1. 1 ©Copyright 2014, Morris Management Partners, Inc. All Rights Reserved.

2. 2 Introduction: Partner Education Series Module 6: Finding & Hiring Top Performers To Build Your Business A systematic approach to planning and executing a successful recruiting & onboarding process that yields the highest caliber people and the most predictable results Part 6 of an ongoing channel partner enablement program from DATTO & Morris Management Partners Business Practice Development Winning Without Discounts Finding & Hiring Top Performers

3. 3 ©Copyright 2014, Morris Management Partners, Inc. All Rights Reserved. Finding & Hiring Top Performers To Build Your Business

4. 4 ©Copyright 2014, Morris Management Partners, Inc. All Rights Reserved. Basic Business Reality Business Management: HUMANS No Matter How Sound / Profitable Your Model Is, You Can’t Thrive Unless You Have Good People Who Are Truly Engaged 4

5. 5 ©Copyright 2014, Morris Management Partners, Inc. All Rights Reserved. So … How Are Businesses Doing With Employee Engagement? And What Are The Effects? Reality Check: HUMANS ENGAGED: Committed to the success of the organization; willing to put forth discretionary effort DISENGAGED: Not emotionally connected to their work; will show up but only do the minimum effort ACTIVELY DISENGAGED: Working against the interests of the business; undermining coworkers SOURCE: Gallup, 2013 // 150,000 Workers Studied SOURCE: Gallup, 2013 // 150,000 Workers Studied 30% … Increasing 52% … Decreasing 18% … Increasing 70% 5

6. 6 ©Copyright 2014, Morris Management Partners, Inc. All Rights Reserved. THRIVING BUSINESS CONTEXT Why Do You Need New People? – Growth … Even when you leverage tools & automation, eventually you need more people in key roles – Refresh … Even if your people are the reason you win, every business benefits from better talent & skill – Replace … Sometimes people leave, sometimes you ask them to leave; in either case an empty spot limits you – Evolve … Technologies change, markets change, models change, and sometimes your people don’t Why Would Someone Agree To Join Your Team? Reality Check: RECRUITING Skill Match Opportunity Match Culture Match 6 ©Copyright 2013, Morris Management Partners, Inc. All Rights Reserved.

7. 7 ©Copyright 2014, Morris Management Partners, Inc. All Rights Reserved. HARD SCIENCE (What Solution Providers are “Usually” Good At) Engineering Systems Design Technology Integration Process Execution Troubleshooting Performance Monitoring HARD SCIENCE (What Solution Providers are “Usually” Good At) Engineering Systems Design Technology Integration Process Execution Troubleshooting Performance Monitoring SOFT SCIENCE (What It Takes to be Good At Managing Humans) Culture Management Interpersonal Skills Vision Motivation Conflict Resolution Human Performance SOFT SCIENCE (What It Takes to be Good At Managing Humans) Culture Management Interpersonal Skills Vision Motivation Conflict Resolution Human Performance Why Is The “Human Part” So Hard? ©Copyright 2013, Morris Management Partners, Inc. All Rights Reserved. 7

8. 8 ©Copyright 2014, Morris Management Partners, Inc. All Rights Reserved. The Real Recruiting Problem Recruiting / Hiring / Onboarding new people is an expensive process … but the real cost is DIMINISHED CAPACITY / PRODUCTIVITY How Long To Recruit? How Long To Train? A Job Opening You Need To Fill Solution Provider Average: 3 – 6 Months Solution Provider Average: 6 – 9 Months Foundation 1: Always Be Recruiting Foundation 2: Onboard On Purpose Foundation 2: Onboard On Purpose ©Copyright 2013, Morris Management Partners, Inc. All Rights Reserved. 8

9. 9 ©Copyright 2014, Morris Management Partners, Inc. All Rights Reserved. No matter what size your business is or will be, people are an indispensable part of your operation Winning With Better Human Processes Accelerate Recruit Increase Value Extend Production Direct + Indirect Employee Value Time / Employment Stages Best Practices 9 ©Copyright 2013, Morris Management Partners, Inc. All Rights Reserved.

10. 10 ©Copyright 2014, Morris Management Partners, Inc. All Rights Reserved. No matter what size your business is or will be, people are an indispensable part of your operation Winning With Better Human Processes Accelerate Recruit Increase Value Extend Production Direct + Indirect Employee Value Time / Employment Stages Best Practices “Determine the resources you need, identify the best people, and recruit them fast” Phase 1: RECRUIT “Engage the right people well, and help them learn to produce in your business right away” Phase 2: ONBOARD “Manage, motivate, and measure the highest level of performance with the most predictable results” Phase 4: MAXIMIZE “Maintain a committed connection with the right people as a foundation for production & growth” Phase 4: RETAIN 10 ©Copyright 2013, Morris Management Partners, Inc. All Rights Reserved.

11. 11 ©Copyright 2014, Morris Management Partners, Inc. All Rights Reserved. Channel Myths About Humans Myth #1: SPs Can’t Afford the Best Talent – People are only as expensive as you pay them to be. If people are paid for the value they generate, higher wages = higher productivity. Myth #2: Recruiting Is Based On Compensation – Salary is one of the factors … but research shows it ranks after vision, culture alignment, opportunity to grow, and investment in development. Myth #3: We Can’t Find People Who Can Do What We Do – In almost every case the real challenge isn’t finding skilled people … it’s defining and teaching repeatable processes that yield consistent results. Myth #4: Our People Are Our Biggest Asset* – Everyone says it, but your behavior rarely backs it up … besides, what happens if your people leave? Your real asset is your Intellectual Property + Brand. ©Copyright 2013, Morris Management Partners, Inc. All Rights Reserved. 11

12. 12 ©Copyright 2014, Morris Management Partners, Inc. All Rights Reserved. 1. Business Strategy 2. Growth Objectives 3. Employee Retention 4. Roles & Responsibilities 5. Profile Characteristics 6. Networking & Awareness 7. Advertising & Active Recruiting Senior Management ResponsibilitySenior Management Responsibility Consistent Implementation & Continuous ImprovementConsistent Implementation & Continuous Improvement Core Competency and Element of Competitive AdvantageCore Competency and Element of Competitive Advantage Repeatable, Scalable and TeachableRepeatable, Scalable and Teachable Integrated Recruiting Methodology A Systematic Approach to Recruiting ©Copyright 2013, Morris Management Partners, Inc. All Rights Reserved. 12

13. 13 ©Copyright 2014, Morris Management Partners, Inc. All Rights Reserved. Successful recruiting for MSPs requires two components: GOOD CANDIDATES + PERSUASIVE ENGAGEMENT. No matter how strong your business is, you need OPTIONS. Where Do Candidates Come From? OPTION 1: Other SPs OPTION 2: Other Svc. Co’s OPTION 3: Other Industries Recruiting is a competition just like customer marketing … tell the story of why your business is the best option Proactively seek & engage … because they are looking Be cautious re: “former” employees Outside of tech skills, the professional abilities of sales, account mgmt., operations, etc. are truly transferrable More mature segments may use more efficient processes You have defined processes to teach … recruit for skills Again, outside of tech skills, seek abilities for finding & engaging customers, and running a business You sell expensive / complex services … find similarities Finance, healthcare, prof. svcs., legal, SW vendors, etc.

14. 14 ©Copyright 2014, Morris Management Partners, Inc. All Rights Reserved. Put your business out there … be prominent … have a voice … participate … be a “real” option Recruiting Is A Marketing Process Cold Calls Special Event Personal Email Social Media Lunch Meeting Trade Show Social Circle Event Peer Group Direct Visit Customer Referral LinkedInLinkedIn Web Visit & Reply Chamber of Commerce Case Study TestimonialTestimonial Advisor Referral Community Members Interview Source Customer Event

15. 15 ©Copyright 2014, Morris Management Partners, Inc. All Rights Reserved. Developing A Job Description Job Description (Specific Role & Individual Assignment) Primary Job Function & Responsibilities Critical Processes & Actions Specific Business Objectives / Metrics Dependencies / Dependents Back Ups & Cross- Function Roles 15 ©Copyright 2013, Morris Management Partners, Inc. All Rights Reserved.

16. 16 ©Copyright 2014, Morris Management Partners, Inc. All Rights Reserved. IMPORTANT NOTE: While there is no such thing as a “born sales person” there is an essential element: pay for results IMPORTANT NOTE: While there is no such thing as a “born sales person” there is an essential element: pay for results Always Be Recruiting Always Be Recruiting … Whether you have an open position or not, always be searching for the highest caliber sales people and don’t be sneaky about it – your reps should know they must perform Catch the Proven Players Catch the Proven Players … Don’t just recruit people in the industry, focus on the reps who win consistently and have proven they can execute in your specific opportunities (especially the ones who have beaten you head-to-head Be Specific About the Opportunity Be Specific About the Opportunity … Carefully define opportunities and expectations – and don’t be afraid to make a lucrative offer to a high- powered rep (especially if you design the comp plan right) Show Your Commitment to Resources Show Your Commitment to Resources … Don’t just send your reps to the wolves, support them with people, tools, etc. Prove Your Own Performance Prove Your Own Performance … Winners want to work for winners: show that your business profitable, growing, desirable Engage Your Customers In The Process Engage Your Customers In The Process … Ask your customers who their very best reps are, from other providers, and why they like those reps; then model those characteristics … &/or hire those reps Proven Best Practices: Sales Reps 16 ©Copyright 2013, Morris Management Partners, Inc. All Rights Reserved.

17. 17 ©Copyright 2014, Morris Management Partners, Inc. All Rights Reserved. IMPORTANT NOTE: “Core” skills are rare in every industry (engineers, designers, chefs, etc.) & lessons can be learned IMPORTANT NOTE: “Core” skills are rare in every industry (engineers, designers, chefs, etc.) & lessons can be learned Build a "Consulting" Culture Build a "Consulting" Culture … Not just a place where technical people work, but a business that’s designed to maximize the opportunity for true consultants & respect their contributions Invest in Development / Career Path Invest in Development / Career Path … No matter how good they are today, they’ll need to know you are committed to helping them get better – and then rewarding them for that growth Attitude Matters Attitude Matters … No matter how talented a technician is, a bad attitude will corrupt your culture internally and externally – remember, you can teach skills, but not personality / culture Clarify Expectations Clarify Expectations … Right up front, be clear about exactly what you’ll want your techs to do, whether it’s popular or not Define Processes & Success Metrics Define Processes & Success Metrics … Capture and own your IP, and be clear about your expectation that techs will adopt & improve your critical processes; you can’t hire cowboys who won’t adopt your line Think About Tomorrow’s Solutions Think About Tomorrow’s Solutions … You’re much better at teaching today’s solutions than emerging solutions; hire for future techs Proven Best Practices: Technicians 17 ©Copyright 2013, Morris Management Partners, Inc. All Rights Reserved.

18. 18 ©Copyright 2014, Morris Management Partners, Inc. All Rights Reserved. Simple, Specific, Scripted, Repeatable Process Foundation for Performance and Accountability Adapt Elements for Specific Job Roles & Expectations Brand It, Teach It, Own It, Execute It Consistently Capture Employee Testimonials & Case Studies Building An Employee Onboarding Plan 30-Day Fast Start Plan 90-Day Engagement Plan 6-Month Acceleration Plan 12-Month Employee Plan Phase 1 Phase 2 ©Copyright 2013, Morris Management Partners, Inc. All Rights Reserved. 18

19. 19 ©Copyright 2014, Morris Management Partners, Inc. All Rights Reserved. IMPORTANT NOTE: Just Because the Candidate is in Your Office Doesn't Mean You've Filled the Position IMPORTANT NOTE: Just Because the Candidate is in Your Office Doesn't Mean You've Filled the Position INTERVIEWING INTERVIEWING … Not just a list of “canned” questions, a conversation that helps you understand the nature of this particular human + helps them understand the nature of your organization PROFESSIONAL REFERENCES PROFESSIONAL REFERENCES … Always ask for them, always check them, but be realistic: you know candidates will only give references who will endorse them; seek input from previous direct managers MAKE THE OFFER MAKE THE OFFER … Formal, written offer letter – in print, not via email – delivered directly to the human you’re recruiting, including details of the position, metrics, milestones, etc. … with a response request included ONBOARDING METHODOLOGY ONBOARDING METHODOLOGY … A consistent, systematic process that defines the first day, the first week, the first month, the first quarter (don’t overwhelm, just structure for the sake of consistency and expectations management) PRE-SCHEDULED CHECK-IN(S) PRE-SCHEDULED CHECK-IN(S) … Appointment to sit down with the employee and ask how things are going, get input and feedback, etc. (NOT the annual review) Keys to Effective Candidate Engagement ©Copyright 2013, Morris Management Partners, Inc. All Rights Reserved. 19

20. 20 ©Copyright 2014, Morris Management Partners, Inc. All Rights Reserved. Blocking & Tackling: Do What You Said You Would Do Blocking & Tackling: Do What You Said You Would Do … If you made a commitment during the recruiting process, you must deliver or explain why you can’t (and deal with the consequences) Expect – And Reward – Innovation Expect – And Reward – Innovation … Don’t allow people to simply persist in a stagnant position; raise your expectations and people will rise to meet them (if they believe they’ll be rewarded) Pay Attention to Work / Life Balance Pay Attention to Work / Life Balance … No matter how much there is to get done, you must respect the limits of reality and actually encourage your people to have a life beyond the office (or they’re likely to snap) Plan for Advancement Plan for Advancement … They’re always thinking about it, you’d better be too; Build a lucrative but reasonable plan that allows people to advance and win better rewards Talk About the Elephant Talk About the Elephant … Deal directly with uncomfortable topics, even if you can’t give the answer they’re looking for (you’ll win points for being straightforward and not hiding) Be Deliberate + Realistic Be Deliberate + Realistic … Come right out and tell your people you want them to stay and you’ll do what it takes to make that happen – and then be a professional / grown up when good people move on (even when the not-so-good ones do) Proven Best Practices: Retention 20 ©Copyright 2013, Morris Management Partners, Inc. All Rights Reserved.

21. 21 ©Copyright 2014, Morris Management Partners, Inc. All Rights Reserved. Leadership in Theory Leadership in Theory – Set the Direction for the Business – Own and Actively Administer the Culture – Inspire and Motivate through Vision and Action – Have a Plan, Work the Plan, Demonstrate Accountability Leadership in Practice Leadership in Practice – Participate in the Interviewing Process – Schedule and Deliver Regular Progress Reviews / Reports – Track, Measure, and Publish Effectiveness – Do Something About Performance / Lack Thereof – Always Be Recruiting – Actively Seek Input … And then Be Open to It The Role of Leadership in Recruiting

22. 22 ©Copyright 2014, Morris Management Partners, Inc. All Rights Reserved. Thank You! dattobackup.com/rm2014 Catch Up dattobackup.com/webinars More Webinars

23. 23 ©Copyright 2014, Morris Management Partners, Inc. All Rights Reserved. For More Information … Ryan Morris Principal Consultant Morris Management Partners, Inc. Email: rmorris@morrismp.com Mobile: 303-618-9370 Ryan Morris Principal Consultant Morris Management Partners, Inc. Email: rmorris@morrismp.com Mobile: 303-618-9370