Nobody likes to be told what to do. Sometimes, we are told to do things which are pointless and have no merit. Other times, what we are told to do can be very beneficial.

The proliferation of data privacy laws around the world may seem like MSPs are suddenly being told what to do and how to do it. There is some logic to that claim. However, the unavoidable truth is these laws are increasing and not likely going away anytime soon. So, MSPs had better realize that more, not less, focus and questioning will be placed on how data is handled, managed, and protected.

Data Privacy Laws Encourage Managed Services

The good news for MSPs is that data privacy scrutiny is having a positive impact on managed services. How could this be, you ask? The more data privacy laws there are, the more pressure companies will have to comply.

Keep in mind, as inconvenient as these laws are to MSPs, the end-user customer is getting the full effect. Customers who do not have any significant internal IT resources will naturally seek to outsource their IT management, including data privacy.

The pressure of achieving and maintaining compliance is significant and only going to increase. Just as the early MSPs found success in regulated markets such as legal, banking, and healthcare, today’s MSPs have a similar opportunity to turn even ordinary reactive customers in managed services clients.

Unprepared MSPs Watch Out

MSPs who have been sitting on the sidelines thinking that the non-regulated customers do not care about data privacy and security, think again. The days of “no hacker cares about me because I’m too small or insignificant” are over.

MSPs who hold this view will not likely be in business much longer. MSPs need to cut ties with customers unwilling to embrace necessary data privacy and security practices. Customers openly defying data privacy legislation such as data breach notification, basic IT network security, and other IT best practices, should not be sharing that incredible risk with any MSP.

I appreciate that the managed services world is changing dramatically. But, these changes are bringing unbelievable opportunity for MSPs to show their value. There may be small investments that need to be made to bring your MSP practice up to current standards. My suggestion is to do it!

Even minimal investments into your data privacy capabilities will have significant yields in MSP valuation and your peace of mind.

Tags : Data Privacy,Legislation,MSPs

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