Building a Better Model...for a technology company

Observation
A technology consulting company with a proprietary software solution was facing the kind of burnout common to successful organizations in that industry. So when a non-equity partner was contacted by a former employer, it made sense to listen. It wasn’t that he wanted to leave but talking to his old boss made him look at the current company in different eyes. This, in turn, started a conversation with management about where this company was going and what it needed to get there.

It was obvious: they needed to commit to a plan and a new direction.

Enter KAMDEN Strategy Group.

Strategy and Implementation
We began at the end – by asking two questions of the company principals:

  • Why do you want to do what you do?
  • When you decide you want out, what will you need?

From these questions we began to work backwards, looking at specific numbers that would make selling “worth it in five to eight years.” Initially this was a large but unfounded number.

Then we did financial modeling and, from there, sensitivity modeling. We evaluated all the possible variables, looking eight years out. And the number grew bigger and bigger than the original. But it was fact and reality based. Which meant it was achievable.

Results
In three months, we developed a roadmap for growth that ultimately represented scenarios not previously imaginable. And we put processes in place for initial implementation. What started out as an initiative to try and save a key employee became a new way of looking at the whole organization.

And that’s just the beginning. Serving in the role of business advisor, we now work with the company to solve specific problems and deal with specific issues to keep the organization traveling along the right path. From employment issues to contracts, performance to general HR, we work together to find solutions that fit with the new company direction. Talk about building a better model!

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© 2008 Kamden Strategy Group
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