From staff augmentation to a $200M+ managed-services business

From staff augmentation to a $200M+ managed-services business In 2014, scattered one-off projects; by 2025, a six-service-line managed-services business with $200M+ ARR built on a standard service definition. 2014 Staff augmentation and one-off projects One-off project Staff augmentation 2025: $200M+ ARR Infrastructure Cloud End-usercomputing Applicationmanagement incl. SAP HANA Network Managed security Standard servicedefinition SERVICE CATALOG · PRICING MODELS · ITIL DELIVERY · SLAS · STANDARD CONTRACTS
From staff augmentation to a $200M+ managed-services business In 2014, scattered one-off projects; by 2025, a six-service-line managed-services business with $200M+ ARR built on a standard service definition. 2014 Staff augmentation and one-off projects One-off project Staff augmentation 2025: $200M+ ARR Standard service definition Infrastructure Cloud End-usercomputing Applicationmanagement incl. SAP HANA Network Managedsecurity SERVICE CATALOG · PRICING MODELS ITIL DELIVERY · SLAS STANDARD CONTRACTS
Scattered one-off work in 2014; a six-service-line business on one standard service definition by 2025.
  • $200M+ARR
  • $1B+lifetime contract value
  • 6service lines, 200+ customers

Why I built it

In 2014 CenturyLink's professional-services leader asked me to build a managed-services business. What existed was staff augmentation and one-off projects: no service catalog, no pricing model, no SLAs and no standard contracts.

What I built

  • A product, not projects: a service catalog with clear in-scope and out-of-scope work, pricing models, ITIL-aligned delivery, SLAs and KPIs, and standard contracts.
  • One delivery model with flexible terms: customers could change terms such as a response-time SLA without changing how the service was delivered.
  • Six service lines, added one at a time: infrastructure, cloud, end-user computing, application management including SAP HANA, network, and managed security.
  • Three tiers, from self-managed to fully managed, giving Sales a fast entry offer and a custom offer on the same delivery model.

How I ran it

  • Jointly led the business with the operations leader over a 500+ person delivery organization in the U.S., India, Singapore, London and Poland. I owned the offer, pricing and P&L.
  • Designed and owned a 50-person operations command center: monitoring, first response, KPIs, runbooks and budget.
  • Personally led the largest enterprise pursuits, behind roughly $100M of the annual run-rate.
  • Rebuilt delivery twice, from onshore to offshore to automation.

What I learned

  • Standardize before you scale. The catalog is what made offshore delivery, automation and later AI possible.
  • Put flexibility in the terms, not in the delivery model.
  • Run the business and the operation as equals.

CenturyLink CEO's Award for Innovation, 2015.