Steve Perron: Look, you have seen the DSO improvement just this quarter. Yes, we have some clients even that are prepaid us in Q1. Usually, we see that more in Q2 because of the annual maintenance that we are receiving. But, yes, it’s usually managed services has a shorter DSO.
Operator: Your next question comes from Robert Young from Canaccord Genuity.
Robert Young: I was hoping to dig in a little bit into the hiring strategies, lots of moving parts, at least from my perspective. Maybe you can talk about capacity relative to the strong demand you’re seeing. Are you starting to see utilization moving higher, maybe if you’re slowing down hiring, and how does the low cost delivery €“ look, I think you said 22%. It’s been there for a few quarters. And so, is that an area that will move up? If you could just wrap up some of the comments together around the hiring strategy, that would be helpful.
George Schindler: Look, the hiring is impacted a bit by the lower turnover that we’re having. The fact is that, given some of what’s going on in the marketplace, we’ve seen a pretty sharp decrease in the voluntary turnover on an annualized basis. Now, some of that, we always see a bit of a shift in the December quarter, just given the holidays at the end of the year, but we saw a sharper one this quarter. So that gives us a little more breathing room from a hiring perspective. But also that shift to managed services and the shift to intellectual property deals, you saw that in the pipeline, you’ll start to see that flow through some as well because, on the IP, it’s not a linear revenue to people like it is on the SI&C side, right, because you’ve got the IP generating revenue for you in a different way.
And then the shift to managed services, many of those managed services deals, we actually rebadge people from the clients. So, that, again, lessens the pressure on the hiring. We don’t have to hire as much in front. And then government is very strong, and government is a little more predictable, given the RFP process and the length of time for that, you can plan that out much easier. And so, yes, over time, we’re very focused on utilization. We’re looking to drive that that up. Having said that, the hiring for hot skills remains tight. And although it’s easing some, it’s not really eased yet. And so, we continue to make sure that we manage the hiring of those hot skills and the rates and projects that we put them in. So, definitely, a shift, but, again, one that we’ve planned for and one that we’ll continue to manage closely, as we go through things.
I’ll just remind you, the IP and the managed services doesn’t come online in the revenue over night. So, this will be something that will happen over the next few quarters.
Robert Young: The second question would be around the new business mix. I think last quarter, you said that the pipeline was even better than the numbers reported then, they’re consistent this quarter. And so, are you seeing consolidation happening? I imagine you’re better positioned for efficiency and digitalization than some of the others, given the end-to-end coverage. And so, is that something that you’re starting to see that was driving new business? Or is there something else?
