Ernesto Tagwerker - Scaling a Software Agency: The Power of Productized Services and Profitable Growth Strategies

In this episode, We had the pleasure of speaking with Ernesto Tagwerker, founder and CTO of Ombulabs, about scaling a software agency and the benefits of productized services. We discussed the importance of paying off technical debt and how Ombulabs focuses on upgrading JavaScript, React JS, Node JS, Rails, and Ruby to help clients maintain their software. We also explored how to maintain consistent quality and delivery for productized services while avoiding technical laziness, and the role of project management in ensuring that deadlines are met. Additionally, we touched on the challenges of pitching to public companies and the need to adjust pricing and value to be taken seriously by larger clients. We delved into the methodology behind iterating on productized services as client and business needs change over time, and how utilizing templates for processes, blind estimation tools, and continuously learning from experience can improve service offerings. We also discussed the impact of productized services on profitability, revealing how higher margins can be achieved through these offerings. Lastly, we discussed business development strategies to increase profitability, such as specializing in a specific vertical and becoming an authority in the field, and how this can lead to higher rates and increased profitability for a software development company. Throughout the conversation, Ernesto shared valuable insights from his experience in scaling Ombulabs and the growth strategies they have experimented with to adapt and maintain a successful business.

Chapters:

(0:00:00) - Scaling a Software Agency

(0:13:54) - Productized Services Quality Delivery

(0:24:06) - Maximizing Profitability With Productized Services

(0:31:03) - Business Development Strategies to Increase Profitability

(0:36:57) - Experimenting With Growth Strategies