Smart Hiring=IT Project Success

follow the moneyIf more than 10 percent of an IT project manager’s time is invested to hire/back-fill or replace a talent, then it’s a clear indication that there’s a flaw in the hiring process.These days, we see several hiring managers coming on conference calls with suppliers to communicate who they really want and who is “the right fit” for their projects. Companies that have success in such scenarios are the ones that invest their time to understand their customer and pipeline for their anticipated needs.

All staffing firms have clearly defined customers into two different categories:ones that follow a managed services program (MSP) or vendor management system (VMS) model and those that follow the direct staffing model where there is no involvement of an MSP/VMS. Both of these models can be run successfully if a smart hiring process is adopted.

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Mostly all staffing companies categorize their customers based on the following criteria: the time it takes to fill a position, bill rates and markups that the customer pays, a streamlined process, and repeated business opportunity. Staffing companies assign recruiters and drive their teams based on these factors to see success. At the end of the day, it’s a “Follow the Money Model” strategy. The best client gets A-level attention and the rest slide lower and lower. One of the fundamental driving factors for IT project success is the kind of talent in the project which is directly related to bill rates. Most often in an MSP-led situation, the bill rates are already provided and markups are sealed without any room for negotiations. If you provide someone better suited for the project above the bill rate, they get rejected in the VMS and the managers have no indication or record of the candidate. Within the same city, we will see the same skills required by three different clients all at different rates. Recruiters and candidates most often categorize the customers as a “low” or “high” paying client.

What becomes even more confusing for staffing companies is when large offshore companies win IT projects and try to find U.S. talent for knowledge transfer purposes at the so called “blended rate.”  Why do they low ball it upfront and squeeze the talent? Do they really think they can make an ERP professional work for $45/hr?  Some desperate souls accept these positions and then curse the s0-called opportunity.

Given the scarcity of quality talent, a “Smart Hiring Process” must be in place to shorten the time to fill and there are several innovative ideas one can follow to make this happen; otherwise, its “junk in and junk out.”

MORE: What Does Your IT Workforce Look Like?

Uma Chidambaram

Uma Chidambaram
As executive vice president of IT Solutions & Consulting Services at ObjectWin Technology Inc., Uma Chidambaram manages, drives, and coordinates the sales force, account management team and technical recruiting team. She can be contacted at umac (at) objectwin (dot) com

Uma Chidambaram

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2 Responses to “Smart Hiring=IT Project Success”

  1. enochls says:

    Good thought ,

    Smart Hiring also depends on the
    few physiological factors, we need to train ourselves, Identification,Education,project
    requirement , can be one of the key stone of success in recruitment industry
    1.We as recruitment and selections person, should be educated about
    the client and requirement , where we can see success hiring the right resource
    for any IT Project, within the assigned give time with right qualified and
    right fitment for the project assigned
    2.CTC and Skill always walk hand to hand, it is just right identification
    of resource, who fits in, it all happens
    when we are educated about the requirement, and automatically it balances both.
    and also help us to consume less time in justifying the right resource hiring.
    3.Very true, is that most of the Vendor finally end up with “MONEY
    MODEL” strategies, any business in this world, looks end of the day that how much business they have made and how
    much profit they have made, out of all hard and smart work they have put in.
    but to achieve this we need to analyze the other part of delivery and
    strategies we have adopted,
    4.And we also make some mistake in hiring process , hire right
    skills with wrong mind set attitude, we can also work out this area to have
    quick and better resource, hiring
    5.Adaption of right tool is also required, hire people who are
    passionate about their job, humor, spirit and self-confidence, and a great
    attitude and manage their own career are also the key factor to get better
    resource and sign of smart hiring process

  2. Chris Jones1 says:

    Good one…we will continue to see the same trend as long IT talent is procured not hired. MSP/VMS involvement are not be blamed as they are bound to perform by showing reduced spend on all categories.IT project Managers should be coached on demand  & supply of IT talent when they get on call with suppliers. I see a lot of suppliers not being vocal about the challenges, rather they choose not to work on the complex positions. Candidate pipeline helps a little in such situations but only a little.  Truth is there is a supply for every demand if the price is right.

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