SOURCES: TSIA Managed Services Benchmark – April 2017 © 2017 All rights reserved. Technology Services Industry Association (TSIA) www.tsia.com/ms @TSIACOMMUNITY | #TSIA CURRENT MARKET PERFORMANCE MANAGED SERVICES Hardware/ Software OEM Managed SaaS/ Cloud Providers IT Outsourcers System Integrators Value-Added Resellers (VARS) WHICH DATA WAS USED? HOW DID THEY PERFORM? TSIA has collected and analyzed benchmark data from a number of managed services providers, with the goal of creating an industry standard. How Does Your Business Compare? TSIA's Benchmark program can help you identify the good, the bad, and the ugly compared to the industry and your peers. WHICH KEY PRACTICES DROVE PERFORMANCE? Key Performance Metrics Operational Practices 50 Demographical/ Structural GROWTH RATE FOR SALES Dedicated MS Delivery Dedicated MS Sales General Sales Team 32% 26% 24% 8% What Is Healthy Performance And How Is It Measured? GROSS MARGINS DEAL CLOSURE TIME Standard MS Offers Custom MS Offers Standard MS Offers Custom MS Offers DEAL QUOTE TIME 15 DAYS 60 DAYS 120 DAYS 212 DAYS Revenue Growth Operating Income Gross Margin Revenue Renewal Rate Shared Services Delivery 13% 12% 32% 95% 65+ MANAGED SERVICE PROVIDERS 121 DATA POINTS 50 21