At CorSource, shift happens
Premium content from Portland Business Journal by Erik Siemers , Business Journal staff writer
Date: Friday, June 1, 2012, 3:00am PDT
Date: Friday, June 1, 2012, 3:00am PDT
Cathy Cheney | Portland Business Journal
President Eileen Boerger is leading CorSource's shift from two separate subsidiaries into one company.
Business Journal staff writer-Portland Business Journal
CorSource Technology Group Inc. has long delineated its expertise across two subsidiaries. ProDX was its technical staffing business, providing IT workers on demand to the region's software companies. Agilis Solutions, its bigger business, provided software development consulting services. But over the past year, the company - which works mostly with small- and mid-sized companies - discovered that its greatest talents don't fit neatly into either category.
So CorSource is eliminating the Agilis and ProDX brands and marketing itself purely as do-it-all consultancy, a solver of high-tech business problems that can also help with software development and tech staffing.
"We don't want to be two different units. We want one unit with all these different uses but that leads with consulting," said CorSource President Eileen Boerger. "It's the realization that we have a lot to leverage and if we can go in and be solving problems from a consulting point of view, we can help our customers a lot better."
The business model adjustment comes with a change of location. CorSource is leaving its Beaverton headquarters for new digs in downtown Portland's Telegram Building at Southwest 11th Avenue and Washington Street, where Boerger said the company - which employs 75 locally, many of whom work on-site at customer locations - will be in the heart of Portland's business community.
"We wanted to be in the middle of it," Boerger said. "It gets us right where a lot of the business is." Boerger didn't provide exact sales figures, but said CorSource's revenue grew 20 percent last year, putting it on track toward its goal of $20 million by 2015.
The company occupies an important, if unheralded, place within the region's software ecosystem. Its skills are particularly suited to high growth software companies that lack the resources and manpower to scale as quickly as the market demands.
CorSource helps with that, whether by providing IT workers or leveraging its team of software developers, many of whom work for a third-party partner based in Vietnam.
"Even some companies that could be characterized as medium- or large-sized are also using those types of services as they start to look to ways to scale based on a particular project," said Skip Newberry, president of the Software Association of Oregon. "Sometimes they may not have the expertise in house. Given the speed companies may need to execute on development they say, 'let's contract out with the right talent to do this rather than going through the processes to hire internally.""
Boerger said the company realized this year that it could be more valuable to small- and medium-sized businesses if it came in as technology problem-solvers rather than specialists in other categories. It started with individual software vendors struggling to make the move to being cloud-based, software-as-a-service providers.
"What we realized was as we tried to sell development services, a lot of these companies didn't know what to do," she said. "What we ended up doing was providing them consulting services that said, 'let's start from where you are and here's what you really need to do."" From there, CorSource leverages its network of partners to link the customer with the right people to think through their business model. It can then sell the company software development of staffing services to help them achieve their goals.
"What we find is that we go to sell the development service, and they say, 'We need help before that.' We can't sell them our development service, so let's help them get there," Boerger said. "If you can help people solve those problems, you'll get the other business, too."
CorSource Technology Group Inc.
- Headquarters: Portland
- Ownership: Private
- Founders: Eileen Boerger
- Employees: 75
- Revenue: Not disclosed, but aiming for $20 million by 2015.
- Website: www.corsource.com
Erik Siemers covers footwear and apparel, technology, energy, manufacturing and ports.
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