Managed services have transformed the business landscape. SMBs engage MSPs for everything from cloud services to a managed helpdesk. But one area that often escapes attention is compliance.
In many cases, SMBs minimize — even overlook — the importance of handling issues such as regulatory audits, policy enforcement, and data governance. However, as security threats and regulatory oversight grow, it’s easy for a company to find itself staring down the barrel of fines, sanctions, and bad publicity.
The problem is rooted in several factors. Some of those include tight budgets, insufficient cybersecurity expertise, hidden supply chain risks, and complex controls in a constant state of flux. There’s also a lack of awareness about which compliance frameworks are relevant and how to apply them. “This gap in understanding creates a cascade of other issues,” stated Joseph E. Brunsman, a liability expert and managing member of Brunsman Advisory Group.
Joseph Brunsman
As a result, SMBs are turning to compliance-as-a-service (CaaS) solutions that allow them to plug in expertise and establish a best practice framework.
Bring Order to the Mayhem
Amid growing complexity and risk in the cybersecurity space, MSPs are uniquely positioned to deliver the technical expertise required to tame the chaos.
“The intricate and ever-evolving nature of compliance requirements makes it nearly impossible for the average business owner to fully understand and implement necessary measures on their own,” Brunsman pointed out.
Within this new normal, MSPs emerge as strategic partners by connecting businesses to privacy law attorneys, auditors, and compliance vendors. This helps SMBs address specific legal requirements that stem from various regulations — and adopt a more comprehensive and targeted approach to addressing their obligations. It also helps MSPs grow their own profits.
“This collaborative approach ensures that remediation efforts align with the expectations of an audit,” shared Shrav Mehta, CEO and founder of Secureframe, a provider of automated compliance services.
The result is a holistic CaaS framework that can address risk management, an organization’s specific cybersecurity posture, and broad business continuity issues. An MSP can be a trusted advisor with the technology and processes to identify applicable regulatory requirements and manage them effectively. This can be done using standards such as CIS Controls, NIST, PCI, HIPAA and ISO 27001.
Shrav Mehta
How can an MSP combine various entities into a single seamless solution? It’s critical to migrate off spreadsheets and manual processes and instead focus on automation and scaling, Mehta advised. MSPs must also understand which standards and frameworks are prescriptive and flexible enough to support a client base. He suggested focusing on a framework that a service provider can adapt to all of its clients. This ensures a consistent level of protection.
Flexibility is key because a client may require tools for managing a regional regulatory framework, like UK Cyber Essentials, Australia’s Essential Eight or the EU’s Corporate Sustainability Reporting Directive (CSRD). A nimble MSP can adapt and expand programs without starting from scratch, Mehta pointed out. “An MSP can address compliance requirements in manageable steps, prioritizing issues based on regulatory deadlines, risk levels, and available resources.”
Streamline the Compliance Journey
An effective framework balances both technology and partnerships, Mehta noted. With automation tools, continuous monitoring, and evidence collection and reporting, an MSP can take compliance to a more strategic level. “There’s an alignment between audit expectations and results,” he said.
Within this model, auditors and attorneys can provide insights into emerging regulations and changes in the compliance landscape. Then, MSPs can ensure they are applied effectively, Mehta said. “MSP clients benefit from a more streamlined path to compliance. There are fewer obstacles.”
A well-designed CaaS framework can also alleviate stress — and risk — for an MSP, Brunsman added. This framework makes it possible to focus on practical outcomes. You can also avoid nettlesome legal issues as well as a tendency to overpromise results or fail to consider changes, Brunsman explained. “The MSP can educate the client on the various high-level compliance requirements they may have and then offer to implement specific controls to address those needs.”
Turning Regulatory Hurdles into Growth Potential
To be sure, MSPs face both challenges and opportunities in today’s regulatory space. It’s important for them to leverage innovative technologies, emphasize automation and collaboration, and deliver exceptional service, Mehta concluded. “MSPs can not only meet regulatory demands but also contribute to building a more resilient and secure business environment for their clients.”
Featured image: DALL-E
