How We Grow In-House Talent for Software Development

Starting small, but fueled by technical excellence

This year, we celebrate our first decade in custom software development. Like all great stories, ours started small, with just a few people committed to making a lasting impact in software development.

With years of expertise in software development at some of Croatia’s hottest companies, our founding team decided it was time to take the plunge and set up shop as a custom software development company. They started with a small team of handpicked, brilliant young engineers fresh from university who shared our founders’ passion and hunger for technical excellence. “Hard-core engineering brains” is how our co-founder Domagoj Madunić describes them, a term that still applies today.

With a reputation for their specific technical expertise (e.g., Java) and a deep understanding of enterprise business processes, the mini team has quickly established a small but significant client base. However, as the client base grew and the projects became more complex and international, the team had to define its approach towards bridging the gap between talent demand and supply. Choosing between the widespread “seniors only” attitude in tech and building talent within seemed like a tough decision—for about a millisecond.

A healthy team structure for our projects and clients

“You need seniors who have street smarts and can see wider angles. But be smart and cost-efficient when and where it makes sense.” Roko Roić, co-founder.

Unlike many software development companies, we don’t claim to hire “only senior developers.” Saying, “We don’t hire juniors,” was never an option, as it would be an open admission that we’re not prepared to be part of someone’s career path. It essentially advertises stagnancy, which goes against everything we stand for as a company.

Clients respect our commitment to delivering technical excellence while being transparent, and our employees benefit from a well-defined career path with plenty of room to grow and learn. This is the key to a long-term partnership with clients and employees.

Why In-House Talent Development?

In-house talent development focuses on enhancing the skills and knowledge of existing employees. It’s about investing in your people, fostering a culture of continuous learning, and building a robust talent pipeline from within. Here’s why it’s crucial:

1. Bridging the Skills Gap

The tech industry is dynamic, with new languages, frameworks, and tools emerging regularly. By developing in-house talent, companies can ensure their engineers are up-to-date with the latest technologies, bridging the skills gap. Clients also benefit from steady access to the newest technologies.

2. Retaining Top Talent

Employees are likelier to stay with a company that invests in their professional growth. In-house talent development programs can increase employee engagement, loyalty, and retention.

3. Consistent Quality

When a company develops its engineering talent internally, it can ensure consistent product and service quality. Our engineers are trained and mentored according to the company’s highest standards of technical excellence. This leads to greater customer trust and confidence. A track record of long-term customer partnerships is living proof of this approach.

“At Notch, the average client relationship lasts 3+ years, but several clients have been with the company for over eight years, some even from inception. These relationships have evolved into true partnerships, business-wise but, most importantly, from a human perspective. Many have developed deep bonds with our employees based on mutual trust and respect.“ Harvey Fijucek, Chief Customer Officer.

How to Implement In-House Talent Development

Here are some strategies for implementing in-house talent development that worked for us:

1. Regular Training and Workshops

Conduct regular knowledge-sharing events and workshops on emerging technologies and best practices. Some of our initiatives include Learn@Lunch sessions, where colleagues share their knowledge on specific topics with their peers, and Notch Labs, a program focused on R&D efforts.

2. Mentoring and Coaching

Establish a mentoring program where senior engineers can guide junior team members. This will help in skill development and foster a culture of knowledge sharing. Our CTO organization is comprised of 11 senior engineers who are focused on knowledge transfer and R&D.

3. Encourage Self-Learning and knowledge sharing

Provide resources for self-learning and encourage employees to share what they have learned with others. Our engineers regularly publish articles about the latest technology trends, specific technologies, or what they have learned while working on external or internal projects. This creates room for building their personal brand and helping the developer community.

4. Real-World Projects

The best way to learn is to work on real-world projects or internal tools from day one. This provides hands-on experience and the opportunity to apply what they’ve learned.

We have developed an internal tool, a Competence Matrix (CMX) platform, which offers a clear view of employees’ skills and interests, supporting career development and team effectiveness. It allows each person to list their technical and non-technical competencies, find mentors, and help leaders track team progress.

5. Competence Matrix (CMX)

We developed an internal Competence Matrix (CMX), a platform that gives us an overview of our talents’ key competencies and development aspirations.

It also encourages knowledge sharing, helps us detect trending technologies, and individual employee-level interest in competency development. At any given time, CMX provides a real-time overview of the technologies in which Notch employees have the highest competency levels and an overview of ongoing client projects.

Learn more about Competence Matrix!

6. Giving Back to the Community

Community initiatives, such as meetups or developer events, promote knowledge sharing, innovation, and networking within the tech community. These events keep engineers updated with the latest technologies, provide learning opportunities, and contribute to the industry’s growth, but can also lead to collaborative projects, job opportunities, and mentorship opportunities.

We have a strong history of organizing events for junior talents, such as Spring Boot Summer School and Devcademy. We also regularly organize meetups for the wider engineering community, such as recent DevCrawl, Scrum, and BA meetups.

“If you can afford it, time and money-wise, grow and mentor your in-house talent—you’ll reap many benefits. Your company has lower turnover, higher diversity, and less overhead than the competition. Recruiting and retaining junior developers is integral to creating a quality workplace. There is no greater satisfaction for a founder than growing talent and seeing people succeed. “ Domagoj Madunić, co-founder.