4min read

From leasing bodies to solving bottlenecks

#body leasing #outsourcing partner #technology partner
body leasing

Capacity and alignment. These are the key ingredients for scaling IT operations to meet business needs. If you’ve used body leasing, you probably understand that capacity and alignment can be the opposing forces. The more contractors you have, the more energy you spend on alignment. It is most visible when a significant change occurs and managing IT operations becomes tiresome and ineffective. And it could be a signal that you are missing a technology partner.

IT outsourcing – lacking capacity or alignment?

Increasing capacity without caring for alignment is the reason why IT outsourcing has a reputation of quickly delivering wrong things. Outsourcing IT operations helps you avoid this problem and get a technology partner that focuses on bottlenecks and understands your business challenges. In short, a good technology partner will ensure alignment.

It is not only about figuring out how to manage the organizational complexity. The question that may convince you to look beyond body leasing is this: you’re building the things right, but are you building the right things?

IT services: bringing industry experience

A technology partner brings industry experience and best practices to the table. A technology partner understands your problems and doesn’t just ship potential solutions. Think about it like this: every feature request should be linked to a user story behind it because there may be a better way to address it. Similarly, everything you want to build should be looked at through the lens of a problem you want to solve.

That’s what an experienced technology partner is for – identifying and solving bottlenecks to streamline IT operations and not just produce what they are asked for. At the start of every relationship with a client, we always ask about your technological and operational challenges. We often discover that we can make an immediate impact, for instance, by solving an integration issue.

IT outsourcing benefits: agile adaptation to change

You may have already been working on increasing alignment between your internal and external teams. You may have been analyzing development flow, communicating shared objectives, and introducing shared procedures. Those are the prerequisites for outsourcing some of your IT operations. However, that alignment has to be worked on continuously. Change, either from the business or the technology side of things, will happen and disrupt the previously effective processes.

In such circumstances it’s most visible how having a technology partner can ensure the long-term success of IT operations. It is the alignment that allows for nimble changes and better navigation in a current fast-paced environment.

Every project with j-labs has its dedicated delivery manager, a technical professional who ensures smooth communication, and – as the title suggests – on-time delivery. It is one of many ways we make sure j-labs is a true technology partner, taking on accountability and striving towards shared goals.

How to succeed at introducing a technology partner

Starting a relationship with a technology partner should not be a strain on organizational processes. That’s why we recommend you start the outsourcing with those 3 strategies in mind:

1. Start small

It is best to start with only a handful of specialists. This will allow them to understand the challenges and give you time to learn how to effectively cooperate with an extended team.

In our experience the first phase of the outsourced work should focus on addressing one main issue, along which a project documentation and information flow will be established. Only then the scope can be gradually increased, ensuring a smooth transition. This will not only save you money, but also reduce risk at the same time.

At j-labs we’re committed to agile ways of working. We don’t mean agile frameworks, methodologies or tools. We mean collaborative practices of self-organizing. Cross-functional teams focused on their end users. Flexible responses to changes in requirements, capacity, and user stories. We start small, so we can go far.

2. Discuss the scope with your stakeholders

A technology partner can bring industry experience, provide you with best practices, and suggest valuable improvements in time to market and customer experience. However, if you hesitate to share the larger picture for reasons such as protecting intellectual property, then your outsourced team will be only solving software bottlenecks.

3. Iterate on communication with your technology partner

With actual work being outsourced, your key responsibility becomes communication that ensures everyone stays in the loop. Regularly reflect on what works well and what doesn’t, and the long-standing relationship will deliver outstanding returns.

The support you will receive, advice you will implement and alignment you will achieve are so much worth it. 

IT outsourcing case study – the way we do it

Let’s say you seek high alignment, value industry experience, and strongly prefer an agile mindset. Sounds great. However, how do you implement these preferences into your project scope?

It may help to look at our case studies, and read about the deliverables, challenges, solutions and technology stacks we used in past projects. Read more here.

And if you want to discuss it further, don’t hesitate to contact us.

8min read

How to build an IT outsourcing company with almost 400 developers? The story of j-labs software specialists

#IT outsourcing #success story #j-labs history

Every great company had its humble beginnings. How did a company with no external funding manage to achieve revenue of over €20,000,000 in 2020?

The history of j-labs dates back to 2008 when Piotr Bucki and Jan Orzechowski started a company that currently employs over 370 engineers. Despite our young age, we have been distinguished for our achievements and recognized as one of the fastest-growing technology companies. We have been listed in the prestigious Financial Times, Statista, Forbes, FT1000, and Business Gazelle rankings.

In this article you will learn:

  • how j-labs has become one of the fastest-growing IT outsourcing companies in Poland 
  • how we have changed over the years – we will explore the milestones in j-labs development and tour success story
  • about our fundamental values and initiatives that make us stand out in the market

What is j-labs and what do we do?

We are a Polish technology company offering services in the field of outsourcing IT specialists and entire programming teams to work on-site or from j-labs office, and  IT projects outsourcing. With over 370 highly qualified engineers on board, we support businesses by building dedicated software development teams or joint teams with client’s employees.

j-labs engineers have an average of 8 years of experience, which is our differentiator. We attract top programmers who want to work with advanced teams and clients who look for specialized and verified companies. Our clients attest to the quality of j-labs services on the Clutch website.

Over the years, we have worked with more than 44 clients worldwide. Each of the three j-labs divisions supports renowned Polish, German, Scandinavian and American clients, ranging from small businesses to large corporations such as  InPost, Akamai, Samsung, ABB, Comarch, or PwC.

j-labs has three offices. Two of them are in Poland. The oldest division located in Krakow conducts projects for Polish and international clients from sectors such as aviation, banking, telecommunications, and e-commerce. The Krakow team consists of programmers, team leaders, software architects, quality engineers, and analysts.

The office in Warsaw was established in 2015 as a milestone in the expansion in Poland. With experienced engineers willing to share their knowledge,  we have opened the Center of Excellence to improve the competencies of our employees. 

The third office is located in Munich, Germany. It is the fastest-growing j-labs business unit. It is mainly dedicated to foreign markets and provides services all over the world.

“Leaders have the courage to make unpopular decisions”

j-labs was founded in 2008 by two partners – Piotr Bucki and Jan Orzechowski –  who recognized the potential in offering outsourced IT services. Thirteen years ago, when they were working together on their first large freelance project, Jan Orzechowski was responsible for the management and business analysis, and Piotr Bucki was programming in Java.  When the several-month-long project came to an end, they realized that the number of clients willing to use their services would only grow. In addition, by creating a company that offers IT outsourcing, they wanted to provide stable employment for programmers after completing the client project.

This is how j-labs, a company specializing in IT body leasing, i.e. hiring programmers for specific projects, came to be. The initial business model assumed that j-labs would lease programmers for projects in Java and only in Krakow. 

j-labs CTO, Piotr Bucki, graduated from AGH University of Science and Technology in Krakow and has worked in the IT industry since 2000. He started as a Java programmer and wrote over a million lines of code.


He has been developing the company for over ten years. Since 2018, he has run a podcast called “Biznes w IT” where he talks about business from the perspective of a company founder and shares knowledge.

Jan Orzechowski, CEO and co-founder of j-labs, graduated from the AGH University of Science and Technology in Krakow. In 1998 he entered the e-commerce industry. He worked as a business analyst, project manager, and a member of the executive staff.
Currently, he is responsible for operations, sales and finances at j-labs. 

How j-labs became one of the fastest-growing IT outsourcing companies in Poland

From the very beginning, j-labs’ business model was based upon the verification of applicants’ technical skills conducted by Piotr and Jan, who had experience in software development. From the clients’ point of view,  being informed about the technical and soft skills of the team members was a big advantage. 

In one of his podcast episodes, Piotr mentions that while working as a contractor he would code all day and then drive to the j-labs office eating his lunch on the way and would usually finish work at 7 or 8 p.m.  Together with his business partner, he was also involved in recruitment. He was responsible for the part related to the technical verification of future employees.

This was not only the beginning of branding activities but also rapid scaling and opening to new technologies and programming languages. For both Peter and Jan, it was a period of many sacrifices. Do you know that beautiful building in the center of Krakow with a huge j-labs logo? It hasn’t always been the headquarters. In the beginning, Piotr and Jan worked from home and didn’t take their salaries for 16 months to be able to pay their employees. They still remember the first payout for Christmas in 2011. Why are we writing about this? To show you that great companies are born in pain, with many sacrifices and doubts. But it is worth it!

The founders’ determination and employees’ commitment meant that j-labs grew rapidly year on year, increasing headcount, client base, and revenue.

How has j-labs changed over the years? 

Timeline:

Part of j-labs’ success is that we have grown organically without external investors. The speed of our business expansion and the high level of specialization has been recognized and awarded on numerous occasions. Thanks to the value-driven actions and strong commitment of all employees, we have been improving financial results and increasing headcount year by year.

How has j-labs changed over the years, and what milestones can be distinguished? 

The milestones in j-labs history:

2008 – founding of the company by Piotr Bucki and Jan Orzechowski

2009 – increased employment to 20 programmers

2010 – creation of j-labs name – “j” as in Java accompanied by the word “labs”

2012 – new .NET specialization, creating a recruitment department

2013 – employment increased to 50 engineers and a recruiter on board

2014 – establishment of the IT Academy where experienced professionals share technical and business knowledge with the IT community; creation of an independent recruitment and administration department

2015 – establishment of a branch office in Warsaw – the first step in the expansion of j-labs operations in Poland

2016 – establishment of Software Development Center in Munich that offers  services mainly to foreign markets; increased employment to 100 engineers

2017 – distinction in Forbes’ Diamonds 2017 list for performance results 

2018 – employment increased to 260 engineers; projects for more than 40 clients; distinction in the 2018 Business Gazelles ranking by Puls Biznesu magazine

2019 –  employment increased to 280 engineers; another distinction in the 2019 Business Gazelles ranking and the FT1000 ranking, which highlights the 1000 fastest growing companies in Europe

2020 – Financial Times and Statista distinctions for being listed in the 1000 fastest growing companies in Europe;  distinction in Forbes Diamonds 2020 list, and the third appearance in the  Business Gazelles 2020 ranking by Puls Biznesu 

2021 – a distinction in Forbes Diamonds 2020 list

j-labs core values ​​and initiatives

We take pride in the values that have guided us since the beginning. We try to emphasize them while cooperating with clients. We base our operations on three main pillars: technology, substance, and reliability. 

Technology means that j-labs engineers demonstrate a high level of technical knowledge, have an average of 8 years experience, and approach all projects with ambition and commitment. 

Substance means that we rely on facts and solid knowledge. We know how to provide comprehensive solutions to problems. We continuously develop our competencies through many internal initiatives.

Reliability means keeping promises and being trustworthy. We leverage the knowledge, experience, and skills of our engineers and approach assigned tasks with the utmost commitment. Reliability is the basis of our actions and relations with clients.

Our motto is “we do good IT, or not at all” which is a perfect representation of j-labs’ approach to work. We are widely recognized in the market and hire more world-class programmers every year to work for the most demanding clients.

We firmly believe that the foundation of the company is the people who build it. We invest in employees and offer participation in internal projects aimed at increasing knowledge and improving skills. Engineers benefit from the focus on continuous development by taking part in multiple educational programs the company offers. As they say themselves, j-labs was created “by engineers, for engineers”. 

In the “Biznes w IT” podcast, Piotr Bucki said that many people supported j-labs in its development. In addition to employees, they were people who simply wished us success. “j-labs is our collective work. We have built this company. As management and owners, we also have a part in it, but without all those people around us, we couldn’t have achieved this much,” says Piotr.

For us, collective successes or failures are natural elements of learning and growing.  The entire j-labs team is proud to have created a workplace where everyone wants to work.

7min read

Generation Z in IT – Why Is It The Next Big Thing?

#Generation Z #Software engineers #Recruitment

It is estimated that by 2030, Generation Z will make up over 30% of the global workforce. Growing companies need to take an interest in this group if they don’t want to experience severe understaffing one day. 

Generation Z differs from previous generations in values and pays special attention to certain elements in job offers. They don’t choose jobs based solely on salary or employee benefits. If you want them to join your ranks, you need to understand them and create jobs that attract them. 

What are the benefits of hiring Generation Z in IT, and how to make your offer attractive to them?

In this article, you will learn 

· What characterizes Generation Z and why it is called that. It will help you understand the changes in the job market and adapt to the current trends.
· What matters to Generation Z? What motivates them and what should you pay attention to when building IT teams with them?
· What can we learn from Generation Z employees? What value can they bring to the IT workplace? 
· What do employers think and say about Generation Z?
· How does Generation Z imagine the ideal company? What guides them when choosing a job and how to persuade them to stay? 
· How to motivate and care for Generation Z employees?

What is Generation Z and why is it called that?

Generation Z is the youngest generation currently entering the IT job market. The oldest are the 24-year-olds who have just graduated from universities and are looking for their first jobs. 

However, there is no rigid time frame for Generation Z. According to sources such as Insider Intelligence and Pew Research, they are people born between 1997 and 2015. They are called Generation Z because they are the next generation after X and Y. 

Generation X includes people born between 1965 and 1979. They choose their jobs based on salary and employee benefits. 

Generation Y, also called the Millennials, includes people born between 1980 and 1996. For them, the greatest value is time to pursue their passions and interests.

In 2020, the population of Generation Z was about 2.56 billion, and by 2030 they will constitute 30% of the global workforce. Employers should adapt their job offers and create attractive positions so that they are ready for the arrival of new employees.

These people were born in a time when access to technology and the Internet was widespread, and most spent much of their childhood in front of computer screens. As a result, Generation Z in IT ensures familiarity with various devices and systems. 

For most of them, social media, Wi-Fi, or Smartphones are the natural environment. They can’t imagine the world without the Internet because they don’t know what it was like before it was invented.

Their openness to new technologies and foreign language skills is a strong advantage in international teams. Additionally, according to Dr. Anna Dolot’s research, Generation Z has lower financial expectations than the representatives of previous generations, which makes them potentially more attractive candidates. 

According to official EU estimates*, there is currently a shortage of about 600,000 programmers across the European Union. The ever-increasing demand for specialists in the IT industry means that employers should prepare for Generation Z. 

According to Dr. Anna Dolot, many companies prefer employees without extensive professional experience. They can control the process of knowledge acquisition, teach the right approach to work, procedures, and functioning in the organization. They don’t have to eradicate the bad practices that more experienced employees might have.

What motivates Generation Z? What should you keep in mind when hiring Generation Z in IT teams?

According to a study conducted by Dr. Anna Dolot, 93% of Generation Z respondents consider the atmosphere in the workplace a significant factor. If you want to create a pleasant atmosphere, focus on employer branding activities and organizational culture.


Salary comes second with 91%. Compared to previous generations, Generation Z has lower financial expectations. According to research conducted by Honeypot and Payscale, junior developers in Germany earn between EUR 42 000-53 000 a year, while those who have a minimum 6-year experience make about EUR 70 000.  

88% point to job security as the most important factor. Representatives of Generation Z like to work in organizations that provide stable employment and offer working hours that suit them. These are the elements that respondents indicated as the most motivating.

The fourth factor is a competent supervisor who shares their knowledge and experience. Generation Z appreciates supportive managers. Learning from people with expertise in a particular field is of great importance to them.

Performing work related to hobbies and interests also came up in the study. Although a bit different than in the earlier generations, professional development still seems to be important. Generation Z expects short and specific feedback that makes them feel part of a team.

What can we learn from Generation Z employees? What is the value of Generation Z in IT?

Research shows that teams diversified in terms of generation, gender, and personalities produce better ideas and create more added value. Representatives of Generation Z like to solve problems on their own – they treat it as an opportunity to prove themselves.

What we can learn from Generation Z is that it is an employee who decides whether to work in a given company, not an employer. If they like the company and the working conditions suit them, they will stick around. 

They also stay if they have a mentor, participate in exciting projects, and work in a well-coordinated team. If an employer does not provide appropriate working conditions and employment stability, they will not retain their employees. 

People from Generation Z are looking for their place – somewhere they feel comfortable. They want to experience working in many companies to find the right one offering employment on preferred conditions. What is also important is a company that looks good on a resume and social media. An ideal employer should have a positive image and a good reputation in the labor market. 

Changing jobs is not a problem for Generation Z, because job interviews are conducted remotely. Most of them do not have children, so the decision to move on is easier than for representatives of other generations.

What do employers think and say about Generation Z?

In an interview with Piotr Bucki, j-labs CEO, Dr. Anna Dolot said some employers believe Generation Z employees to be disloyal, uncommitted, smartphone-dependent, and have no interest in anything. When asked what they thought about such an opinion, Generation Z respondents replied: “They used to say that about every new generation and will keep saying that about future generations.” 

As the saying goes, the old cow thinks she was never a calf. Many employers do not remember their first jobs and the mistakes they made. Now that they have a lot of experience, they complain about Generation Z and their shortcomings.

Meanwhile, many employers see the potential of Generation Z in IT and the value they can bring to their companies. They try to meet their expectations to attract the greatest talents

Many companies are introducing various incentives and benefits to encourage Generation Z to apply and stay, but what actually determines young peoples’ choices?

How does Generation Z imagine the ideal company? What drives them when choosing a job and how to persuade them to stay?

For Generation Z, the ideal company lets them have an impact on the entire organization. They commit to the assigned tasks and are highly proactive. They are not interested in small, repetitive, and undemanding tasks. They like to take on challenges and experiment with different solutions. If assignments are not challenging or meaningful, they don’t perform well.

They want clear career paths, mentoring programs, and training. Continuous development and the possibility to acquire new skills make them more likely to stay with a company. It is worth talking to them about their career goals and supporting their development. Convince them they have a future in your company. 

How to motivate and care for Generation Z employees?

Provide optimal conditions for development 

Generation Z is ambitious and focused on continuous improvement. They want to achieve great results and move up the career ladder. People from this generation are looking for offers that are well suited to their talents and interests.

Respect their independence, and if they ask – support them

Generation Z employees like to deal with problems on their own and look for new, out-of-the-box solutions. They also appreciate the support from team members and trust when it comes to assigned tasks. When times are tough, or they need help, they expect someone who can direct them.

Work on team communication and feedback

Generation Z is the first generation that grew up with widespread access to technology, and it might seem like they can only communicate through social media. In reality, they are very engaged in live meetings. 

They also like to know where they stand. They expect their employers to provide clear information and specify expectations. They find praise motivating as it makes them feel appreciated.

What’s next?

It is worth remembering that not everyone born after 1997 can be so easily characterized. People have different personalities and expectations. The above tips are intended to help you create an organization that appeals to Generation Z. One thing is certain – they will not accept just any job. Companies that recognize their potential will win the battle for ambitious and committed employees. 

 And what steps is your organization taking to attract, engage and motivate Generation Z employees?

Scientific sources:

Anna Dolot, 2019, What Motivates Generation Z at Work – Selected Aspects – Empirical Research Results – Uniwersytet Ekonomiczny w Krakowie – Wydawnictwo SAN | ISSN 2543-8190 –

https://www.researchgate.net/publication/335700569_Co_motywuje_do_pracy_pokolenie_Z-wybrane_zagadnienia-wyniki_badan_empirycznych

Komisja Europejska, raport Digital Economy and Society Index(DESI) 2020

Online sources:

https://piotrbucki.pl/066

https://www.rewardgateway.com/blog/improve-employee-motivation-with-generation-z

https://stackoverflow.blog/2020/03/17/how-gen-zs-values-will-level-up-your-engineering-culture/

https://blog.it-leaders.pl/generacja-branzy-it-czyli-rozkodowac-nowe-pokolenie-programistow/

https://cult.honeypot.io/developer-salary-report-2021/developer-salaries-germany-2021

https://www.payscale.com/research/DE/Job=Junior_Software_Engineer/Salary

7min read

What to watch out for when hiring specialists with an IT outsourcing company? Outsourcing and the law

#Outsourcing IT #Intellectual property #Data security
IT outsourcing companies in Poland

Outsourcing a team of programmers can be challenging. There are issues regarding liability, finances, and taxes. How can you manage all this? We decided to answer these questions with Tomasz Wiese, a specialist in labor law and intellectual property law.

From this article, you will learn:

· why it is not profitable to hire a freelancer from abroad on your own
· about the risks associated with this type of employment in an international environment
· about the responsibilities of a company providing IT outsourcing services, and the issues that remain the responsibility of a client
· what clients should pay special attention to before signing an IT outsourcing contract

Many CTOs ask these questions, so we have decided to answer them with our legal counsel. We want to share the experience we have built over the years in the IT outsourcing market.

Tomasz Wiese is an attorney-at-law, partner at JWMS law firm specializing in areas such as intellectual property law, personal data protection, labor law, and contracts. j-labs has been cooperating with Tomasz for years, and he has never disappointed us.

j-labs team: Why is it not profitable to hire a freelancer from abroad on your own? In theory, the elimination of a middleman should be a viable option.

Tomasz Wiese: It’s all about legal and practical issues. If a foreign company wanted to hire IT specialists without intermediaries, it would (more often than not) have to set up a company in Poland. Moreover, it could be a tax-inefficient solution that additionally raises doubts of the tax office due to the pricing of intellectual property.

Transfer pricing concerns assets that are difficult to evaluate, such as intellectual property (IP) rights. Transferring IP abroad might make the tax office suspicious because it can look like moving income out of Poland, which would mean tax evasion. To avoid such risks, a company must prepare transfer pricing documentation.

They also need to be familiar with Polish law or hire a law firm specialized in this domain. It is also necessary to have a local HR department responsible for the recruitment process.

Companies looking for employees prefer to use the services of professional IT outsourcing companies, such as j-labs, because if they were to hire people on their own, they would need to build an HR department and train the staff, which entails extra costs.

j-labs offers know-how that companies do not need to acquire on their own. Thanks to a team of experienced lawyers, a client gets legal assistance. Additionally, a dedicated HR team is trained to recruit IT specialists. 

Hiring on your own is relatively easy only when a company needs a small number of professionals for a short period. If they need to hire a whole team of specialists, they prefer to use professional IT outsourcing services. It saves valuable time and money, and allows companies to focus on their businesses.

j-labs team: The pandemic has forced many companies to adapt to remote working conditions. What are the legal risks associated with such a work model in an international environment?

Tomasz Wiese: It depends on the contract.

An employment contract when working remotely is associated with certain risks. A company needs to be aware that in the event of an accident, Polish regulations will apply. It is quite burdensome because the labor law in Poland is not adapted to the current realities of remote working.

If an employee works for a company with a branch in Poland but resides outside the European Union, they need to obtain a work permit. If an employee works only from their country, they do not need a visa. However, if they have occasional meetings in the company’s branch in Poland, both documents become necessary.

That is why most programmers sign B2B contracts. Most legal issues become the employee’s responsibility. Then they pay taxes and social security contributions. In such a case, the labor law does not apply. This solution has many advantages for developers as it gives them more flexibility.

However, if a company wants to hire people on a B2B basis on their own, they still need an HR team to talk to the IT specialists. The team should speak fluent Polish and know the market rates. 

j-labs team: What does hiring through an IT outsourcing company look like? What issues remain a client’s responsibility?

Tomasz Wiese: Companies like j-labs provide their developers with a working space, a sense of belonging, and entire company culture. It is important, especially with regard to mental health. They also provide the opportunity to work in a hybrid model. Integration with co-workers helps create social bonds and meet friends, which makes new recruitment easier as it can be done through a system of internal recommendations, something a client can’t do on their own. 

For example, j-labs manages and supervises programmers and draws up contracts. It ensures competitive advantage. j-labs cooperates with companies mainly from the DACH market. Additionally, German and Austrian legal systems are similar to Polish, so companies seeking employees know what to expect. 

j-labs team: What legal obligations related to outsourcing are assumed by j-labs? What should a client pay special attention to before signing an IT outsourcing contract? 

Tomasz Wiese: A client can be sure that j-labs will take care of the intellectual property and acquire rights from programmers. j-labs provides warranties and is responsible for the confidentiality and data security where innovative products are discussed, and a client’s know-how is used. 

However, there are differences in warranties when a client designs a product “from scratch”, and when a product is only improved by hired programmers. j-labs precisely describes a project scope and includes it in a contract. Additionally, j-labs has liability insurance policies and guarantees full solvency.

j-labs team: What distinguishes j-labs offer from other IT outsourcing companies in Poland?

Tomasz Wiese: j-labs is a company with enormous know-how, a great pool of programmers, a recommendation program, and an extensive and experienced HR department. It has offices in Krakow, Warsaw, and Munich. Compared to other IT outsourcing companies in Poland, thanks to reliable legal support, j-labs can afford greater flexibility in contracts and quickly negotiate agreements tailored to clients’ needs. It has a separate department specializing in personal data protection. The contracts j-labs creates reflect the facts, so clients can be confident that the company will comply with the agreements.

j-labs team: Thank you for the interview and a recommendation.

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