This report aims to provide an insight into the key factors driving MSP adoption among buyers, in addition to providing an overview of the buyers’ perception of aggregate service provider performance.
The analysis in this report is presented at three levels:
Key factors driving MSP adoption among buyers
MSP provider performance
Evolving buyer requirements
Some of the key findings are
While cost reduction (traditional parameter) stands as the most important driver for MSP adoption, buyers are increasingly driven to adopt MSP due to factors such as making contingent workforce management future ready and, impacting top line growth
Overall service provider performance declined owing to a widening gap in expected performance across next-generation requirements
Softer parameters, such as relationship management and next-generation solutions, now have a higher correlation to the overall performance as the buyer’s expectations from MSPs evolve
Given the rising expectations of the buyers, MSPs’ performance across the next-generation parameters (such as innovation, relationship management, better tools/technology, and making contingent workforce management future ready) not only provide better satisfaction to buyers but also act as areas of differentiation
Most buyers are willing to expand the scope of their relationships with their incumbent MSPs, especially around Statement of Work (SOW) / service procurement, total talent management, and digital tools (primarily analytics and automation)
