Why SMBs need to reassess the cyber expertise of their service providers

Small and medium-sized business (SMB) are increasingly dependent on managed services providers (MSPs) for their IT needs. In line with this, according to “The State of SMB Cybersecurity in 2024 report,” commissioned by ConnectWise, 94% of SMB organisations are now using an MSP, compared to 89% in 2022 and three-quarters (74%) in 2020.

However, as the cybersecurity landscape grows more complex, it's essential for SMBs to critically evaluate the cybersecurity capabilities that their service providers can harness, either operating alone, or in conjunction with a cybersecurity partner.

The importance of collaboration in cyber security

Many SMBs trust that their MSPs can manage all aspects of their IT, including cybersecurity. However, given the increasingly sophisticated nature of cyber threats, SMBs need a greater understanding of the full scope of capabilities that their service provider has access to.

Too often, SMBs simply assume their MSPs have the skills to manage all aspects of their IT, including security. But this is often not the case. MSP contracts may, in fact, just cover parts of the technology stack, leaving significant security gaps. This false sense of security can be detrimental to SMBs, particularly when dealing with evolving threats like supply chain attacks and third-party vulnerabilities. Without access to the right expertise, either in-house, or through partnerships, MSPs may fail to develop effective incident response plans or conduct thorough risk assessments.

Effective cybersecurity requires more than just reactive measures, though, it necessitates a proactive approach that includes identifying potential threats, preparing for different types of attacks, and establishing clear protocols for response. Many regulations and standards, such as the General Data Protection Regulation (GDPR) and ISO 27001, mandate the creation and maintenance of incident response plans. However, many SMBs can lack detailed plans, leaving them vulnerable to significant risks.

Understanding the full technology stack and risks

A clear understanding of the entire technology stack, data footprint, and the interaction between these elements is crucial for effective security. Providers must be able to help businesses map out all technological assets and identify vulnerabilities, providing a holistic view which is essential for comprehensive risk management.

With cybercriminals increasingly using advanced tools like artificial intelligence to breach defenses, SMBs need to ensure that their providers are equipped to handle these challenges. This includes conducting thorough risk assessments and implementing measures to mitigate identified risks.

Tailored security strategies for SMBs

Rather than relying on one-size-fits-all solutions, security strategies need to be tailored for every organisation. This involves understanding the unique needs and vulnerabilities of the business and developing customised plans to address them. Security measures must be implemented with the business context in mind. This means understanding the operations, industry-specific risks, and regulatory requirements.

Any provider should be working closely with SMBs to ensure that the security measures they provide align with business goals and enhance overall operational efficiency. One of the key elements of this is putting in place in-depth security information and event management (SIEM) systems.

SIEM systems play a crucial role in modern cybersecurity. They provide a centralised platform for monitoring and analysing security events, helping to identify and respond to potential threats quickly. However, implementing SIEM systems requires expertise. Providers must be able to configure these systems correctly, interpret the data they produce, and integrate them with other security measures.

Making the right choices

It is critical for SMBs today to reassess the cybersecurity capabilities of their service providers to ensure they are adequately protected against modern threats. This involves moving beyond basic tools that run

attack surface vulnerability scans and compliance-focused approaches to adopt comprehensive, proactive security strategies.

Collaborating with specialist expertise outside the organisation to safeguard operations can ensure resilience in the face of evolving cyber threats, but only when the right steps are taken to ensure that the correct provider is carefully selected and aligned with the business’ needs and objectives. SMBs must be diligent and focused on building strategic partnerships that deliver long-term operational stability.