The Hidden Complexity of Microsoft 365 Copilot and How to Get Ready for It

AI’s promise meets enterprise reality

Artificial intelligence has become an operational reality that’s transforming how people and organizations work. Microsoft 365® Copilot represents the biggest leap in workplace productivity since the introduction of Office itself. By integrating AI directly into Word, Excel, Outlook, PowerPoint and Teams, Copilot enables employees to summarize conversations, draft content, analyze data and make decisions faster than ever before.

But while the possibilities are exciting, the path to successful adoption is complex. Copilot’s power lies in its ability to tap into an organization’s existing Microsoft 365 environment, including its data, permissions and security frameworks. Without the right foundations, results can become messy, inefficient or risky.

To address this, Rackspace Technology developed the Microsoft 365 Copilot Professional Services Playbook, a 100-point readiness framework that prepares every layer of your Microsoft 365 environment for Copilot. From licensing to governance to change management, it’s a practical, end-to-end roadmap for secure, confident AI adoption.

Why Copilot readiness matters more than ever

According to Microsoft’s internal data, more than 60% of enterprises underestimate the preparation required for Copilot deployment. Those that implement structured readiness planning, however, achieve 30-40% faster adoption and significantly higher satisfaction scores among end users.

At first glance, enabling Microsoft 365 Copilot might look like a simple toggle in the admin center. But beneath that switch lies a web of dependencies. Copilot relies on Microsoft Graph® to access files, chats, and messages across SharePoint®, OneDrive® and Teams. Because Copilot respects existing permissions, any gap in identity management or data governance can directly impact what users see, or what they shouldn’t.

Most organizations have years of accumulated content, including duplicate files, outdated policies, unsecured folders and orphaned guest accounts. If left unaddressed, Copilot may surface irrelevant, obsolete or sensitive data.

The 10 pillars of Copilot readiness

The Microsoft 365 Copilot Professional Services Playbook breaks readiness into 10 interconnected pillars, each supported by actionable tasks and professional services.

1. Licensing and entitlements: Identify the right Microsoft 365 base and Copilot add-on licenses. Rackspace helps audit existing entitlements, align costs to roles and design rollout roadmaps that prevent over-licensing.
2. Identity and access management: Implement MFA, Conditional Access and Zero Trust alignment through Entra ID to ensure only the right users access the right data.
3. Data governance: Clean, classify and secure your information estate. Remove ROT data and apply Microsoft Purview sensitivity labels for compliance.
4. Security posture: Harden your environment with Defender for Office 365, Defender for Endpoint and eDiscovery controls.
5. Compliance and legal: Address industry obligations such as GDPR, HIPAA and FedRAMP to ensure Copilot aligns with data-handling regulations.
6. Technical infrastructure: Validate bandwidth, migrate legacy mailboxes and modernize authentication to support cloud connectivity.
7. Change management and adoption: Engage executives, create champions networks and design communication campaigns that drive excitement and cultural adoption.
8. Training and enablement: Deliver prompt-writing workshops, quick reference guides and hands-on learning that turns curiosity into daily use.
9. Support and monitoring: Build Power BI dashboards and feedback loops to track adoption, performance and ROI.
10. Business and ROI alignment: Map Copilot use cases to measurable business outcomes, ensuring AI efforts tie directly to strategic goals.

Each pillar includes the services Rackspace can deliver to accelerate progress, from readiness assessments and licensing optimization to identity hardening and user enablement.

A closer look: Data governance and identity security

Two of the most critical pillars are data governance and identity security. Together, they form the guardrails that determine how safely and effectively Copilot operates.

Without robust identity controls, Copilot might inadvertently expose sensitive HR data to finance teams or reveal customer contracts to interns. Enforcing multi-factor authentication, role-based access and Zero Trust principles helps AI surface only what users are meant to see.

Data governance plays an equally important role. Over time, organizations accumulate redundant, outdated or trivial (ROT) data that adds noise and risk. Rackspace helps enterprises run full content inventories, apply Microsoft Purview classification, and configure retention and labeling policies so that Copilot’s insights are accurate, relevant and compliant.

The human factor: Change management and training

AI success isn’t just about technology; it’s about people. Employees need guidance on how to use Copilot effectively, responsibly and confidently. The Rackspace playbook emphasizes change management as a cornerstone of adoption.

Key components include:

• Executive sponsorship: Align leadership to drive momentum.
• Champions networks: Build peer advocate networks to accelerate cultural adoption.
• Role-specific use cases: Connect AI to everyday work with practical examples.
• Prompt engineering training: Teach users to “speak” Copilot fluently.

Rackspace has helped hundreds of organizations build sustained cultures of innovation that sustain strong AI adoption long after launch.

Turning readiness into measurable ROI

Preparation doesn’t end with go-live. The Rackspace approach ties every readiness activity to a measurable outcome, whether it’s reduced administrative overhead, faster document creation or improved employee satisfaction.

Using Power BI dashboards, organizations can track adoption metrics such as active users, time saved and feature utilization. These analytics feed directly into quarterly ROI reporting for executives, making sure that Copilot investment is backed by data.

Why Rackspace Technology

Rackspace Technology brings decades of Microsoft experience, with thousands of Microsoft and Azure certifications and a proven record in secure, compliant cloud transformation. As a Microsoft Solutions Partner and Azure Expert MSP, Rackspace combines deep technical expertise with strategic business insight.

Our Microsoft 365 Professional Services help organizations modernize, secure and optimize their Microsoft environments from initial assessments and migrations to Copilot readiness, governance and automation. Rackspace experts provide hands-on guidance across licensing, identity, data protection, compliance and change management, helping your Microsoft 365 investment deliver measurable ROI. With dedicated solution architects, engineers and project managers, Rackspace delivers the planning, implementation and enablement needed to help you fully realize the power of Microsoft 365 and Copilot.

Make AI work for you

The rise of Microsoft 365 Copilot marks a defining moment in digital transformation. Organizations that prepare strategically, across people, processes, and technology, will unlock unprecedented gains in productivity and efficiency.

The Microsoft 365 Copilot Professional Services Playbook is your starting point. It delivers a structured, 100-point framework that turns complexity into clarity and readiness into measurable value.

Download the playbook and see how Rackspace Technology can help you build an AI-ready workplace today. Or reach out to Rackspace directly to learn more about what our professional services can do for your organization and get started on your Copilot journey today.