In a recent illuminating podcast, I had the privilege of hosting Arlin Sorensen, a pioneering figure in the MSP (Managed Service Providers) world. Known for his profound insights and strategic acumen in the IT and MSP sectors, Arlin shared his wisdom on thriving in an ever-evolving industry. For MSPs aiming to elevate their operations, here are five critical insights from our conversation that can serve as guiding beacons.
1. Embrace Owner-Led Sales
One of the first pearls of wisdom Arlin shared revolves around the concept of owner-led sales, particularly for MSPs in their nascent stages. The pathway to genuine growth and sustainability lies in MSP owners embracing the mantle of sales leadership. This strategy is not just about fostering initial growth but setting a precedent for sales culture within the organization. By embodying the sales process, MSP owners can effectively craft and refine their value propositions, ensuring they’re compelling and customer-centric.
2. Invest in People and Culture
A recurring theme in our discussion was the significance of investing in people. In today’s competitive landscape, attracting and retaining top talent goes beyond offering competitive salaries. Cultivating a nurturing and supportive culture is paramount. Arlin emphasized the necessity of building a workplace where employees feel valued and part of a larger mission. For MSPs, this means prioritizing leadership development, fostering a positive workplace culture, and investing in continuous learning and growth opportunities for your team.
3. Adapt to the Changing Security Landscape
Security is a critical concern for MSPs and their clients. With the rise of remote work and the increasing sophistication of cyber threats, Arlin highlighted the urgency for MSPs to adapt their security offerings. This involves not only staying abreast of the latest security technologies and practices but also educating clients on the importance of robust security measures. A proactive approach to security can differentiate your MSP, build trust with clients, and open new revenue streams.
4. Focus on Business Outcomes and Data Intelligence
Transitioning from a traditional MSP model focused on infrastructure management to one that emphasizes business outcomes and data intelligence is vital. Arlin pointed out that the future of MSPs lies in leveraging technology to drive tangible business results for clients. This means developing expertise in data analytics, business intelligence, and custom solutions that align with your clients’ strategic goals. By doing so, MSPs can become indispensable partners rather than mere service providers.
5. Prepare for Succession and Legacy
A poignant part of our conversation touched on the concept of moving from success to significance, particularly as it relates to succession planning and building a lasting legacy. Many MSP owners intertwine their identities so closely with their businesses that they face an existential crisis upon exiting. Arlin advises MSP leaders to start thinking early about their legacy and how they can impact not just their immediate circle but future generations. Whether through mentorship, community engagement, or sustainable business practices, the goal is to leave a positive, lasting impact.
My conversation with Arlin Sorensen shed light on critical strategies for MSPs aiming to scale and sustain their businesses in a rapidly changing industry. By focusing on these five areas—embracing owner-led sales, investing in people and culture, adapting to security changes, focusing on business outcomes, and preparing for succession—MSPs can position themselves for long-term success and significance.
Arlin founded HTS Ag in 1995 to meet the needs for technology for growers in production agriculture. That business has expanded to include not only GPS-based technologies for farmers, but grain bin management systems, drones and UAV technologies, and other things that enable farmers to feed the world. It continues to operate from our offices on the farm.
