4 min read
#60 – From the Trenches: Dispatch Discipline, AGP & Security-Focused MSP Growth (Luis Alvarez)
Josh Peterson
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Updated on December 29, 2025
In this episode of From the Trenches on the BMK Vision Podcast, Josh Peterson sits down with Luis Alvarez of Alvarez Technology Group for a grounded conversation about what actually sustains MSP growth when the business gets real: dispatch discipline, time-entry integrity, and financial visibility you can trust.
This is not a conversation about “finding the next tool.” It’s about the operating reality behind every mature MSP: if tickets, hours, and agreements are not controlled with discipline, you don’t have a scalable service business—you have a revenue story with hidden leakage. Luis explains how a real dispatcher function protects client experience, protects technician focus, and protects margin by enforcing what most MSPs treat as optional: clear ownership, clean workflow, and the non-negotiable standard of accurate time capture.
If you’re an MSP owner who feels busy but not in control—especially when recurring revenue is climbing but profitability feels unclear—this episode will resonate. If you want a clearer operating model to measure and lead the business, explore Vision.
Why is dispatch discipline a growth unlock for MSPs?
Short answer: dispatch is the control system that turns effort into outcomes. Without it, technicians become schedulers, account managers become negotiators, and the owner becomes the only person who can “see the whole board.” That’s not leadership—it’s dependency.
In a mature MSP, dispatch isn’t an administrative layer. It’s the operating function that protects three critical assets:
- Ticket ownership (someone is accountable for closure and hygiene)
- The day (work is prioritized intentionally instead of emotionally)
- The inventory of hours (capacity is managed like a finite resource, not an infinite promise)
Luis describes a dispatcher model with real authority: enforcing standards, understanding agreement boundaries, and coordinating the service organization so client experience stays consistent even when ticket volume spikes.
The MSP problem this episode solves
Many MSPs think they have a sales problem, a staffing problem, or a tooling problem. What they often have is a discipline problem: work is happening, but the business can’t accurately measure what it costs, what it produces, or which clients are quietly eroding profitability.
This episode tackles three common failure points that show up as a “busy-but-stuck” plateau:
- Time entry is inconsistent, which destroys reporting and hides the real service cost
- Agreements aren’t structured for truth, which inflates gross profit and masks overhead
- Scope boundaries are porous, which quietly kills project pull-through and future pricing power
When those three are fixed, owners stop guessing. The business becomes measurable—and therefore leadable.
AGP is not a finance metric. It’s an operating metric.
Agreement Gross Profit (AGP) is often treated like “something the finance person should know.” In reality, AGP is one of the few metrics that forces an MSP to confront the difference between what you sell and what you actually deliver.
In the episode, Josh and Luis outline why so many MSPs can’t answer a basic question—“Are our agreements profitable?”—even when monthly recurring revenue looks strong. The reason is almost always structural:
- Costs are misclassified (tools and service delivery costs end up in overhead)
- Agreements are not configured cleanly in the PSA
- Time entry is late, incomplete, or “rounded”
Once AGP becomes visible, it changes what you can do as a leader: you can price with confidence, fire unprofitable clients with clarity, and build a service org that scales without pretending capacity is infinite.
Security-focused MSP growth requires non-negotiables
Luis describes becoming a “security-focused MSP” not as a marketing posture, but as a leadership stance: risk can’t be optional. If your client refuses baseline security standards, their risk becomes your future crisis—no matter what the paperwork says.
This episode reinforces a difficult truth: MSPs that want durable growth must be willing to do three things most firms avoid:
- Standardize the security stack inside agreements (and refuse exceptions)
- Define scope tightly so the client buys outcomes—not unlimited access to your team
- Enforce operational discipline so delivery matches what was sold
Security becomes scalable when it is operationally enforceable. Otherwise it stays a promise—and promises don’t scale.
A practical execution checklist MSP owners can apply this quarter
If you want the “real” takeaway from this episode, it’s this: you can’t improve what you can’t see, and you can’t see what you don’t enforce. Here’s a practical checklist to apply immediately:
- Time entry standard: require complete time capture every day (not end-of-week archaeology)
- Dispatcher authority: give dispatch real ownership of tickets, priorities, and capacity
- Agreement truth: ensure tools and delivery costs are reflected where they belong so AGP isn’t fantasy
- Scope enforcement: route “is this included?” conversations through account ownership, not technicians
- Non-negotiable security: define minimum standards and be willing to say “no”
None of this is glamorous. That’s the point. Durable MSP growth is built by operations that are boring, disciplined, and repeatable.
Episode highlights
- Luis’ journey from military service to MSP ownership—and what that taught him about structure
- Why MSPs resist PSA change even when reporting and operations are breaking down
- How dispatch protects margins and client experience (and why it’s not a “blocker”)
- Why AGP is the make-or-break metric for recurring revenue businesses
- How security-focused MSPs scale with non-negotiables instead of exceptions
About the guest: Luis Alvarez
Luis Alvarez is the founder and CEO of Alvarez Technology Group, a security-focused MSP built around disciplined operations, strong dispatch leadership, and clear agreement boundaries. His perspective is pragmatic and experience-driven: the MSPs that scale cleanly aren’t the ones with the loudest tool stack—they’re the ones with the tightest execution discipline.
Connect with Luis Alvarez on LinkedIn →
Visit Alvarez Technology Group →
Frequently asked questions
What does a dispatcher do in an MSP?
A dispatcher owns ticket flow, prioritization, and capacity coordination—ensuring issues move to resolution consistently without relying on technician memory or owner intervention.
Why is time entry such a big deal for MSP profitability?
Because incomplete time entry hides true service cost, destroys reporting accuracy, and makes agreement profitability unknowable—especially as you scale beyond a small team.
What is AGP and why does it matter?
Agreement Gross Profit measures the profitability of your recurring agreements after service delivery costs. It’s the metric that tells you whether your “MRR growth” is actually building a healthier business.
How do I stop giving away scope for free?
Define agreement boundaries clearly, train dispatch to recognize exceptions, and route “included vs. not included” conversations through account ownership—not technicians who naturally default to “just do it.”
How should security-focused MSPs handle clients who refuse standards?
Set baseline security requirements as non-negotiable. Exceptions turn your client’s risk into your future escalation, reputation exposure, and operational chaos.
Related resources from Bering McKinley
- Why disciplined dispatch is foundational to MSP operations
- Why you’re not paying enough attention to Agreement Gross Profit (AGP)
Want to continue the conversation?
If you’re an MSP owner who wants more clarity, more discipline, and a more scalable operating model, explore Vision or apply to be a guest on the podcast.
👉 Apply to be on the BMK Vision Podcast
👉 Learn more about Vision
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