The Utility View – October 2007

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Having trouble hiring IT staff?  Why bother??

If you were a small or medium-sized business owner writing the job description for an ideal IT hire you might say something like this:“Qualified networking specialist wanted.  Database management skills a bonus.  Help Desk or Desktop Support experience an asset.  Must be a personable team player willing to work flexible (read: long) hours.”  And you wouldn’t be alone…

Sound at all familiar?  It should.  A recent report by Robert Half (the ‘Robert Half Technology IT Hiring Index and Skills Report’) suggests that businesses in a variety of different fields, from business services to construction and manufacturing are all increasing their IT departments.   Computerworld’s July 2006 Vital Signs survey had 41% of IT leaders reporting that it's “more difficult to recruit key IT talent this year than it was last year. And 24% said their IT staff turnover rate is higher now than it was in 2005.”  Networking Computing also reports that Computer Science majors have become a dwindling breed in the past few years with only 2.3 percent of students enrolled last year at U.S. four-year colleges planning to major in computer science or engineering, down from 4.2 percent in 2002.

The job description you are forcing yourself NOT to write probably reads more like this: “Willing to overpay an under-qualified ’IT professional’ with even limited experience as I have little choice.  And I know coming to work for a smaller organization might not be as appealing as your other alternatives so maybe I’ll pay even more than I already can’t afford.” 

If you’ve tried to hire your ideal IT professional in the past few years, or even your less-than-ideal IT ‘professional’, you’ve seen the decrease in incoming CVs.  Stories abound in the post dot.com era of HR managers going from hundreds of resumes to sort through to tens of under-qualified resumes.  And for smaller organizations the struggle can be even harder.  Skilled talent often looks towards the “bright lights” of a larger organization with a proven track record or household name.

So, if reliable IT staff can’t be found, or afforded, what’s a business owner to do?  Well quite often, the solutions can be unpalatable:

1. Designate an existing employee with some IT aptitude as the designated “go-to-guy” for network/desktop support.
2. Engage in a break/fix support contract, usually on a per hour or time-block usage model.
3. Hire a part-time contractor

Any one of these options could work out but all are fraught with compromises.  None truly provide the support a dedicated and qualified, full-time professional can provide. 

There is another option just starting to make its way to the SMB market however.  One that promises benefits even a full-time staff can’t.  For years large enterprises have realized proactive monitoring and management of their critical IT infrastructure isn’t simply a way to repair breakages or outages but instead it represents a proactive approach, to provide for realbusiness needs.  Having a Managed Service Provider (MSP) on your side means no longer paying a service provider or technician to put you back where you were yesterday – but instead to keep you on track for where you need to be tomorrow. 

Until recently, managed services was simply too expensive and too complicated for smaller organizations.  New service delivery methodologies designed exclusively for the SMB market have now made managed services a viable alternative.  The problem, however, with the managed services model is that it relies on making your on-premise IT infrastructure complex – i.e. the more infrastructure, the more remote monitoring and management fees and onsite service.

Enter The Utility Service Provider…

The USP, or Utility Service Provider, represents the evolution of managed IT services for the SMB market – taking the simple approach of reducing the amount of on-premise infrastructure, applications (and complexity) through Web-based hosted services and virtualization.  The USP becomes your virtual IT department, proactively handling many of the issues seen with an internal hire such as:

1. Need for constant training
2. Sick days, vacation time
3. Internal HR conflicts
4. 9-to-5 only support
5. Cost of overtime hours
6. Cost of insurance benefits

Having a national, proactive Utility IT service organization on call the SMB will benefit from:

1. Access to an unlimited knowledge base
2. 95% remote problem resolution
3. Specialists in all areas (security, networking, VoIP, etc.)
4. Up-to-date knowledge and training
5. IT Roadmap – Proactive planning
6. State-of-the-art tools and software that they otherwise couldn’t afford.
7. Predictable, usage-based monthly costs allowing for greater budget control and planning

The Utility Service Provider model finally enables the small business owner to gain access to enterprise-level, proactive IT control without the difficulties and expense found in trying to hire a single individual from a diluted talent-base that is currently in over-demand.

About The Utility Company™

The Utility Company is the leading provider of information technology as a utility to small and medium-sized businesses, delivering the required hardware, software and service for a monthly fee per user.  Our Connected Office™ technology service program empowers people to operate, communicate and manage their business more effectively to increase productivity, performance and ultimately profit.  Our customers are supported by the Utility Service Network delivering on-site service and business-technology consulting across North America – our Beyond Managed Services™ franchise opportunity is available by prospectus only.  Learn how to make technology work for your business today at www.theutilitycompany.com

Copyright

Copyright © 2007 The Utility Company.

All rights reserved. This document contains information intended for the exclusive use of Utility personnel, strategic partners and potential investors. The information herein is restricted in use and is strictly confidential and subject to change without notice. No part of this document may be altered, reproduced, or transmitted in any form or by any means, electronic or mechanical, for any purpose, without the express written permission of The Utility Company.

The Utility Company™, Technology-as-a-Service™, Connected Office™ and Beyond Managed Services™ are trademarks or registered trademarks, of The Utility Company Ltd. ™ signifies a trademark and ® a registered trademark of The Utility Company Ltd. All other names and trademarks are the property of their respective holders.