How to Gain a Competitive Edge with a Technology Solutions Mindset

The world is changing - and so is the market. As such, technology partners are being asked to deliver very different outcomes than they have in the past. To stay competitive, it's essential to understand where the industry has come from, where it's headed, and how to evolve. That is: by building a technology solution mindset.

Table of Contents:

• The Origins of Traditional MSPs, VARs & SIs
• The Mindset Gap
• From Infrastructure to Competitive Solutions
• The 3 Value-Streams for Technology Solutions Partners
• Where to From Here?

The Origins of the Traditional MSPs, VARs & SIs

Let's start by discussing traditional technology solution categories/business models.

Traditionally, many MSPs began as break-fix providers - the white knights for small businesses, showing up to fix unstable IT environments. Client systems were often fragile, and just keeping things running was a full-time job.

Over time, standardisation became the foundation for solving recurring issues, and recurring service models emerged to deliver more consistent value.

Most of these early environments were on-premises, single-site (with multiple sites as the exception, rather than the rule), and relatively simple in structure - think core networking, firewalls, wireless access points, switches, desktops, and some server infrastructure.

While MSPs focused on stabilising and supporting infrastructure, Value-Added Resellers (VARs) followed a similar path, in a different way - focusing on supplying and configuring the hardware and software. Systems Integrators (SIs), meanwhile, played a more specialised role, stepping in to handle complex infrastructure builds or application deployments that sat on top of the environments created by VARs and MSPs.

Each technology partner played a vital part in shaping early ecosystems, bringing order to that complexity, and building more reliable, stable systems to help them grow. But the landscape has shifted dramatically since 2010. What's changed?

• The cloud has fundamentally changed how technology partners serve their clients.
• On-premise infrastructure has shrunk for many organisations.
• For some clients, network infrastructure has (also) scaled back.
• For others, however, especially those adopting operational technology and IoT, networking requirements have expanded.

At the same time, the way end users engage with technology has also transformed. Laptops and mobile devices have replaced static desktops. People now work from anywhere. And, as a result, the once-centralised, “castle-and-moat” IT model no longer fits.

The Mindset Gap: Still Operating Like It's 2010

Because so many partners were built on traditional models, it's no surprise they're now struggling to keep pace.

For years, many technology businesses have relied on long-standing, trusted relationships. But the landscape is shifting. Legacy clients are moving on. Owners are selling. A new generation of owners/decision-makers are stepping in, and they aren't tied to the same loyalties. Their expectations are different, and they're only going to continue to evolve.

Despite the dramatic changes in client environments, many technology partners are still operating from old technology solution categories like it's 2010 - holding out hope that SBS (Small Business Servers) might somehow make a comeback.

But that ship has sailed!

The way clients are leveraging technology has evolved, and their infrastructure needs have shifted. It's time to start thinking more broadly and elevating the role technology partners play.

Read more about: 4 Urgent Reasons the Technology Services Industry Needs to Transform

With core infrastructure now largely stable and foundational tech in place, clients have the headspace to focus on strategic outcomes. They're looking for solutions that help:

• grow revenue
• boost efficiency
• improve profitability
• manage business risk

Not to mention, they have competing priorities, like managing operational complexity, and attracting and retaining talent, which is increasingly getting harder and harder.

To meet these challenges, technology partners need to view client environments through a new, broader lens - one that goes beyond infrastructure, to focusing on enabling outcomes through a solutions mindset.

From Infrastructure to Competitive Solutions

To remain relevant and valuable, technology partners need to shift toward a more advisory role - one that starts with truly understanding clients' businesses.

That means moving beyond just technical support, to guiding clients through what could be described as the 12 core technology solution categories. And each of these categories contains a range of subcategories and specialisations.

Clients increasingly expect their technology partners to have a working knowledge across this broader spectrum. That is, not just infrastructure, but applications, data flows, system integrations and more.

The challenge? Many partners come from an infrastructure-heavy background, so the shift to application-centric, data-driven environments can feel overwhelming. But clients are no longer just asking for help managing servers - they're asking for strategic input across a far more complex technology landscape.

Whether you decide to build out these capabilities for your business internally, or by forming strategic alliances, having this broader perspective is becoming non-negotiable.

Choosing a Strategic Path: Advisor or Specialist?

At this point, technology partners need to make a deliberate choice:

1) Will your business evolve into a technology advisor - owning the client relationship, understanding the client's business, and providing governance, ongoing advice and solution design?

Or

2) Will your business become a specialist - focusing deeply on a particular technology category and partnering with others in a channel model to deliver product-led solutions, at scale?

There's no right or wrong answer here. What matters is clarity and intentionality.

Because as soon as you choose a direction, everything else needs to align. That is: how you engage clients, how services are monetised, and how your position yourself in the market.

Assessing Capability: Build, Acquire or Partner?

Using a structured framework across key technology solution categories can help clarify where your strengths lie. This can make it easier to define offerings, shape messaging and position solutions in market. From there, the next decision is how to deliver. Consider:

• Should our capabilities be built in-house?
• Should it be acquired, at scale - either by hiring experienced talent or buying an entire business?
• Or is it smarter to leverage a partner network?

Whether you choose to build, acquire or partner, these decisions should align with the technology solution categories you want to lead in.

What's worked in the past won't necessarily lead to success in the future. Continue to ask strategic questions, such as:

• Do we have the capability to support clients from an advisory perspective?
• Can we design and deliver modern, relevant solutions?
• And, can we do it all in a way that's profitable and sustainable?

For many technology partners, the honest answer may be “not yet”, or perhaps, “not at all.” In some cases, it's not a matter of lacking the skill, but the energy.

This is the moment where technology partners need to make a clear, deliberate decision: Will you transform to meet the needs of the modern client, or is it time to consider exiting the game?

If you aren't proactively bringing a portfolio of solutions that help clients grow, boost profitability or mitigate business risk, it's only a matter of time before someone else will - quickly and easily.

Let's re-evaluate the technology solution categories, and cover three value streams you should be focusing on to adapt and thrive in today's changing landscape.

The 3 Value Streams for Technology Solutions Partners

Value Stream 1: Advisory

The value stream you think you're doing, but are probably not.

Advisory is a value stream that many technology partners believe they're offering - but in reality, they're not. Why? Because too often, the level of engagement is dragged down to the lowest common denominator.

Consider Quarterly Business Reviews

Take Quarterly Business Reviews (QBRs), for example. Many partners call this “advisory,” but too often, the people delivering them don't have a deep understanding of the client's business or technology. They may grasp one or the other, but they aren't taking a holistic, high-level, strategic approach.

Clients are willing to pay well for true advisory services. But they're looking for experts who can provide more than just operational insight - they need someone who can lead them through the complexities of their technology environment and guide their broader business strategy.

When a QBR focuses solely on reviewing traffic light reports (where progress is marked as red, yellow, or green) or upselling to modern compliance - that's not true advisory.

Advisory means understanding your client's business and offering proactive solutions that solve their real challenges, and add significant value. This shift in approach is where the real opportunity lies, as it's where clients are willing to spend big dollars and invest in.

While your intentions may be good, take a moment to ask yourself: Do you truly understand your client?

Sense check

Pick a client at random and ask your Account Manager: “How does this client make money?”

If they can't answer that question easily, it's a clear sign your engagement is likely not at the advisory level.

Value Stream 2: Architecture

The value stream you should be charging for. And stop doing for free!

Architecture is a value stream that's already a default part of your services. But it's likely something you're doing without charging for it.

Many businesses give away architectural services without realising it's a high-value activity that should be monetised.

How can you do this? By shifting your mindset. Not just because it's costing you money, but because it plays a critical role in solving complex business challenges.

The key is to distinguish between:

1) product-type solutions - which can be quickly scoped and delivered with a proposal

Vs.

2) more strategic architecture work - where you're designing a solution tailored to the client's needs and helping them make important business decisions.

One overlooked aspect of solution design is that forcing clients to commit to a budget, forces decisions. Sometimes, the most valuable decision is for them to say “no”.

Whether they decide to invest in a project or not, it's still valuable and should be recognised as such in your approach with the client.

If you're not charging for solution design and architecture, you need to start - because your clients require this level of expertise.

The only way to deliver this capability is by ensuring you have billable hours for your pre-sales team.

Value Stream 3: Enablement.

The value stream you're overlooking.

There's a value stream many technology partners are overlooking, but it's one of the most crucial for end clients: enablement. This is often the most challenging because it centres around people.

Some might think they're addressing it by offering a security awareness training tool. However, that's simply procurement (reselling a product).

True enablement involves engaging people through training: guiding them through change with change management services and providing ongoing support. It's about helping a client's team members understand their roles and workflows, and then assisting them in transforming how they work to adapt to new workflow practices.

These are complex, often difficult services to deliver - especially when compared to a straightforward “lift-and-shift” technology rollout.

But they're the services clients need and value most. Why? Because this is how they see a Return on Investment from their technology.

Consider this example

We've all seen it: a company implements a new ERP, only for the team to revert back to operating from spreadsheets, because no one helped them adopt the new system.

That's what enablement is about.

It's a massive opportunity. One that more partners need to start recognising, understanding and building toward.

Where to From Here?

To gain a competitive edge as a technology solutions partner, there's no one-size-fits-all blueprint. But there is a clear need for intentionality.

Whether you're leaning toward an advisory-led model, choosing to specialise in architecture, or building out true enablement capability, the goal isn't to do everything. It's to know what you do best, align your engagement and monetisation models to that strength, and transform with purpose.

Recognising the need to evolve is an important first step. Committing to action is what will set your transformation in motion and engage across different technology solution categories - for sustainable growth, lasting client value and long-term profitability.

Motivate to evolve, stay relevant and grow? Discover how Fractional Leadership Advisory can guide your transformation.