As the managed services industry continues to evolve, a new frontier is rapidly emerging: automation. While security has dominated the spotlight—and rightly so—MSPs now have a powerful opportunity to drive new growth and deliver greater value by automating both their internal operations and their clients’ business processes. In a recent Cyber Call, leaders like Gary and Graham Rosenberg from Source Paths laid out how automation is reshaping the industry.
Efficiency is the foundation. Automation isn’t just a “nice-to-have” anymore—it’s the new expectation. Clients want speed, consistency, and cost-effectiveness. Automating tasks like onboarding, ticket routing, and offboarding reduces human error, saves time, and embeds security directly into workflows. The result? Lower costs and higher profit margins.
But the real power lies in revenue growth. Automation opens up entirely new services MSPs can offer their clients. By automating client workflows—like HR processes, support requests, or data handoffs—MSPs can move beyond IT support and into business enablement. This could expand your addressable market by 50% or more. You can price competitively, create custom solutions, and build higher-value MRR through bundled automation offerings.
Graham shared how Source Paths began their automation journey by optimizing PSA workflows, using tools like Power Automate and custom webhooks. This expanded into client-facing solutions—like onboarding forms that feed directly into internal systems—and eventually evolved into the Robotic Operations Center (ROC) model.
Tim introduced the concept of the Virtual Chief Automation Officer (VCAO)—a strategic role MSPs can adopt, similar to vCIO or vCSO. The VCAO helps clients identify inefficiencies, choose tools, and optimize processes through automation. It’s a value-add that positions MSPs as business partners, not just IT providers.
For MSPs looking to get started, the advice was clear: begin with simple automations and scale from there. Focus on your clients’ biggest pain points. Invest in internal training so your team can support and manage these solutions. And don’t be afraid to charge for the real business outcomes you’re delivering.
The bottom line? Automation is becoming a core pillar of successful MSPs. It boosts your margins, expands your value proposition, and positions you as an innovator in the market. Whether it’s through internal optimization, client workflow automation, or strategic roles like the VCAO, the future is automated—and the opportunity is massive.
