Choosing a managed IT services provider (MSP) is a significant and continuous investment for any business. To get the best ROI, you need to regularly evaluate your MSP’s performance so you can confirm whether they are delivering on their promises.
The best way to do this is by tracking the right key performance indicators (KPIs). These measurable benchmarks give you a clear picture of how effectively your MSP is supporting your business, and how far your dollar is going. Let's discuss how to evaluate your MSP and which metrics to track.
Why evaluate your MSP?
Your MSP plays a crucial role in maintaining productivity, data security, and uptime, but only if they do what they promised in your service level agreement (SLA). Evaluating your MSP involves verifying they are meeting agreed-upon service levels, maintaining their performance, and keeping their services aligned with your needs. It also helps ensure that your provider remains a strategic partner, delivering ongoing value rather than simply reacting to problems.
Beyond accountability, regular performance assessments can uncover opportunities for optimization. An MSP that is worth its salt should continuously look for ways to reduce downtime, streamline workflows, and enhance your security posture. When you track the right metrics, you can see where they excel and where improvements are needed and make requests for improvements.
KPIs to measure when grading your MSP
Not all KPIs are worth tracking, and not all will be relevant to your MSP’s performance. The ones that matter most will depend on your business’s goals, but several core metrics are essential for evaluating any MSP relationship.
System availability (uptime)
Your company’s system uptime is one of the most important indicators of MSP performance. Most managed service providers guarantee a certain level of uptime in their SLAs, which is typically 99.9% or higher. Tracking uptime and recording downtime incidents can help you evaluate if your MSP is meeting their commitments and providing reliable support.
Response and resolution time
How quickly your MSP responds to and resolves issues can make or break your team’s productivity. The two most important metrics to look at here are:
- Response time: How long it takes for your MSP to acknowledge an issue and start working on a solution.
- Resolution time: How long it takes for your MSP to fully resolve an issue and restore normal operations.
A high-performing MSP should consistently meet or exceed SLA targets in both areas.
Incident frequency and severity
Monitoring how many incidents occur over time (and how severe they are) provides insight into how well the MSP is maintaining your systems. A decreasing trend in incidents suggests strong proactive management, while recurring issues may indicate underlying problems that need to be addressed, such as infrequent or inattentive maintenance.
Employee satisfaction
Your employees are the ones who are submitting tickets and waiting for their problems to be resolved, so to get a good idea of how the MSP is doing, just ask your workforce. Regular satisfaction surveys or post-ticket feedback can help measure communication, professionalism, and problem-solving effectiveness.
Security and compliance metrics
Even if your MSP excels in every other area, if their cybersecurity capabilities are lacking, it's time to find a new one. Evaluate how your MSP monitors and responds to threats, manages patches and updates, and enforces compliance with industry standards. Metrics such as the number of blocked attacks, patch completion rates, and vulnerability scan results reveal how well your IT is being protected.
Seeing poor performance across key KPIs is a clear indicator that it’s time to reassess your MSP relationship. If the numbers show that you need a new MSP partner, contact outsourceIT for a FREE consultation. We’ll provide a customized plan for a suite of IT services that will meet your business’s needs now and far into the future.
