Surviving Failure & Retaining Top Talent in the Fast-Paced Agency Space with Shamit Khemka | Ep #648

Have you struggled with turnover post-pandemic? Looking for insights on adapting and fortifying your agency? What about outsourcing strategies that enable growth? The pandemic has had a profound impact on the IT industry, with one of its major consequences being the mass exodus of employees, resulting in the loss of experienced staff members who had been with companies for 15 to 20 years. This has posed a tremendous challenge for IT companies, compelling them to adapt and fortify their processes. Today’s guest is an Indian entrepreneur who managed to learn and adapt to these new challenges after previous experiences surviving failure and rising again in a new niche. Tune in to gain insights on scaling your agency and the benefits of outsourcing IT services. Shamit Khemka is the founder of SynapseIndia, a premier IT outsourcing company. They are a Microsoft-certified gold partner that provides software development, custom web and mobile applications with 23+ years of experience. Their focus is open-source frameworks and ecommerce. In this interview, we’ll discuss: Surviving failure and turning it into opportunity. Choosing a niche and retaining top talent in a competitive industry. Keys to effective leadership at your digital agency.   Subscribe Apple | Spotify | iHeart Radio Sponsors and Resources Agency Analytics: Tired of endless manual reporting in order to show your clients the value your agency delivers? It's time to check out AgencyAnalytics, the best automated client reporting solution for marketing agencies. Try it for FREE for 14 days when you head over to  AgencyAnalytics.com/Smart and sign up. It's time to see how life feels on the other side of manual reporting madness! Podcast Takeover!! Get to know your Smart Agency Guest Host: Dr. Jeremy Weisz is the co-founder of Rise25, an agency that helps companies launch and run podcasts profitably. He followed Jason’s podcast and eventually joined the mastermind and has been a guest on the podcast before. Today, he’s helping Jason bring something new to the Smart Agency podcast audience by interviewing a special guest and getting a new perspective to the show.   From Belly Up to Up and Running: Surviving Failure and Turning it into Opportunity Starting over after failure can be a daunting and challenging task. It requires resilience, determination, and a willingness to learn from past mistakes. However, it can also be an opportunity for growth and success. Shamit’s current company is the result of starting over after his initial venture went belly up. Despite the failure, he saw an opportunity to try again with the computers and talented programmers he had left. This gave them the opportunity to explore new possibilities and start building websites and developing software. Shamit's mindset at the time was crucial in his decision to bounce back. He was young and willing to take risks, which allowed him to see failure as a learning experience rather than a setback. He also had confidence in his technological skills, receiving continued inquiries even during the dot com downfall. This indicated there was still a demand for their services, and they could leverage their existing resources to meet that demand. However determined, starting over required a strategic approach. In this sense, Shamit attributes his focus to what he learned during his participation in the MIT program, which provided him with valuable knowledge and insights that he could apply to his business. Of course, it was not easy, but it is possible. Rising from the ashes requires a positive mindset, a willingness to learn from past mistakes, and the ability to adapt and pivot. Finding a New Niche in a Mobile App Development At the time his first company went under, most people would’ve probably just gotten a job. Instead, Shamit decided to give entrepreneurship another try. His passion for technology played a significant role in his ability to persevere. He firmly believes in his ability to create and build a successful business using his technological skills. This new endeavor started with an offering of simple website and hosting services. With time, they also started developing straightforward software, as well as developing interesting projects with US companies. Slowly but surely his agency started moving between different technology solutions, which led to working in mobile applications. First, an EO mobile application built by Shamit himself, followed by hiring a mobile application developer. To date, the mobile division has grown to a team of 35 people. Advantages of Partnering with Indian Startups Shamit links his ability to think creatively and find solutions where none existed to a unique problem-solving approach known as "Jugaad" in India. For him, Indians are born entrepreneurs in a culture Jugaad refers to finding innovative and unconventional solutions when traditional methods fall short. Many people think of Indian labor as cheap labor and shy away from working with Indian companies. In reality, the Indian value proposition goes beyond affordability. Indian professionals have excellent English language skills, both spoken and written, which sets them apart from other countries and enables effective communication and collaboration with clients from around the world. Indian companies are hugely successful in mobile development, thanks in part to the availability of talent. With a population of over a billion people, Shamit estimates India has at least a million great engineers. This immense talent pool allows Indian companies to scale their operations and take on large-scale projects. Other than that, the biggest downside for their competitive stance versus other countries like Mexico is the time zone. For Shamit, this doesn’t necessarily make things more complicated, considering the overlap between Indian and East Coast times at one point of the day and West Coast at the end of the day. This is enough of a window to have efficient communication with customers, deliver on a project, and achieve their goals. Retaining Top Talent in a Fast-Growing, Competitive Industry Recruiting and retaining top talent is a critical aspect of any successful business, and it is especially challenging in the fast-growing mobile development industry in India. Building a reputable brand and establishing trust with employees and clients is essential for attracting and retaining top talent. In his case, Shamit knew he needed to improve the agency’s hiring process, which they did after participating in a program at MIT that focused on top grading. This program introduced a more objective and process-oriented approach to recruitment, reducing subjectivity in the hiring process. Another positive influence in improving their process has been studying the best practices in the industry and other verticals. However, when it comes to retention, Shamit admits it’s been a tricky and challenging aspect. The IT industry is still in turmoil post Covid and what worked in the past seems to have no effect now, which meant it was time to get creative. At his agency, they offer loyalty leaves and loyalty bonuses, providing employees with additional time off based on their years of service. They also incentivize employees to take paid holidays and provide incentives for significant life events such as anniversaries, birthdays, and the birth of a child. These initiatives have proven successful in retaining employees and creating a positive work environment. They’ve also moved to using new tools like ChatGPT for copywriting and being overall less people-dependent. Proactive Systems, Outsourced Non-Essentials & Other Keys to Effective Leadership Shamit credits peers for leadership lessons that enabled growth. Chief among them - continuously evaluating processes, systems, and technology. Every 5 years as they expand, he reviews which processes must evolve. It was this proactivity that ensured a smooth remote transition during the pandemic. He also delegates non-core tasks through outsourcing. Why let yourself get distracted on these tasks when focus fuels success? External partners handle catering and other tangential activities. This liberates resources to deliver mobile mastery. And fun fosters engagement. Annual retreats including families strengthen bonds and morale. At work or play, Shamit's priority is a supportive culture. The whole person thrives when work has meaning and teammates feel like family. Do You Want to Transform Your Agency from a Liability to an Asset? If you want to be around amazing agency owners that can see what you may not be able to see and help you grow your agency, go to Agency Mastery 360.  Our agency growth program enables you to take a 360-degree view of your agency and gain mastery of the 3 pillar systems (attract, convert, scale) so you can create predictability, wealth, and freedom.