{"id":59572,"date":"2024-03-28T10:28:15","date_gmt":"2024-03-28T17:28:15","guid":{"rendered":"http:\/\/www.enxmag.com\/twii\/?p=59572"},"modified":"2024-03-29T07:46:17","modified_gmt":"2024-03-29T14:46:17","slug":"managed-services-may-power-proven-its-engine-but-extensive-catalog-will-drive-dealer-forward","status":"publish","type":"post","link":"https:\/\/www.enxmag.com\/twii\/dealer-spotlight\/2024\/03\/managed-services-may-power-proven-its-engine-but-extensive-catalog-will-drive-dealer-forward\/","title":{"rendered":"Managed Services May Power Proven IT\u2019s Engine, but Extensive Catalog Will Drive Dealer Forward"},"content":{"rendered":"\n

The name Proven IT is an apt moniker for a 20-year-old managed IT business that\u2019s demonstrated the ability to grow profitably while many others have failed. But one might argue that it doesn\u2019t accurately convey the considerable breadth of products and services the Tinley Park, Illinois, firm has to offer. Given the multi-line vendor has catapulted from the ground floor to $86 million since 2003, perhaps Proven Winner would be apropos, if not braggadocios.<\/p>\n\n\n\n

\"\"
The Cosich brothers (from left): Tory, Brett and John Ross<\/figcaption><\/figure>\n\n\n\n

However, Brett Cosich is anything but arrogant. The COO of Proven IT is grateful for and reinvigorated by the substantial growth the company has enjoyed. The dealer doesn\u2019t rely on any one offering to power its fortunes. Given that the Chicago market has a number of marquee managed IT firms, a robust mix of offerings has served the provider well.<\/p>\n\n\n\n

Cosich has a vision for Proven IT, with organic and acquisitional growth that carries the company past its Midwestern roots. He relishes the idea of a hub-and-spoke model of five to seven facilitiess in major cities across the country\u2014an ideal platform model that would enable it to serve a broader base of clients and verticals in the targeted markets. Given what the dealer has achieved in just 20 years, the odds are in Cosich\u2019s favor.<\/p>\n\n\n\n

\"\"<\/figure>\n\n\n\n

\u201cWhen you take care of your employees, your employees take care of your clients, and the clients reward you with continued and broadened business,\u201d Cosich noted. \u201cThat\u2019s elementary, and everyone knows it. But in practice, it can be tough to keep up; a lot of companies get distracted. We\u2019re a hybrid company in that we started the business with our father [John], and having that first- and second-generation perspective has allowed us to build this company at a different pace than a single entrepreneur would.\u201d<\/p>\n\n\n\n

Track Record<\/strong><\/p>\n\n\n\n

The family certainly benefitted from John\u2019s extensive industry background. The elder Cosich joined Xerox out of college before moving into ownership roles, first with American Office Equipment, then Distinctive Business Products. He and a partner operated Distinctive for 18 years before selling to Xerox\u2019s Global Imaging Systems (GIS).<\/p>\n\n\n\n

John\u2019s timing was fortuitous. Around the time his non-compete with GIS expired, three of his four sons\u2014Brett, Tory and John Ross\u2014had graduated college. That\u2019s when the idea of starting a family business, then called Proven Business Systems, was hatched. At the time, it wasn\u2019t exactly Brett\u2019s vision for the future.<\/p>\n\n\n\n

\u201cI laugh about it now because the last thing I wanted to do was be part of another copier company,\u201d he admitted. \u201cGrowing up, you think there are many cooler things to do, right?\u201d<\/p>\n\n\n\n

What convinced him was John\u2019s promise to incorporate IT services into Proven\u2019s catalog. The company\u2019s modest platform initially consisted of digital filing, network setups and some help desk. But armed with experience, fresh ideas, seasoned pros from past ventures and the Tom Johnson model, Proven IT was able to set a break-neck pace of 20% annual growth. In fact, the pandemic-addled 2020 campaign is the lone outlier year when it wasn\u2019t attained.<\/p>\n\n\n\n

In 2014, the company made significant investments in its IT offering that provided the framework for its current platform. Key personnel were added to help set the stage for a sustained recurring revenue model. A greenfield Phoenix office was launched in 2019, and two years later the company purchased an IT firm based in Merrillville, Indiana.<\/p>\n\n\n\n

John is CEO, with Brett\u2019s brothers handling the sales and business development duties for the 300-employee team. Proven IT carries Canon, Toshiba and Xerox products on the MFP and production print side. The dealer primarily serves the SMB space and enjoys solid penetration with the higher education and municipal business verticals. That client variety prevented Proven IT from suffering a sharp downturn in business during the pandemic, while other dealers absorbed greater losses because their fortunes were closely tied to the most-impacted sectors.<\/p>\n\n\n\n

Comprehensive Catalog<\/strong><\/p>\n\n\n\n

Beyond the boxes, Proven IT\u2019s product and service arsenal is fairly comprehensive. The flagship IT and cybersecurity program includes managed network services, data backup, help desk, vulnerability assessment and compliance services. On the managed services side, the dealer furnishes managed print, production, document management and print management software. Its workflow automation addresses ECM, capture\/scanning, doc\/records management and cloud fax. In addition to a full telephony slate, Proven IT adds physical security to complement digital, from video security and access control to environmental alarms and license plate recognition.<\/p>\n\n\n\n

\"\"
Proven IT team members show their school spirit during a March Madness event at the company’s downtown Chicago Loop office<\/figcaption><\/figure>\n\n\n\n

Managed print is by no means the red-headed stepchild at Proven IT. The dealer recently invested in a dedicated MPS team, and its sales reps will be tasked with attaining managed print quotas, according to Cosich.<\/p>\n\n\n\n

\u201cOne of the challenges we\u2019ve had is our reps have too many tools in their toolbox, too many offerings to go through,\u201d he noted. \u201cWe\u2019re just trying to have an emphasis on specific solutions.\u201d<\/p>\n\n\n\n

A subset of this is production print, which offers fertile ground in both the commercial space and higher education, from SMBs to enterprise clients. Proven IT benefits here from a crackerjack team of in-house specialists in addition to SMEs from the manufacturer end.<\/p>\n\n\n\n

Still, one cannot overemphasize the role managed IT has played in the dealer\u2019s ascendency. Managed network services saw a 35% year-over-year increase. Front of mind for clients is locking down security from both cyber and physical standpoints. The growth in cyber insurance acquisition has prompted (read: forced) SMBs to raise their standards in order to comply with policy requirements.<\/p>\n\n\n\n

\"\"
CEO John Cosich (salmon-colored shirt) and his family celebrate Proven IT’s 20th anniversary<\/figcaption><\/figure>\n\n\n\n

The biggest evolution, according to Cosich, is the willingness of clients to augment their in-house staffing. \u201cFor years, prospects put up their guard because they were afraid of displacing their internal people or were uncertain about the quality of solutions they could receive from an MSP,\u201d he said. \u201cThat\u2019s changed considerably; most clients want at least some level of augmentation from an MSP, if not fully outsourcing it. We\u2019re no longer viewed as a threat to internal IT. We\u2019re seen as an added layer of security, an extra set of hands.\u201d<\/p>\n\n\n\n

Proven IT\u2019s physical security program is a perfect complement, made even more popular during the pandemic period as facilities\u2014some largely abandoned during shutdown measures\u2014required monitoring against in-person bad actors. Active shooter scenarios, another unfortunate reality of the modern workplace, have mandated calls for tighter access and monitoring measures. Plate recognition, in addition to enforcement of parking rules, may help alert a business to a former employee returning\u2014a sign of potential trouble. The offering also goes hand-in-hand with telephony, given the cabling needs of both, in addition to MNS, thus widening the conversation with clients\/prospects.<\/p>\n\n\n\n

Digital Strategy<\/strong><\/p>\n\n\n\n

While Proven IT hasn\u2019t completely eschewed old-fashioned one-to-one marketing and having reps garner leads through cold calling, it\u2019s adopted a digital strategy that aligns with business growth. Campaigns driven through social media, email marketing, SEO and content marketing have helped reach vertical markets that were previously underemphasized. The measurable data the dealer receives helps dictate future ad spend.<\/p>\n\n\n\n

\u201cIn the past, we\u2019ve done NFL or MLB sponsorships, but there\u2019s no way to grade or measure the ROI or where the leads originated,\u201d Cosich noted. \u201cNow we can monitor website traffic, the actual leads generated, the conversion rates, and be able to ratchet it up or down in the areas where we see the most return. That\u2019s pretty exciting.\u201d<\/p>\n\n\n\n

Speaking of inbound generation, Proven IT has rolled out a new technology assessment tool for clients that de-emphasizes the standard in-person technology review process. Clients and prospects can now log on to the dealer\u2019s site and conduct their own assessments without feeling pressured about providing information. Users can furnish as much information as they feel comfortable with, and Proven IT can tailor its suggestions based on that data.<\/p>\n\n\n\n

\"\"
The finest grill masters Proven IT has to offer display their cookoff competition awards<\/figcaption><\/figure>\n\n\n\n

This less-invasive approach may not yield the degree of opportunities that are crafted in an on-premises visit, but Cosich recognizes the advantages. \u201cWhat we\u2019ve seen so far is that it really allows a more authentic drive to what the client really needs versus what a sales rep might be biased to push them toward\u2014the high-value items the reps want to sell,\u201d he said. \u201cWe think [online assessment] is a holistic and natural way to serve the customer\u2019s needs.\u201d<\/p>\n\n\n\n

Another inbound tool is Proven IT\u2019s rich directory of blogs covering many popular office technology topics (e.g., document management, AI, endpoint security) and a knowledge repository consisting of webinars and ebooks. Showcasing thought leadership and driving more website traffic serve a valuable purpose and create a comfort level that casts Proven IT as a trusted advisor.<\/p>\n\n\n\n

Growing Family<\/strong><\/p>\n\n\n\n

Documenting the strength of Proven IT\u2019s value proposition would be incomplete without a nod to the firm\u2019s human resources department. In the past year alone, approximately 50 new employees were onboarded across every aspect of the operation, from entry-level team members to executive-level hires. The 20% annual growth is a strong selling point and an indication of a company with a solid future. Prospective employees are quick to buy into the stress-free philosophy perpetuated.<\/p>\n\n\n\n

In addition to the \u201chub and spoke\u201d model Cosich referenced, he believes it will be important for Proven IT to build revenue across all fronts and markets, which will also enable the dealer to continue attracting talent. He sees a blend of organic and acquisitional growth aiding the cause, and he hopes to become more active in an M&A theater that, in recent years, has witnessed unprecedented EBITDA multiple values. With high lending rates bringing multiples back to earth, Cosich would love to identify partnerships that will expand Proven IT\u2019s market reach.<\/p>\n\n\n\n

\"\"
Proven IT’s summer Rib-Fest Cookoff brought out the best in competitors<\/figcaption><\/figure>\n\n\n\n

Moving forward, Cosich hopes to approach, maintain or eclipse the 20% revenue growth standard in 2024 as long as it\u2019s not at the expense of profitability. Maintaining high numbers also applies to employee and customer retention, for which the bar is set at 95%. With the Proven IT machine humming smoothly, one couldn\u2019t blame Cosich for being tempted to use a \u201crinse and repeat\u201d strategy. But as the first 20 years have demonstrated, Proven IT\u2019s greatest asset is its ability to move forward.<\/p>\n\n\n\n

\u201cWe have that mantra to be the best, to be better than what your clients expect,\u201d he said. \u201cSo often, we see competitors nickel and dime their clients to the point of chasing [the clients] to us. Instead of trying to lure SMBs with a cheap price or something that might not be authentic, we charge a fair price and are completely transparent about it. We sometimes lose deals to lower prices, but then those prospects come to us when they realize that the \u00e0 la carte items added up to more than they were promised. That\u2019s why it\u2019s so important for clients to know what they\u2019re paying for.<\/p>\n\n\n\n

\u201cWhen we first got into managed services, we had clients ask us to take things out of our proposal because it wasn\u2019t in their budget. That\u2019s like asking a car dealership to take the airbags and seatbelts out. I don\u2019t subscribe to that. I really don\u2019t want to allow our people to take offerings out because no good deed goes unpunished. The next thing you know, you allowed a firewall project to be delayed or removed the two-factor authentication solution. That practice is a total disservice to the client.\u201d <\/p>\n\n\n\n

Tomorrow\u2019s Technologies: Keeping it Real with
Artificial Intelligence by Finding Ethical Applications<\/strong>

There\u2019s a danger with any technological advancement that can do some of the tasks currently performed by humans. It can augment and support, or it can be used as a tool to completely replace. With all the talk around AI and its ethical usage, phasing out people may not be one of the more popular issues being discussed.

Brett Cosich, COO of Proven IT, loves all the impactful AI business applications that can automate tasks and enable companies and their employees to focus on more high-value processes and functions. Eliminating mundane and redundant operations, providing predictive maintenance alerts and flagging elements based on metrics and key performance indicators only begin to scratch the surface of possibilities.

AI\u2019s potential for being a weapon to replace people, he fears, could be a temptation too great for businesses to resist. \u201cI hope it\u2019s something that will allow businesses to scale and be more efficient instead of just cutting costs and squeezing profits,\u201d he said.

Cosich isn\u2019t na\u00efve\u2014he\u2019s seen the same practice in M&A. Many of his competitors have been acquired by private equity firms and manufacturers, only to be wrung out mercilessly to the benefit of the acquirer\u2019s bottom line. Meanwhile, the acquired dealer and its culture become a shell of its former self.

How AI is ultimately wielded remains to be seen, but Cosich is optimistic. \u201cWe\u2019re hopeful that [AI] can help complement and improve things while allowing us to continue to scale and do more,\u201d he added.<\/p>\n","protected":false},"excerpt":{"rendered":"

The name Proven IT is an apt moniker for a 20-year-old managed IT business that\u2019s demonstrated the ability to grow profitably while many others have failed. But one might argue that it doesn\u2019t accurately convey the considerable breadth of products and services the Tinley Park, Illinois, firm has to offer. Given the multi-line vendor has catapulted from the ground floor to $86 million since 2003, perhaps Proven Winner would be apropos, if not braggadocios. However, Brett Cosich is anything but arrogant. The COO of Proven IT is grateful for and reinvigorated by the substantial growth the company has enjoyed. The dealer doesn\u2019t rely on any one offering to power its fortunes. Given that the Chicago market has a number of marquee managed IT firms, a robust mix of offerings has served the provider well. Cosich has a vision for Proven IT, with organic and acquisitional growth that carries the company past its Midwestern roots. He relishes the idea of a hub-and-spoke model of five to seven facilitiess in major cities across the country\u2014an ideal platform model that would enable it to serve a broader base of clients and verticals in the targeted markets. Given what the dealer has achieved in just 20 years, the odds are in Cosich\u2019s favor. \u201cWhen you take care of your employees, your employees take care of your clients, and the clients reward you with continued and broadened business,\u201d Cosich noted. \u201cThat\u2019s elementary, and everyone knows it. But in practice, it can be tough to keep up; a lot of companies get distracted. We\u2019re a hybrid company in that we started the business with our father [John], and having that first- and second-generation perspective has allowed us to build this company at a different pace than a single entrepreneur would.\u201d Track Record The family certainly benefitted from John\u2019s extensive industry background. The elder Cosich joined Xerox out of college before moving into ownership roles, first with American Office Equipment, then Distinctive Business Products. He and a partner operated Distinctive for 18 years before selling to Xerox\u2019s Global Imaging Systems (GIS). John\u2019s timing was fortuitous. Around the time his non-compete with GIS expired, three of his four sons\u2014Brett, Tory and John Ross\u2014had graduated college. That\u2019s when the idea of starting a family business, then called Proven Business Systems, was hatched. At the time, it wasn\u2019t exactly Brett\u2019s vision for the future. \u201cI laugh about it now because the last thing I wanted to do was be part of another copier company,\u201d he admitted. \u201cGrowing up, you think there are many cooler things to do, right?\u201d What convinced him was John\u2019s promise to incorporate IT services into Proven\u2019s catalog. The company\u2019s modest platform initially consisted of digital filing, network setups and some help desk. But armed with experience, fresh ideas, seasoned pros from past ventures and the Tom Johnson model, Proven IT was able to set a break-neck pace of 20% annual growth. In fact, the pandemic-addled 2020 campaign is the lone outlier year when it wasn\u2019t attained. In 2014, the company made significant investments in its IT offering that provided the framework for its current platform. Key personnel were added to help set the stage for a sustained recurring revenue model. A greenfield Phoenix office was launched in 2019, and two years later the company purchased an IT firm based in Merrillville, Indiana. John is CEO, with Brett\u2019s brothers handling the sales and business development duties for the 300-employee team. Proven IT carries Canon, Toshiba and Xerox products on the MFP and production print side. The dealer primarily serves the SMB space and enjoys solid penetration with the higher education and municipal business verticals. That client variety prevented Proven IT from suffering a sharp downturn in business during the pandemic, while other dealers absorbed greater losses because their fortunes were closely tied to the most-impacted sectors. Comprehensive Catalog Beyond the boxes, Proven IT\u2019s product and service arsenal is fairly comprehensive. The flagship IT and cybersecurity program includes managed network services, data backup, help desk, vulnerability assessment and compliance services. On the managed services side, the dealer furnishes managed print, production, document management and print management software. Its workflow automation addresses ECM, capture\/scanning, doc\/records management and cloud fax. In addition to a full telephony slate, Proven IT adds physical security to complement digital, from video security and access control to environmental alarms and license plate recognition. Managed print is by no means the red-headed stepchild at Proven IT. The dealer recently invested in a dedicated MPS team, and its sales reps will be tasked with attaining managed print quotas, according to Cosich. \u201cOne of the challenges we\u2019ve had is our reps have too many tools in their toolbox, too many offerings to go through,\u201d he noted. \u201cWe\u2019re just trying to have an emphasis on specific solutions.\u201d A subset of this is production print, which offers fertile ground in both the commercial space and higher education, from SMBs to enterprise clients. Proven IT benefits here from a crackerjack team of in-house specialists in addition to SMEs from the manufacturer end. Still, one cannot overemphasize the role managed IT has played in the dealer\u2019s ascendency. Managed network services saw a 35% year-over-year increase. Front of mind for clients is locking down security from both cyber and physical standpoints. The growth in cyber insurance acquisition has prompted (read: forced) SMBs to raise their standards in order to comply with policy requirements. The biggest evolution, according to Cosich, is the willingness of clients to augment their in-house staffing. \u201cFor years, prospects put up their guard because they were afraid of displacing their internal people or were uncertain about the quality of solutions they could receive from an MSP,\u201d he said. \u201cThat\u2019s changed considerably; most clients want at least some level of augmentation from an MSP, if not fully outsourcing it. We\u2019re no longer viewed as a threat to internal IT. We\u2019re seen as an added layer of security, an extra set of hands.\u201d Proven IT\u2019s physical security program is a perfect complement, […]<\/p>\n","protected":false},"author":166,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":[],"categories":[1643],"tags":[],"_links":{"self":[{"href":"https:\/\/www.enxmag.com\/twii\/wp-json\/wp\/v2\/posts\/59572"}],"collection":[{"href":"https:\/\/www.enxmag.com\/twii\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.enxmag.com\/twii\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.enxmag.com\/twii\/wp-json\/wp\/v2\/users\/166"}],"replies":[{"embeddable":true,"href":"https:\/\/www.enxmag.com\/twii\/wp-json\/wp\/v2\/comments?post=59572"}],"version-history":[{"count":3,"href":"https:\/\/www.enxmag.com\/twii\/wp-json\/wp\/v2\/posts\/59572\/revisions"}],"predecessor-version":[{"id":59612,"href":"https:\/\/www.enxmag.com\/twii\/wp-json\/wp\/v2\/posts\/59572\/revisions\/59612"}],"wp:attachment":[{"href":"https:\/\/www.enxmag.com\/twii\/wp-json\/wp\/v2\/media?parent=59572"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.enxmag.com\/twii\/wp-json\/wp\/v2\/categories?post=59572"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.enxmag.com\/twii\/wp-json\/wp\/v2\/tags?post=59572"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}