2012
   CoolPeople is an international provider of IT resources
    and related sourcing services helping our clients to
    access new talent, optimize resource utilization,
    (de)mobilize project teams and balance resource gaps

   CoolPeople unique offering is based on a specific talent
    pool available in the CEE freelancers‘ community
    ◦ Proven, experienced and self-managed resources
    ◦ Flexible, quickly available, ready to work onsite
    ◦ Hard to be found and hired/employed by clients and
      traditional staff augmentation providers
Augment constant lack of IT resources in Europe and
help clients improve their utilization by

   Mapping and organizing free resources in IT
    freelancers‘ community
   Partnering with clients, sourcing companies and IT
    service providers to identify and aggregate demand
   Providing proprietary sourcing and fulfillment platform
    for effective execution and administration
   Become a leading IT resources broker in Europe by 2015
    through
    ◦ Partnering with sourcing and IT services providers in highly
      demanding Western European markets
    ◦ Boosting supply capacity by replication of unique IT freelancers
      community and sourcing model matured in CZ/SK in other CEE
      countries
    ◦ Introducing complex sourcing services to strategic clients to
      improve and, when applicable to outsource, their sourcing
      function and address resource utilization challenge
   Founded in 2005
   Matured on Czech and Slovak markets
   Based on IT freelancers sourcing and community model
   Delivered over 60.000 mds to 150+ clients
   12.000+ IT freelancers CEE community in pool
   100+ FTE current runrate
   Supported by proprietary sourcing platform
   Selected clients – HP, Logica, Ness, IBM, ...
   ISO 9001, ISO 27000, ISO 10006 certified
   Freelancers = above-average skilled and experienced,
    self-managed and self-motivated professionals
   About 10% of IT resources prefer to work as freelancers
    ◦ Freedom of choice – technology, location, duration of project
    ◦ Not limited by employer priorities
    ◦ Better compensation (because of lower overhead)
   Not well utilized talent pool
    ◦ Traditional employers are not ready to reach/map this community
      and maintain contact enabling effective and timely hiring
    ◦ Freelancers have often limited access to dispersed demand to
      offer/sell their capacity
     (Note: otherwise even more will choose to become freelancers)
   Project Variety and Control
    ◦ Quality and variety of work offered by CoolPeople due to its extensive client/partner
      network reducing need for their own business development
    ◦ Our model enables them to have control over type and timing of work they do
   Collaboration Model
    ◦ Soft community approach respecting their desire of independence, while giving
      them social ties and club membership option
    ◦ They are independent, but not alone – our scale enables team collaboration, expert
      guidance, exchange of experience
   Reduced Administration
    ◦ Portal for sharing information and reducing burden on them to handle business
      development, negotiation, contract administration, reporting, timesheets and
      invoicing
   Better Compensation
    ◦ Simple (cheap) commercial model with low overhead, shared business development
      and sales costs
    ◦ Various incentives, referral and loyalty programs including free trainings and
      education
Talent & Community Management
                                       CoolPeople
                                       CallCenter
                                                    Regular contact
                                                    and updates

                                                         CoolPeople Club


                     Skills                                                Loyalty Programs
                     Availability                                          Free Trainings
                     Rates                                                 and other benefits

Talent Search                                          Community
& Mapping               CoolPeople                     Management
                         Sourcing
                        IT Platform

Demand                      Database
                                                       Engagement
Consolidation                                          Administration
   Partner &
  Client Portal
                  Structured                                          Ordering
                  Requests                                            Monitoring
                                                                      Reporting
                                                                      Invoicing




        Demand & Engagement Processing
Resource Utilization - Key Challenge we serve
                  Enhanced Sourcing Services
                         Collaboration Models
   Resource utilization – critical business factor for any
    professional services provider
    ◦ Talent „war“ in highly competitive IT services markets
    ◦ Project-driven dynamic requirements
    ◦ Resource gaps, team de-/mobilizations

   Resources and their utilization have a major impact on
    ◦   Financial results
    ◦   Delivery quality, effectivity and flexibility
    ◦   Pricing and competitiveness
    ◦   Employee satisfaction and stability
   Even the best companies reach only 70-75% utilization
    ◦ Demand (need) is always more dynamic than capacity

    130%
    125%
    120%
    115%
                               Lack of Resources
    110%
    105%
    100%
     95%                                                                     Unutilized Bench
     90%
     85%
     80%

           1   2   3   4   5      6    7   8       9   10   11   12    13   14   15   16   17   18   19   20

                                               Needs        Capacity
   Having right resources (skills, seniority) on right time
   Otherwise it might result in
    ◦ Seniors doing junior work and vice versa
    ◦ Misuse of skills and competency
    ◦ Key resources utilized over 100%
    ◦ Employee sat and image of good employer suffer
    ◦ Delivery quality and effectivity at risk
    ◦ Subcontracting strategic piece of work
      (sometimes even to potential competitors)
    ◦ Lack of resources for business and competency development
    ◦ ...
Service
 Level



                                       Managed
                                       Sourcing
                         Strategic     Services
                         Partnership

          Ad-hoc Staff
          Augmentation



                                                  Value
•   Ad-hoc requirements, open competition
   Staff       •   Sourcing managed by client – own contractors network and many partners
Augmentation   •   No optimization, higher cost and volatility
               •   Suitable for balanced well-utilized PS organization with rare requirements


               •   CoolPeople as one of the first-to-go partners or even a preferred partner
               •   Sourcing co-managed – prediction of future needs and mutual planning
  Strategic    •   Joint governance, reporting, aligned processes
 Partnership   •   Enhanced sourcing services option – temporary placement, transfer to core, ...
               •   Client remains responsible for sourcing and utilization incl. related costs


               •   CoolPeople takes over client‘s sourcing function
  Managed      •   SLA-driven (e.g. CoolPeople co-responsible for utilization), risk&reward
  Sourcing     •   Enables to manage optimal proportion of core/sourced resources
  Services     •   Enhanced sourcing services as standard
               •   Optimal cost – volumes, saved sourcing/business acquisition costs
Service Option      Description                                               Terms
BF/BR               Better Fit/Better Rates due to joint planning and         Regular joint planning and
                    resource cost optimization                                forecasting required
Exclusive           Proposed candidates are not offered to anybody else in    2 weeks max.
Reservations        defined reservation period

Volume Discount     Volume based discounts on all resources                   1% per each 10 FTE, 5% max

Parking Service     Client‘s own contractor hired through CP for fixed        Fixed Fee (500 KCZ/day) or
                    „parking fee“ (HC freeze or authorized partner)           % of rates
Temporary           Short-term assignment enabling Client to mobilize large   Standard Rate + 10-20%
Placement           project or recruit/build own team

Transfer2Core       CoolPeople enables to convert resource to Client‘s HC     < 10% of billable strength
Option              (core team/competence development)                        Transfer fee (6/12 months)

Replacement         CoolPeople shall replace incapacitated resource (long-    Replaced in 2 weeks
Warranty            term sickness, resignation, breach of contract, ...)      2 weeks free KH transfer

Milestone-based     Case-by-case agreed Payment Terms to reflect project      Monthly downpayments to
Payment Terms       cash-flow                                                 cover direct cost

Tailored Services   Dedicated AM, risk&reward schemes, ... and other          Only for large volume and
                    client-specific SLAs                                      strategic/exclusive partner
Service / Model                    Staff        Strategic    Managed
                                Augmentation   Partnership   Sourcing
BF/BR                              optional

Exclusive Reservations
Volume Discount                    optional

Parking Service                    optional

Temporary Placement
Transfer2Core Option
Replacement Warranty               optional

Milestone-based Payment Terms                    optional

Tailored Services                                optional
   Freelancer community - unique talent pool
    ◦ High-quality, self managed, ready to work onsite, resistant to traditional
      recruitment and hiring
    ◦ CoolPeople pioneered this strategy reaching unmatchable penetration
   Flexible and fast sourcing, high success rate
    ◦ Structured data and process platform
    ◦ Updated information on availability, prefences, expectations and rates
       candidates presented in few working days and available in weeks (1)
       optimal match and high success rate
   Optimal costs
    ◦ Freelancer model excludes utilization and (de)mobilization costs
    ◦ Optimal and fixed overhead, shared business development costs
   Enhanced sourcing services and collaboration models

                                               (1) except some very unique requests
Vladimír Vrtal
         Account Manager
Mail: vladimir.vrtal@coolpeople.cz
    Phone: +420 734 23 18 18
       Skype: vladimir_vrtal

Cool People Overview (Jun2012)

  • 1.
  • 2.
    CoolPeople is an international provider of IT resources and related sourcing services helping our clients to access new talent, optimize resource utilization, (de)mobilize project teams and balance resource gaps  CoolPeople unique offering is based on a specific talent pool available in the CEE freelancers‘ community ◦ Proven, experienced and self-managed resources ◦ Flexible, quickly available, ready to work onsite ◦ Hard to be found and hired/employed by clients and traditional staff augmentation providers
  • 3.
    Augment constant lackof IT resources in Europe and help clients improve their utilization by  Mapping and organizing free resources in IT freelancers‘ community  Partnering with clients, sourcing companies and IT service providers to identify and aggregate demand  Providing proprietary sourcing and fulfillment platform for effective execution and administration
  • 4.
    Become a leading IT resources broker in Europe by 2015 through ◦ Partnering with sourcing and IT services providers in highly demanding Western European markets ◦ Boosting supply capacity by replication of unique IT freelancers community and sourcing model matured in CZ/SK in other CEE countries ◦ Introducing complex sourcing services to strategic clients to improve and, when applicable to outsource, their sourcing function and address resource utilization challenge
  • 5.
    Founded in 2005  Matured on Czech and Slovak markets  Based on IT freelancers sourcing and community model  Delivered over 60.000 mds to 150+ clients  12.000+ IT freelancers CEE community in pool  100+ FTE current runrate  Supported by proprietary sourcing platform  Selected clients – HP, Logica, Ness, IBM, ...  ISO 9001, ISO 27000, ISO 10006 certified
  • 7.
    Freelancers = above-average skilled and experienced, self-managed and self-motivated professionals  About 10% of IT resources prefer to work as freelancers ◦ Freedom of choice – technology, location, duration of project ◦ Not limited by employer priorities ◦ Better compensation (because of lower overhead)  Not well utilized talent pool ◦ Traditional employers are not ready to reach/map this community and maintain contact enabling effective and timely hiring ◦ Freelancers have often limited access to dispersed demand to offer/sell their capacity (Note: otherwise even more will choose to become freelancers)
  • 8.
    Project Variety and Control ◦ Quality and variety of work offered by CoolPeople due to its extensive client/partner network reducing need for their own business development ◦ Our model enables them to have control over type and timing of work they do  Collaboration Model ◦ Soft community approach respecting their desire of independence, while giving them social ties and club membership option ◦ They are independent, but not alone – our scale enables team collaboration, expert guidance, exchange of experience  Reduced Administration ◦ Portal for sharing information and reducing burden on them to handle business development, negotiation, contract administration, reporting, timesheets and invoicing  Better Compensation ◦ Simple (cheap) commercial model with low overhead, shared business development and sales costs ◦ Various incentives, referral and loyalty programs including free trainings and education
  • 9.
    Talent & CommunityManagement CoolPeople CallCenter Regular contact and updates CoolPeople Club Skills Loyalty Programs Availability Free Trainings Rates and other benefits Talent Search Community & Mapping CoolPeople Management Sourcing IT Platform Demand Database Engagement Consolidation Administration Partner & Client Portal Structured Ordering Requests Monitoring Reporting Invoicing Demand & Engagement Processing
  • 10.
    Resource Utilization -Key Challenge we serve Enhanced Sourcing Services Collaboration Models
  • 11.
    Resource utilization – critical business factor for any professional services provider ◦ Talent „war“ in highly competitive IT services markets ◦ Project-driven dynamic requirements ◦ Resource gaps, team de-/mobilizations  Resources and their utilization have a major impact on ◦ Financial results ◦ Delivery quality, effectivity and flexibility ◦ Pricing and competitiveness ◦ Employee satisfaction and stability
  • 12.
    Even the best companies reach only 70-75% utilization ◦ Demand (need) is always more dynamic than capacity 130% 125% 120% 115% Lack of Resources 110% 105% 100% 95% Unutilized Bench 90% 85% 80% 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 Needs Capacity
  • 13.
    Having right resources (skills, seniority) on right time  Otherwise it might result in ◦ Seniors doing junior work and vice versa ◦ Misuse of skills and competency ◦ Key resources utilized over 100% ◦ Employee sat and image of good employer suffer ◦ Delivery quality and effectivity at risk ◦ Subcontracting strategic piece of work (sometimes even to potential competitors) ◦ Lack of resources for business and competency development ◦ ...
  • 14.
    Service Level Managed Sourcing Strategic Services Partnership Ad-hoc Staff Augmentation Value
  • 15.
    Ad-hoc requirements, open competition Staff • Sourcing managed by client – own contractors network and many partners Augmentation • No optimization, higher cost and volatility • Suitable for balanced well-utilized PS organization with rare requirements • CoolPeople as one of the first-to-go partners or even a preferred partner • Sourcing co-managed – prediction of future needs and mutual planning Strategic • Joint governance, reporting, aligned processes Partnership • Enhanced sourcing services option – temporary placement, transfer to core, ... • Client remains responsible for sourcing and utilization incl. related costs • CoolPeople takes over client‘s sourcing function Managed • SLA-driven (e.g. CoolPeople co-responsible for utilization), risk&reward Sourcing • Enables to manage optimal proportion of core/sourced resources Services • Enhanced sourcing services as standard • Optimal cost – volumes, saved sourcing/business acquisition costs
  • 16.
    Service Option Description Terms BF/BR Better Fit/Better Rates due to joint planning and Regular joint planning and resource cost optimization forecasting required Exclusive Proposed candidates are not offered to anybody else in 2 weeks max. Reservations defined reservation period Volume Discount Volume based discounts on all resources 1% per each 10 FTE, 5% max Parking Service Client‘s own contractor hired through CP for fixed Fixed Fee (500 KCZ/day) or „parking fee“ (HC freeze or authorized partner) % of rates Temporary Short-term assignment enabling Client to mobilize large Standard Rate + 10-20% Placement project or recruit/build own team Transfer2Core CoolPeople enables to convert resource to Client‘s HC < 10% of billable strength Option (core team/competence development) Transfer fee (6/12 months) Replacement CoolPeople shall replace incapacitated resource (long- Replaced in 2 weeks Warranty term sickness, resignation, breach of contract, ...) 2 weeks free KH transfer Milestone-based Case-by-case agreed Payment Terms to reflect project Monthly downpayments to Payment Terms cash-flow cover direct cost Tailored Services Dedicated AM, risk&reward schemes, ... and other Only for large volume and client-specific SLAs strategic/exclusive partner
  • 17.
    Service / Model Staff Strategic Managed Augmentation Partnership Sourcing BF/BR optional Exclusive Reservations Volume Discount optional Parking Service optional Temporary Placement Transfer2Core Option Replacement Warranty optional Milestone-based Payment Terms optional Tailored Services optional
  • 18.
    Freelancer community - unique talent pool ◦ High-quality, self managed, ready to work onsite, resistant to traditional recruitment and hiring ◦ CoolPeople pioneered this strategy reaching unmatchable penetration  Flexible and fast sourcing, high success rate ◦ Structured data and process platform ◦ Updated information on availability, prefences, expectations and rates  candidates presented in few working days and available in weeks (1)  optimal match and high success rate  Optimal costs ◦ Freelancer model excludes utilization and (de)mobilization costs ◦ Optimal and fixed overhead, shared business development costs  Enhanced sourcing services and collaboration models (1) except some very unique requests
  • 19.
    Vladimír Vrtal Account Manager Mail: vladimir.vrtal@coolpeople.cz Phone: +420 734 23 18 18 Skype: vladimir_vrtal

Editor's Notes

  • #17 What is real effective utilization in your PS?Is proper utilization also your challenge?How improved utilization can affect your organization?