Success story: TalentFuse Inc.

If someone came to you a month after 9/11 and with plans to start an IT staffing firm - in California, of all places - you probably would have smiled weakly and handed them the number of the local psychiatrist.

This is the kind of counterintuitive maneuver that Brian Margarita of TalentFuse Inc. specializes in, and he did exactly that, founding his firm in October 2001. The company has grown exponentially since then, starting with growth from three people to 12 in its first year, and up to 80 now.

Margarita has stayed focused on two things: serving the San Diego market and doing what it does best - placing top IT consultants. The result: TalentFuse is the fastest-growing staffing firm in the San Diego area.

TALENT SELECTION IS CRITICAL

Michael Marsh, VP of software engineering and IT at RFP Express, has used TalentFuse for many years because they are plugged into the tightly knit San Diego IT community, he said. This connection with that community sets TalentFuse apart from its competitors. "This is one of their strengths," he added. In addition, that entree into the community gives TalentFuse knowledge of talent that goes beyond the norm. "The quality of the engineers just generally seems to be better," he said.

The company has clients across industries and of all sizes, from start-ups to Fortune 100. Its service model is based on the concept that a boutique staffing agency is really a "talent agency," along the lines of the entertainment industry, and focuses on choosing the right candidates, from network administrator up to CTO. The company works to make the perfect match with the client, but is equally concerned with the candidate. For this reason he calls his recruiters "agents."

"Often [the industry] wines and dines the client but doesn't treat the candidate very well," Margarita said. He wants to do it differently. For example, he recently bought out seats for a showing of the latest Star Wars episode for his consultants, a perk his techies applauded. Four times a year, he hosts company-wide events for all employees -including consultants - and spouses.

MANAGING CAREERS

Beyond that, TalentFuse agents manage every aspect of the consultant's career, from finding that perfect job, to negotiating salary and terms of the contract equipment. Moreover, in this era of increased benefits importance, TalentFuse offers consultants benefits and a matching 401k after 90 days. All of this extra service to consultants has resulted in a 75% re-placement rate for consultants, Margarita said.

So how does TalentFuse find the right people in what everyone agrees is rapidly becoming a candidate's market? Unlike a standard industry set-up, the company has the same number of recruiters as salespeople - actually, the margin is slightly to the recruiter side.

Recruiters are forbidden from using any of the big job boards. Instead, the company sponsors technology events user groups such as "dot.net."

Margarita said he chooses recruiters who specialize in a niche within the IT market, and can develop deep relationships with consultants. The goal, he said, is to keep the talent for life. Recruiters themselves are constantly recruited, but not from local competitors. Margarita said he recruits from competitors out of state; a move he said is less likely to ruffle local feathers.

Finally, always looking to get a jump on the competition, TalentFuse has recently outsourcedÑbut with a typical Margarita twist. He has two recruiters in India, but all they do is source likely candidates here in America from their post over there - they don't make phone calls or do active recruiting. These leads are available to TalentFuse's agents every morning to give the recruiters a head start.

TREAT CUSTOMERS WELL, TOO

Along with a strong stable of candidates and a good recruiting model, excellent client service is the third side of the staffing triangle. "You have to know the project as well as the talent," Margarita said.

Client selection is "very tough," Margarita said. They work to satisfy clients by delivering top candidates, pre-interviewing candidates before they meet the client and conducting pre-interview reference checks.

Marsh of RFP Express said he depends on TalentFuse to pre-screen. "I don't look at resumes," he said, and with TalentFuse's help, the IT contractors hired fit the RFP work culture and skill requirements very closely. At the same time, when Marsh was on the other side of the equation, he said that TalentFuse never considered him for a job below his abilities, and that the company has a great idea of the right match between consultant and client.