The Headcount People

In this episode from The Headcount People podcast, we interview Raman Mann, a seasoned RecOps professional with almost 10 years experience in People & Talent Programs, Operations, and Systems.

Watch this short preview and get excited for the next episode from The Headcount People podcast, with special guest, Raman Mann, a seasoned RecOps professional with almost 10 years experience in People & Talent Programs, Operations, and Systems.

In our latest episode, Daniel Fulmer, Finance Director at Invoca, shares his invaluable insights and expertise on navigating the intricacies of managing headcount in a rapidly evolving business landscape.

Daniel takes us on a journey through the evolution of the planning process, reflecting on the early days when it resembled the "wild west" with no defined structure. He highlights the transformative shift from relying on scattered spreadsheets to embracing a powerful headcount management tool that has revolutionized their operations. By leveraging this innovative tool, Invoca has saved valuable time and gained unprecedented visibility into their workforce.

Daniel addresses the biggest challenge they faced – managing an array of spreadsheets and ensuring accurate and up-to-date information amidst promotions, terminations, and the dynamic movements within the organization. He emphasizes the criticality of effective headcount management, especially in a software company where personnel expenses account for over 80% of the total spend and play a pivotal role in driving company growth. By mastering headcount planning and maintaining a robust plan, businesses can steer clear of the pitfalls of overstaffing or sudden layoffs due to unforeseen circumstances.

The conversation delves into the intricacies of the annual planning process, starting with a top-down target that is presented to department heads. Daniel unravels the collaborative process with teams, providing them with budgets and empowering them to prioritize their investments in software, personnel, and other crucial resources. While initial discussions are high-level, the planning process becomes progressively detailed, encompassing specific aspects such as job titles, levels, salaries, and start dates. However, Daniel acknowledges the possibility of changes and the need for flexibility, where adjustments and negotiations are made to navigate budget constraints effectively.

Throughout the video, Daniel underscores the importance of proactive planning and the immense value of adopting a rolling forecast approach. By consistently looking ahead and aligning future projections with current performance, businesses can make well-informed decisions, avoid unwelcome surprises, and quickly adapt to ever-changing market conditions. This agile mindset empowers companies to optimize their headcount expenses, extend their financial runway, and minimize the need for drastic measures such as layoffs during challenging times.

Join us for this enlightening discussion with Daniel Fulmer as we unravel the complexities of headcount management and discover the strategies that can help businesses navigate the annual headcount planning process with confidence and success.

Not every company needs a headcount management tool... but there are telltale signs when they do. In this teaser clip from our sixth episode of The Headcount People, Daniel Fulmer shares his take on when to bring a tool into your headcount process. Daniel is the Finance Director at Invoca, who has grown 4X during his tenure.

In this video, Krishna Vallabhaneni dives into the question of how to determine the number of new roles to add to your business plan each quarter. Krishna explains that the process begins with revenue planning, which is particularly crucial for subscription-based startups that may not yet be cash flow positive. By projecting revenue growth over the short and long term and updating those projections regularly, businesses can gain a better understanding of their hiring capacity. As Krishna notes, more revenue means more cash flow and more opportunities to bring new team members on board. Tune into the full episode for more insights from Krishna!

Krishna Vallabhaneni is the Vice President of Finance at Grin, a creator management platform for consumer brands to manage influencer marketing campaigns. With over a year of experience at Grin, Krishna leads the finance and accounting teams responsible for ensuring accurate and timely financials, which are clearly communicated to stakeholders across the company. Additionally, Krishna works closely with various business leaders to provide analytical support and insights on KPIs and their impact on financial performance.

Welcome Dave Wieseneck, VP Finance at Demostack, to The Headcount People podcast! Dave is a superstar when it comes to helping startups grow quickly and efficiently. He is a wizard with spreadsheets, but knows that tools and automation are the key to productivity and efficiency. We talk about the headcount planning process at Demostack, how they're approaching new investments in the 'new normal' of today, and when to move from manual work to a tool.

David Wieseneck talks about the shift from "growth at all costs" to "capital preservation" at his company, and many others in the tech landscape. The economy, plus the Silicon Valley Bank collapse, has led to a different approach to capital investment for Finance executives.

Jeff Merlin is the Senior Director of Strategic Finance at Harness, a well funded Series D startup with over 800 employees. He's helped the company manage exponential growth since joining and building out its strategic finance function. Prior to Harness, he led FP&A at OneLogin, and worked in FP&A at Gap Inc.

In this episode, Jeff talks about the strategic side of headcount planning and management, and focuses in on how to utilize tools to provide highly accurate, near real-time data about the current and future team at Harness. He also talks a bit about capacity planning, headcount modeling, and provides guidance for other FP&A leaders around managing up and across as it relates to headcount spend and forecast.

00:00 - Cold open

01:27 - Meet Jeff Merlin

02:38 - What does your Strategic Finance team look like?

03:58 - Why is headcount planning important for companies to invest in?

05:02 - How do you do headcount planning at Harness?

06:37 - What is your headcount planning process?

11:07 - How are you determining the total envelope for headcount?

13:15 - How do you determine the ratios that go into your headcount model?

14:52 - What are the ratios to consider for Sales and Product roles?

19:12 - What are the best practices for managing and executing the headcount plan?

20:56 - How are you operating when you have to make these decisions?

22:31 - Guidance for other finance leaders?

25:41 - What are the tools that you use for managing headcount?

29:54 - How much time is spent syncing data and workflows?

32:12 - How did you streamline your headcount workflows?

34:44 - C-suite perspective on headcount management for next 12-24-36 months?

How is your C-suite thinking about headcount management?  Growth at all costs is out. Prioritization of headcount is in. Any incremental headcount that's being added should be tied to the strategic investment of the company.  From Episode 03 - The Headcount People