Controversy was recently courted as Southern California Edison (SCE) prepares to cut their own staff while looking to meet their staffing needs with offshore employees skilled in the field of “IT” or Informational Technology. This has been the second major utility company in the United States to take this path towards providing services to its consumers while holding current rates at consistent levels. SCE does not disclose the exact numbers of expected lay-offs, but the LA Times reports that it is in the hundreds.  Utility companies tell their consumers that these moves are necessary as a hedge against inflation and to keep their services at rates that their customers can easily afford. Critics claim that the use of foreign workers is the first step to using an entirely foreign workforce and promoting large scale unemployment amongst American citizens. Often this has been seen as a conflict between national and international workers for the same jobs, salaries and careers.

It has been noted that this State of California utility company, much like other corporations that hire foreign workers does so primarily when there is a shortage of national citizens that can perform these jobs well. IT workers that are brought in with H-1B Visa work permits usually are college educated and hold expertise in technical areas and studies that local employees may not be especially trained in. Once again, critics decry the fact that these employees are not hired directly. On shore contracting companies operating in the continental United States are directly hired by the utility companies. These contracted companies then serve as “middle-men” and hire a wide range of foreign workers with H-1B paperwork so that they can move to the United States. The workers then perform a variety of jobs instead of American workers who were either born in the country or have achieved American citizenship on their own.

Needless to say, the amount of visas issued in a given year is a concern for U.S workers in various fields but particularly in Information Technology. As large corporations stack the employment deck with foreign workers who put in the hours for a fraction of the pay-rate for local employees, local IT professionals are finding it more difficult to find work nationally.  They encounter rejections, endless interview processes or low –ball offers from companies and recruiting agencies looking to fill positions at a bare minimum cost for coveted skill-sets.  

Meanwhile, an H-1B worker is a worker brought in on a temporary basis with a visa allowing them to work freely in the United States. Much like a student or travel visa, it is issued for on a calendar oriented basis.  Applicants who successfully renew the visa for an extended period of time can expect to work in the United States for up to ten years.  Although U.S companies hiring these employees may pay them less than their local employees, the salaries earned by H-1B Visa workers are almost always higher than these workers would earn in their own country of origin.

Both sides can agree on several issues. When it comes to these H-1B Visa workers, their assignments are generally of a contractual nature and require them to reside in this country for a period of months to years. However it is also an accepted fact that while they are in this country, they are responsible for paying rent, utilities and all other living expenses. As residents of the United States on a permanent basis, they are also liable for taxes on any salary they have earned while living here.

Dr. Norman Matloff, a professor at the University of California, Davis and writer on political matters believes the shortage to be fiction. In his writing for the University of Michigan Journal of Law Reform, he claims that “there has been no shortage of qualified American citizens to fill American computer-related jobs, and that the data offered as evidence of American corporations needing H-1B visas to address labor shortages was erroneous. The American Immigration Lawyers Association (AILA) agrees with him and describes the situation as a crisis. Likewise, other studies from Duke, Alfred P. Sloan Foundation and Georgetown University have disputed that in some years, the number of foreign programmers and engineers imported outnumbered the number of jobs created by the industry

When it comes to running a start up, leaders need to make sure that their key players are motivated. This has been seen with many companies. Back in the 1970's it was found with the inspiration and diligence of the late Daniel Nigro when he formed Kleer-Fax. More recently it was seen in David Khasidy, the founder and recently retired president of SunRay Power Management, the most dynamic green energy leader in the US today.

The question is, what is it that great leaders like David Khasidy and Daniel Nigro do that make the difference? How do the most vulnerable companies (start ups) break the mold and become a part of our everyday lives?

It starts with their mission and vision.

Create a Strong Mission and Vision

There are many reasons why start ups fail. For one, they usually lack the capital to last through the lean times. Secondly, they often don't have the tolerance for setbacks that occur. Lastly, they do not have a long-term plan, also called a mission.

When a business has a strong mission, the team knows it and their focus toward their work and service to others within and without the company reflects that. To complement that, the shorter term vision of the company needs to be present as well.

This can even be seen in sole proprietorships with no employees, such as when Brian Pascale started his law practice. His vision was to find justice for his clients while his mission was to build upon a career that had already set precedents in the area of tort law.

As his practice has grown, new staff members can sense the vision and mission he exudes.

Encourage Ownership of Projects and Processes

Start ups need to inspire and motivate their employees because they need to know that they are not only a part of something important, but that their contributions mean something.

What won't happen if they are not there? What contribution do they make, and what are the consequences of them not fulfilling their part of the work?

By encouraging ownership in projects, team members can find that the work they are doing is not only important for the organization, but that they are going to be a big part of what makes it happen. The alternative is that they feel replaceable.

Offer Incentives That Keep the Company Competitive

When team members embrace the mission and vision of the company, and then take ownership for the company's success, they are going to need to be justly rewarded.

This could include flexible schedules (for those who don't need a stringent one), use of an account at a nearby takeout place, or even the potential for ownership as a result of a vesting program.

The incentive everyone is looking for more immediately, though, is cash. When the company takes in more revenue as a result of the efforts of those on the team, rewarding them can go a long way not only in making them feel appreciated, but in encouraging them to bring in more business.

Members of a start up team are usually very talented, and commonly underpaid. However, if they believe they are going somewhere, it will make a big difference.

Related:

Good non-programmer jobs for people with software developer experience

Recently, I asked my friend, Ray, to list those he believes are the top 10 most forward thinkers in the IT industry.  Below is the list he generated. 

Like most smart people, Ray gets his information from institutions such as the New York Times, the Wall Street Journal, the Huffington Post, Ted Talks ...  Ray is not an IT expert; he is, however, a marketer: the type that has an opinion on everything and is all too willing to share it.  Unfortunately, many of his opinions are based upon the writings/editorials of those attempting to appeal to the reading level of an 8th grader.  I suppose it could be worse.  He could be referencing Yahoo News, where important stories get priority placement such as when the voluptuous Kate Upton holds a computer close to her breasts.

Before you read further, note that missing from this list and not credited are innovators: Bill Joy, Dennis Ritchie, Linus Torvalds, Alan Turing, Edward Howard Armstrong, Peter Andreas Grunberg and Albert Fent, Gottfried Wilhelm Leibniz/Hermann Grassmann ... You know the type:  the type of individual who burns the midnight oil and rarely, if ever, guffaws over their discoveries or achievements.

In recent decades, companies have become remarkably different than what they were in the past. The formal hierarchies through which support staff rose towards management positions are largely extinct. Offices are flat and open-plan collaborations between individuals with varying talent who may not ever physically occupy a corporate workspace. Many employed by companies today work from laptops nomadically instead. No one could complain that IT innovation hasn’t been profitable. It’s an industry that is forecasted to rake in $351 billion in 2018, according to recent statistics from the Consumer Technology Association (CTA). A leadership dilemma for mid-level IT managers in particular, however, has developed. Being in the middle has always been a professional gray area that only the most driven leverage towards successful outcomes for themselves professionally, but mid-level managers in IT need to develop key skills in order to drive the level of growth that the fast paced companies who employ them need. 

What is a middle manager’s role exactly? 

A typical middle manager in the IT industry is usually someone who has risen up the ranks from a technical related position due to their ability to envision a big picture of what’s required to drive projects forward. A successful middle manager is able to create cohesion across different areas of the company so that projects can be successfully completed. They’re also someone with the focus necessary to track the progress of complex processes and drive them forward at a fast pace as well as ensure that outcomes meet or exceed expectations.

What challenges do middle managers face in being successful in the IT industry today? 

While middle managers are responsible for the teams they oversee to reach key milestones in the life cycle of important projects, they struggle to assert their power to influence closure. Navigating the space between higher-ups and atomized work forces is no easy thing, especially now that workforces often consist of freelancers with unprecedented independence. 

What are the skills most needed for an IT manager to be effective? 

Being educated on a steady basis to handle the constant evolution of tech is absolutely essential if a middle manager expects to thrive professionally in a culture so knowledge oriented that evolves at such a rapid pace. A middle manager who doesn't talk the talk of support roles or understand the nuts and bolts of a project they’re in charge of reaching completion will not be able to catch errors or suggest adequate solutions when needed. 

How has the concept of middle management changed? 

Middle managers were basically once perceived of as supervisors who motivated and rewarded staff towards meeting goals. They coached. They toggled back and forth between the teams they watched over and upper management in an effort to keep everyone on the same page. It could be said that many got stuck between the lower and upper tier of their companies in doing so. While companies have always had to be result-oriented to be profitable, there’s a much higher expectation for what that means in the IT industry. Future mid-level managers will have to have the same skills as those whose performance they're tracking so they can determine if projects are being executed effectively. They also need to be able to know what new hires that are being on-boarded should know to get up to speed quickly, and that’s just a thumbnail sketch because IT companies are driven forward by skills that are not easy to master and demand constant rejuvenation in the form of education and training. It’s absolutely necessary for those responsible for teams that bring products and services to market to have similar skills in order to truly determine if they’re being deployed well. There’s a growing call for mid-level managers to receive more comprehensive leadership training as well, however. There’s a perception that upper and lower level managers have traditionally been given more attention than managers in the middle. Some say that better prepped middle managers make more valuable successors to higher management roles. That would be a great happy ending, but a growing number of companies in India’s tech sector complain that mid-level managers have lost their relevance in the scheme of the brave new world of IT and may soon be obsolete.