The Drum, Agency Acceleration Day -'Olympic-sized talent pool' - Diogo Freire
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© 2014 TBG © 2014 TBG Diogo Freire - TBG CFO & COO Olympic-sized talent pool To be ready for growth but still maintain profit, you need to have the right mix of staff and the right talent. Is there an ideal balance of junior, middle and senior places on your team?
Transcript of The Drum, Agency Acceleration Day -'Olympic-sized talent pool' - Diogo Freire
© 2014 TBG© 2014 TBG
Diogo Freire - TBGCFO & COO
Olympic-sized talent pool
To be ready for growth but still maintain profit, you need to have the right mix of staffand the right talent. Is there an ideal balance of junior, middle and senior places onyour team?
© 2014 TBG
Contents
1. Universal Objectives2. A Key Question3. Getting it wrong4. Skills Matrix5. Getting it right
© 2014 TBG
What’s the right mix of skills?
CFO
• 20% operating margin!
COO
• High quality work• Low Client churn• Low Staff churn• Growth• High staff utilisation• Etc.
Universal Objectives
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KEY QUESTION
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Who are we?
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Skills Imbalance Scenarios
• Clients are Happy• Utilisation 80%+• Low Profitability • High Staff Turnover
• Clients Unhappy• Utilisation 90% +• Profitability declining/ stagnant• Staff retention patchy
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Skills Matrix
Too Many Chiefs You’re a Star
Is this your Mission? Too many Indians
HIG
HLO
W
LOW HIGH
REVENUE/ HEAD
CH
IEFS
/ IN
DIA
NS
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REVENUE/HEAD: use with care
Brain Surgeons: $457,000
Efficiency geeks: $130,000
The Independents (2012): $179,000
Goliath (2012): $130,000
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KPI: Profitability per head
- Define your own
- It’s like a red wine
- Early warning signal
- Does not suffer fools
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Getting it right
Too Many Chiefs You’re a Star
Is this your Mission? Too many Indians
HIG
HLO
W
LOW HIGH
REVENUE/ HEAD
CH
IEFS
/ IN
DIA
NS
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LOW/LOW
Profitability: high
Type of work: repetitive, difficult to differentiate
USP: what?
Key to profitability: efficiency
Recruitment strategy: grads
Training: formulaic
Staff retention: culture but there is limits
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HIGH/HIGH
Profitability: high
Type of work: creative, defining, cutting edge
USP: high level of creativity, expertise
Key to profitability: high charge out rates
Recruitment strategy: seeking the best at all levels
Training: mentorship with Senior Staff
Staff retention: continued stream of interesting/ challenging work –growth!!
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The Yellow Brick Road and other Fairy Tales
Too Many Chiefs You’re a Star
Do all roads end here?
Too many Indians or a sweet spot?
HIG
HLO
W
LOW HIGH
REVENUE/ HEAD
CH
IEFS
/ IN
DIA
NS
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Dr Jekyll would been a great COO
Type of work: repetitive, difficult to differentiate
USP: pricing
Key to profitability: efficiency
Recruitment strategy: grads
Training: formulaic
Staff retention: culture but there are limits (and that is ok)
Type of work: creative, defining, cutting edge
USP: high level of creativity, expertise
Key to profitability: high charge out rates
Recruitment: seeking the best
Training: mentorship with Senior Staff
Staff retention: continued stream of interesting/ challenging work –growth!!
© 2014 TBG
Conclusion
Define who you are
Match your Skills Mix to your offering
Enjoy the ride but don’t indulge
Stars need growth to keep shining
Embrace change
