BGS PLACES MULTIPLE POSITIONS AT PRIVATE EQUITY COMPANY
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The CFO of a high growth private equity company needed to assess the finance organization’s objectives and identify the required positions to support them. BGS Consulting was retained to compare current resources against organizational capabilities to determine functional role requirements that would enable the CFO’s organization to support the future goals of the business. As a result, BGS Consulting managed the recruiting process to place high caliber talent in multiple permanent positions.

The private equity owned company, located in the Washington, D.C. area achieved $170M in revenue last year and is continuing to grow.

“Our new hires brought the functional skills we needed and were a good cultural fit in our organization. It was refreshing to have talent come onboard with a high level of enthusiasm for their new roles” said the CFO. “They have settled in and have been high performing members of the team.”

BGS Consulting is a professional staffing firm that specializes in flexible and direct hire staffing in technology, finance and accounting, government, and high growth companies. We are dedicated to making leadership and functional role placements that last. We take the time to listen and understand the staffing needs of unique growing businesses so that we can effectively locate, screen, and place the most qualified employees. We are focused on connecting talented people with reputable companies across the greater Washington, D.C. metro area as well as both the Richmond and Baltimore metro areas.

BGS RETAINED TO PERFORM CFO SEARCH FOR HIGH GROWTH COMPANY
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Our client organization had recently gone through significant growth and had an aggressive plan to continue expansion through merger and acquisition (M&A) activities. The high growth company was in need of a suitable finance executive to lead the company through the next stage of significant growth. BGS was retained to conduct an exclusive search of high level candidates to fill this critical role. Our team mobilized and prequalified a strong pool of candidates that exceeded the client’s timeframe and expectations, allowing them to focus on other business objectives while BGS managed the entire recruitment process.

Our client had an aggressive growth strategy, including a doubling of the company within a 3 year period. Finding the right executive was critical.

“I’m impressed with the caliber of the candidates that were brought to us” said the CEO. “We trusted BGS versus other national firms because of the deep rooted relationships to the local network and DC community.”

BGS Consulting is a professional staffing firm that specializes in flexible and direct hire staffing in technology, finance and accounting, government, and high growth companies. We are dedicated to making leadership and functional role placements that last. We take the time to listen and understand the staffing needs of unique growing businesses so that we can effectively locate, screen, and place the most qualified employees. We are focused on connecting talented people with reputable companies across the greater Washington, D.C. metro area as well as both the Richmond and Baltimore metro areas.

 

BGS SUPPORTS TIMELY TAX COMPLIANCE FOR GLOBAL TECH CLIENT
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A global technology company was facing critical international compliance issues while they were preparing for a significant transaction. Their non-compliance put this transaction and the growth of the business at risk. BGS Consulting was engaged to bring all statutory audit and tax filings current within a very short time frame. Our team mobilized and acted quickly to enable the company to achieve complete compliance within a short timeframe which allowed the company to focus on its more strategic initiatives, including a significant re-capitalization of its ownership structure.

The company has global operations in 14 foreign locations across the globe including the United States.

“The BGS team got up to speed on the project quickly and brought the right level of experience to make an impact on day 1” said an integral project manager. “I look forward to continuing to work with them on other compliance related projects.”

BGS Consulting is a professional staffing firm that specializes in flexible and direct hire staffing in technology, finance and accounting, government, and high growth companies. We are dedicated to making leadership and functional role placements that last. We take the time to listen and understand the staffing needs of unique growing businesses so that we can effectively locate, screen, and place the most qualified employees. We are focused on connecting talented people with reputable companies across the greater Washington, D.C. metro area as well as both the Richmond and Baltimore metro areas.

BGS ADVISES ON $350M CAPITAL RAISE FOR SAAS COMPANY
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Our global SaaS company client wanted to buy out existing ownership and raise capital for additional growth and expansion. BGS Consulting was engaged to work alongside their internal finance organization, a top investment banker, and an underwriting law firm to execute a recapitalization of the company.

This global SaaS company works with many growing Fortune 1000 companies to manage their data and can boast its own high growth rate of 30% over the last several years. The company provides products and services that enable organizations to accelerate growth, gain actionable visibility, and reduce risks.

The BGS Consulting team assisted in achieving a $350M capital raise to support the company’s growth objectives. “BGS provided a competent team with the experience we needed” said a key underwriter who partnered with BGS on the project. “I feel very confident in the quality of the deliverables we created with them.”

BGS Consulting is a professional staffing firm that specializes in flexible and direct hire staffing in technology, finance and accounting, government, and high growth companies. We are dedicated to making leadership and functional role placements that last. We take the time to listen and understand the staffing needs of unique growing businesses so that we can effectively locate, screen, and place the most qualified employees. We are focused on connecting talented people with reputable companies across the greater Washington, D.C. metro area, branching out to Richmond and Baltimore.

How Mergers and Acquisitions will Affect Your Workforce
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Many of the biggest household brands are where they are today due to strategic mergers and acquisitions (M&As). However, among largely successful partnerships, such as Disney and Pixar or Oracle and NetSuite, there are an estimated 80% of M&As that fail to achieve their strategic objectives. One of the biggest reasons attributed to this failure are stresses on Human Resources.

When two companies are undergoing a merger or acquisition, they don’t always prioritize how well their cultures and employee base will integrate. Because of this, mergers have a tendency to cause a higher turnover rate than planned for. Leigh Richards, a writer for chron.com, identifies three reasons: Stress, Fear of Job Loss, and Competitiveness. According to Richards, “During mergers and acquisitions, change can be especially difficult and can lead to stress which can have a negative impact on morale if not handled effectively.”

Change is stressful

Stress is one of the biggest M&A impacts to your workforce. Communication is critical while big changes are happening. With uncertainty on the horizon, employees may stress over new expectations and how to handle them. It’s not what they signed up for, it’s not what they agreed upon, and now they just plain might not want to be a part of it anymore.

Fear of Job Loss

Many M&A employees fear that they will lose their job. When companies merge, new business leaders may want to bring their own teams onboard. There could also be less opportunity for their skillset once the teams are consolidated.

For example, take Susy Promotimus, who was supposed to move into a leadership role before her employer merged with another company. The decision to promote Susy is no longer made by the same Directors. Not only may she not be promoted, she may be also be expendable. Poor Susy.

When companies merge, the public relations teams will make sure to report how great it’s going to be for everybody. And for the greater vision of the companies, maybe it will be. But for the people involved, that may not always be true.

The Wharton School at the University of Pennsylvania recalls a merger between two major companies, Procter and Gamble, merging with Gillette. “When Procter & Gamble announced in January that it would buy Gillette for $57 billion, the fact that 6,000 people would lose their jobs was all but buried in the details of a deal that would link some of the world’s most well-known household brands.” That doesn’t sound like much cause for celebration for the employees of these two companies.

Organizational Restructuring

Richards final point is the competitiveness of employees. They may no longer be on the same page and it can sometimes cause serious conflict between employees who fear for their jobs. Richards notes that “During mergers and acquisitions it is important for managers and HR professionals to be alert to signs of negative competition and to ensure that employees are being kept informed about impacts on their jobs and their futures with the company. While some competition is good, competition is not good when it creates tension and negative conflict in the organization.”

Knowing these challenges, it’s important that companies handle M&As with care in regards to their people. According to americasjobexchange.com, there are certain things that need to be considered on how to handle these large organizational changes, such as “Handling employee dynamics correctly, focusing on training, motivating employees for the difficult time, and preparing employees for a culture shift. Preparing employees and communicating expectations are critical.”

It’s important that employees whom are to be laid off are informed immediately to reduce uncertainty. Those who remain need to have clear guidelines on their roles and expectations moving forward. They will need to be properly trained on new processes, so as to be efficient and effective in their roles. Employees will also need to be aware on culture shift expectations. And lastly, it’s very important for them to maintain morale. Motivate them for performance and reward them for their dedication.

In conclusion, M&As are extremely common and can be great strategic plans for growing businesses. But their success is always affected by people who are impacted in the process. After all, your people are what have made your company run all these years and they have a tremendous impact on the success of your business in the future.

Works Cited

“The Effects of Merger and Acquisition on Employee Morale.” Chron.com, http://smallbusiness.chron.com/effects-merger-acquisition-employee-morale-3196.html

America, Mar 30 2005 Strategic Management North. “The Human Side of Mergers: Those Laid Off and Those Left Aboard.” Knowledge@Wharton, http://knowledge.wharton.upenn.edu/article/the-human-side-of-mergers-those-laid-off-and-those-left-aboard

“Mergers & Acquisitions: How They Impact Employees.” Mergers & Acquisitions: How They Impact Employees | America's Job Exchange, http://www.americasjobexchange.com/employer/employer-articles/business-mergers-and-employees

How to Find Your Dream Job
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As children, we all remember being asked “What do you want to be when you grow up?” The breadth of career options you have as an adult is far beyond anything a child could imagine. In most cases, whether your young self chose to be an astronaut, doctor, or artist--you’re likely on the path to something much different as an adult.

Employees who feel happy and fulfilled in any career have been able to take advantage of opportunities to learn new skills, purpose in their role, a fitting company culture, and positive mentor and team relationships.

The question is: how do you find those meaningful things in a role that fits your skillset and specialized aspirations?

Target The Right Industry

One of the most career-defining decisions that budding professionals have to make is which industry to target. Building relationships and skills within a growing-industry such as technology, health care, or finance and accounting, will likely affect your career trajectory for the next several decades.

To understand your potential for career growth in your particular industry or field of interest, we always recommend that our candidates consider the market size and growth rate, competition, opportunities for growth, threats of new emerging markets, industry profitability, and technology trends.

Pick The Right Employer

Your job is more than just a place you spend 8 or more hours a day chipping away at your to do list. Alongside your project responsibilities, you’re surrounded by coworkers, bosses, and office politics. Company culture ranges from quiet, calm offices that allow you to focus to lively groups of friendly employees in collaborative spaces. In a world full of unique leadership personalities, different companies have created distinctive cultures and work environments. Some employers do little to push their employees outside of their comfort zones whereas others aggressively involve staff in regular team-building and networking activities.

"It's all about the people. Very often we choose the job that pays us the most or offers us the best benefits—which is good in the short term. But if you don't love the job, you're not going to advance in the organization anyway.” Said Simon Sinek, author of several books, including “Leaders Eat Last.”  “If you take a lower-paying job that you love, you'll advance at the organization. You'll eventually make up the shortfall and go beyond it."

Work With A Professional

An effective recruiter thinks about more than the bottom line--they aim to make lasting connections for the right candidates with the right employers. Agencies that focus on efficiently filling open positions with mediocre matches are destined for frustrated employers and employees that quickly leave the hiring firm.

The best characteristics to look for in the recruiter that you work with are are great active listening skills, relationship-building skills, honesty and reliability, dedication to providing value to their network, and confidence in their service offering.

BGS is a professional staffing firm that specializes in flexible and direct hire staffing. At BGS, we’re dedicated to being an advocate to our network of talented professionals who are seeking a fulfilling career. We’re dedicated to understanding the needs of our job-seekers and providing job opportunities that help them to achieve greater success. Contact us today to learn more about taking the next step in your career.

Works Cited

Sinek, Simon. “Leaders Eat Last: Why Some Teams Pull Together and Others Don't.” Portfolio Penguin, 2017.

The Cost of Saving Money on Temporary Personnel
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You’re in a bind. You’ve reached your busy season, and you are overwhelmed with work and completely understaffed. You have deadlines to meet and it’s going to be nearly impossible to finish what needs to be done. Major business is at risk, so it’s time to bring in more help. Solution? That’s easy. On-board more employees.

Is it wise to bring on board temporary employees, or is it better to hire more full time employees? Many companies are under the illusion that temporary personnel are a better solution for their firm than permanent hires. While paying a premium to have help available when you need it is a great solution for some companies, studies show that it generally costs the same or just slightly less to hire temporary employees compared to bringing on a full-time worker.

The Temporary Staffing Trend

According to Randall Hatcher, author of The Birth of a New Workforce, “During the early days of temporary staffing in the 1960s and ’70s, most companies turned to this option on a short-term, project, or seasonal basis only. As they started to increase their number of temporary workers, the enormous cost savings caught the attention of the number crunchers. Before long, some “temporary” jobs were lasting two, three, or five years, and others would end only if the business folded.” Before long, temporary staffing became a trend.

To better understand how most staffing agencies operate, let’s take full time worker, Joe, who works for Company ABC. Joe is making $15/HR and is making full benefits though Company ABC, paid for by Company ABC. Company ABC needs more help and elects to bring on temporary help. Big Time Staffing Company comes knocking on the door, and says “Hey, Company ABC. We have access to everything you need at the tip of our fingers. Say the word, and we will do ALL of the work that you need to bring on employees and cover the hidden costs. We’ll bill you $18/HR, but we’ll cover the hidden costs of taxes, liability insurance, and other administrative fees.”

In this instance, Company ABC is paying Big Time Staffing Company $17/HR, but doesn’t have to worry about the hidden costs. It’s up to Big Time Staffing Company to determine how much they want to actually pay these temporary employees. The less they pay the employee, the more they make on markup. If they pay John Temporarius $10/HR, Big Time Staffing Company will make $7/HR for every hour that John Temporarius works, minus burden (hidden costs) of hiring.

It’s seen as a win for all, because Company ABC does not need to utilize their own resources to search for temporary employees. Their own employees can serve their time elsewhere, and Company ABC can easily replace John Temporarius he isn’t a good fit. But there are things we’re not factoring in, and that’s the actual value of a temporary employee versus a full time employee making full benefits.

According to Lorri Freifield, author of trainingmag.com article “Hidden Costs of Temporary Workers,” you’re unlikely to get the same level of productivity from a temporary employee versus a full time employee. You will typically get higher output from the $15/HR employee than John Temporarius, whom is making $10/HR. The job is less likely to mean as much to John Temporarius, who knows he is making far less than his full time counterparts.

Full Time vs. Temporary Staff

Full time employees have been observed to experience higher morale, loyalty, and tenure.Temporary employees, on the other hand, have shown to be less reliable. For many of them, there is a reason they are temporary--they have struggled to find a full time position. Additionally, temporary employees have reported lower morale, higher absenteeism, greater turnover, and less efficiency. According to author Randall Hatcher, this lack of output caused a 10-20% decrease in production, which did not account for the pennies saved per hour.

This isn’t always the case, as some professionals choose to pursue temporary roles at different points in their careers to allow them to gain more experience in a specialized field and allow them timely flexibility to move on after they have gained experience. Selecting a great candidate with a high level of motivation and skill is ideal, whether they are temporary or permanent.

“Temps can affect office bonding. Your permanent employees may be less likely to work well with temps, viewing them as, well, temporary. This can affect team spirit and energy,” Wrote Rieva Lesonsky in her glassdoor.com article, “What to Consider Before Hiring Temporary Employees.”

Finding Balance

For some businesses, the correct move is to bring on temporary help during busy seasons. For others, they may be better off bringing on more employees full time who can help them year round. The important thing is to look at all options, and not just assume temporary employees are always the best move for your specific business needs.

Works Cited

Lesonsky, Riesa. “What to Consider Before Hiring Temporary Employees.” Glassdoor for Employers, 16 Apr. 2014, http://www.glassdoor.com/employers/blog/what-to-consider-before-hiring-temporary-employees

Freifeld, Lorri. “Hidden Costs of Temporary Workers.” Training Magazine, 21 Oct. 2013, http://trainingmag.com/content/hidden-costs-temporary-workers

Hatcher, Randall W. Birth of a New Workforce: 21st Century Strategies That Will Revolutionize Your Business. Pursuit Books, 2011.