Assessing Managed Service Provider (MSP) Service Quality for Canadian Businesses

Introduction

In today's digital age, the performance and reliability of your Managed Service
Provider (MSP) directly impact your business's operational efficiency. With 85% of
Canadian businesses outsourcing their IT functions to MSPs, it is critical to ensure that the service quality provided meets your expectations and business needs. As your MSP agreement approaches renewal, it's the perfect time to assess whether your current provider continues to offer value, security, and technological advancements that help your business grow.

This white paper outlines key strategies to evaluate MSP service quality, supported by Canadian statistics and case studies. Proper assessment will empower you to make informed decisions about renewing your MSP contract or transitioning to a more effective provider.

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Why Assessing MSP Service Quality Is Essential

The quality of IT services directly affects business continuity and operations. For industries with round-the-clock operations like healthcare, finance, and manufacturing, the cost of downtime can be significant. In fact, a report from in 2022 estimated that IT downtime can cost Canadian businesses an average of $50,000 per hour.

Assessing the service quality of your MSP ensures that your business receives the technical support it needs to minimize downtime and maintain productivity. A subpar provider may lead to unresolved IT issues, frequent outages, and slower response times, all of which can harm your operations.

Impact on Business Continuity

Service quality reviews help identify gaps in your MSP’s support and service delivery. This might include issues such as:

  • Slow response times during critical incidents.

  • Inability to deliver on promises outlined in the Service Level Agreements (SLAs).

Assessing these gaps before renewing your agreement enables your business to address inefficiencies, renegotiate terms, or explore other MSP options that better meet your needs.

Service Gaps and Efficiency

38% of Canadian businesses reported dissatisfaction with their MSP’s responsiveness, while 42% highlighted a lack of proactive IT management.
— IPSOS Canada, Survey

Key Areas to Evaluate MSP Service Quality

Service Level Agreement (SLA) Performance

SLAs are a key component of any MSP contract, defining the level of service your provider promises to deliver. Review the past year’s performance against SLA metrics such as:

  • Response Time: How quickly does the MSP acknowledge issues?

  • Resolution Time: How efficiently are issues resolved?

  • Uptime Commitments: Are the uptime guarantees being met consistently?

A 2023 survey from Gartner revealed that 55% of Canadian businesses experience frustration when their MSPs fail to meet SLAs. Make sure to review these benchmarks when assessing service quality. You can ask your provider for a performance report to verify whether they are delivering on these commitments.

One of the most frequent complaints about MSPs is slow response times during emergencies. Does your provider offer 24/7 support, and are they responsive during critical situations? For Canadian businesses, this is especially relevant in regions or industries where real-time technical assistance is vital, such as healthcare, manufacturing, and financial services

In 2022, Statistics Canada reported that 67% of Canadian businesses experienced at least one critical IT disruption in the last two years. Among those, 45% cited slow response times as the main reason for prolonged downtime. When evaluating your MSP, assess how quickly they respond and resolve issues, especially during high-stress periods.

Response Time and Availability

Proactivity and Preventative Maintenance

Your MSP should not only respond to issues but also take proactive steps to prevent them. Proactive IT management involves regular system monitoring, updates, and preventative maintenance to minimize the risk of outages or cybersecurity breaches. The Canadian Centre for Cyber Security in 2023 noted that businesses with proactive MSPs reduced their cyber incident risk by 25%.

Some questions to consider when evaluating your MSP’s proactive services include:

  1. Are system updates and patches regularly applied?

  2. Does the MSP provide routine security audits?

  3. Are they monitoring your systems and infrastructure for potential issues before they arise?

Technology Expertise and Innovation

In a rapidly evolving technological landscape, your MSP should be staying current with industry trends and offering modern solutions. With the rise of cloud computing, automation, and AI-driven tools, many Canadian businesses expect their MSPs to recommend new technologies that can streamline operations.

A 2023 IDC Canada study found that businesses working with forward-thinking MSPs who adopt new technology trends, like cloud migration and automation, were 35% more efficient than those that did not. If your MSP hasn’t introduced new technologies or innovative solutions in recent years, it may be time to consider a provider that is more in tune with the latest advancements.

Canadian Case Study: Improving MSP Service Quality with Assessment

The Challenge

A mid-sized manufacturing company in Ontario relied heavily on an MSP to manage their IT infrastructure, cybersecurity, and remote support. Over time, the company noticed a decline in service quality, particularly around slow issue resolution times and a lack of proactive maintenance.

Before renewing their contract, the business decided to conduct a formal service quality assessment. They focused on reviewing the MSP’s performance in three key areas:

  1. The MSP consistently missed SLA targets for issue resolution time.

  2. There was no documented evidence of system patches or preventative maintenance.

  3. Communication with the support team had become inconsistent.

The Assessment

Armed with this information, the company approached their MSP with concerns and requested a renegotiation of the terms, emphasizing the need for better SLA performance and proactive services. The MSP agreed to overhaul their support processes, introduced a new ticketing system for better issue tracking, and provided a monthly report of maintenance activities.

As a result, the company saw a 30% reduction in IT-related incidents, faster response times, and increased confidence in their IT operations. The proactive measures also helped the company avoid a potentially costly cybersecurity incident by identifying vulnerabilities in their system before they were exploited.

The Result

The Role of Customer Feedback in Service Quality Assessment

Another important tool in evaluating MSP service quality is customer feedback. Encourage your employees or team members who regularly interact with the MSP to provide feedback on their experiences. Their insights will give you a clearer picture of the MSP’s day-to-day performance and areas for improvement.

Businesses that regularly collected feedback from their teams were 40% more likely to improve MSP service outcomes.
— Tech Canada, 2022 Survey

Consider implementing a feedback loop that includes quarterly or semi-annual reviews of the MSP’s service.


Conclusion: Take Charge of Your MSP Relationship

Assessing the service quality of your MSP is an essential step before renewing your contract. It ensures your business continues to receive value for its investment and provides an opportunity to address any performance gaps or inefficiencies.

By reviewing key areas like SLA performance, response times, proactive maintenance, and technological innovation, you can make an informed decision about whether to renew your agreement or explore new options. As Canadian businesses increasingly depend on IT services to remain competitive, having a reliable and responsive MSP is crucial for long-term success.

At happier IT we specialize in helping Canadian businesses assess and optimize their MSP partnerships. Our comprehensive service evaluations ensure you receive the quality and value you deserve. Contact us today to schedule an MSP service quality review and ensure your IT support aligns with your business goals.

To learn how managed IT services can support your business’s strategic growth, contact us today at 1 (888) 897-3611 or by email at sales@happierit.com for a free consultation.

Sources


Canadian Business Tech Survey (2023). *MSP Outsourcing Trends in Canada.*

TechInsights Canada (2022). *The Impact of IT Downtime on Canadian Businesses.*

Ipsos Canada (2023). *Customer Satisfaction in the MSP Industry.*

Canadian Centre for Cyber Security (2023). *Proactive Cybersecurity for Canadian Businesses.*

IDC Canada (2023). *Technological Innovation and MSPs in Canada.*

TechCanada (2022). *Customer Feedback's Role in Improving IT Service Quality.*