Developing Value for the Product발음듣기
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Developing Value for the Product
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Developing Value for the Product
Hi, my name is Dave Smith.
The name of the company is Teckscape IT.
We're primarily focused in New York City.
We do IT consulting services, managed services, information technology services, in and around that market.
Dave: It used to be that you would provide this thing called staff augmentation. You would hire an engineer.
You'd pay them a certain amount of hourly rate.
They would sit on-site a certain number of hours.
Then that manifested itself into, "Ok, I only need one day a month, or whatever, "to have this person come on-site."
And then it manifested itself into these managed service plans or managed service businesses.
So, my business we sell network infrastructure, phone systems, managed service plans.
The product could be something like a network infrastructure or a phone system that you would purchase for a business.
It could be anywhere from $10,000 to a million dollars, depending on the size of the organization.
Then we would sell professional services to be able to install that product and deliver it to every endpoint in the organization, or however many offices that you have.
And then we would sell a managed service plan, on top of that, and we would provide advanced support for them.
I need to develop a value to the product that I'm selling.
It's not like I'm selling an apple and the apple is the same you can buy everywhere.
Dave: I'm selling a solution and that solution has to be sold at a higher level because they needed to understand the ROI.
They need to understand more management business aspects than a technical person would understand about the megs, the speed, the gigabits and so forth.
We don't focus on people that are 50 user companies.
We focus specifically on advanced technologies 'cause that's where the market is.
We're growing so fast because that is the focus of our organization.
We're not focusing on the small market.
We have very well known clients that are doing call centers for all these major organizations.
If they're down for an hour, it costs million of dollars.
So, what we charge them is a fraction for us to be working through the night to be able to produce and make sure that it's up and running.
We spend money on internal costs like laptops, internal infrastructure for training people, demo areas so we can show clients all the things that we can and can't do.
The most difficult thing to spend money on is positions, within your organization, that don't generate money.
That's the most difficult decision to make.
I'm gonna hire this project manager, but he doesn't directly correlate to a dollar amount unless I sell a project.
Every two weeks you're reminded of that dollar amount.
We have two floors in Manhattan; it's expensive.
You can fake it, but a certain point, if you want to grow, you need to have the credibility behind it.
You have the name, the technical expertise, and you have to have the space.
You have to be able to demonstrate what you can do.
Any sort of IT services business have grown exponentially since 1996.
We've grown nationally and internationally over 5,000 percent in five years.
I mean it's tough at a certain point to like keep the numbers up there, because when you're talking millions of dollars, the multiple millions of dollars is much more difficult to be able to accomplish.
To keep that growth, you have to have an aligned mission statement.
You have to have an aligned business plan of what you're doing.
And this has been a struggle for me over the last five years, 'cause we started very scrappy and looking for whatever opportunity that I can ultimately get, and I want to deliver that product.
But you're fighting for whatever business that you can get.
But at a certain point you have to pivot, or you have to change to the growth phase, where you're strategically making decisions to grow the company much bigger.
So, that is a very different dynamic that you have to change and you have to be able to shift.
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We do IT consulting services, managed services, information technology services, in and around that market.발음듣기
대기중
Dave: It used to be that you would provide this thing called staff augmentation. You would hire an engineer.발음듣기
대기중
Then that manifested itself into, "Ok, I only need one day a month, or whatever, "to have this person come on-site."발음듣기
대기중
And then it manifested itself into these managed service plans or managed service businesses.발음듣기
대기중
The product could be something like a network infrastructure or a phone system that you would purchase for a business.발음듣기
대기중
It could be anywhere from $10,000 to a million dollars, depending on the size of the organization.발음듣기
대기중
Then we would sell professional services to be able to install that product and deliver it to every endpoint in the organization, or however many offices that you have.발음듣기
대기중
And then we would sell a managed service plan, on top of that, and we would provide advanced support for them.발음듣기
대기중
Dave: I'm selling a solution and that solution has to be sold at a higher level because they needed to understand the ROI.발음듣기
대기중
They need to understand more management business aspects than a technical person would understand about the megs, the speed, the gigabits and so forth.발음듣기
대기중
We have very well known clients that are doing call centers for all these major organizations.발음듣기
대기중
So, what we charge them is a fraction for us to be working through the night to be able to produce and make sure that it's up and running.발음듣기
대기중
We spend money on internal costs like laptops, internal infrastructure for training people, demo areas so we can show clients all the things that we can and can't do.발음듣기
대기중
The most difficult thing to spend money on is positions, within your organization, that don't generate money.발음듣기
대기중
I'm gonna hire this project manager, but he doesn't directly correlate to a dollar amount unless I sell a project.발음듣기
대기중
You can fake it, but a certain point, if you want to grow, you need to have the credibility behind it.발음듣기
대기중
I mean it's tough at a certain point to like keep the numbers up there, because when you're talking millions of dollars, the multiple millions of dollars is much more difficult to be able to accomplish.발음듣기
대기중
And this has been a struggle for me over the last five years, 'cause we started very scrappy and looking for whatever opportunity that I can ultimately get, and I want to deliver that product.발음듣기
대기중
But at a certain point you have to pivot, or you have to change to the growth phase, where you're strategically making decisions to grow the company much bigger.발음듣기
대기중
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