Over the last several years, I’ve had the opportunity to build tech teams from scratch, both in corporate environments and fast-moving fintechs. In this article, I’ll share my thoughts on building an IT department from the ground up, particularly in the context of startups, fintechs, and innovation labs. This is not a fixed formula for success; it’s a starting point based on my experiences. What works today may evolve as I learn more about what I do right—and wrong.
I like to approach this analysis through the lens of the People, Process, and Technology (PPT) framework. By balancing these three key areas, I believe it’s possible to create an IT department that not only functions but excels.
1. People: Building the Right Team
Finding the right talent is challenging for any company, but it’s especially tough for startups and new organizations. These environments require a lot of creativity and efficiency in hiring. If you’re lucky enough to have the budget to hire the top-tier experts in every role, by all means, go for it. But for most of us, resources are limited, and we need to be strategic about how we build teams.
Key Strategies:
Build mixed-experience teams: I’ve found that having a mix of seasoned professionals and less experienced but highly teachable individuals creates the right balance. A few top players can guide the rest, creating a culture of growth and learning within the team.
Look for teachable talent: You don’t need a team filled with experts, but you do need some. The key is to find people who are willing and able to learn. This approach not only saves costs but also builds a resilient and flexible team.
Outsource selectively: If you’re trying to get the IT department off the ground quickly, outsourcing can be a great way to bring in expertise for specialized tasks. This can accelerate growth without committing to long-term hires right away.
Emphasize soft skills: Technical proficiency is important, but soft skills—like communication, problem-solving, and adaptability—are just as crucial, especially in a growing company. Encourage a culture of teamwork and continuous improvement.
2. Process: The Backbone of Scalability
Building with agility is, in my opinion, the best strategy when you’re starting from scratch. However, agile frameworks are not the silver bullet for every situation. In IT, different functions often require different approaches.
Key Strategies:
Agile for software development: Use agile methodologies like Scrum or Kanban for software development. These frameworks help teams stay flexible and focused on delivering value quickly.
Prescriptive processes for other IT functions: For areas like infrastructure, compliance, and operations, more structured and prescriptive processes might be necessary. In these areas, you need clarity, accountability, and a focus on long-term stability.
Start with DevOps at 100%: From the very beginning, invest in DevOps. The automation and collaboration that DevOps enables will pay dividends as your company grows. By establishing continuous integration and deployment (CI/CD) pipelines early, you ensure that the foundation is in place to scale smoothly.
Automation as a mindset: Don’t wait to automate. Every task that can be automated should be, and this should be a core value in your IT department. The more automation you build in from the start, the more you can focus on innovation rather than maintenance.
3. Technology: The Tools to Get the Job Done
Choosing the right technology stack and tools is crucial, not only for building your products but also for ensuring the team can operate efficiently. Technology decisions made early will have long-term implications, so it’s important to be strategic.
Key Strategies:
Cloud-first approach: Cloud is no longer an option; it’s a necessity. From my experience, cloud platforms like AWS, Google Cloud, and Microsoft Azure offer the flexibility and scalability that startups and growing companies need. I’m particularly a fan of AWS due to its breadth of services and reliability, though every platform has its strengths.
Standardize your tech stack: Early on, it’s important to decide on a technology stack that is as homogeneous as possible. This will allow your team to collaborate more effectively and reduce the overhead of maintaining diverse technologies. When everyone is speaking the same “language,” you can share knowledge more easily.
Adopt infrastructure-as-code (IaC): Infrastructure-as-code is non-negotiable in modern IT. If you’re not doing it from the start, it becomes exponentially harder to adopt later. Tools like Terraform, AWS CloudFormation, or the awesome AWS CDK can help you define and manage infrastructure as code, providing consistency and reducing human error.
Go serverless when possible: Serverless computing allows you to focus on writing code without worrying about managing servers. Whether it’s AWS Lambda or Azure Functions, going serverless reduces the operational burden on your team, allowing you to move faster and do more with fewer resources.
Final Thoughts
Building an IT department from scratch is hard. There are no shortcuts, and each decision you make today will have a ripple effect on your organization’s future. However, with the right people, processes, and technology in place, it’s absolutely possible to create an IT department that’s efficient, scalable, and innovative.
These are just some of my thoughts based on my own experiences, and they will likely change as I continue to learn. I hope these ideas give you a useful starting point in your journey.
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