As companies embark on digital transformation efforts, they attempt to evolve their business models and products to open up new markets or get closer to their existing customers (interact with their users the way users want to interact with those organizations). Customers value digital interactions with companies through their own devices, such as computers, phones, connected cars, etc.
For a company to achieve these strategic digital goals, management needs to create internal tech capabilities or seek external assistance from consulting firms to help the organization define and execute this journey. From the consulting firm’s standpoint, who are we helping (the buyer of my services)? Is the strategy already defined? Have the products been ideated? Is the tech team in place to execute?
Stakeholders at different levels of an organization will have different needs. The company leader will want to make sure their new investments fit with the overall strategy and generate value. The product leadership, one level below, will want to succeed in launching and iterating on the new product plans while managing the budget they have been given to execute. A VP or manager, another level below the product leaders, will want to ensure the teams, tools, and processes they have in place are appropriate to hit management’s goals.
Technology services companies need to assess their go-to-market strategies and understand who will buy their services. Are we selling strategy work to the CEO? Are we selling a product vision to the Chief Product Officer? Are we completing teams for a Director of Engineering? Each buyer category could have different success criteria for what they expect from the services vendor.
Business
If technology is not an organization's core competence, it is common for that company to bring in consultants to assist with these digital transformation initiatives. The decision to invest in digital was probably made by the CEO or top leadership of the company or business unit (depending on company size). Strategy consulting firms or management consulting firms may have helped the CEO arrive at these master plans.
Product
As the company solidifies its plans to grow digitally, the product organization or business unit is tasked with ideating the product features and refining the value the user will gain from using the product, plus the value the company will realize from launching the new product. Digital transformation firms will use the previously outlined strategy to help create the product. In some cases, we find product ideation firms with strong user experience (UX) expertise helping create and define the product.
People
Finally, an organization may have the strategy in place, have embarked on software product development, and realize it needs to complement internal teams with additional external roles. At this level, a technology services vendor may offer its customers dedicated teams, focusing on providing the high-quality talent its customers require in a staff augmentation model.
As a company founder or organizational leader, it is extremely relevant to understand who the ideal buyer of your services is and position your company’s offerings accordingly. Each buyer will interpret the value differently and expect a distinct selling approach. You may sell different solutions to different stakeholders even at the same customer company.
At Alten Capital we enjoy connecting with technology services businesses with strengths at each level. Please reach out to us to see how we can partner to help you scale your business.