Brian Sherman Posts

A fair number of IT services providers have not altered their offerings and business models to reflect today’s business needs. Even those who have rarely go far enough to ensure their long-term relevance to their customers and future prospects. What should they be doing to ensure their clients’ needs and visions can be fully realized?

The IT talent shortage is hitting some providers hard. That’s why a proactive HR strategy is essential, and should start way before the next hire is needed. What can IT services companies do to improve their odds of attracting the right talent at the right price?

IT services providers often work with cloud suppliers to customize their clients' implementations, sort through programs and resolve issues. That support role is invaluable to small and mid-sized businesses as channel firms are perfectly positioned to act as the liaisons between their customers, end users and their vendors. So why not leverage that expertise to strengthen customer relationships?

Attendance at conferences and other events, like any work activity outside the office, should be considered an investment. Time is money and, whether you’re the company owner or an employee, going to an industry event or professional training session should result in some type of benefit to your business. While it’s not easy (or even possible, in some cases) to accurately calculate an ROI, a simple check list of objectives for each trip can help travelers qualify the level of their success.

There are several alternate options available to those looking for ways to fund large projects and IT services expansion plans. From alternate “money” channels that didn’t exist a decade ago, to ideas that boost cash flow, there are new ways for channel firms to better leverage traditional bank lending systems (or eliminate the need for them all together).

The best way for today’s IT service providers to differentiate themselves and provide greater value to their clients is to become true experts in the areas that matter most, and IT security is the perfect example. Most small businesses have little, if any clue how to properly protect their data and knowledge in this area is invaluable. Channel firms that can identify and mitigate companies’ unique risks will find themselves in a much better position in the future than those who simply offer tools (which businesses can buy virtually anywhere).

Experts have been predicting the demise of the IT channel for more than a decade, and dozens of others have added to that narrative over the years. The problem with that premise is that the reseller/support segment of the industry has continued to strengthen and morph itself to overcome every challenge that comes its way so far. But there are some significant concerns that could threaten the channel business model as we know it.

When combined with the growing population of “financial entrepreneurs” in the IT industry, the number of prospective business sales will continue to escalate over the next few years. But how long will the demand keep up with the supply? As they say, timing is everything.

Do you have a good understanding of what each of your customer’s employees do with their individual devices and applications? What solutions could boost their productivity or make their work more enjoyable? Successful IT services firms know the answers to those questions — or at least how to find them. Fantastic solutions begin (and end) with the end users.

What will 2017 bring for the IT channel? Providers will certainly continue to assess and strengthen their business models measure the long-term viability and profitability of their offerings, and identify growth opportunities. They will transform and innovate. But which trends will entice IT service providers to make a shift (or at least set the wheels in motion) in 2017? Here are five of the most likely drivers: