GFI MAX presentation on building managed services business and revenue, delivered at SMB Nation in Toronto, June 2011

1. Building Blocks to Growing Managed ServicesAlistair Forbes, General Manager, GFI MAX

2. Presentation outline What you’re going to hear The Managed Service Challenge. Overview of the Award winning Building Blocks Approach Building Blocks to grow Managed Services Revenue

3. What ARE Managed Services?

4. What is Managed Services? MANY THINGS TO MANY FOLK 24x7x365 Systems Management, Helpdesk & Vendor Mngt Planned Revenue - Pre-paid hours/Support Bank Recurring Revenues Proactive vs. Reactive Service Labor based or non labor based Software at the core with labor overlay And more... Value Managed Proactive Reactive Chaotic

5. Research … that shaped the Building Blocks Program GFI MAX Quarterly Survey Program Both GFI MAX and non GFI MAX customers Large (1246 responses) world-wide survey response 70% US. Facts that shape our thinking

6. #1 - Sales Ethos Trusted Advisor Status… best practical solution

8. 44.60% Grow your customer base/market share (Hunt)

9. Other important

10. 12.80% Run business more efficiently

11. 12.30% Service Excellence

12. 9.20% Build Profit

13. 7.10% Organise business to prepare for future growth

14. 6.60% Expand portfolio to existing base (Farm)

15. Appear not to be top of mind

16. 3.00% Reduce hassle & stress

17. 2.50% Diversify business to allow for 'cloud'

18. 1.50% Draw back from day to day running

19. 0.40% Exit business(Profitable) growth is the key driver…

20. # 2(2) – Business Goals – by company size … (pretty much) regardless of size…

21. #3 Biggest Difficulty providing IT Support to Customers Unpredictable customers the big MSP headache

22. #4 Where you focus your effort? Cloud… mobile… workstations… focus

24. 4 Scenarios Doing nothing Change Started... but... wrestling with the transition Delivering some Managed Services BUT what now Everything's Great – loads of customers, loads of revenue and growing like crazy….

25. GFI MAX Building Blocks to Managed ServicesManaged Services Simplified

26. “The human race has this strange compulsion to take the most straightforward concepts and make them complicated.” Warren Buffett

27. “I would not give a fig for the simplicity this side of complexity, but I would give my life for the simplicity on the other side of complexity.” Oliver Wendell Holmes Snr(1809–1894) “Make everything as simple as possible, but not simpler.” Albert Einstein (1879–1955)

28. Simplicity on the far side of complexity … Complexity X Understanding

29. GFI MAX Building Blocks - Managed Services Simplified Easy to implement Easy to sell No costly training Get going with no changeto your operation Move at the right pace Do the right thing for your client Manage the risk to your business Easy to evolve with current Managed Services approach

30. The Building Blocks Approach – Any Business Model Starting out… Building Blocks – 101 Sales tools - Deliver easily understood, easily sold services Door openers - Low-cost services, easy entry point – to get you in the door Get customers used to contracted service Start up-selling to a fully managed service Advanced… Building Blocks – 201 Profitable Growth - Building revenue AND profit Manage the risk transfer - Once you know your customers IT Plan your growth - Resource to and manage for SoW & SLA Move towards “All you can eat” managed services 24x7x365 systems management, help desk and vendor management– profitably.

31. GFI MAX Building Blocks for Managed Services Increase Recurring Revenue Efficiency, Scalability Business Value Retain Advisor/Leadership Reduce Risk/Unpredictability Attract New Customers Add Profitable Services Lucrative but more complex Managed Mobile Devices Managed Cloud Services Enhanced Continuity Enhanced Security Managed Central Infrastructure Managed Workstations Managed Email Support Support Backup Testing Data Leakage Protection Support Support Email Archiving Mobile Security 3rd Party Management Connectivity Monitoring Penetration Testing Pro-Active Maintenance Pro-Active Maintenance Email Continuity Monitoring Monitoring Availability Monitoring Managed Antivirus Monitoring Monitoring Email Security Lower value but simple Un-Managed Mobile Devices Un-Managed Cloud Services Un-Managed Continuity Un-Managed Security Un-Managed Central Infrastructure Un-Managed Workstations Un-Managed Email Extra In-Depth Focuses Infrastructure Components Lowering your business risk

32. Patch Management Report Closer Look at Central Infrastructure Fault History Report All branded as yours Managed Central Infrastructure Customer Reporting Support Remote Support PSA Integration Pro-Active Maintenance SW Patch Management Automated Maintenance Performance Management Asset Management Customer Reporting Client Confidence Email Critical Event Report Monitoring Server Monitoring Antivirus Monitoring Backup Monitoring Connectivity Monitoring Website Monitoring Customer Reporting Un-Managed Central Infrastructure

33. Managed Workstations Lucrative but more complex Managed Workstations Support Remote Support PSA Integration Pro-Active Maintenance SW Patch Management Automated Maintenance Asset Tracking Customer Reporting Lower value but simple Monitoring Workstation Monitoring Antivirus Monitoring Customer Reporting Lowering your business risk Un-Managed Workstations

34. For $xx a day, check your systems health Manage more issues which un-checked can cause big problems Customers sleep an night knowing It is taken care of. Problems on the Break/Fix $ Own-brand report to show you’re on top of things Customers get used to hearing from you everyday Block #1 - Daily Safety Check

35. Daily Audit: Are your IT guys doing their job? One off Health Check Audit – show issues with IT Independent Daily check of the health of your systems Daily Audit – showing back-up status, Antivirus definitions etc. Pitched at the business owner/business Become the Trusted Adviser First step to managed services

37. For ??? a day, check: Fully Managed Server & Network (Inc. Labor) Likely to pick up all sorts of other ProjectsMuch longer, more firm and strategic relationship Gets to the heart of the customer desire‘Get my IT working and keep it off my desk’ Fixed price service & agreed SLA & Scope of work On the ???, we’ve got calculators to help you price Block #3 – Full Out-source.

38. Free Assets to sell managed services Increase Recurring Revenue Efficiency, Scalability Business Value Retain Advisor/Leadership Reduce Risk/Unpredictability Attract New Customers Additional Profitable Services Managed Central Infrastructure Managed Workstations Support Support Pro-Active Maintenance Pro-Active Maintenance Cloud, Mobiles Monitoring Monitoring Un-Managed Central Infrastructure Un-Managed Workstations Extra In-Depth Focuses Infrastructure Components What’s in Each Building Block?

39. Your Logo Here Free Assets to sell managed services Increase Recurring Revenue Efficiency, Scalability Business Value Retain Advisor/Leadership Reduce Risk/Unpredictability Attract New Customers Additional Profitable Services Your strap line here Managed Central Infrastructure Managed Workstations Support Support Pro-Active Maintenance Pro-Active Maintenance Cloud, Mobiles Monitoring Monitoring Un-Managed Central Infrastructure Un-Managed Workstations Extra In-Depth Focuses Infrastructure Components What’s in Each Building Block?

40. Free Assets to sell managed services Increase Recurring Revenue Efficiency, Scalability Business Value Retain Advisor/Leadership Reduce Risk/Unpredictability Attract New Customers Additional Profitable Services Managed Central Infrastructure Managed Workstations Support Support Pro-Active Maintenance Pro-Active Maintenance Cloud, Mobiles Monitoring Monitoring Un-Managed Central Infrastructure Un-Managed Workstations Extra In-Depth Focuses Infrastructure Components What’s in Each Building Block?

41. Free Assets to sell managed services Increase Recurring Revenue Efficiency, Scalability Business Value Retain Advisor/Leadership Reduce Risk/Unpredictability Attract New Customers Additional Profitable Services Managed Central Infrastructure Managed Workstations Support Support Pro-Active Maintenance Pro-Active Maintenance Cloud, Mobiles Monitoring Monitoring Un-Managed Central Infrastructure Un-Managed Workstations Extra In-Depth Focuses Infrastructure Components What’s in Each Building Block?

42. Free Assets to sell managed services Increase Recurring Revenue Efficiency, Scalability Business Value Retain Advisor/Leadership Reduce Risk/Unpredictability Attract New Customers Additional Profitable Services Managed Central Infrastructure Managed Workstations Support Support Pro-Active Maintenance Pro-Active Maintenance Cloud, Mobiles Monitoring Monitoring Un-Managed Central Infrastructure Un-Managed Workstations Extra In-Depth Focuses Infrastructure Components What’s in Each Building Block?

43. Online Support and Live Coaching - FREE The MSP Community: Webinar Recordings White Papers Blog Postings Videos: Ideas to growyour MSP business Guest Presenters Building Blocks toManaged Services content mspbusinessmanagement.com

44. GFI MAX Building Blocks 201 Increase Recurring Revenue Efficiency, Scalability Business Value Retain Advisor/Leadership Reduce Risk/Unpredictability Attract New Customers Additional Profitable Services Lucrative but more complex Managed Mobile Devices Managed Cloud Services Enhanced Continuity Enhanced Security Managed Central Infrastructure Managed Workstations Managed Email Support Support Backup Testing Data Leakage Protection Support Support Email Archiving Mobile Security 3rd Party Management Connectivity Monitoring Penetration Testing Pro-Active Maintenance Pro-Active Maintenance Email Continuity Monitoring Monitoring Availability Monitoring Managed Antivirus Monitoring Monitoring Email Security Un-Managed Mobile Devices Un-Managed Cloud Services Un-Managed Continuity Un-Managed Security Un-Managed Email Un-Managed Central Infrastructure Un-Managed Workstations Lower value but simple Extra In-Depth Focuses Infrastructure Components Lowering your business risk

45. Closer Look at Managed Security Service ASSET MODIFICATION REPORT DAILY HACKER CHECK Managed Security Internal Security Data Leakage Protection Customer Reporting Mobile Security Management VIRUS PROTECTION REPORT Perimeter Security Penetration Testing SW Patch Management Vulnerability management Customer Reporting INTEGRATED MANAGED AV Customer Reporting Malware Management Managed Antivirus Antivirus Monitoring Asset Management Un-Managed Security

46. GFI MAX Building Blocks Summary Focused on delivering the 6 wants: Want new & more business Retain trusted advisors/service Value, not transactional relationship Build recurring revenue (cf: gym memberships) Break the hassle of software renewal Mitigate un-predictable business (risk in fixed price) Know work will change (move to workstations, mobile & cloud)

47. GROWING MANAGED SERVICES – MADE EASY Everything you need to get going and keep going in one place. Technology, SLA & Sales/Marketing material System that’s easy to use, low cost to run, and low maintenance Builds recurring revenue round core systems and core business services Sticky High value Easy to sell and affordable to deliver

48. How to Get Going with Building Blocks Sign-up to a FREE 30-day trial of GFI MAX RemoteManagement http://www.gfi.com/maxrm/ You get the full system Set up in less than 10 minutes! No commitment No hard-sell Or contact us for more information on the Building Blocks to Managed Services Program at: sales@gfi.com Thank You!