1. Spring/Summer 2006
IT in Focus
PSD Newsletter for
IT and Technology
Professionals
Welcome to the inaugural edition of IT in Focus.
Compiled and published by the PSD Group, IT
in Focus takes a look at the fast-changing sector
in which we work, highlighting the challenges we
all face and the emerging trends that are shaping
the future of the industry.
Chris Eldridge Focussing on topics that are of interest across
Managing Director the wider technology sector, we’ve selected
Mur Snook
Managing Director
themes that all IT functions face in running
their business units and supporting their user
Delivering on Goals communities. In this edition we cover a range
Steve Watmough
Managing Director of topics from how to get your voice heard at
Xantus Consulting
Heath Jackson the board room table, through to how IT can
Director
Xantus Consulting
not only support business growth but also be
Page 2
a key driver, and the importance of business
Driving From the Centre
Chris Thompson
and market awareness in building client
General Manager for Business Efficiency
West Bromwich Building Society
relationships.
Page 3
The Voice of Credibility We also have a review of the ‘Best Places to
Mike McMinn
IT Director work in IT Awards’, an event that rewards the
Wolverhampton & Dudley Breweries
development of creative and supportive IT
Page 4
Best Places to Work in IT Awards environments, something that all IT functions
Hooman Bassirian
Editor
aspire to achieve.
Computer Weekly
PSD is an international recruitment services
We would like to thank all of our contributors to
organisation operating at the middle to senior
executive level.
this first edition of IT in Focus. We are extremely
We offer expert knowledge of our specialist
grateful to each of them for the time and effort
markets: technology, IT, Finance & Banking,
Marketing & Sales, Property & Construction,
which they have devoted to their articles and for
Customer Contact, Law, HR and Purchasing. sharing their thoughts and experiences with us.
2. ‘IT is no longer a backroom art.
It’s expected to play its full role
in delivering on business goals.
A lot of money is being invested
in the sector and the board want
Steve Watmough Heath Jackson to see the returns in profits not
Managing Director
Xantus Consulting
Director
Xantus Consulting just in technical capability.’
Delivering
on goalsinaugural edition of IT in Focus. Compiled
Welcome to the
and published by the PSD Group, IT in Focus takes a look
It’s not enough to have the best
at the fast-changing sector in which wewho have highlighting Xantus directors
Xantus only recruits consultants work, At a senior level all the
Motivated
technical solution to a client’s needs,
Business Focus
the challenges we all face and the to compliment their trendsqualified.skills to understand and
business and technical emerging
it has to also be the best business
the interpersonal skills
solution, insists Steve Watmough, MD of skills .They have to
are IOD
that“We felt it was essential
that we had the
are shaping the future ofadaptableXantus works. Thethe markets engage with sayscompanies we workpoint
be the industry. in
Xantus Consulting. “As a consultant you
have to tune in to a client’s company
within which
and interested
company at all levels,”
the
Heath. “There’s no
with
culture, the market they operate in and matches a consultant’s background to coming up with a sophisticated solution
their way of doing business. Only then a particular project but also expects its when the company balance sheet won’t
Focussing on topics that are of interest across the
can you deliver solutions that meet consultants to have the motivation to support it. I have several clients who like to
their actual requirements, not just their
wider technology sector, we’ve selected themes that
technical brief.”
learn quickly about new sectors and
environments. “We look for that mix of
equate the quantity of a particular product
they need to sell with the finance needed
Steve, and afunctions face in running their business units and
all IT number of likeminded IT personality, motivation and drive that will for an IT upgrade. And they have a valid
enable them to go into just about any point – that’s the business they’re in.
supporting their user communities. In this edition we
specialists, founded Xantus six years
ago, to fill a niche they felt the bigger
environment and get on with the job and
the people,” says Steve.
Unless a consultancy can add value to that
business, why should they invest?”
consultancies hadrange in their
cover a left vacant of topics from hiring IT consultancies,
how to get your voice Line heard
quest for long-term development projects. Companies Bottom
‘We wanted toboard room table, through to howwithin can not of knowledge and a desire to
at the concentrate on building should look at the retention levels IT Breadth only
support business growth but also be a Jackson.driver,ofand the consulting in
relationships with clients and offering
independent, trusted advice and support business ethos, believes Heath key
those organisations and the general understand different sectors lies at the
core successful modern
importance of business and market awareness in building times when a it is
services,’ explains Steve. Understanding A consultancy that holds on to its people,
clients and their businesses lies at the core is not only doing something right as an
Heath’s eyes. There are
particular solution seems obvious but
client relationships. of approach which is an essential part of not what the client wants. Being able to sit
of the company’s philosophy. “We really
do try and ‘walk a mile in their shoes’ to
employer, it is also offering a consistency
down and discuss the implications for the
get the feel for what the client needs,” delivering consistently effective solutions. business as whole, says Heath, and not
agrees fellow founding Director, Heath being wedded to seeing things in purely
We also have a review Building Relationships
Jackson. of the ‘Best Places to work in IT terms, enables consultancies to help
Fitting Awards’, an event that rewards the development of
IT in Whilst emphasis should be placed by clients develop solutions that genuinely
consultants on building relationships with address their concerns. “It is all about the
bycreative and supportive IT environments, something that
With 25 full-time consultants supported customers and the immediate technical relationships and delivering on goals,”
a team of specialist associates, Xantus team, the consultancy is being contracted agrees Steve, “not about solutions for
has earned afunctions aspire towork with, Steve and Heath also agree
all IT as well as being able to
reputation for providing to achieve. solutions sake.” The days of the IT guru
team players that time should be spent briefing at board- sitting in splendid isolation are over. It’s
deliver appropriate IT solutions. The level so that everyone understands and time, Steve and his colleagues believe, for
greatest compliment, says Steve, is when buys into the solutions a consultancy is consultants to get down and dirty on the
We would like to thank all of our contributors to this first
a client tells him that his people fit right proposing. “IT is no longer a backroom art. bottom line of the balance sheet.
edition of IT in Focus. We are extremely grateful to each
in. He believes the sector has moved on
significantly and that today’s IT consultants
It’s expected to play its full role in delivering
on business goals,” says Steve. “A lot of
of them for the time and effort which they have devoted
must have the ability to adapt and
function within different corporate cultures.
money is being invested in the sector and
the board want to see the returns in profits
to their articles and for sharing their thoughts and
“Although it’s vital consultants win respect
for their skills on a project,” he says, “they
not just in technical capability.”
experiences with us.
also have to be accepted as fellow-team
members if they are to work effectively.”
3. ‘By managing change centrally
and integrating IT with the Change
Programme, we are able to fully
exploit IT and ensure we maximise
the benefits for the business.’
Chris Thompson
General Manager for Business Efficiency
West Bromwich Building Society
Driving from
the centre
Over the last five years, the West Implementing Change “I have a great team,” says Chris. “They
Bromwich Building Society has been For the West Bromwich model to work, are fully committed and very motivated.” In
one of the fastest growing building Chris believes a company must: recruiting for IT roles, Chris looks for the all
societies in the UK. Behind its success important interpersonal skills and a positive,
lies a dynamic new business model – Have a shared vision and goals pro-active approach. “If someone has the
with IT at its core. – Prioritise the investment needed right personality, we can always train them
to achieve these in additional technical skills.” With so much
Chris Thompson is West Bromwich’s – Keep to the agreed plan responsibility resting on IT, Chris makes
General Manager for Business Efficiency. – Check that benefits are delivered sure his IT people feel valued and are
His remit covers managing the Programme as expected thanked for their contribution.
of Change across the whole organisation,
management of the Society’s efficiency The vision at West Bromwich comes from Growth Potential
programme as well as overseeing its IT the top and the goals are intensely debated The finance sector has always tended to be
department. Chris’ role is central to CEO by the management before priorities are heavily IT oriented, which has made it easier
Andrew Messenger’s vision for growing the set. Once agreed everyone is committed to put IT at the centre of the management
company. As Chris explains: “By managing to the plan. The benefits expected from process. There is no reason, however,
change centrally and integrating IT with implementing new processes are carefully according to Chris, why the same business
the Change Programme, we are able to tracked to ensure there is a return on model shouldn’t work in other industries,
fully exploit IT and ensure we maximise the investment and that the changes made whether that be manufacturing, retail or
benefits for the business.” have been effective. Investment must be for services. The key elements are:
a purpose and it must be shown to have
Central Control achieved that purpose if further funding in – CEO with vision and leadership skills
Instead of IT being run as a support service, that area is to follow. – Motivated and robust management team
delivering on other people’s expectations, – Dynamic IT department with strong
Chris’ role means that he can put forward Good Relations interpersonal skills
IT solutions as part of a balanced portfolio As with all grand plans it’s all too easy – Good communication across the
of change, thereby meeting the key drivers for effort to be dissipated and for ambitions company
in the Corporate Plan and achieving the to flounder if the rest of the company fails
management vision. It makes for much to buy-in to the strategy. A combination Change is a continuous process for
more effective use of IT, a highly motivated of good communications and delivering modern-day companies, argues Chris.
IT team, who feel they are genuinely on expectations is all important in keeping When managed effectively, it can be used
contributing to the company’s goals and the rest of the workforce on board. Central to drive a business forward. By placing IT at
a much more effective use of investment. to the smooth implementation of change- the heart of business strategy, you can use
As Chris goes on to say: “Our strategy for programmes, however, are the IT personnel technology to its full advantage to fuel the
change is centrally agreed, co-ordinated themselves. They have to be team players, momentum for maximum growth
and fully budgeted. In companies where as well as being good communicators at
IT is seen as an add-on, too often the all levels, with a comprehensive knowledge
funding is not sufficient to see new projects of the business as a whole and not just
through, leading to their abandonment technology.
and disillusionment all round. Another risk
is the excessive expectation placed on IT
where the technology simply cannot deliver.
Conversely, it can result in the under-
utilisation of the available solutions.”
4. ‘In shifting IT away from its ‘black-
hole’, expensive add-on, techie
image and into becoming a
user-friendly, invaluable business
support function, it is vital not
to over-promise, over-stretch
resources or under-deliver.’
Mike McMinn
IT Director
Wolverhampton & Dudley Breweries
The voice of
Credibility
IT practitioners have to drop the jargon Delivering on Promises The Price of Failure
and start talking business solutions if Too often IT departments, in their If a company’s IT function fails to get
they expect to be listened to at board- enthusiasm to prove themselves, have its message through, the danger, Mike
level, says Mike McMinn, IT Director of been over ambitious when the technology believes, is that the board will decide
Wolverhampton & Dudley Breweries. It’s has either not been there or has taken to look outside for its IT solutions. “The
only once IT starts proactively looking at more time and money to implement than problem then is that they get the solution
how it can help drive a business forward, originally planned. For IT to become a fully that they, the board, asked for,” he
and speaking in plain language about how fledged partner in business growth, that explains. “All too often that is not the best
that can be achieved, that directors sit up can’t be allowed to happen. IT must move solution for the company. But because
and pay attention. into the real world of business and offer IT has failed to make its voice heard, the
genuinely deliverable solutions. people best positioned to identify that
“I used to walk into the board-meeting and solution will have been side-lined.”
watch everyone’s eyes glaze over,” says Building Credibility
Mike of taking over as IT Director seven To build credibility Mike recommends the Outside Support
years ago. His answer was to work his ‘Scotty Approach’ immortalised in that Mike has strong feelings on contracting
way across the company, identifying those endless space odyssey, Star Trek. “Can’t suppliers. He makes it clear from the
areas where enhanced IT provision would be done in less than three days captain,” start that he expects a robust solution
add genuine value to the company. the curmudgeonly Scottish engineer used delivered on budget and on time. He
to tell Captain Kirk, only to overcome huge also tells contractors that he expects to
Communication obstacles and deliver the solution in half still be friends with them at the end of
In shifting IT away from its ‘black-hole’, the time. Not that Mike thinks today’s IT the project. He’s not talking a quick beer
expensive add-on, techie image and professionals should overplay their hands down the pub, mind you. “I want us to
into becoming a user-friendly, invaluable to quite that extent but, he insists, they have developed a sound partnership in
business support function, it is vital not to have to be realistic and bring projects which both sides have delivered on their
over-promise, over-stretch resources or in on budget and within the time-frame. promises,” he says. Only then can he
under-deliver. It is just as essential to talk The more consistently IT delivers for the stand up in front of his fellow-directors and
to people at all levels of the company and company, the more ready the board is to make a sound business case for using
get them on side. “We spend a lot of time listen and invest in future projects; and the those same contractors in the future.
explaining what we are doing and why?” more likely everyone else in the company is
Mike says of his own department. “There to appreciate and support IT. Suffice it to say no one’s eyes glaze over
are always people ready to resist change any more at Wolverhampton & Dudley
but if you can demonstrate the positive Breweries’ board meetings when the
value of what you are doing, most will subject of IT is raised. “It’s all about
come round.” communication, partnership and delivery,”
says Mike.
5. ‘The cream of the IT industry Hooman Bassirian
Editor
converged on London’s Park Computer Weekly
Lane Hotel in March to celebrate
Computer Weekly’s third annual
Best Places to Work in IT Awards,
in partnership with the PSD
Group.’
Best Places to
Work in IT Awards
The Best Places to Work in IT Awards The 22 members of the judging panel Graham Gornall, IS Service Support
are the only awards of their kind in the IT combined the best of business, IT and Manager at Britannia, said that the win
industry, with a unique focus on celebrating employment expertise and were from a was a “fantastic fillip” for the company, and
the achievements of whole teams – not variety of organisations, including: the reflected the “huge amount of hard work”
just individuals. British Computer Society; the Institute of that went into ensuring its IT employees
Directors; the Institute for the Management were valued and their skills developed. “We
Entrants had to demonstrate that their of IT Systems; the Corporate IT Forum; undertake a lot of benchmarking of staff,
IT departments had a positive working the IBM Computer Users’ Association; the as well as seeking out the views of IT’s
environment, strong continued professional UK Oracle User Group; and the Centre for customers internally,” he said.
development opportunities, and a robust Computing & Social Responsibility.
work-life balance. The keynote speaker at the event was
Britannia’s entry was considered Karen Price, Chief Executive of E-Skills UK.
Britannia Building Society won the outstanding by the judges, who liked its She told the several hundred attendees at
accolade of the Best of the Best. Other approach to benchmarking itself with the awards ceremony that organisations
winners included the Land Registry among other IT departments, its candour in should use training to gain competitive
central and local government entrants; dealing with the results of its in-house edge. “Giving IT staff the support and
Kimberley-Clark in manufacturing and survey and the company’s formal structure resources to continue adding to their skills
engineering, Yell in media, hospitality for demystifying the work of the IT makes crucial business sense in an era of
entertainment and leisure; and Compuware organisation to the rest of the business. growing competition,” she said.
among IT software and hardware entrants. The judges were also impressed that 88%
of Britannia’s IT staff feel that their job gives
a sense of personal accomplishment.
Winners of the awards
Banking & Finance IT Software & Hardware
Britannia Building Society Compuware
Business Services Manufacturing & Engineering
EAGA Partnership Ltd Kimberly-Clark
Central & Local government Media, Hospitality, Entertainment & Leisure
The Land Registry Yell
Construction, Agriculture Utilities & communications
& Mining Kingston Communications (Hull)plc
WSP Group Plc
Retail, Wholesale & Distribution
IT Services – Past Times
Including Outsourcing Providers
IMERJA Ltd The Best of the Best
Britannia Building Society
6. Recruitment trends But that’s only the cover story… for several months yet as the lagged
impact of the Q3 2005 downturn,
coming in to 2006 The trend towards sector segmentation
has dominated in recent years and this
with GDP growth almost halving and
consumer demand evaporating, persists.
wider economic breadth to the staffing Nevertheless there are now several
The first nine months of 2005 show industry helps to reduce the impact of the indicators turning positive – average
overall recruitment industry turnover (VAT cyclical swings and roundabouts seen in earnings moderating, job vacancies
registered businesses) declining by 0.7% the past. Furthermore the growth of public increasing and retail sales responding
versus 2004. Best estimates for the full sector staffing, plus its trend towards out- to interest rate cuts – and by mid year
year suggest a 1% to 2% downturn to sourcing and greater accountability and these are anticipated to feed through
around £25.6bn, including both temporary efficiency, are still driving the recruitment to the wider economy, gently stimulating
and permanent business. industry forward and also compensating the UK labour market.
for the weaknesses in traditional segments
of the private sector economy. The key to long term recovery and stability
UK recruitment industry quarterly
is business confidence and that has
turnover trends (% change year on year)
The ‘cycle’ is now shallower and, in the proved more difficult to engender but the
current climate, arguably shorter but repeated pullbacks of the UK economy
40.0% certainly more mature as recent growth from recession should encourage some
35.0% in Finance, Engineering or IT for example, added investment given the low debt
30.0% have compensated for weaknesses in servicing costs this time around and
25.0% Healthcare or Education. Meanwhile this, together with several large projects
20.0% Blue Collar and Office turnover has, we looming, should help to underpin the
15.0% estimate, seen single digit decline in the Technology markets – both IT and
10.0% UK in 2005 as the economic outlook Engineering.
5.0%
weakened. With 2005 in the bag what
0.0%
are the pointers for 2006? Sue Dodd
Agile Intelligence
-5.0%
We begin 2006 with headline
-10.0% unemployment rising (the claimant
2002
2000
2001
2003
2004
2005
1992
1993
1994
1995
1996
1997
1998
1999
count shows 12 months of increases)
and the labour market is visibly softening.
The negative headlines could continue
An Overview An interesting factor is that there are Mur Snook
numerous projects, either in set up or Managing Director
Since the start of 2006 we have seen an now operational, that are keeping strong
upturn in demand across the majority of candidates with their existing employers. 0207 970 9700
our technology businesses. There has been Towards the tail end of 2005 many of these Mur.snook@psdgroup.com
increased interest in traditional skills, as well same candidates, lacking fresh challenges,
as a distinct call for both permanent and were open to approaches. The increase of Chris Eldridge
contract professionals in niche skill areas. new projects will affect the market in two Managing Director
This demand has led to PSD generating ways, initially making it more difficult to find
new sources for candidates and delivering candidates from a file search approach (as 0207 970 9700
bespoke solutions to several of our clients, candidates will not be sitting on databases Chris.eldridge@psdgroup.com
blending several channels to identify and waiting to be approached for an interesting
attract suitable candidates. We have also role), as well as increasing demand as www.psdgroup.com/it
seen growth in security software, business companies want the best possible talent on
continuity and infrastructure projects. their team.
Salary levels are increasing at a slower rate Our role in this changing environment is
in general, however, as always in harder to advise our clients on the most effective
to find skills, there is always a premium. and efficient manner in which to identify
In our contract staffing business we are and appoint new team members or leaders
seeing initial contracts extending in length, and deliver a solution that delivers results
reflecting an increase in project work and and is cost effective. We look forward to
the competition for talent. Companies continuing our existing relationships with all
are tying in contractors for longer periods of our clients and candidates and building
of time, thus reducing the risk of mission new partnerships across the IT community.
critical resources leaving at the end of a
short-term engagement.
Chris Eldridge
Mur Snook
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