Founded in 2002, Managed Solution was barely 6 years old when the 2008 financial crisis hit. Yet, even as a young company we managed (pun intended) to pull through and grow to become the organization you now know today. That is why, today, we're talking about technology and economy.
With that in mind, we sat down to interview our CEO, Sean Ferrel, to discuss the recent economic events and how they pertain to Information Technology and the Tech industry in general. Read on to explore a top-down examination of a post-covid financial climate and gather insight and advice for your business.
A lot has been a lot going on with the U.S. economy since the pandemic. Recently though, we’ve seen some real negative indicators with bank collapses on a level reminiscent of the 2008 financial crisis. As a business leader, could you share some insight with us about today’s current economic environment?
Sean: In the last 3+ years there’s been a lot thrown at businesses. From COVID-19 to hybrid workforces; all the way up to how the housing markets have been affected. When people started to work from home it changed the places where people wanted to live. This drove a lot of inflation in certain areas that didn’t previously have these high-salary workers in the market before.
However, the housing market is one aspect. At the core of it, we could argue that there’s been a supply problem across the board. We see it an automobile makers and shipping components. For example, we rely on other countries for things as simple as [computer] chips. Manufacturers couldn’t get the chips to put into cars so a lot of cars couldn’t be built, which then created low supply, and the big companies with low supply were able to charge more for the commodities and goods we needed.
Even with our food and beverage companies. There was a problem there as well due to the lack of potential employees. So, whether it was auto-parts or workers in factories: businesses couldn’t produce as fast as they [normally] would. The demand for goods was still high, the supply was low, and ultimately people charged, and are still charging, more for their product.
Now, the more supply that these companies create and market - the less demand they might get for the product if it becomes more saturated. Meaning they’d have to bring down their inflated costs.
They also have to pay more in taxes if they produce more of something. So, a lot of companies have kind of sat for a minute and said, “well, we're getting a lot of money for our product than we used to get, so why should we produce anymore just to get taxed more for it?”. Which is why many have continued to drive the same amount of supply out of their organization and the inflation has remained. Of course, there’s more nuance to it, but essentially that’s where we’re at.
I think the reason why we’ll run into the “recession”, however, is simply because the dollar goes less far. Things are more expensive and the only way to combat that is businesses paying their employees more. This is challenging and leads to businesses charging their customers more and it becomes a very vicious cycle. One that, unfortunately, will eventually come to a head when businesses can longer afford to pay their employees more and will likely automate their processes instead, or they’ll have to downsize. So, I do think there will be more layoffs coming.
What’s interesting though, we all read about the layoffs at Google, Amazon, and Microsoft. It wasn’t because the companies were doing poorly -- they have more cash in the bank than ever. It’s merely due to the fact that their demand is going to go down because of people’s dollar’s not going as far.
How do you feel our current economic situation compares to that of 2008?
Sean: Compared to 2008, it’s a very different market. Back then it was the way banks were lending with negative amortization loans. Essentially, saying “we're going to loan you for this half a million-dollar house -- which you probably couldn't afford with your salary this much money -- and in three years we're going to increase your interest rate adjusted from an initial 5% or 4% interest rate up to 12%.
That increased the cost of the mortgage and people just got wiped out really fast. They couldn't afford it and hence we had a huge market where things were foreclosing, people didn't have the money and they borrowed against the home and their credit was tapped.
In today’s world though, people have been making a lot of money. It’s been a good economy for a long time, and I don’t think people are tapped credit-wise at this point, so we’re not going to see a big downturn where people are liquidating everything they have. But we definitely need to see some changes happen.
From your perspective, what are the main shifts the economy has had on the tech industry?
Sean: In the whole tech-sector; you have four things that happened in the workplace:
What I see there is a problem in general with “can technology solve it?” one, but two, “does the workforce for technologists -- like the people that we employ -- have the skill set”?
Technology has sprawled a ton, so it’s almost impossible to find enough talent out there to keep up. There's a huge lack of it from security talent to cloud talent, etc.
So, companies are struggling to find the right IT people who aren’t over-charging for the cost of their labor because, again, the employee-cost has inflated. That’s why now there’s this notion of “Do More With Less”. Technology and economy, obviously being closely interwoven in this concept.
Could you tell us what “doing more with less” looks like?
Sean: I think one question is; are companies ultimately building tools that are easier to manage by bolting them together? For example, Microsoft owns Microsoft Azure (the cloud).
They also own the operating system within the cloud, which is windows. Then they own the productivity software we all use, which is Office 365 -- and in that you have your communication tools like Microsoft Teams, collaboration hubs like Microsoft Viva -- all the way down to the computer with Windows operating system.
With that, they can control the market from a cost perspective and drive down costs for these suites of products. Not to mention, more Microsoft people in general are probably out there in the world studying and learning.
Making it a little bit easier to find people who do work in that area. And at the ultimate goal; it's easier to manage the process and the technology by consolidating into one or two platforms as opposed to having many, many vendors.
It’s similar to security too. Everybody's coming to market with amazing security tools that do detection at the endpoint or do secure app management to secure applications in the world. But now there's a lot of them and there's not enough resources out there to ultimately manage many different types inside of one business.
So, that's where the big picture of the project-based work consolidation is happening. You have more talent to manage better and more control & cost optimization by consolidating these infrastructures. Today's technology and economy are extremely closely related so business leaders need to emphasize having the right technology for their companies.
Could you speak about how this all ties into managed services and IT outsourcing? What benefit, if any, could customers gain from these types of services and solutions during this time?
Sean: As I mentioned before, you have the whole thing around hybrid and remote workforces. There are two things that happened:
Where previously companies had one IT person in the office. That’s not the same anymore. If people are working from home, they're working 24 hours a day. There's not really a regular 9 – 5 anymore.
That means the calls are coming in more than ever. The person who worked internal IT doesn't want to be the person hanging on the phone taking those calls all day every day and it’s not like they can run into anyone’s house to get everything set. That’s why we see technical call-based Help Desks becoming more and more popular. So, outsourcing will continue to grow in a bad economy. Outsourcing and centralizing the tools that are being managed by companies.
The second reason why outsourcing is becoming bigger, is due in part to the great resignation. With the inflation of salaries and expense of increased employee turnover, people are looking at companies, like Managed Solution, instead.
Beyond that, when it comes to enhancing security, making their users more productive, or having collaboration tools move into the cloud -- many companies are finding that the traditional IT teams are not always tooled up for this. That's why we're seeing more companies outsourcing a lot of that strategy as well; to help them build a long-term footprint that looks at the total cost of ownership. They’re asking organizations like us, “How do we optimize costs and better productivity for my new hybrid workforce of users and make sure we’re secure?”.
For us, it's a nice place to play in the industry right now, being sort of the managed service provider who outsources all this stuff and the consulting arm to be able to go out and help build the future architecture.
We’ve established that the economy today is different than it was in 2008, but one thing they have in common is their negative impact on people and businesses financially. As a business leader who came out of that, do you have any advice or words of comfort for fellow tech companies like Managed Solution?
Sean: For tech companies like ours, it’s always been a good thing to have multiple vendors on your website such as Microsoft, Amazon, Google, Dell, etc. A lot of the traditional sense has been that those are kind of like VARs, or ‘value added resellers’, who could resell all these products and services.
But my advice, is that you’ve got to pick a horse. Make sure you understand what suppliers (Microsoft, Amazon, Salesforce, VMware, Cisco), are building that understand the economic climate. If cost is a big factor and businesses are having to do more with less technology, who's building the technology in one stack of products to ultimately give you all the tools that you need to be successful?
Consolidation is really where I think all businesses should try to head and are trying to head right now. So, ultimately, as it pertains to technology -- I think picking that horse that you think is going to be best in the race is key. Technology and economy is a huge conversation right now. Technology and economy are both make or break aspects for businesses today.
If you’re interested in speaking to one of our team members for more tech-guidance? Contact us and we’ll be happy to help.
Want more resources or interested in more tech content? Head over to our blog page! Technology and economy is a huge conversation right now. Be sure to keep up with us to stay in the know!
By: Amanda Hawthorne, Director of People and Culture at Managed Solution
So you’ve got an opening or resource need on your team? Exciting! Managed Solution’s Staffing Services can help! But knowing where to start with an outside recruiting firm can be tough, and you may have a lot of questions about the process…
There are plenty of choices for service providers: so how do you know which is going to deliver?
Sometimes the exact resource or budget requirements for your position may be a bit hazy, and you may still be sorting out how exactly a new hire will engage within your team. Who can help you define your needs and understand a market-realistic hiring budget?
Everyone is already stretched thin today, and no one has time to interview a series of candidates who completely miss the mark. Working with a trusted Staffing Service provider like Managed Solution can help you quickly connect with pre-vetted technical talent so you can make efficient staffing decisions and get back to work with the right team!
Managed Solution is an IT service provider – which means IT people are our business. For over 20 years, we’ve been meeting talented engineers and connecting them with our clients across Southern California (and beyond!) to fulfill ongoing support or even project-based needs. In the age of remote work and the “Great Resignation,” it’s more important than ever to hire highly skilled and vetted engineering talent – and even harder to find them!
After hearing from client after client about the challenges they’re having in finding and vetting top talent, we saw an opportunity here: open our Talent Community to our clients, giving them access to the amazing people we’re meeting daily. (And as a bonus, individuals in our Talent Community have already been vetted by our Microsoft-certified engineers!)
Plus, since hiring our Talent Advisor, Kat Grunzinger, we now have a talent concierge to meet with our clients and really dive into their needs, to help define an opportunity for efficient recruiting. Kat has years of experience in the recruiting space and has a true knack for building quick rapport with candidates, diving into what they know (and don’t), as well as understanding what opportunities are truly of interest to them. She leverages this same inquisitive nature to consult with clients to understand what Staffing Services are best-suited to their needs – and which candidates will really fit the bill!
You may be asking, what’s it like to work with Managed Solution’s Talent Advisor?
Here’s what you can expect:
First, Our Talent Advisor will want to interview you! We’ve found the best way to understand the true needs of an organization isn’t to rely on a job description (which may be out of date or miss key aspects of what a position truly requires), but to go straight to the source: you!
As a hiring manager, you’ll have insight into your needs, your team, and your organization – even if you haven’t scoped out a formal job description yet, or if you haven’t gotten the chance yet to update the one that’s been on file for years.
Our Talent Advisor can help you outline the specific function that’s needed. She’ll be aiming to understand the ins and outs of your open role, so she can connect you to the right resources. Key questions she’ll ask include:
Our Talent Advisor will ask these key questions so she understands exactly what this individual will be doing on a day-to-day basis and how their success will be defined. This will help her articulate the opportunity to potential candidates - and help us avoid wasting your time with candidates who would fall short of expectations. This understanding will allow her to scroll through her mental Rolodex of people in our Talent Community so she can quickly connect you with any pre-vetted candidates that might align with your goals.
Understanding your needs can also help us align our Staffing Service offering with your ‘ask’ to ensure we’re helping you meet your need in a cost-effective manner.
Managed Solution offers several different Staffing Services to meet your IT hiring needs:
When our Talent Advisor meets with you to discuss your team’s needs, she’ll help you determine which Staffing Service is right for you.
Once a Staffing Service Agreement is signed, she’ll begin sorting through our existing connections within our Talent Community and will reach out to appropriate passive candidates on your behalf.
When we find suitable candidates – aligned to your role in terms of experience, skills, location, culture, and career goals – we’ll pre-vet them with our Microsoft-certified engineers and then present you with their talent profiles (a fancy term for their resumes, catered to your position). Ideally, they’ll all look good on paper, and then it’s time for you and your teams to interview!
Our Talent Advisor will work with you to define your own vetting process for the opening – who will be involved in the interviews; when/how interviews will be conducted; etc. Then, she’ll coordinate scheduling and share pertinent information to the candidate so they can be on-time and ready to discuss your opportunity, whether that’s in person at your office, or via Microsoft Teams video interview. (We can even send out a Microsoft Teams meeting bridge for you and the candidate to connect on!)
During the interview, you’ll get a sense of your own as to whether the candidate meets the eligibility and suitability requirements of your role. Our Talent Advisor will check in after your interviews to hear about what went well, what concerns still linger, and what next steps look like. Our Talent Advisor will also get feedback from the candidate to ensure a strong mutual fit before moving ahead in the process. This two-way flow of information and feedback is one essential for effective recruiting services – and helps ensure that by the time an offer is issued, you’re confident it will be accepted.
Having a strong rapport with your Talent Advisor can help you move through the hiring process faster, more effectively, and with the outcomes you’re looking for. Sometimes hiring managers hesitate to share negative feedback about a candidate’s skills or experience (because who likes giving bad news?), but we encourage open communication during this process. Understanding exactly what is or isn’t working helps us ensure a better outcome on the next candidate. And if things are going well, timely communication is even more important: you’re more likely to get an enthusiastic “yes!” in response to an offer when the candidate feels the process has moved along at a natural clip, and they’ve received timely, positive feedback. Plus, a strong rapport with your Talent Advisor also allows her to share honest feedback from candidates about your position, interview process, and the candidate experience.
Want the inside scoop about working with our Staffing Services professionals? We sat down recently with Kat Grunzinger, Managed Solution’s Talent Advisor, to talk about her professional background in recruiting and her hopes for Managed Solution’s Staffing Services.
Here’s what Kat Grunzinger, Managed Solution’s Talent Advisor, wants you to know!
A: “I want hiring managers to know that I’ve been in their seat! I know how challenging it can be to find, vet, and hire the right people for the right positions. That level of empathy drives me to move quickly across the process – jumping onto an intake call, running through recent conversations to see if there are any immediately ‘right’ candidates, proactively sourcing talent across multiple platforms, and being timely in scheduling and feedback. I will earn the hiring manager's trust by active listening to quickly understand an opening; by being flexible and available for their calls; by following through on any action items outlined; and by reassuring them that I’m here for them! I feel most successful when I know we’ve done the right thing for the client.”
A: “I love getting to meet talented individuals and hearing their stories and learning what they want out of their careers – and then getting to help make that happen! It’s a privilege to assist in their journeys, and I take seriously that we are talking about a person’s livelihood. The same care I take in building relationships of trust with hiring managers, I apply to our Talent Community. My goal is to facilitate transparent, two-way communication. I’m not afraid to tell a candidate when a job isn’t going to help them meet their goals because it frees them up to find the opportunities that are right.”
A: “Honest and open communication matters. Not only is this aligned with Managed Solution’s values and Code of Conduct, it’s truly critical for recruiting and other Staffing Services. A hiring manager needs to be honest and realistic about budgets, the true needs of their team, – and sometimes as an outside entity, I’m able to help them see another side of the coin. Whether that’s advising the client about the right pay scale for a position with a specific region or helping them see that their job description is unrealistic (or describes three different jobs), I really appreciate when hiring managers value this two-way feedback. I think it brings us more credibility as recruiters and ultimately helps clients fill their needs.
I think it’s also important for a hiring manager to understand that my role as a recruiter is to help sell the value of an organization or position to candidates. The time we invest up front in an intake call positions me to effectively communicate with potential candidates about the roles, and to proactively answer the questions they have. We’ll both spend more time talking to the right people if a hiring manager spends the time with me up front to help me learn how their team functions, what types of soft skills help someone thrive, and what perks/benefits exist within their organizations. I’ll definitely do the right homework on my side to read the job description, the company website, and more before that meeting, but there’s nothing like learning straight from the hiring manager how the team is doing and what it needs.”
A: “My hope is that we can continue building trust with our clients, as we succeed in connecting them with qualified talent. I know I’ve done my job when a client comes back for help with another opening or refers us to their colleague for assistance on a role. Continuing to help good people find fulfilling work with amazing organizations – that’s what it’s all about!”
Ready to hand over the heavy lifting to us? Email us about our Staffing Services today!
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[vc_row][vc_column][vc_column_text]As written by Ryan Fuller on blogs.office.com
Microsoft Workplace Analytics—a powerful new organizational analytics solution—is now generally available as an add-on to any Office 365 enterprise plan.
According to a recent Forrester report, increasing employee productivity is the number one priority for C-level executives in the next year, with 96 percent of respondents citing it as a critical or high imperative. Workplace Analytics provides unprecedented behavioral insights that can be used to improve productivity, workforce effectiveness and employee engagement.
Workplace Analytics taps into Office 365 email and calendar metadata, including to/from data, subject lines and timestamps, to shine a light on how the organization collaborates and spends time. It turns this digital exhaust—the data that comes naturally from our everyday work—into a set of behavioral metrics that can be used to understand what’s going on in an organization.[/vc_column_text][grve_single_image image="17404"][vc_column_text]Microsoft has enabled Workplace Analytics with built-in privacy and compliance capabilities. Customers own their Office 365 data and decide how to apply insights generated by Workplace Analytics to solve tough business challenges. Workplace Analytics only leverages metadata that is aggregated and de-identified.
Workplace Analytics was designed with the flexibility to address a broad range of strategic and organizational culture-based initiatives. Let’s take a look at a few ways customers are using Workplace Analytics:
A sales organization in a Fortune 500 company used Workplace Analytics to identify the collaborative patterns of top performers and then scaled those behaviors to the broader sales organization—resulting in a significant increase in sales. Some of these insights were expected, like the amount of time spent with customers. But others were new, like the size of the person’s internal network, which may be an indicator of the salesperson’s ability to get answers and solve customer questions.
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Freddie Mac used Workplace Analytics to drive a cultural change with managers. In looking at how time-usage metrics are related to engagement and retention, they found that the behaviors of managers were pivotal in determining employee engagement and retention. Behaviors, such as 1:1 manager time, level of leadership exposure given to employees and the degree to which work can be distributed evenly across an organization, are measurable through Workplace Analytics.
The collaboration insights from Workplace Analytics were used by an organization to partner with its commercial real estate company, CBRE, to do space planning. They analyzed the metadata attached to employee calendar items to calculate the travel time associated with meetings. They found that as a result of the relocation, each employee reduced their travel time to meetings by 46 percent—resulting in a combined total of 100 hours saved per week across all 1,200 employees involved in the move.
Every organization has unique business questions, which is why we’ve included the ability to create custom queries directly within Workplace Analytics. Data analysts can choose from a unique set of collaboration metrics to explore activities and trends within the business, including time spent in email, time in meetings, after-hours time and network size. Analysts can also create custom queries and filter to aggregated population subsets including regions, roles and functions.
“Workplace Analytics is becoming an essential part of our toolkit,” said Tom Springer, partner at Bain. “It shows us where and how our clients are deploying their scarcest resources: the time, talent and energy of their people. Workplace Analytics consistently yields unique insights into resource allocation, collaboration behaviors and organizational networks. We integrate these insights with broader perspectives on strategy, operating model and results delivery to help our clients organize for maximum productivity.”
At Microsoft, Workplace Analytics has yielded significant insights. “We believe building a true digital, data-driven enterprise requires organizations to empower and connect their people across everything—people, processes, data and systems,” said Kathleen Hogan, chief people officer at Microsoft. “Our HR Business Insights group is using Workplace Analytics across a variety of initiatives—from understanding the behaviors driving increased employee engagement, to identifying the qualities of top-performing managers who are leading Microsoft’s cultural transformation from within. We believe people analytics is a competitive necessity for any HR team.”[/vc_column_text][/vc_column][/vc_row][vc_row][vc_column][vc_row_inner css=".vc_custom_1534362068036{padding-top: 20px !important;padding-right: 20px !important;padding-bottom: 20px !important;padding-left: 20px !important;}"][vc_column_inner][vc_column_text]
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