The High Cost of Password Reset Tickets
BY IT GLUE | June 05, 2018
Password reset tickets – who doesn’t love these? On one hand, they’re easy. On the other hand, they’re annoying. The time you spend fixing your clients’ password problems is time you could be spending solving bigger issues. How bad is it? Worse than you think.
The Math
We looked at data from our recent Global Benchmark Survey, and some widely available sources online to examine the problem. The average MSP serves 1300 users, and on average 1% of users per day require a password reset. That’s 13 resets per day. A reset takes 3.5 minutes to execute, though it might take longer if you’re not using IT Glue. We just assume you are, because you’re smart.
Multiply 3.5 minutes per reset by 13 resets per day and you get 16.68 hours worth of labor per month, just for password resets alone.
Your Tier 1 handles these things, and according to the results of the Global Benchmark Survey a Tier 1 costs an average of $40,000 fully burdened. If they cost more, the cost to you of password reset tickets is going to be higher. Take that wage, converted to hourly, and multiple by the number of hours:
$40,000 / (52*40) = $19.23 per hour * 16.68 hours = $320.77 in direct costs. Then factor in the opportunity costs – the value that tech could be deriving for your company if they had all those hours back to do productive work. We use the same opportunity cost formula from our Cost of Waste Calculator, and the end result is an annual total cost of $9350.
There’s another source floating around that uses a different methodology and comes out with a slightly higher number, but the point is the same. You are dedicating ¼ of a full-time tech’s worth of resources to password reset tickets.
And it’s all waste.
According to Steven Zimmerman, the CTO of TSTEC, an MSP in Cape Town, “MyGlue has reduced the number of support tickets for password resets by an average of 50%,” and this is just in the first few months of rollout.
Let’s run those numbers, then:
| MyGlue ROI | ||
| Revenue | ($2 x 1300) | $2,600 |
| Savings | $780 | |
| Total Return | $3,380 | |
| Cost | $650 | |
| Net Profit | $2,730 | |
| ROI | 420% |
Monthly cost of waste from password reset tickets is around $780. 1300 seats of MyGlue is $650, so you’re ahead of the game already. That’s if you give away MyGlue for free. But if you’re bundling it, and selling it for $2/seat, that gives you this math.
MyGlue is easy to set up, easy to deploy, and once you’ve signed up we give you a MyGlue Action Pack stuffed with sales collateral. The Action Pack will help you convey the value of MyGlue to your clients – and the value for them is probably even more compelling!
You can sign up for MyGlue in-app, or by contacting your IT Glue representative.
Alternately, you can learn more about MyGlue by signing up for an introductory webinar where we walk you through the product, its features and how it works.
IT Glue is an award-winning documentation platform that allows for efficient storage and retrieval of all the documentation you need to help your MSP run better. By integrating PSA and RMM data, we can help increase your efficiency, and reduce onboarding times by even more. By eliminating wasted time from your business, IT Glue gives you more time to focus on what matters – growing your business.
