The Practice That Gets Sold Is Never the Practice That Was Valued
A public Microsoft and Oracle partner reported a 15.4% revenue drop last week, swinging to a net loss, with adjusted EBITDA down 53.4%. Apparently, a bank has been retained to explore a sale, a merger, privatization, or a recapitalization.
That in itself is pretty big news, my friends; this is a good-sized, well-known partner in the Dynamics channel!
Management pointed to slower client decisions and longer conversion cycles.
Here is what a press release never covers.
Consultants read the same announcement your clients do.
The strong ones, the people with options, do not wait to find out what happens next or for the ship to sink. They start answering calls from recruiters or following up with colleagues within the industry that have been nudging them to consider a change.
People without options stay or “wait it out.”
So, six months later, the practice that gets sold is not the practice that was valued. How could it be? The best talent has already left the building….
If I put that to ten partner CEOs this week, I think most would tell me they “hope” the delivery team holds together through this review process. Very few would tell me they have a retention plan, let alone with actual names on it.
This doesn’t seem like a well-thought-out strategy to me.
The conversation with the top 10% of your delivery organization decides what a buyer actually receives.
For anyone who has been through an internal review, what kept your best people?
That in itself is pretty big news, my friends; this is a good-sized, well-known partner in the Dynamics channel!
Management pointed to slower client decisions and longer conversion cycles.
Here is what a press release never covers.
Consultants read the same announcement your clients do.
The strong ones, the people with options, do not wait to find out what happens next or for the ship to sink. They start answering calls from recruiters or following up with colleagues within the industry that have been nudging them to consider a change.
People without options stay or “wait it out.”
So, six months later, the practice that gets sold is not the practice that was valued. How could it be? The best talent has already left the building….
If I put that to ten partner CEOs this week, I think most would tell me they “hope” the delivery team holds together through this review process. Very few would tell me they have a retention plan, let alone with actual names on it.
This doesn’t seem like a well-thought-out strategy to me.
The conversation with the top 10% of your delivery organization decides what a buyer actually receives.
For anyone who has been through an internal review, what kept your best people?
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