with rapidly expanding data and application volumes. Conservative estimates
indicate data storage requirements double every 18 months due to a wide variety of
circumstances: electronic communication, customer growth, mergers and acquisitions,
data privacy laws and expanding regulatory compliance.
Simply adding capacity to manage information is no longer sufficient. Organizations need new options for transporting, storing, and processing data to handle growing business demands. Solutions like virtualization, de-duplication, WAN acceleration, and unified communications are the building blocks of next generation networks and data centers. Gridlock, once reserved for our highways, is now at the forefront of information technology.
As the future of IT networking grows more complex and interdependent, it will require a new generation of IT skill sets. According to Forrester, we can expect to see investments in unified communications grow from $1.2 billion in 2008 to $14.5 billion, at a compound annual
growth rate of 35.9% through 2015.1 Large investments
are also targeted for network transformations, data center optimizations, and server virtualization, to name a few. According to Gartner, more than 80% of organizations say they are undertaking or have undertaken major projects in these areas.2
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Gridlock, once reserved for our
highways, is now at the forefront
of information technology.
1 “Market Overview: Sizing Unified Communications”, Forrester Research, February 5, 2009
The Human Capital Requirement
Naturally, many IT leaders are excited about the possibilities that can result from undertakings like data center optimizations and unified communications. When we evaluate projects we tend to focus on products from leading hardware and software companies. However, products are rarely the root cause of IT projects troubled by missed deadlines and cost over runs. As one of the world’s top five mobile phone providers discovered recently, it is crucial that IT leaders give a great deal of attention to the human capital required for success. Five months after initiating a large scale data center consolidation and virtualization initiative, the top two issues this mobile provider discussed during its leadership status meeting were: “No project managers available to launch data center project,” and “need resources [personnel] to address transformational requirements.” The project was negatively impacted until the company filled these skill gaps with the right people. Before doing so, the project suffered missed timelines and prematurely depleted budgets.
Record high unemployment rates lead many to believe that talent is readily available. However, Gartner and Forrester agree that the expertise necessary to complete network and data center related projects remains in short supply relative to the incredibly high demand. Consequently, IT leaders must challenge false paradigms and realistically plan for upcoming staffing requirements to mitigate significant project risks.
Tackling the Transformation
A project plan for unified communications or data center optimization often requires thousands of man-hours and a myriad of skill sets to complete. The two most commonly observed approaches to undertaking these
transformations are leveraging internal resources and engaging OEMs or system integrators. Let’s examine the associated benefits and risks of each approach.
Internal Staff Delivers Project
Benefits: Reallocating current staff to project work allows an organization to gain valuable experience from building the future environment they will support in steady state. This experience then solves or eliminates knowledge transfer issues associated with the use of outside firms and leads to predictable support models. Using internal staff for project work also helps bolster employee satisfaction and retention. These projects provide unique opportunities for on-the-job training as well as team evaluation. In addition, they offer employees experience with new technologies – a significant driver of employee satisfaction. According to our last annual consultant survey, 92% of consultants rated technology as important, to very important when asked to indicate the importance of technology in their consideration of a new job opportunity. Finally, in-house project management allows an organization to maintain project control and is typically a more cost effective solution compared with bringing in a team of consultants with previous implementation experience.
Risks: While there are benefits to leveraging internal staff to deliver projects, doing so is not risk free. As previously stated, the skill sets required to optimize data centers and transform networks are in short supply. Moreover, these new technical environments are infinitely more complex and intertwined. Traditional silo-based teams will encounter challenges in
problem isolation, capacity planning, and configuration management.3 But, the problems don’t stop there.
They are likely to spill into security and storage issues as well. An honest assessment of your current team’s skills, your culture, and your structure is critical to determining if you are able to deliver network and data center related projects on time and within budgetary constraints.
Another risk organizations often encounter is the void created by pulling infrastructure and operations staff from their daily duties to support new projects. In today’s economic climate, infrastructure and operations budgets are heavily scrutinized; these teams are
The expertise necessary to complete
network and data center related
projects remains in short supply
relative to the incredibly high demand.
TEKsystems.com | 3 constantly evaluated for operational efficiencies. With a
mission to provide critical support to the business, little if any excess capacity exists as most IT staff members are already overworked. As a result, transitioning these valuable resources to a high-intensity project without coverage can jeopardize the legacy environment and the business.
Recommendations: To successfully leverage internal staff for transformational projects, IT departments can mitigate risks by taking the following measures:
Conduct an honest assessment and gap analysis of your team’s skills, culture, and structure to determine if it is capable of realistically completing the project within the prescribed timeline and budget.
Address any skill gaps by acquiring new and necessary skill sets via a staff augmentation, contract-to-hire, or direct placement model. This approach allows you to meet knowledge and skill requirements through a flexible solution. Often problems associated with skill gaps don’t become apparent until the project is deeply in trouble. Backfill the support of the legacy environment.
Without this critical coverage, project resources are forced to stop what they are doing and address support issues within the legacy environment. Address spikes in project hours by hiring
specialized contractors for a finite period of time. Once these “burstable” project tasks are complete, assess continued staffing requirements as needed. Purchase appropriate training services to ensure
that internal team members have the needed skills and are cross-trained on the technologies necessary to support the new, more complex environments.
Engaging an OEM or Systems
Integrator
OEMs and systems integrators can play a pivotal role in sharing expertise through the implementation of new network and data center technologies. In addition to providing the hardware, they will likely be involved in the architectural design and planning phase of your initiative. However, as these initiatives move from planning to deployment, and finally to the steady-state, IT organizations find that assembling the right team is
the most critical factor to achieving success. As with the wireless provider described earlier, these projects don’t get off the ground without the right people in place. OEM and systems integrators offer one potential avenue to mitigate likely skill gaps. If you are looking for strategic support to design new network architecture, bundle services with equipment purchases, or are concerned with product warranty schedules, these partners are likely the right choice. But organizations need to carefully evaluate the cost / benefit of utilizing a consulting or “resident engineering” service. Are these services “nice to have” rather than “need to have?” What value accompanies the consulting engagement? Often, rather than a full-blown consulting service, organizations simply need access to new skills or short-term resources to serve as an extension of their existing team.
Benefits: Utilizing an OEM or systems integrator to gain access to the required talent to perform network and data center related projects can be a logical and valid avenue for some organizations. The benefits of this approach may include access to vendor-specific expertise and consistency as these providers are typically involved from design to steady-state. OEM and systems integrator services can be wrapped into a managed service or SOW with specific deliverables and service level agreements allowing for specific and measurable outcomes to be realized. Additionally, utilizing OEM or certified channel partner resources could eliminate any potential concerns around equipment warranties.
Risks: While there are benefits to utilizing an OEM or systems integrator to mitigate skills gaps, there are also a number of risks and / or concerns that should be carefully considered before embarking down this path. An OEM or systems integrator will likely provide subject matter experts to drive front-end architectural design. However, IT managers should be concerned
An honest assessment of your current
team’s skills, your culture, and your
structure is critical.
with retaining this same level of expertise throughout the life of the engagement. Highly sought-after design resources could be swapped out over the course of the engagement—a transition that could elongate productivity curves for new consultants as they become familiar with the client’s technical and cultural environments.
Additionally, utilizing consulting or “resident
engineering” services will cost considerably more than other avenues of acquiring necessary talent. The OEM’s or systems integrator’s SMEs primary responsibilities are to design new solutions and win new engagements – not to provide support throughout an implementation. For this reason, OEMs and systems integrators will charge a premium to organizations seeking to leverage their SMEs during the full length of an engagement or in a FTE capacity.
Furthermore, most OEMs and systems integrators do not maintain a considerable field service staff at the implementer level. It is not uncommon for a significant portion of their staff to be subcontracted.
Careful consideration should also be given to how an effective knowledge transfer from the OEM or systems integrator to the organization’s permanent staff will be accomplished. These providers typically do not allow their clients to hire their SME resources. As a result, retention of project knowledge could be an issue.
Recommendations: While there are many benefits to utilizing an OEM or systems integrator to address your networking or data center needs, we recommend you consider the following before you make an outsourcing decision:
Assess the level of service required for your implementation. If what you require is a talent-based solution, turn to an organization thats core competency is recruiting quality IT personnel.
Evaluate the strength of firm’s bench of resident engineers. If the firm will be subcontracting a portion of the engagement, recommend that it consider one of your trusted IT staff augmentation providers. These providers have knowledge of your IT environment and culture.
Understand a firm’s methods and processes for qualifying engagement personnel. You will have no time to deal with issues related to poor hiring decisions.
Qualify your options for retaining technical expertise post-implementation. Will you be able to hire any of the consultants? What are the terms and cost implications for doing so?
Food for Thought
Organizations that recognize their need for outside technical expertise can fall victim to paying a premium for networking and data center services. When they can’t find the necessary skill sets in their existing organizations or through their internal HR, they often assume that their only option is to leverage an OEM or systems integrator. They are often unaware that a qualified IT talent acquisition firm has access to a greater pool of quality resources and possesses superior candidate screening capabilities relative to an OEM or systems integrator. Of course an OEM or systems integrator could likely find the necessary resources. But, frequently they do so by sub-vending to a staffing provider and then remarketing the contractors as part of a “resident engineering program” or some proxy term.
Often, rather than a full-blown
consulting service, organizations
simply need access to new skills or
short-term resources to serve as an
extension of their existing team.
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Conclusion
This is a momentous period within the IT infrastructure evolution. With the convergence of technologies and the innovation of new means to transfer and store data, IT leaders are rightfully excited over newfound technical power and the potential business upsides. However, when planning for the future, IT leaders must ensure they remember a fundamental truth that’s accompanied IT through its rich, albeit, recent history: it is people, not the technology, who make or break every IT endeavor.
Written by: Matt Hannigan, Tim Siebes, Dave Spires, Sean Storin, and Rachel Russell
about us
People are at the heart of every successful business initiative. At TEKsystems, we understand people. Every year we deploy over 80,000 IT professionals at 6,000 client sites across North America, Europe and Asia. Our deep insights into IT human capital management enable us to help our clients achieve their business goals—while optimizing their IT workforce strategies. We provide IT staffing solutions, IT talent management expertise and IT services to help our clients plan, build and run their critical business initiatives. Through our range of quality-focused delivery models, we meet our clients where they are, and take them where they want to go, the way they want to get there.
A qualified IT talent acquisition
firm has access to a greater pool
of quality resources and possesses
superior candidate screening
capabilities relative to an OEM or
systems integrator.
TEKsystems® 7437 Race Road, Hanover, MD 21076 | 888.835.7978 | www.TEKsystems.com | TEKsystems, Inc. is an Allegis Group, Inc. company. Certain names, products and services listed in the document are trademarks, register trademarks, or service marks of their respective companies. Copyright © 2012 TEKsystems, Inc. All Rights Reserved.
Matt Hannigan
VICE PRESIDENT OF
ORGANIZATIONAL
DEVELOPMENT
Matt Hannigan has more than 20 years of professional experience in the IT and communications staffing and services industry. As Vice President of Organizational Development, Matt leads TEKsystems’ Human Resources and Professional Development teams. He is responsible for designing andimplementing programs to ensure TEKsystems attracts, develops, and retains high-performance employees who excel in their positions, have the opportunity to advance in their careers, and consistently exemplify our core values.
Matt began his career with Aerotek, TEKsystems’ sister company, in 1989 as a Recruiter in the Boston
office. After two years, Matt moved into a Sales role. Since 1995, Matt has held various leadership positions within the company, including Director of Business Operations (DBO) for TEKsystems’ Boston office and Director of National Accounts (DNA) for some of our largest national customers in the Government and Communications vertical segments. In 2003, he was promoted to Vice President of National Sales for the Communications Vertical, a role in which he assumed responsibility for strategic planning, communications, and execution of business development and delivery in national Communications accounts. Under Matt’s leadership, the Communications Vertical grew to more than $320 million in annual revenue. He was promoted to his current role in June 2009.
Matt is a graduate of the University of Vermont and resides in Eldersburg, Maryland, with his wife and two daughters. A true New Englander, Matt is passionate for all Boston sports teams. He also enjoys golfing and spending time with his family.
Tim Siebes
PRODUCT DIRECTOR
Tim Siebes has more than 16 years of experience in the IT and communications staffing and services industry, having worked in a variety of business development and management roles with Allegis Group operating companies.Since 2008, he has been TEKsystems’ Communications / Network Product Director for the Northeast, Southeast, and Canadian regions. In this role, Tim is responsible for establishing business development and service delivery strategies, ensuring our Communications / Network services meet evolving customer needs, and overseeing that TEKsystems’ Account Managers are addressing our customers’ most difficult human capital challenges.
Tim joined Aerotek, TEKsystems’ sister company, in 1993 as a Recruiter in the Kansas City office. In 1995, Tim was promoted to Account Manager in the Telecommunications division. Two years later, Tim was promoted into the newly created role of National Account Manager (NAM), where he was responsible for developing customer solutions, establishing executive level relationships and managing the delivery of services to the Sprint account, one of TEKsystems’ largest customers. In 1999, Tim was promoted into the National Sales Manager role for the Contract Engineering division. Seven years later, Tim re-joined TEKsystems’ National Account Team, as the Director of Strategic Accounts (DSA) for the OEM division of the Communications Vertical.
Tim graduated from the University of Kansas and resides in Leawood, Kansas with his wife and four children. In his free time, Tim enjoys participating in his children’s activities, playing golf, traveling, and understanding technology trends impacting the IT and Communications industries.
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David Spires
PRODUCT DIRECTOR
David Spires has more than 14 years of professional experience in the IT and communications staffing and services industry.As Product Director, David is responsible for driving TEKsystems’ Infrastructure and Communications product lines and aligning them with Account Manager and Recruiter priorities for the Central, Midwest, and Western regions. He ensures the company’s Infrastructure and Communications services help customers optimize performance of their IT departments. In addition, David leads our sales and recruiting workforce to understand key industry trends, so that they can add superior value to their customer and consultant populations.
David began his career with TEKsystems in 1995 as an Account Manager. Three years later, he joined TEKsystems’ Global Services division as a Business Development Manager (BDM). In this role, he consulted with accounts on their systems management,
network operations, messaging and end user support operations. Additionally, he helped them address their technology deployment, asset inventory, and help desk outsourcing needs. In 2002, he received the Outstanding Leader Award. In 2004, David transitioned to lead the Coordinated Deployment Team Services practice within TEKsystems Global Services division. He developed and executed the go-to-market strategy for this offering until becoming Product Director in 2007.
David is a graduate of the University of Illinois at Urbana-Champaign. He currently resides in Chicago with his wife and son. In his free time, he enjoys playing golf and watching football.
Sean Storin
DIRECTOR OF NETWORK
SERVICES
Sean Storin possesses more than 15 years of experience in the IT and communications staffing and services industry. As Director of Network Services, Sean is responsible for developing and delivering the strategy behind TEKsystems’ Network product line. He leads 15 Directors of National Accounts, 12 Directors of Strategic Accounts, two Directors of Business Development, and 11 Account Directors that align to TEKsystems’ five vertical practice areas, including Financial Services, Government Services, Communications, Healthcare, and IT. Sean works with these leaders to capture sales opportunities as it relates to storage, unified communications, virtualization, and security services in their current national accounts. Sean began his career with TEKsystems in 1994 as a Recruiter in Los Angeles and was quickly promoted to Account Manager in the Orange County office. In 1997,
Sean became the Director of Business Operations for the Las Vegas office. From 1999 through 2001, Sean was the Director of Business Operations of the Silicon Valley and Boston branches for Aerotek, TEKsystems’ sister company. He became the Regional Vice President for the Midwest, managing 13 Director of Business Operations and driving the execution of the company’s sales, recruiting, and operations goals. In 2003, Sean served as Vertical Vice President for the EF&I Services and Communications / IT verticals.
Prior to his current role, Sean founded Tech.Connectors, an in-home technology installation company. As
President of Tech.Connectors, Sean was recognized in 2006 as one of the “Top 40 Under 40 Entrepreneurs” in Illinois. In addition, he has been awarded Angie’s List of Super Service for four consecutive years, ranking Tech. Connectors in the top 5% in the industry.
Sean graduated Cadet First Captain from the New York Military Academy. He also graduated from Hofstra University in New York and has a MBA from the University of Notre Dame. He and his wife live in Naperville, IL with their two children. In his free time, Sean enjoys playing golf and riding motor-cross.
