Mastech Digital, Inc. (Mastech Digital) provides Digital Transformation IT Services.
The company offers data and analytics solutions, digital learning, and IT staffing services for both digital and mainstream technologies. The company does not sell, lease, or otherwise market computer software or hardware; essentially, 100% of the company’s revenue is derived from the sale of data and analytics, IT staffing, and Digital Transformation services through its two reportable segments, Data and Analy...
Mastech Digital, Inc. (Mastech Digital) provides Digital Transformation IT Services.
The company offers data and analytics solutions, digital learning, and IT staffing services for both digital and mainstream technologies. The company does not sell, lease, or otherwise market computer software or hardware; essentially, 100% of the company’s revenue is derived from the sale of data and analytics, IT staffing, and Digital Transformation services through its two reportable segments, Data and Analytics Services, and IT Staffing Services.
The company’s Data and Analytics Services segment delivers specialized data management, data engineering, customer experience consulting, data analytics, and cloud services to customers globally. Each of these services can be delivered using on-site and offshore resources.
The company’s IT Staffing Services segment combines technical expertise with business process experience to deliver a broad range of services in digital and mainstream technologies. The company’s digital technology services include data management and analytics, cloud, mobility, social, and automation. The company’s Digital Transformation services also include staffing and project-based services around digital learning. The company’s mainstream technologies services include business intelligence, data warehousing, web services, enterprise resource planning, customer resource management, and e-Business solutions. The company works with businesses and institutions with significant IT spend and recurring staffing needs. The company also supports smaller organizations with their project-focused, temporary IT staffing requirements. Additionally, the company provides offshore staffing services to its U.S.-based clients, local offshore clients, and recently added engineering staffing services to its portfolio of service offerings.
Sales and marketing of the company’s services are handled by separate and distinct sales organizations within each of its two business segments. The company’s data and analytics services are marketed through client partners, who largely focus on new business development, and technical relationship managers (principals), who focus on growing strong relationships within existing clients.
The company’s IT staffing and Digital Transformation services are marketed through account executives across the U.S., who deploy a telesales model, supplemented with client visits. Additionally, the company uses a branch service sales model in select geographies within the U.S. The branch services model employs local sales and recruitment resources, aimed at establishing strong relationships with both end clients and candidates.
In 2024, the company started a ServiceNow practice and focused on artificial intelligence technologies and applications across all of its businesses.
Segments
The company’s revenues are generated from two business segments: Data and Analytics Services, and IT Staffing Services.
Data and Analytics Services
The company’s Data and Analytics Services segment began with the acquisition of InfoTrellis, Inc.’s service business in July 2017. InfoTrellis, Inc. was founded by the engineering principals behind IBM’s Master Data Management (MDM) products and Informatica’s Customer 360 code base. This acquisition provided Mastech InfoTrellis with a solid foundation upon which to build, as the company acquired a business with one of the largest concentrations of technology-agnostic data management expertise in the marketplace. With the company’s October 2020 acquisition of AmberLeaf, the company gained complementary capabilities in customer experience consulting and managed services, as well as a roster of existing clients.
Data Modernization is the core focus of the company’s Data and Analytics Services segment. The company has partnered with industry leaders in this space and intends to continue to broaden its reach with new partners in the future. The company is also realigning itself to be a more dynamic, globally integrated organization across its traditional services offerings and to support its goal of expanding beyond niche services and providing full Data Modernization support to a wide range of organizations—from a $10 million startup to a Fortune 500 enterprise.
Sales and Marketing
Sales and Marketing at the company’s Data and Analytics Services segment is a single, integrated function spanning across four groups in multiple locations: Marketing, Inside Sales, Principals, and Client Partners.
The company’s Marketing team is responsible for designing inbound and outbound campaigns around data and business value, for dissemination through its omni channels and industry publications. The company’s Marketing team also works with its experts and thought leaders to create and disseminate data management, data engineering, and data science thought leadership articles and white papers.
The company’s Inside Sales team is responsible for operating integrated email and voice-based outbound marketing campaigns targeted at specific industries and functional populations on an ongoing basis.
The company’s onshore team of Principals and Client Partners is responsible for building buyer relationships with prospects and leads, converting those conversations into value-positive, revenue-generating engagements, as well as expanding existing client relationships.
The company’s typical credit terms require its invoices to be paid within 45 to 60 days of receipt by the client.
The company’s Partner/Alliance Relationships, such as those with IBM, Informatica, and Oracle, among others, also provide the company with a significant pipeline of opportunities and new business opportunities. Furthermore, prospective clients reach the company through referrals from its existing client base, its reputation in the data and analytics domain, and through its industry partners.
Once engaged with a prospect, the company’s approach to value delivery starts with the definition of a discrete business problem. The company then masters and manages its clients’ data, develops data products, and deploys purpose-built advanced analytics, machine learning, and artificial intelligence to deliver greater business velocity, significant cost reduction, and greater corporate resilience.
Practices
Mastech InfoTrellis builds a strong data foundation that delivers significant business value. The company’s expertise and technology practice stretches across four key domain areas.
Data-in-Motion:
The company creates connected and modern data systems with seamless data flow through:
Agile engineering: delivering efficient and scalable code through agile development practices;
Trusted data: ensuring data integrity through robust quality assurance processes;
Streamlined integration: enabling seamless data integration with a composable architecture and automation; and
Data visibility: providing comprehensive data observability for monitoring and validating data ecosystems.
Data-as-an-Asset:
The company bridges data acquisition and activation with better data management through MDM, Data Governance, Data Privacy, and Data Warehousing solutions.
The company’s approach focuses on understanding business use cases and designing technology solutions that directly address the end objectives.
The company collaborates with industry-leading data-focused technology providers, offering tailored solutions for unique business and technical needs.
The company’s vast experience in developing MDM platforms and its partnerships with data-focused software firms provide the company with a deep understanding of the technology landscape.
Data Activation:
The company unlocks insights for better business decision-making through:
Gap-to-goal roadmaps: The company helps address the gaps that hinder business goals, with technology-agnostic roadmaps, guiding clients toward desired outcomes.
Tailored technology solutions: With experience in over two thousand implementations, the company customizes solutions that blend out-of-the-box functionalities with custom features.
Seamless integrations: The company’s experts excel at integrating sales, service, marketing, and BI platforms for seamless data flow and efficient operations.
Empowering expertise: Post-implementation, the company equips clients with skills to maintain and leverage tools, manage administration, and streamline business processes.
Analytics, AI, and Data Sciences:
The company drives informed decision-making with modern statistical techniques and analytics, with a strong focus on:
Domain expertise: With cutting-edge techniques and industry knowledge, the company derives valuable insights, predictions, and actionable strategies from client data.
Holistic data strategy: The company develops data strategies that encompass governance, acquisition, quality, and integration, laying a foundation for effective data-driven decision-making.
Scalable and efficient: Leveraging scalable technologies and architectures, the company handles increasing data volumes and evolving needs while providing high-performance and timely insights.
ROI and business impact: The company’s data-driven strategies align with client key performance indicators and help unlock cost savings, impact revenue growth, and increase process efficiencies.
Geographic and Vertical Focus
Mastech InfoTrellis’ primary customer geographies are in North America; however, the company has customers and prospects in Europe and the Asia-Pacific region. The company’s target clients are largely corporations with revenues exceeding $1 billion and include Fortune 500 organizations.
IT Staffing Services
In the company’s IT Staffing Services business, the company typically negotiates its business relationships by using one of three methods to gain agreement on the services to be provided. The company either establishes its relationship based on a simple standard term sheet, creates a Statement of Work (SOW) specific to a project, or enters into a master service agreement with a client that describes the framework of its relationship. In each case, a client submits to the company positions and/or requirements that they plan on satisfying by using temporary contractors.
The company generally does not enjoy exclusivity with respect to a client’s contractor needs. Most of the company’s clients use multiple suppliers to satisfy their requirements and to ensure a competitive environment. The company’s success with any particular client is determined by the quality and fit of its consultant, its ability to deliver a quality consultant on a timely basis, and pricing considerations. The company invoices its clients on a weekly, bi-weekly, or monthly basis, in accordance with the terms of its agreement.
While the company’s primary focus is on contract IT staffing and Digital Transformation services, the company also provides permanent placement services for its clients when opportunities arise.
Sales and Marketing
The company targets much of its marketing efforts toward businesses and institutions with significant budgets, recurring IT staffing, and Digital Transformation needs, or new transformation efforts. The company works to increase its engagements with its existing client relationships, as well as continually developing new clients. Most of the company’s strategic relationships are established at the vice president/sales director level.
Selling is conducted through account executives utilizing a sales model that is desirable to the company’s clients’ needs. For clients with a need to supplement their own abilities to attract highly qualified temporary IT personnel and who prefer a low-touch sales model, such as Systems Integrator and staffing clients, the company generally deploys a centralized telesales model, complemented with client visits. The company supplements these domestic sales efforts through its sales organization in India, whose account executives target smaller IT staffing clients utilizing a cost-effective offshore telesales model. For end-user clients, who typically prefer a higher-touch sales model, the company generally utilizes a branch service model that deploys sales and recruitment resources locally or regionally in select geographies within the U.S. Account executives are generally responsible for a combination of new business development efforts and expanding existing client relationships.
Recruiting
The company operates several small recruiting centers located in the U.S. and one significantly larger facility in NOIDA, India, that deliver a full range of recruiting and sourcing services. The company’s centers employ approximately 175 recruiters and sourcers who focus on recruiting U.S.-based candidates to service a geographically diverse client base in the U.S. The company’s ability to respond to client requests faster than the competition is critical for success in its industry, as most staffing firms access the same candidate pool via job boards, websites, and other recruitment tools. The combination of the company’s offshore recruiting capabilities, investment in sourcing and recruiting processes, expanded search coverage, around-the-clock sourcing, and extensive candidate pools gives the company the ability to deliver high-quality candidates to its clients in a timely fashion.
The company continues to invest in leading technologies and recruitment tools to enhance efficiencies. For example, the company uses artificial intelligence and web-based tools to expand the reach of its candidate searches. The company also employs a state-of-the-art applicant tracking system that has recently been enhanced with proprietary toolkits and job board/internet interfacing capabilities, resulting in further operational efficiencies.
In late 2018, the company significantly expanded its offshore recruitment offices in NOIDA, which gave the company the ability to nearly double its recruiter seats. This facility provides the company’s offshore organization with state-of-the-art infrastructure and workforce amenities to attract top-quality recruiters and sourcers. This centralized offshore facility also affords the company the ability to improve operational efficiencies compared to operating two offshore facilities.
The company has access to large and differentiated recruiting pools due to its brand recognition with both U.S. citizens and H1-B visa holders in the U.S. Unlike most staffing firms that have a high concentration of either H1-B workers or W-2 hourly U.S. citizens, the company has historically maintained a balance of H1-B and W-2 hourly employees.
Technology and Client Focus of the company’s IT Staffing and Digital Transformation Services
The company’s staffing delivery teams, spread across the U.S. and India, are segmented by technologies, allowing the company to reach deep and wide in its understanding of technology domains and client relationships, which gives the company a keen understanding of its clients’ needs and preferences. The delivery teams work in an integrated manner to provide quality IT talent with a faster turnaround time than many of its competitors. The company has long-standing engagements with marquee brands and other premier global enterprises across various industries.
IT Staffing — Digital Technologies
Recognizing that a new breed of IT professionals adept in digital technologies is in high demand, the company enhanced its recruitment capabilities to focus on digital technology skill sets. Today, Mastech Digital provides its clients with the ability to secure skill sets that encompass social, mobile, data, analytics, cloud-based technologies, and automation. IT staffing for digital technologies is growing much faster than mainstream technologies, a trend that is expected to continue into the future. Digital technologies include the following areas:
Social Analytics
Social Blogging
Social Campaign Management
Enterprise Mobility Strategy
Mobile Application Development
Artificial Intelligence
Data Engineering
Data Analytics
Data Science
Cloud Strategy
Cloud Implementation and Support
Machine Learning
IT Staffing — Mainstream Technologies
A large part of the company’s business today comes from IT staffing services around mainstream technologies. The company provides services and has strategic relationships in many high-demand mainstream technology areas. The company’s IT professionals help design, develop, integrate, maintain, and support mainstream technologies in the following areas:
Mainframes
Databases
Middleware
Enterprise Systems
SoA and Web Services
Verification and Validation
Project Management
Open Source (JAVA)
Data Warehousing
Microsoft (C, .NET, SQL)
IT Administration
IT Helpdesk and Support
Business Analysis
Digital Learning Services
The company’s digital learning practice provides custom training programs for different organizational needs. With rich experience and proven success in handling several learning and performance engagements across industries, Mastech Digital’s team combines digital and physical learning modalities to ensure unified organizational behavior and augmented performance across teams. Mastech Digital’s learning paradigm consists of web-based learning, mobile learning, social learning, hybrid learning, and virtual learning.
Geographic Presence & Industry Verticals
All of the company’s IT staffing services revenues are generated from services provided in the U.S. The company markets its services on a national basis and has the ability to provide services in all 50 U.S. states. The company’s geographical concentration tends to track major client locations, such as California, Texas, Pennsylvania, and Virginia, and in large metropolitan areas, such as Chicago and New York City.
The company provides these services across a broad spectrum of industry verticals, including financial services, government, healthcare, retail, technology, and telecommunications.
Seasonality
The company’s consultants’ billable hours are affected by national holidays and vacation trends. Accordingly, the company typically has lower utilization rates during the fourth quarter. Additionally, assignment completions tend to be higher near the end of the calendar year, which largely impacts the company’s revenue and gross profit performance during the subsequent quarter (year ended December 31, 2024).
Competitive Position
In the company’s Data and Analytics Services segment, the company primarily competes with Cognizant, Tata Consultancy Services, Deloitte, Accenture, as well as with smaller boutique data and analytics firms.
History
The company was founded in 1986. The company was incorporated in 2008. The company was formerly known as Mastech Holdings, Inc. and changed its name to Mastech Digital, Inc. in 2016.
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