Outsourcery still losing as much as it turns over Former Dragons' Den rude boy and Outsourcery co-founder Piers Linney is likely to be forced to pitch his business to investors again for a fresh round of funding, after closing off a tough, cash-zapping year. The London-listed cloudy biz reported revenues of £7.4m for calendar 2014 – up 42 per cent, but still some £1.1m down …
Costs come mostly from salaries. With great complexity comes great admin cost and large-scale tech is always complex.
More to the point, what new customers want to sign up their IT to a company which looks as though it may go out of business?
Why not get in a few contractors, do a pilot and scale things up gradually?
Maybe even get in a couple of teams and let them take different areas of responsibility, if your infrastructure is large enough.
Giving your IT team different financial objectives from the main business has always struck me as rubbish idea. Add in levels of management on both sides which have to be paid for and the concept becomes a bit surreal.
That's not to say you can't use cloud, but using it for PoC projects rather than production would seem to be the logical choice if you are a company of any size.
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See, the alternative public funding model runs along lines of:
get fellow mandarins to provide joyful press releases
get guvmint stats and finance bodies to do a Nelson and look elsewhere
bleed the public purse for all the dosh it has until the squeaking of the squeezing and the grunting of the slurping attracts too much attention
do a change in heads, sub-heads, regional heads, regional sub-heads ensuring that only frontliners remain in post
do a few more years of bleeding and pleading before discovering frontliners were doint it all wrong
do another rapid change in heads with fellow mandarins declaring all is alright now
well, you get the message?
profit n loss accounts are so much cleaner, effective and timely?
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