Managing things with the MSP will only take up a certain amount of their time. This is something that may have otherwise been done by someone in Manglement (including the Business Manager) who is even more expensive.
The additional time this person has can be easily taken up with training, working with those using the VLE, R&D ... and a number of other things that they may already be doing anyway actually. Depending on how the contract is set up with the LA and MSP there are things that might be missed so this person fills in some of those gaps.
And yes ... this person has to have a decent educational awareness and background, work on education strategies and even support students and teachers, things that some folk might not want to do.