COVID has turned all of our worlds upside down. Whatever plans you had for 2020, it’s safe to say they’ve been re-written. Probably more than once.
For some with deep funding reserves, the overnight shock to the economy is an opportunity to put one’s head down and build. To accelerate. To emerge stronger than before.
For others less fortunate in the cash reserves department, now is a time to streamline. To eliminate. To survive.
Regardless of what camp your company sits in, you share a common set of paradigm shifts which were already emerging but which have accelerated 5-10 years in the past 6 months:
- Everyone is a remote worker now. Co-located offices are an anomaly now, and while that pendulum will surely swing back again, a significant portion of that shift is likely to endure.
- Digital transformation is accelerating rapidly. Solution providers like Zoom are exploding in popularity, while “tech enabled” enterprises are accelerating their shift towards a future-proof digital enterprise. Both scenarios require technical talent, at scale.
- Cost-cutting is likely to remain a strategic imperative for the foreseeable future as companies look to extend runways as far as possible in the face of an uncertain economic future.
Outsourcing relationships have always been a great source of the digital talent companies require, but until now they’ve been a “nice to have”. With the environment noted above, they’ve suddenly become imperative.
- The traditional walls of co-located full-time employees and outsourced/external team members have fallen. We’re all remote, so the talent market is wide open and global.
- Access to great talent will mean the difference between being competitive in a period of rapid change, or being left behind.
- Apples-to-apples cost savings on scarce skills can be the difference between extending or running out of cash runway.
What hasn’t changed is the need to de-risk these relationships significantly. Due diligence, relationship setup and active management will be more important than ever - so choose wisely and manage carefully.