Real-World Lessons and Practical Advice from IT Staffing Leaders

In today’s rapidly evolving IT services market, traditional staffing alone often is not enough to meet client expectations. More and more firms are discovering that building a Statement of Work (SOW) offering is strategic for long-term relevance and growth.

For leaders like Anna Frazzetto, Founder and CEO of AFM Strategic Partners, the growing buzz around SOW isn’t surprising. “SOW has become a hot topic,” she explained. “But let’s set the stage clearly — this isn’t a one-size-fits-all solution. What works for one organization might not be the right path for another, and that’s okay.” 

Still, for those ready to explore the opportunity, the path is full of promise … and challenges. A group of experienced industry leaders shared candid insights from their journeys into SOW delivery, offering a behind-the-scenes look at what it takes to succeed. 

From Transactional to Strategic: Why Make the Shift? 

For some, the transition to SOW delivery was born out of necessity. Chris Beisler, Co-Founder and Managing Partner at BridgeView IT, shared that his firm’s move into SOW was triggered by a major client implementing a VMS system. “We stuck to our guns,” he said, “and once the professional services agreement came through, it was a game changer. It opened our eyes to a better way to do business.” The result? Better margins, more strategic engagements, and the ability to walk away from VMS-driven, low-margin work. 

Sam Smith, Senior Vice President at ASB Resources, echoed that evolution. “What’s happened over the years is realizing you move from a transactional mindset to a truly consultative, strategic approach,” he said. For ASB Resources, SOW has become a major growth engine. “Our SOW business is probably up 80%. It drives bigger margins, more revenue, multi-year transactions, and you’re more of a solutions provider than just a staffing person.” 

Building the Right Internal Foundation 

Transitioning to SOW doesn’t just mean changing your go-to-market approach. It also demands internal transformation — from sales strategy to operational infrastructure. As Beisler described, “We needed contracts with language that addressed procurement needs, not staffing agreements. We hired someone to run our consulting division. We created an internal PMO. These weren’t surface-level changes — these were foundational shifts.” 

Pat Patel, CEO of East Bay Ventures and former CEO of IntelliSwift, emphasized that intentional investment in delivery talent is crucial. “We ended up hiring folks who had worked for TCS, Infosys, Cognizant, and Accenture,” he said. “You need subject matter experts and strong project managers. You can’t just sell the deal — you have to deliver it too.” 

Frazzetto reinforced that perspective: “The whole intent of SOW is that you are providing a vetted team. Clients aren’t supposed to be interviewing every team member — it’s about trust in your ability to deliver outcomes.” 

The Sales Mindset Shift 

Transitioning to an SOW model doesn’t just change what you sell — it changes how you sell. “You have to go up the value chain,” said Patel. “You can’t sell large projects at the project manager level. You need to be in front of directors, VPs, and above.” 

For firms used to the fast-paced rhythm of transactional sales, SOW sales can feel slow and complex. Smith advised patience: “Start small. Crawl, walk, then run. Don’t scrap your staffing business — you can run two strategic operations. But seek out people who understand this model. Learn it. Try it. And then scale.” 

Frazzetto added that not every salesperson is built for consultative selling. “You’ll see the ones who show curiosity and capability. Those are the people you train to lead your SOW engagements.” 

Risk, Reward, and the Road Ahead 

One of the biggest questions firms ask is: is it worth the risk? 

Patel doesn’t downplay the complexity: “There are risks, especially with fixed-bid projects. But with the right client involvement, risk mitigation strategies, and contract structures, it’s manageable. We built strong delivery teams and tools to handle it. And yes, I lost some sleep — but it was worth it.” 

The upside is significant. “Clients are absolutely willing to pay more — but they expect more,” said Beisler. “SOW work doesn’t come from the same budget as staffing. It’s not governed by rate cards. It’s based on business needs — and that creates room for value-based fees.” 

That value extends to client relationships. “Offering SOW services gives us a seat at the table for broader initiatives,” said Beisler. “It elevated our relationships. We’re being brought in during the planning stage, not just asked to fill a req.” 

Smith agreed. “You’re no longer just a supplier. You become a true partner — and the word spreads within the organization.” 

Final Thoughts: Start Smart, Scale Deliberately 

The message from those who’ve done it is clear: SOW delivery isn’t just a revenue opportunity — it’s a transformational strategy. But it must be approached with intention, discipline, and patience. 

“Start with a $100,000 deal, deliver it well, and build from there,” said Frazzetto. “This is about creating annuity business, long-term client relationships, and truly moving up the value chain.” 

As Patel concluded, “80% of the market spend is on IT services. Only 20% drops to staffing. If you want to grow, if you want valuation, if you want stickiness — you have to look at SOW.” 

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Register for the third webinar in this three-part series on SOW:

Part 3: Launching An SOW Offering: Next Steps – Thursday, July 24th, 2025 at 12:30 PM