Nearly every application today is built from a patchwork of open source libraries, third party modules, vendor components, and internal code. This creates speed and innovation, but it also creates risk. A single vulnerable dependency hidden deep inside an application can expose an entire environment. For MSPs and IT teams managing hundreds or thousands of endpoints, that risk multiplies quickly.

This is why the Software Bill of Materials, or SBOM, has become a core element of modern cybersecurity and IT governance. It is no longer just a development artifact. It is now an operational requirement for understanding what your systems contain and how secure they actually are.

Think of SBOM as an X-ray of your software stack. It shows what exists under the surface so IT teams can make smarter, faster, and more accurate decisions.

What an SBOM Really Is

At its simplest, an SBOM is a structured inventory of all components inside a software product. It behaves much like a manufacturing Bill of Materials, but for digital ingredients instead of physical parts.

An SBOM typically includes:

• every component, library, or module used by the software
• version numbers and release details
• origin or supplier of each component
• licensing information and usage constraints
• dependency relationships between components

This gives IT teams and MSPs a complete picture of software composition, from top-level applications down to nested dependencies that may otherwise remain invisible.

But an SBOM does more than just list components. It provides context that helps teams answer critical questions:

• What version of a dependency is in use?
• Is that version secure?
• Where did the component come from?
• Which endpoints are running software that includes it?
  
  

Without SBOM visibility, teams rely on assumptions. With SBOM visibility, they rely on data.

Why SBOM Matters for IT Teams and MSPs

1. It accelerates vulnerability discovery across entire fleets

Modern vulnerabilities do not always appear in the top-level application. Instead, they often appear in one of the many libraries hidden inside it. When a critical CVE is published, IT teams must quickly determine exposure. Installed-software reports only tell part of the story.

SBOM fills the gap by revealing the full dependency chain.

With an SBOM in place, MSPs and IT teams can immediately:

• identify which applications contain the vulnerable dependency
• determine which endpoints run those applications
• calculate risk across client environments

This reduces investigation times from days to minutes and eliminates guesswork during emergencies. It also prevents cascading incidents that could affect multiple clients at once.

2. It strengthens software supply chain security

As organizations rely more on external software, the supply chain becomes a meaningful attack surface. Compromised packages, outdated modules, and unverified components create potential entry points for attackers.

SBOM improves supply chain security by offering:

• complete transparency into software origins
• visibility into component age and maintenance status
• identification of outdated or untrusted dependencies

For MSPs, this transparency is essential because they inherit risk from every vendor product they deploy across multiple customers. SBOM helps them validate that risk before it spreads.

3. It simplifies compliance, licensing, and audit readiness

Regulatory pressure around software transparency is increasing. Sectors like healthcare, finance, education, and government now ask for SBOMs during audits, procurement, and compliance reviews.

SBOM makes these processes simpler by providing:

• documentation of open source license usage
• visibility into third party components
• ready-made reports for auditors or assessors

For MSPs, delivering SBOM-backed reports is a competitive advantage. Clients can verify compliance and risk posture without back-and-forth investigations, and MSPs prove operational maturity with minimal overhead.

4. It reduces operational risk and unplanned downtime

When one dependency flaw exists across many endpoints, the impact can be widespread. Without an SBOM, MSPs may not know which clients or machines are affected until failures or exploits occur.

SBOM reduces risk by enabling teams to:

• identify weaknesses before they cause incidents
• prioritize updates and patches based on impact
• reduce downtime associated with emergency remediation

This proactive visibility is critical in multi-tenant MSP environments where a single vulnerability can ripple across numerous customers.

5. It improves patching accuracy and update workflows

Patching traditionally relies on updating an application and assuming the fix includes the corrected dependency. That assumption is not always true.

SBOM creates a new patching workflow:

1. identify the vulnerable component
2. deploy the update
3. confirm the dependency was replaced

This gives IT teams confidence that critical vulnerabilities have actually been eliminated. When paired with an RMM platform that automates deployment, SBOM becomes a powerful quality assurance layer.

How SBOM Fits Naturally Into RMM Workflows

RMM platforms provide endpoint visibility, monitoring, patching, scripting, and remote troubleshooting. SBOM adds the missing layer: dependency-level intelligence.

Together, they create a comprehensive visibility and action framework.

1. RMM handles the “where,” SBOM handles the “what”

The RMM shows which endpoints have which applications installed. SBOM shows what exists inside those applications. When a threat appears:

• SBOM identifies affected components
• RMM identifies affected devices
• automation resolves the issue across the environment

This turns reactive processes into predictable workflows.

2. Patching becomes more reliable and data-driven

With SBOM data, RMM tools like Level can verify that patches truly replace vulnerable components. This reduces false assumptions and elevates patch management from procedural to intelligent.

3. Reporting becomes more transparent and valuable to clients

Clients want proof that their environment is secure. SBOM data, when integrated into RMM reporting, gives:

• evidence of proactive risk management
• component-level visibility
• regulatory documentation

This enhances trust and strengthens the MSP’s value proposition.

4. Incident response becomes dramatically faster

During a zero day incident, the teams that respond fastest minimize the damage. SBOM removes the early guesswork. RMM tools then apply mitigations, isolate devices, or run scripts, reducing time to containment significantly.

Why SBOM Is Even More Critical at 1,000 or More Endpoints

As environments grow, risks grow faster.

1. Dependency complexity compounds across every device.
Hundreds of applications with hundreds of components create thousands of potential vulnerability points.

2. MSPs face multiplied impact radius.
One flaw might affect twenty clients at once.

3. Large fleets are often in regulated industries.
SBOM ensures compliance remains manageable.

4. Lean IT teams require automation to stay efficient.
SBOM reduces manual investigation and keeps overhead low.

In large environments, SBOM shifts from “helpful to have” to “operational necessity.”

How Level Amplifies the Value of SBOM

Level provides the capabilities that turn SBOM insights into action:

• detailed device and software inventory
• automated patch management
• powerful scripting and automation
• customizable monitoring and alerting
• remote control and background management
• reporting and dashboarding at scale

SBOM identifies the risk.
Level provides the operational muscle to eliminate it.

Together they deliver:

• precise vulnerability mapping
• targeted remediation
• clear risk documentation
• reduced downtime
• stronger security posture across all clients

This combination gives MSPs and IT teams the clarity, control, and confidence they need to manage modern environments with speed and accuracy.

Final Thoughts

SBOM is reshaping how organizations think about software security and operational resilience. It gives IT teams full visibility into what their applications contain and helps them respond faster to threats, audits, and compliance demands.

When combined with a platform like Level, SBOM transforms from a static document into a powerful, actionable intelligence layer. MSPs and IT teams can detect vulnerabilities earlier, patch smarter, report confidently, and protect complex environments at scale.