Boost MPS Contract Profitability Using Automation and Visibility

Imagine running a business where the deals you've already won turn on you. Imagine a nightmare scenario where they start draining your profits, and worse,  you don’t even know it. In the high-stakes world of managed print services (MPS), recurring revenue should be the jackpot. But without a clear view into contract performance, those golden agreements can turn into hidden liabilities. That's the big reveal from a recent ECI Software Solutions webinar, which took viewers on a playful, gameboard-themed journey through the dicey twists, turns, and traps of the MPS contract lifecycle and showed how to turn margin risk into margin win. 

Susan Scurry, global product marketing manager for Field Service at ECI, hosted the session. She led viewers through a dynamic journey across a "game board" of common MPS challenges, with each square revealing a win or loss tied to visibility, process, and technology. 

"Your existing MPS contracts should contribute predictable revenue," Scurry said. "But if you're not tracking what they cost to maintain, you could be bleeding margin and not even realize it." 

Where profits hide in plain sight 

As Scurry explained, office equipment businesses today are expanding into adjacent revenue streams, such as IT services and ecommerce. But legacy MPS contracts still form the financial backbone of most companies in this space. Unfortunately, many providers lack the centralized tools to connect service, parts, and supply costs directly to contracts and devices. 

"You might think a contract is high value," Scurry noted, "but without validating its performance regularly, you could be losing money month after month." 

She emphasized five cost categories: parts, labor, travel, shipping, and supplies. These are among the most common sources of margin erosion. Any one of them, if unmanaged, can tip a profitable contract into the red. 

Reactive moves that sink your score 

Several of the game's "loss" squares highlighted the dangers of reactive, manual processes. For example, relying on technicians to collect meter reads adds fuel, time, and administration costs. Even when customers self-report, errors and delays can create further billing problems. 

"It's a vicious cycle," Scurry said. "Manual meter collection and supply fulfillment aren’t just time-consuming—they create ripple effects that impact other customers' service-level agreements." 

With an integrated software suite anchored by the e-automate ERP, businesses can automate meter collection, device monitoring and toner replenishment. These tools reduce costs and feed real-time data back into the ERP, tying usage and expenses to individual contracts and devices. 

First-time fixes and remote resolutions 

Another recurring theme: the high cost of service dispatches, especially repeat visits. When technicians arrive onsite without the necessary parts or information, businesses pay twice: labor, mileage, and lost productivity. 

With mobile service apps and live access to device data, techs can arrive prepared or even resolve issues remotely. Firmware updates, for example, can often be pushed from the service desk, avoiding a trip altogether. 

"Every saved dispatch is a margin win," Scurry said. "And it contributes to faster resolution times and better customer satisfaction." 

Contract renewals and retention at risk 

As the game progressed, one square brought attention to a major but often invisible loss: customers leaving at the end of a contract term. 

"Sometimes it's as simple as a missed renewal notification," Scurry said. "If no one flags it in time, that customer might already be fielding competitor offers." 

With automated contract renewal alerts and centralized contract analysis, businesses can stay ahead of expiration dates and have proactive pricing conversations that protect relationships and margins alike. 

Ecommerce as a margin multiplier 

The game also revealed how missed sales can harm profitability. One scenario showed a loyal customer buying hardware online because the provider lacked an efficient ordering process. 

By integrating ecommerce into their ERP, office equipment providers can give customers instant access to product catalogs, live pricing, and self-service ordering. This reduces sales cycle friction and opens new upsell opportunities based on contract data. 

The payoff 

At the finish line, Scurry recapped the key takeaways: visibility, automation and integration are the path to more profitable MPS contracts. Without those pillars, businesses are left guessing where their margin stands, hoping it holds up. 

"You don't have to roll the dice anymore," Scurry said. "With the right tools, you can know exactly where you stand and take control of your profitability." 

Watch the webinar on demand to watch the full session and explore how an integrated ERP and software suite can help your business win more margin.