Blog

Why Sparq is the Next Starbucks

Confession time: I’m a Starbucks fanatic. For me, the day hasn’t begun until I’ve had my triple grande nonfat cappuccino. In fact, the company’s former CEO Howard Schultz is someone whose leadership and guidance I’ve always admired (I’m the proud owner of an autographed copy of his book: Onward.) It was Schultz’s idea to create a third place to have coffee: a place that wasn’t your home or office. This vision created a new alternative at a scale that didn’t previously exist.

The Sparq business model follows the same concept. Up until recently, businesses had two options for their IT workforce strategy. Businesses could bring in the talent to their office in their city, often at expensive hourly rates, or they could offshore the work to an outsourcing firm for less expensive hourly rates and figure out how to manage the cultural, security, IP, and time zone challenges. At Sparq, we saw the need to create that third option at scale.

Small cities, big opportunities

Onshore domestic technology talent is abundant in smaller cities such as Albuquerque, NM; Oklahoma City, OK; or Mobile, AL. These cities, complete with large universities, low cost of living and high quality of life, represent millions of available technology talent waiting to be deployed to solve software problems for the world’s greatest companies located in much higher cost locations. Sparq selects cities like these based on our proprietary data analysis of the qualified talent pool, the quality of life and the affordability of living in these locations. We then establish software development centers complete with the look and feel of a “Google-esque” environment, where software developers and quality engineers can focus on creating applications to support our clients on their digital journeys.

The beauty of this third option, unlike Starbucks, is that it actually costs less than the other available options. With a substantially reduced cost of living in these smaller cities, the dollar goes a lot further than in San Francisco, New York, or even Atlanta. Also, when measured against offshore, domestic sourcing is more cost-effective when evaluated by the total cost of ownership (TCO) of completing a successful project in today’s agile software development world.

The right blend

I’m not saying that businesses shouldn’t consume the available talent within their own cities or even offshore, as both have their respective roles to play in the sourcing strategy. What I am saying, however, is that there’s a new coffee shop available that serves a remarkable third alternative that may just taste better than your traditional sources. Find out more about our unique blend of services here.

Discover More

 

About the Author:

As Chief Executive Officer, Monty Hamilton leads the executive team and drives the overall strategy for Sparq. Monty is responsible for leading the strategic direction and the growth of Sparq and is leading the team in their goal to launch 10 new high-tech hubs over the next few years. Each facility will have 200 colleagues in low cost of living, high quality of life locations. He is a sought-after speaker on the outsourcing and domestic sourcing topic and has recently been featured on CNBC, BBC, NPR radio and at various industry conferences including IAOP, Gartner, Digital Georgia and others. In addition, recent articles depicting Sparq’s innovative outsourcing model have appeared in Business Week, CNN Money magazine, CFO magazine, and CIO magazine.

Related Blogs
See All Blogs
Blog
Apr 4, 2024

Four Ways a Strong Customer Experience (CX) Strategy Can Benefit Your Entire Business

Creating a positive customer experience (CX) is typically an important part of a company’s product strategy, but many people don’t realize the far-reaching impact of CX on the overall business. In this article, Senior Principal Consultant Joe Dallacqua and Principal Product Strategist Ryan Finco delve into the elements of a strong CX and how they can benefit your entire business.

Read More
Blog
Mar 18, 2024

Unlocking Gen AI’s Full Potential: The Crucial Role of Quality Data

In an era where artificial intelligence (AI) promises to revolutionize industries and redefine competitive landscapes, generative AI stands out for its ability to create new content, from text to images, videos and beyond. This article explores the pivotal role of high-quality data in generative AI efficacy, examines the preparedness of companies for adopting these technologies and outlines essential steps for building a robust data foundation.

Read More
Blog
Mar 13, 2024

Navigating Readiness & Expense for Section 1071 Compliance

After 14 years, Section 1071 of the Consumer Financial Protection Bureau (CFPB) moved from the back burner in bank lending under the Dodd-Frank Act. The question about 1071 remains: will it come onto the front burner considering the legal challenges and injunctions that have delayed its implementation for years? We believe that there are many areas to consider as a bank assesses their compliance readiness, which should be driving discussions across these executive responsibilities. Read on for key readiness focus areas and questions for discussion.

Read More
Blog
Feb 12, 2024

From Legacy to Leading Edge: Advancing Healthcare Through Legacy App Modernization

The modernization of legacy applications in the healthcare industry represents a particularly acute concern, more so than in any other sector. This article explores why legacy application modernization is a significantly bigger issue in healthcare compared to other industries and outlines strategic steps healthcare organizations can take to address this pressing challenge.

Read More
See All Blogs
noun-arrow-2025160 copy 2
noun-arrow-2025160 copy 2
See All Blogs