Cost of Time: We all intuitively understand the reality of that saying, and we live it every day. It’s that precious commodity that slips past us and can never be retrieved. For organizations that are seeking to fill out their IT development shops, a key statistic is that it takes on average 45 – 60 days to fill a new position. Then there is the time it takes a team member to come up to speed on the specific project and the development practices. That’s time and opportunity that can’t be recovered.
Whether an organization uses external or internal talent acquisition the cost of finding and hiring the right technical IT professional can have direct costs of $25K per resource in recruiting, screening and interviewing. Now add the opportunity cost during the time that this position was unfilled, and the total cost of talent acquisition can exceed more than $50K.
Here’s another sobering thought: The average employee tenure is below 6 years, and 20% of new hires leave within 12 months. Expect 30% of those that are hired to change their jobs within 3 years. And if that employee leaves you can bet that it will cost you almost double your initial investment. Rinse and Repeat. 🙁
Reflecting on the implications of this information is where a quality development partner like Sonatafy Technology can fit into your organization. Not only do we handle acquiring the right people with the right skills, but we manage all the other care and feeding costs such as real estate, technology, training, and compliance certification that would be an additional burden that provides additional staffing flexibility that is not possible with full-time employees and meeting additional demand or capacity requirements.
If your development team is also providing system support for operational systems, can they develop new system capabilities on a reliable schedule? This is a recipe for schedule delays producing stressed-out project managers. Sonatafy can provide dedicated resources to the team providing more predictable results and avoiding costly delays associated with not having dedicated staff.
The “cost of time” isn’t the cost of development, it’s the cost of the opportunity that is lost when you can’t get new competitive products or capabilities into the market fast enough.
Source: Business insider 2018