| | By Mindbench
... continued from
page 3
4) Minimising the
impact of redundancies
Inevitably, some
consulting firms will
need to consider making
redundancies if their
business volumes shrink.
Firms should look at
potential scenarios for
the next year and create
contingency plans of
what they would do if
their business volumes
fall by 10%, 20%, or
30%.
They need to limit
the potential damage to
their future capacity in
the firm. They should
think first about
whether people can be
usefully redeployed into
other areas of the firm,
and also what the
scenarios could be in
terms of the market
cycle – and if they can
afford to wait until the
market improves. Firms
could consider offering
paid or unpaid
sabbaticals to
consultants whose skills
could be useful later in
the cycle, and deferring
start dates for new | |
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| | graduates. Some clients,
including some Big Four
consultancies, are also
using the downturn as an
opportunity to
rigorously apply the
performance review and
management process and
exit under-performers
from the business. This
is preferable to the
redundancy process since
it allows these firms to
upgrade their quality
without losing
significant capacity.
Where redundancy is
applied, the process
used should be based on
clear, predefined
performance metrics
together with skill
requirements for the
current and future
business, rather than
last-in-first out (which
could suggest age
discrimination) or
whether the consultant
is well liked by their
manager. Voluntary
redundancy with
financial incentives
might be preferable to
compulsory as it could
help to ensure a better
morale amongst remaining
staff as well as
maintaining bridges with
the consultants who have | |
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| | well known that some
consultancies, including
some of the leading
strategy firms, perform
a significant share of
their business with
alumni of their firm.
Offering assistance to
people who are leaving,
as well as regularly
maintaining contact with
their alumni through
alumni networks will
help consultancies
re-hire as required as
well as sell more work
via referral.
Firms which plan
ahead and think about
the long-term as well as
their short-term
recruitment and
resourcing goals are the
ones which will benefit
most from the current
market uncertainty.
Mindbench is holding a
special recruitment
master class in January,
addressing the people
issues associated with
the recession for
consultancy firms. If
you find this article
interesting and would
like a more in-depth
exploration of the
challenges ahead and how
consultancy firms are
addressing them, please | |
|
| | register your interest.
'How to emerge
fitter, leaner,
stronger!' HR and
Resourcing in the
downturn - an MCA
Masterclass 28
January
For a more in-depth
understanding of how to
benefit in the current
market and to hear about
best practice in
recruitment from Big
Four partners and
directors from leading
consulting firms you
should reserve the 28
January in your diary.
This event is aimed
at senior managers and
HR professionals with
responsibility for
recruitment strategies
in consulting firms over
the next two years, as
well as all those
involved with the
resourcing and
management of individual
projects. For further
details contact Danielle
at
danielle@mindbench.co.uk
.
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