on operations. Downtime can lead to security risks, loss of income, employee productivity and loss of clients/customers. This wastes your time and causes immense worry and stress for you as a business owner or decision-maker.

Ad-hoc has its place in the industry, but businesses must evaluate whether this service or an MSP would benefit the company more in the long run. If you are a growing business that relies on your computers and IT systems remaining running or you use or store lots of data, you really should be looking at using an MSP.

In today’s digital landscape, SMEs cannot afford to overlook the importance of reliable and professional IT support. While ad-hoc IT support may seem like a cost-effective solution in the short term, it carries significant risks and limitations. By investing in managed IT services, SMEs can enjoy a proactive approach to IT management, cost-effective solutions and access to specialised expertise. Building a strong IT infrastructure, coupled with long-term partnerships with IT service providers, provides SMEs with the stability, security and peace of mind necessary to thrive in the digital age.

If you’re unsure, give us a quick call here at Pronet Technology (a Melbourne-based MSP) and we can discuss your systems and what you’re looking for to determine whether we would be a good fit for each other.

FAQs

  • Can ad-hoc IT support be suitable for any situation?

Ad-hoc IT support may suffice for minor, one-time issues. However, for long-term stability and growth, a managed service provider is highly recommended.

  • How can an MSP benefit SMEs financially?

Managed service providers offer cost-effective solutions, minimising downtime, preventing costly emergencies, and providing scalability that aligns with the SME’s budget.

  • What security measures should SMEs consider for their IT infrastructure?

SMEs should implement robust security measures, including firewalls, antivirus software, encryption, regular security audits and employee training on Cyber Security best practices.

  • Are long-term partnerships with IT service providers expensive?

Long-term partnerships with IT service providers are often cost-effective, offering tailored plans that align with the SME’s budget and specific needs.

  • How can IT support providers help SMEs with their future growth?

IT support providers bring specialised expertise, proactive solutions and strategic IT planning to enable SMEs to scale, innovate, and focus on their core business activities.

IT Support, Managed IT Services, MSP

Clients Pronet Technology does not work with

Clients Pronet Technology does not work with

As a Managed Service Provider, MSP, it can be tempting to take on any client that comes your way. After all, you want to grow your business and expand your customer base. However, not all clients are a good fit for MSPs and vice versa, not all MSPs are good for certain businesses, so it’s important to know when to say no.

So, who are the clients that we at Pronet don’t take on board? Here are a few examples:

Non-Compliant Clients

Clients who refuse to comply with industry regulations and standards can be a major liability for MSPs. These regulations are in place to protect sensitive information and failure to comply can result in hefty fines and legal consequences. It’s important for MSPs to thoroughly vet potential clients to ensure they are compliant with all relevant regulations, which usually happens in the initial assessment stage.  

As cybercrime becomes a prevalent issue, it is incredibly important that businesses improve their systems, servers and Cyber Security processes. We now only take on clients who are willing to improve their systems and implement strategies like the Essential Eight framework to help protect themselves.

DIY Clients

Some clients may be inclined to handle IT issues themselves, using online tutorials or advice from friends. These ‘DIY clients’ can be difficult to work with as they may not be receptive to the advice or guidance of an MSP. For us, it’s important to recognise when a client is not willing to let us do our job and take on the responsibility themselves.

Budget-Constrained Clients

While it’s understandable that clients may have a limited budget, sometimes clients don’t fully comprehend the costs involved when working with an MSP, which is often cheaper than working with ad-hoc IT support. Taking on a client who cannot afford the services they require can lead to resentment and frustration on both sides, so we believe it is important to be transparent about the costs involved and set realistic expectations from the outset.

Part of this comes from us having our own tech stack that we work with and that we expect our clients to also work with, such as using Sophos MDR and UTM. We’re not an enterprise-level MSP so we don’t expect our clients to use Cisco which can be incredibly expensive, but we still require all new clients to upgrade their software and systems to our tech stack so that they are adequately protected, which may not be cheap.

Unresponsive Clients

Clients who are unresponsive or slow to respond to requests can be frustrating for MSPs. It can lead to delays in resolving issues and make it difficult to provide effective support. Through the initial assessment and proposal stage, we can recognise whether a client is unresponsive and take steps to address the issue, whether it’s through better communication, informing them of the need for using MSP services or not going forward with the relationship altogether.

Large-scale businesses

At Pronet Technology, we used to work with large-scale clients but after some time, we realised small to medium-sized businesses were being left behind and neglected as MSPs grew larger and focused primarily on their larger, more profitable clients. For that reason, we now only deal with SMEs, generally businesses with between 15 to 150 computers and have found we enjoy working with businesses of this size more than with larger businesses.

While it may be tempting to take on any client that comes your way, it’s important to recognise when a client is not a good fit for an MSP. Non-compliant clients, DIY clients, budget-constrained clients, and unresponsive clients can all be challenging to work with and may not be worth the time and effort. By being selective and choosing clients that are a good fit, MSPs can provide better service and build stronger relationships with their clients.

Businesses with limited computers

Small businesses with one to five computers, unfortunately, might struggle to find an MSP who finds it worthwhile to take you on as a client. While at Pronet Technology we’re not an enterprise-level MSP who caters to medium to large-scale businesses, we’re not one that deals with very small businesses either. Our clients are small to medium, ideally with between 15 to 150 computers.

A good MSP should not be turning every query into a client. Sometimes, an MSP might not have the right services and budgets for your business and other times, your business might not be one that the MSP finds value in taking on or one that meets its criterion. Like your business researches and gathers proposals from MSPs, likewise, an MSP will do an initial assessment of your business and work out your needs to both see if it can help you and if it can take you on.

Don’t be offended if an MSP declines your request. The majority of the time, it’s because they’re just not right for you.

Cybersecurity, IT Support, Technology

The difference between scam emails

The difference between scam emails

Have you ever received an email that seemed too good to be true or one that left you feeling confused or concerned? If so, you may have been the target of a scam email. Scammers use a variety of tactics to try to trick you into giving them money, personal information or access to your computer.

Social Engineeringis a term describing how cybercriminals research both your business and employees. Employees not in the IT field often aren’t as aware of cyber threats as those that are, so criminals target these employees through human vulnerabilities or social engineering.

These days there are so many different types of scams that it can be hard to keep track of all of them. This article will try to explain some of the most common ones you might encounter, both personally and as a business.

Spam: spam is an unsolicited email, text or social media message which is fairly easy to spot but can be damaging if you open them or respond. Think of spam like junk mail, it’s about sending unsolicited emails about products and services to bulk lists. Common types of spam include coupons, adult content, donation solicitations and unwanted newsletters. They are usually commercial in nature and not inherently malicious, just a nuisance.

According to Guardian Digital, spam email accounted for 54 per cent of global email traffic in 2020. Even though, on average, spammers only receive one reply for every 12,500,000 emails sent, spam emails are seen as highly profitable due to the sheer number of emails sent per day and the fact that the expense of these emails is borne mainly by recipients.

Phishing: phishing is an email sent from a cybercriminal that is disguised as an email from a legitimate and trustworthy source, like a telco, bank or the ATO. The message is designed to lure you into clicking a link that installs malware onto your computer that then captures any personal information/login-in credentials you input somewhere, or into directly revealing sensitive or confidential information on the site they send you to. Phishing scams are often used to target specific individuals who have access to valuable data, such as HR or finance employees. They use social engineering to create highly convincing emails. Identity theft often results from being a victim of phishing. Similarly, Vishing is a process through voice, like phone calls, and Smishing is this process through SMS chats.  

According to Astra, 92 per cent of Australian organisations suffered a successful phishing attack in 2022, showing a 53 per cent increase from 2021. As phishing is one of the most common types of email scams, there is a range of clues to help you recognise one.

  • Messages requesting your username and/or password
  • Time-sensitive threats like how something will happen if you don’t respond immediately
  • Spelling and grammar mistakes throughout the email
  • Vague or missing information in the ‘from’ field or email signature
  • Vague, impersonal or awkward greetings
  • Any unexpected files within the email or automatically downloading
  • Links that don’t refer to the sender/organisation
  • Emails about accounts you don’t have
  • Emails ‘from’ celebrities
  • Asks you to reply to opt out of a service
  • Highly emotional or charged language
  • If you’re unsure if an email is legitimate, always head to the sender’s website on a webpage, not through a link in the email, or call the sender.

Spear Phishing: this occurs when criminals find information about you from websites or social media and then customise a phishing scheme for you.

Spoofing: when criminals impersonate another individual or organisation with the intent to gather personal or business information.

Pharming: when a malicious website impersonates a legitimate website to gather usernames and passwords. This can happen by creating websites with similar URLs or by covering up QR codes with codes linked to malicious websites.

Other Scams

419 Scam: also known as the Nigerian Prince scam. In this type of email, the sender will claim to be a wealthy individual or a government official who needs your help transferring large sums of money out of their country. They will offer you a percentage of the money in exchange for your assistance, but in reality, they are just trying to trick you into giving them your personal information or money.

Lottery/Prize Scam: these emails will claim that you have won a large sum of money or a prize, but to claim it, you need to pay a fee or provide your personal information. Of course, there is no prize, and the scammers are just trying to trick you into giving them your money or personal information.

PayPal/PayID Scam: this one originates from selling products online, such as through Facebook Marketplace and while not directly related to your business, it might be beneficial to inform your employees of it. Essentially, when you list an item to sell, you will often receive a message from someone wanting to immediately purchase the item without wanting to see it. They often try to garner sympathy, explaining how their family member will pick it up, and then ask for your email connected to your PayPal or PayID account. They then explain how they’ve tried to send the money, but have received an email telling them that they need to send $500 more to expand your transfer limit. When you look at your email, you find you have this email too and they demand your promise that you will send the $500 back if they send it through. The entire operation is a scam, with the email being one that they created and you will never receive any money.

Unknowingly falling for any one of these attacks can cause your business’ data to be stolen, and can cause financial loss, reputational damage, significant business downtime and even permanent business closure.

As a business owner or decision-maker, it is your responsibility to build a culture of Cyber Security awareness in your company and fill in the gaps in your team’s Cyber Security knowledge and understanding. If you need tips on how, contact your MSP for help.

You can mitigate spam and phishing attempts by implementing a layered cloud email security solution with the help of your MSP.

It’s important to be vigilant when it comes to scam emails. By understanding the different types of scams, you can better protect yourself and your personal information. Remember, if an email seems too good to be true or makes you feel uncomfortable, it’s probably a scam. Be sure to never give out your personal information, click on suspicious links or attachments or send money to someone you don’t know. By staying informed and cautious, you can help protect yourself from scam emails.

IT Support, Managed IT Services, MSP

Why changing your IT service provider is stressful

Why changing your IT service provider is stressful

For a business, IT is stressful, hence why they pawn the entirety of their systems to an IT service provider in the first place. Just the knowledge of that past stress and what changing providers could mean, even when the business is receiving fluctuating service, is enough to put most businesses off. We know as many of our new clients have told us that they wished they’d transitioned sooner (2 or 3 years). It was just the time and trouble of changing that put them off. Once you’ve chosen a new managed service provider (MSP), the actual transition is incredibly fast and seamless, usually taking a few days to a few weeks and with no downtime to your staff.

There are several reasons why companies may wait a long time before changing MSP:

  • Fear of disruption: Companies may be hesitant to switch MSPs because they fear that the transition process will be disruptive and could result in downtime or other issues. They may also be concerned about the potential for data loss or security breaches during the transition.
  • Contract obligations: Many MSP contracts have specific terms and conditions, including minimum contract lengths and penalties for early termination. Companies may be reluctant to pay these fees or may not want to risk damaging their relationship or loyalty with the current MSP.
  • Lack of alternatives: In some cases, companies may feel that they don’t have any viable alternatives to their current MSP. They may believe that no other providers can offer the same level of service, expertise or cost-effectiveness.
  • Internal resistance: Changing MSPs can be a complex and time-consuming process that requires buy-in from various stakeholders within the organisation. If there is resistance from key decision-makers or IT staff, the process may be delayed or postponed indefinitely.
  • Lack of awareness: Some companies may simply be unaware of the benefits of switching MSPs. They may not realise that other providers offer better service, pricing or technology, or they may not understand the true cost of staying with their current MSP.

Tips for a hassle and stress-free switch

  • Take your time to research and gather testimonials of different MSPs. Sit down and have a chat with them to make sure they are covering your needs without pushing impulsive features on you to force you to pay more. A great managed service provider will ensure the transition is seamless, is not disruptive to your business and is stress-free.
  • Document all the problems and positives of your current MSP so that when you go to them to end the contract, you have grounds to stand on for wanting the change, as well as positives to say thank you to them for.
  • Take control of the change where you can and communicate with your MSP throughout the journey to ensure they are doing or implementing what they promised. Make sure they provide you with a plan so that you know exactly how they will manage the transition so your business operations are not affected.

During the proposal and initial assessment stage, you still have time to opt out of using the MSP. What’s beneficial in this stage is that the MSP will give you a fresh perspective on your IT systems and what’s normal in outsourced IT services. Since you’re at the point of wanting to switch IT service providers, this reaffirms your previous thoughts of wanting to switch as now you can actually see where your current MSP has not been providing you with the level of service or benefits you need. Similarly, a comprehensive audit of your IT systems by a different MSP can identify flaws and inefficiencies that your current MSP has been ignoring.

We never advocate switching MSPs for cheaper prices, but if a different MSP is offering better services than your current MSP at a similar price — managed IT services will generally be similar anyway — this means your budget goes further. You should always receive a return on your investment in your business.

Many businesses refrain from switching IT service providers too hastily due to perceived hassles with the switch and while risk management is essential for businesses, being too wary and worried can be detrimental to your business if the quality of your current IT service is not up to scratch. Remember, change can be positive.

Choosing a reputable and professional MSP mitigates these stresses and risks. Do your research and when receiving proposals and during the initial assessment stage, you will generally be able to gain a feel for the type of relationship you will have with the MSP in the long run. Like you, an MSP doesn’t want to be coming and going from a client’s systems, so they will do everything they can to maintain a great relationship with your business, as that’s what keeps them clients.

Why change can be stressful for business

Change is normal in life and for business to grow, your business needs to be prepared to take on change. When you’re unsure of the change, it comes down to the resources you have to cope with the stressful situation, i.e., the MSP transition. By doing your research and going through the first few stages with a prospective MSP, talking to them in person, having them assess your systems, and hearing their recommendations and how they can help you, this can significantly reduce the stress from changing IT providers.

In reality, stress and change all come down to psychology and perception towards the change. Learn everything you can about the MSP, do your research, contact testimonials of the MSP and read blog posts on their website to see if they have a diverse array of knowledge of the IT industry. Do what you need to feel comfortable with your prospective MSP and while you might keep telling yourself you don’t have time for this, it is a necessary step, especially if you’re becoming increasingly frustrated with your current provider.

Overall, changing MSPs can be daunting, but in many cases, it can result in significant improvements in service, technology and cost-effectiveness and can be incredibly beneficial to your business in the long run. Companies should carefully evaluate their options and consider the long-term benefits of switching MSPs.

If you need guidance about any step of the process and would like to learn about how Pronet Technology can help both manage your IT systems and improve your business’ Cyber Security measures, give us a quick call and we’ll have a chat!

IT Support, Managed IT Services, MSP

How do partnerships between my business and my MSP look?

How do partnerships between my business and my MSP look?

Business partnerships between your team and a Managed Service Provider (MSP) can be a powerful way to enhance your organisation’s IT capabilities. MSPs provide a wide range of IT services, including network management, data backup and recovery, security and software development. They also alleviate some of the IT burdens that small and medium-sized enterprises face and they offer technical expertise, cost savings and the ability to improve the end-user experience, as well as to improve security and to create a better employee experience. Ultimately, a healthy, long-standing partnership is what both parties are aiming for.  

What might this relationship look like?

Here are some insights into what business partnerships between your team and an MSP can look like:

  • Collaboration and Communication: One of the essential elements of a successful partnership between your team and an MSP is collaboration and communication. Your team and the MSP need to work together closely to ensure that the services provided by the MSP align with your business goals and objectives. Communication is critical to ensure that expectations are met and any issues are addressed promptly.
  • Clear Service Level Agreements (SLAs): Service Level Agreements (SLAs) define the services to be provided by the MSP and the performance standards that will be met. Clear SLAs ensure that your team and the MSP have a shared understanding of the services to be provided, the timelines for service delivery and the expectations for service quality. SLAs also provide a framework for measuring the performance of the MSP and ensuring that service delivery meets the agreed-upon standards.
  • Customised Service Offerings: MSPs offer a wide range of services and it’s important to choose an MSP that can tailor their offerings to meet your specific needs. Customised service offerings ensure that you get the services you need, without paying for services that you don’t need. Your team and the MSP should work together to identify the most important services to your organisation and develop a customised service package.
  • Continuous Improvement: Technology is constantly evolving and working with an MSP committed to continuous improvement is essential. The MSP should have a process for identifying new technologies and service offerings that can benefit your organisation. Regular meetings between your team and the MSP can ensure that you are aware of new services and technologies that can improve your IT capabilities.
  • Scalability: As your organisation grows, your IT needs will also grow. The MSP should be able to scale their services to meet your changing needs. A good MSP will have the resources and expertise to provide the services you need, regardless of your organisation’s size or complexity.

Tips for building a strong partnership with your MSP

Choose your Provider Wisely

We have an entire article about how to find a good provider for you — read that here — but essentially, you need to find one that fits your needs. Like all businesses, each MSP is different and while one may suit next door’s business perfectly, it might not suit yours. An MSP should drastically impact the efficacy and performance of your IT systems, so make sure you choose one that has the right services, expertise and reputation that is important to you.

Prioritise Communication

Communication is crucial to any relationship so make sure both parties are transparent about challenges, goals and progress going forward. Your MSP needs to know everything it can about your business so it can provide you with appropriate recommendations tailored to your business. You should also outline the type of relationship you expect from the provider, such as great service, timeliness and expert opinions.

Set Goals and Responsibilities

As a business, you also need to know the capabilities of your MSP, which should have been detailed to you at the beginning of the partnership. They should have also outlined a range of goals that both they and your business need to achieve to see your business technologically advancing. Ensure you are also aware of the MSP’s role within your team, as they do have one, but you need to understand where their duties and roles stand. This should have been communicated to you in the contract stage.

Be able to Adapt

One of the reasons you hire an MSP, other than for them to manage your IT systems, is so you have access to IT professionals who can provide you with recommendations on improvements to your network, hardware and software. Sometimes, they would also have standards that they informed your business had to meet for them to work with you, so make sure your business is considering these so that your business can achieve its goals.

Monitor the Relationship

Like any relationship, make sure to check in regularly, whether that be in-person, via a phone call or video call, to make sure everything is running smoothly and everyone is on the same page. Meetings for updates and evaluations allow for open communication and strengthen your long-term relationship with the MSP. Relationships also change and evolve over time, and they can also potentially sour if a disagreement arises. Keeping up with communications and informing each other of issues should be a regular occurrence.

Look Long-Term

Working with an MSP is a long-term partnership. Unless you are not receiving the level of service required, you should aim to stick with the MSP rather than changing it every few years. This saves you time, stress and money and allows you to establish trust with the provider, where you can openly discuss each other’s shortcomings and where each party can improve. This allows you both to grow and prevail as businesses. This also encompasses the MSP understanding your business goals so that it can work with you long-term in achieving these and improving your business’ IT level. It might help to create a roadmap for this.

A business partnership between your team and an MSP can be an effective way to enhance your organisation’s IT capabilities. Collaboration and communication, clear SLAs, customised service offerings, continuous improvement and scalability are essential elements of a successful partnership. Choosing the right MSP and building a strong relationship with them can help your organisation achieve its IT goals and objectives.

IT Support, Managed IT Services, MSP

The difference between small and large MSPs

The difference between small and large MSPs

Small and medium-sized enterprises (SMEs) often face the challenge of managing their IT systems and infrastructure without specific in-house resources. This can result in IT issues that disrupt business operations and impact productivity. To address these challenges, SMEs can choose from a variety of IT support options, including ad-hoc support, small managed service providers (MSPs) and large MSPs to improve their IT system optimisation. Each option has its advantages and drawbacks, and the choice depends on the specific needs and budget of the SME.

A separate post will detail what ad-hoc IT services are and why, for a company reliant on its computers and that has more than five computers, this should not be how they manage their IT. This post will focus on the difference between smaller, established MSPSs and larger, enterprise-level MSPs.

Established MSPs

Established MSPs are on par with large MSPs in terms of their services, resources, expertise and cost. They just have a smaller team (under 30 staff) and typically work with small and medium-sized businesses rather than larger ones. This is where Pronet Technology falls. We are not a large MSP but we’re established with immense managed service experience as well as Cyber Security experience, the latter being something many larger MSPs don’t even specialise in. In terms of cost, we go in and evaluate the needs of your business and base your package around that. If you don’t need all the services we provide, we don’t offer those, so the price will be different than what our other clients are paying. This means the price could also be more, or less, than what other MSPs are charging, it just depends on the needs of your business.

Enterprise MSPs

Large, enterprise MSPs, like Brennan IT and Powernet IT Support, typically have a broader range of services, resources and expertise than smaller MSPs, and may offer 24/7 support and specialist solutions. Large MSPs can provide SMEs with comprehensive IT solutions and greater scalability, but may also have higher costs due to overheads and less personalised service. SMEs may have to navigate complex service contracts and may not have direct access to the same technicians or engineers each time they require support.

The differences between the two

Personalisation

One of the big drawbacks of working with a large, enterprise-level managed service provider is that they offer less personalisation for their clients. A smaller MSP can look at your company and systems and tailor a plan that works for you, ensuring you’re receiving adequate security and service while also not trying to ‘over-service’ you with technology you don’t need. They can offer customised service plans that meet each client’s specific needs, rather than offering a one-size-fits-all solution.

With a larger MSP, your point of contact is often an account manager whose service depends on how many other clients they manage. If they leave, you’re then stuck in limbo until another account manager is assigned to you, who may or may not offer the same level of service as the previous one. Larger MSPs may have a larger client base, which can make it more challenging to provide individualised attention to each client.

Flexibility

Due to the large size of enterprise-level MSPs, escalations are often slower as they have to go through the channels to get to the right person. You will find that smaller MSPs generally have more flexible arrangements and can come out to your business when there’s an issue relatively quickly and within your timeframe. While not always, larger MSPs are more rigid and you have to wait on them for when they’re free.

A key difference between established and enterprise-level MSPs is that they utilise different technical standards for their clients. While the cost of the managed services between the two is on par, many enterprise-level MSPs require their clients, no matter their size, to utilise higher grade hardware, such as CISCO, for their security, which may cost about $30,000, compared to an established MSP, like Pronet Technology, requiring their clients to use Sophos, which is about $3,000.

Our technology stack, that is, the software, hardware and applications we use, are more focused on small to medium-sized businesses as they’re the clients we take on, whereas a larger MSP will often require all their clients to use enterprise-level technology, regardless of their size and whether the tech is right for their business. Working with a larger MSP isn’t always beneficial, even though they may seem better and more experienced since they’re larger. You have to work out whether the MSP is right for your business.

Expertise

Large MSPs have the advantage of high-level, specific expertise in certain fields, so they have more experts and engineers within their company than smaller MSPs, so they’re fantastic for specific technologies and projects. This raises the question though, of whether those experts also know other areas of managed services. In a smaller MSP, while they might not have the in-depth expertise about a specific technology you’re after, they have general knowledge of the whole managed service industry to help give you recommendations and look after your systems. Due to the scale of the larger MSP, it may take your business longer to get access to those experts though, as your call goes to the help desk who have to ask you a range of questions before you can ever gain access to that specialist. Kind of like calling your telco or bank. Established MSPs like Pronet are smaller but with a broader knowledge span. Bigger, more specific MSPs might not be what you need unless you have a specific project or problem.

For example, an enterprise MSP might have an SAP specialist, whereas a smaller MSP, who takes accountability for your systems, takes over the issue and contacts the SAP vendor themselves. The pros and cons of this depend on the problem your business is facing. By the time the larger MSP gets onto the problem, if it’s a less complicated issue, they can deal with it right away. If it’s a complicated issue, they then have to escalate the issue further and contact SAP directly, which, by that time, the smaller MSP could already have worked the issue out with the vendor. This hierarchy system, while organised and beneficial for a larger company to manage, doesn’t always work for the client as with smaller MSPs, where all tech staff, no matter their level, are working together, then can just turn to another tech employee and ask for help.

Smaller, established MSPs are generally more invested in your business and longevity as they take on the responsibility to fix the problem even though they may not be direct experts on the issue.

24/7 Support

Most large, enterprise-level MSPs provide 24/7 support, compared to smaller MSPs who may only offer extended work hours support, such as between 6am and 11pm. This might be necessary when you run an international business, but bear in mind that this support is outsourced overseas and the help desk associates generally only have Level-one knowledge to help you. If you need more expert support, you will have to wait until normal trading hours to get the help. These days, even some trading hours help-desk support is also being handled overseas. You will find that this is not the situation with smaller established MSPs as most believe in local service and, while outsourced service is cheap to provide, we have found that most clients don’t want it. At Pronet, even though we provide extended-hour support, we have found that we rarely get called anyway, with a lot of the after-hours work driven by us when our systems inform us that there is an issue in your business, which we then fix remotely.

Geographic Coverage

Another difference between the two, due to their size, is their physical reach. A large, enterprise MSP will often have more than one office across Australia and can handle large-scale projects and clients. This means that if a client in Perth needs a hardware upgrade, such as a router, someone from their Perth office can head out to install it. For smaller MSPs, while they may have clients in other cities, many will rely on strategic local partners to fix on-site issues. This is beneficial for smaller MSPs as they can work with more clients, but since the staff are not from the MSP, they cannot control the level of service provided to the tee. If it’s a large-scale issue that needs on-site fixing, the client will often fly the MSP’s employee/s out. Since most problems can be fixed remotely, this is not often an issue, and you will find that enterprise-sized MSPs will often use partners for regional work too.

Buying Power

Enterprise-level MSPs have more buying power to purchase computers and hardware at lower costs, and larger clients are often happy to bulk buy computers to receive those discounts, which they then have stored at the MSP. Enterprise MSPs don’t have any buying power when it comes to licences and services, like Microsoft 365 and internet service, as those prices are outside their control. Keep in mind that just because the MSP can receive a discount on hardware, that doesn’t necessarily mean those savings will be passed down to the client, and definitely not for their smaller clients.

Business Structure

Larger, enterprise MSPs take longer to plan and get started on projects due to their size and hierarchy of operations, whereas smaller ones, due to having less staff and formal procedures, have shorter lead times. Having more processes and procedures to follow does make operations smoother for both the MSP and your business though, so that is an advantage. It can also, however, be a disadvantage as these processes mean the MSP is more rigid and won’t change, whereas a smaller MSP can offer more flexibility and use their judgement on projects and issues. Large MSPs may be slower to adapt to changes in the IT industry or changes in a client’s needs. They may have a larger management system and processes in place that can make it difficult to respond quickly to changes.

When MSPs begin to get incredibly large, they tend to start becoming more sales focused, which is where you find differences in cost between them and smaller providers. A smaller provider, while on par with a larger provider in terms of managed service costs, tends to be more affordable due to them not trying to sell you all their services and new technology which your business might not need. Most established MSPs are technical but operational-focused as, due to being in the trade for many years, understand business and risk management for business longevity. Newer MSPs maybe not as business inclined and are quite technical in their work and communication with your business, while larger, enterprise-level MSPs are often technical but with a sales focus where they try to push more services on you to get you to spend more.

Writing this post, we understand it might be skewed more towards the positives of smaller, established MSPs and that’s because we are one. At Pronet, we used to work with larger clients but then scaled back as we knew that SMEs were being left behind and, ultimately, we enjoy the level of service we can provide these businesses. We understand the frustrations of SMEs as we’ve had clients who have come to us who were left behind as their previous MSP grew and were, essentially, forgotten. Due to this, we’ve tailored our services and technology stack to suit small and medium-sized businesses.

That’s not to say enterprise-level MSPs are bad or unneeded, because they are certainly needed for larger businesses with 200 to 300 computers and up as they’re too large for smaller MSPs to handle. The same thing goes for small businesses with one to five computers. Unfortunately, while you might need the services of an MSP, you might struggle to find one who finds it worthwhile to take you on as a client.

Ultimately, SMEs should carefully evaluate their IT needs, budget and goals when choosing between smaller but established MSPs or large, enterprise-level MSPs. Smaller MSPs can provide ongoing support and personalised service for SMEs with more modest needs. Large MSPs can offer comprehensive IT solutions and scalability for SMEs with more complex requirements but may come with higher costs and less personalised service. Seeking advice from an IT advisor or consultant can help SMEs evaluate their options and find a provider that can deliver the right level of service and support for their unique needs. When gathering proposals from IT providers, ask them questions relevant to your business to ensure they’re the right fit for you.

Overall, SMEs need to understand that just because an MSP is larger, doesn’t mean they’re better for your business. You need to determine the needs of your business to see what is best for you.

IT Support, Managed IT Services, Strategy

What would be the true cost of disaster to my business if my IT failed?

What would be the true cost of disaster to my business if my IT failed?

As a business owner myself, I know the importance of keeping my business’ IT systems running smoothly, which I’m sure you are also aware of in your own company, but have you ever thought about the true cost of a disaster if your IT systems fail? The truth is that it can be catastrophic.

Imagine your business losing all of its data or being unable to access critical systems for a prolonged period. The impact on your business can be devastating, resulting in lost revenue, damage to your reputation and even the closure of your business.

So, what is the true cost of a disaster for your business if your IT fails? Measuring the cost of failure is complicated as there are so many different areas that factor into this, like direct costs and indirect costs.

Direct costs include costs of repairs or replacements of damaged hardware and software, as well as any business interruption. There is a range of indirect costs that IT system failures can create that can actually be higher than the direct costs. Let’s take a look at some of these:

Lost Revenue

The first factor people generally think of when they think of costs is lost revenue. Lost revenue occurs when a business is unable to continue normal business operations which can be incredibly devastating for businesses who heavily rely on technology. If your IT systems are down, your business may not be able to operate at full capacity, resulting in lost revenue.

Downtime also creates impatient customers and if other stores are selling similar products, customers will go there instead, to which they may find they like that store better, and therefore may continue using their products or services instead. Businesses need to understand the lifetime value of lost customers and when IT failures can cause your business to seem unreliable, this can tarnish the business’ reputation and therefore, lose customers.

The exact lost revenue from unplanned system outages depends on the type of outage and the size of your business. For a small independent store, an IT outage could result in no card payments for a few hours, leaving you relying only on cash — which not many people have on them these days. This is even more devastating for businesses that rely on every sale to stay afloat.

To calculate potential annual lost revenue, you can use a simple formula:

Lost Revenue = (G/T) x I x H

G = gross annual revenue

T = total annual business hours

I = percentage of revenue lost during an outage

H = number of annual outage hours

Reputation Damage

An indirect cost that occurs if your business experiences a significant IT failure can be a damaged reputation. Reputational damage occurs when customers and other stakeholders lose confidence in the organisation’s ability to effectively manage risks and protect their interests. Suppliers may also be hesitant to work with a business that has suffered a data breach, leading to potential supply chain disruptions and delays. If you’ve noticed the business’ reputation has been damaged, an entire marketing campaign may be needed to repair this, further incurring your business costs.

Customers may lose trust in your ability to provide reliable services or products, resulting in lost sales, and, as mentioned, lost customers occur when customers become frustrated with the disruption that occurs to businesses to which they then switch to a competitor, resulting in lost revenue.

Recovery Costs

Another direct cost associated with IT failures is the cost associated with fixing the issues. In the event of a disaster, you may need to hire IT professionals to restore your systems. This can be a costly process, especially if you need to pay for emergency services or if you don’t have a managed service provider.

Part of this also includes recovering or repurchasing hardware and software or services, which can differ in their severity. For example, a company’s email server not working is less severe than customers being unable to place orders. In this way, it’s the exact nature of the loss or outage that will determine the costs.

A factor that many people don’t think of are the costs surrounding overtime to catch up on missed work during downtime. Not only that, but IT failures may have forced your staff to keep paper records of transactions or notes during a system outage, which then need to be manually input when systems go online again, leading to overtime and other labour costs.

IT failures can also cause your staff to miss deadlines or follow through on contractual obligations with projects, meaning more money will be spent on projects that should have already been finished or you will have to reimburse customers.

Data Loss

Direct losses also include losing data, which has an even bigger impact on your business than the loss of an application or service. Data loss can be permanent and can have financial and legal implications beyond the direct losses on your company. The costs surrounding data loss can even lead to the closure of a business. Data loss ties into every other factor on this list and has a direct link to cyber threats like phishing, malware and ransomware. If your IT systems failed and cybercriminals had easy access to your network and data, this can also lead to ransom demands or costs related to recovering lost data.   

Legal Costs

Depending on your industry, you may be subject to legal or regulatory requirements that mandate the protection of sensitive data. SMEs that suffer a data breach can face lawsuits and government fines, especially if they’re not in compliance with data protection laws. These legal battles can be expensive and time-consuming, and can also cause damage to your reputation.

Time and Productivity Loss

If your IT systems are down, your employees may not be able to work as efficiently. This can result in lost productivity and increased costs.

A Dunn & Bradstreet survey found that 59 per cent of Fortune 500 companies experience 1.6 hours of downtime per week or more. If this is a company-wide failure that prevents all employees from working and that company has 5,000 employees, with an average labour cost of $30 per hour, the labour downtime for that week is $240,000 in lost productivity. Per year, that’s $12,480,000. Even if you had one-thousandth of that amount, that’s still $12,480 per year just for outages.

In 2004, Gartner led a survey that found the average hourly cost of downtime for a mid-sized company was $42,000. They conducted the survey again in 2014 and this number had risen to $300,000 per hour. If they do the survey again next year, who knows how high this figure will have increased.

Keep in mind that this varies by industry, with financial organisations losing the highest amounts for every hour of downtime and these averages are heavily skewed by large organisations. In a recent survey of IT managers, only 20 per cent of companies had costs higher than $12,000 per hour.

Emotional Toll

Continued downtime, while affecting employee productivity, also affects morale, as when overtime is needed, this means more time away from families and their hobbies, and if this happens too often, staff will start looking for a new job. 

IT failures and data loss also cause immense stress and anxiety for both business owners and employees. Cyberattacks that cause important business information to be lost, like customer details, financial information and inventory records can feel like a personal attack, especially when you’ve put so much time and effort into building your business. Disaster carries with it an emotional toll that takes a long time to recover from.

How to reduce the costs of a disaster to your business’ IT systems

So, what can you do to mitigate the risks of a disaster and protect your business? The answer is to invest in a comprehensive IT support plan that includes disaster recovery and business continuity. This type of plan can help ensure that your critical systems are backed up and can be restored quickly in the event of a disaster, and will help you and stakeholders understand how affected your business will be if anything occurs and also give you a path forward for how to reduce these risks.

In addition to disaster recovery, your IT support plan should include regular system maintenance, security updates and proactive monitoring to prevent issues before they occur. Partnering with an IT service provider that specialises in data security can also be a wise investment. These providers can help identify vulnerabilities in your system and implement security measures to protect your business from data loss. They can also provide ongoing support and monitoring to ensure that your systems are secure and up-to-date.

It’s also important to educate your employees about data security and implement security measures such as firewalls, antivirus software and multi-factor authentication, as well as by implementing the Australian Government’s recommended Essential Eight Cyber Security measures. By investing in a comprehensive IT support plan, you can help minimise the risk of a disaster and protect your business from the potentially catastrophic costs of an IT failure.

There’s no point in pretending your IT systems will never fail. Over the years of using a personal computer, we all know that’s not possible, and this is the same for IT systems in business landscapes. No organisation will experience no downtime, but as long as practices are followed that keep downtime to a minimum, then you can feel reassured that everything will be okay in the long run.

An IT service provider can be monumental in helping with preventing risks from occurring within your business. Your business probably already has one, but make sure you’re constantly keeping in communication with them to ensure they’re properly looking after your business’ interests.

If your business is not with a provider or you’re looking to switch, give us at Pronet a call to see if we’re the right fit for you.

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