Theo Schnitfink for Forbes: Cloud Transformation in the Face of Market Recession: Consider Hiring Services Rather than People

In his Forbes Technology Council column our CEO Theo Schnitfink shares his thoughts on the business prospects in the face of the nearing market recession.

The imminent recession we are slipping into is undeniably on every executive’s mind today. All the macroeconomic signals are indicating that downturn is inevitable. Inflation has spiked to 40-year heights, which caused interest rate expectations to rise suddenly. The more growth-oriented the companies were the more they’ve gone down over the last 6 months. Even the absolute best SaaS companies are experiencing turbulent times.

As a result, the outflow of venture capital funding the startups, including late-stage companies with 100+ and 1000+ employees. There is so much uncertainty, one being the recession, that a lot of venture capital firms are choosing not to invest right and instead wait for more clarity on where the new evaluation levels are going to land.

Considering the situation, hiring new people might not be a good idea for some companies, as it entails a long-term commitment. So instead of hiring people, companies should consider hiring services for a specific problem.

A short article recap:

• Services are more predictable for businesses
• In terms of business continuity, they minimize the impact
• They are more problem-focused and flexible
• They can help speed up the delivery
• Transitioning to a service model is essentially about choosing the engagement model that works the best for your company.

Get the full story, visit Theo’s article on cloud transformation in the face of market recession.