| | By Mick James
My feature on IBM last month prompted a lively postbag, indicating that the issue of the integration of IT and consultancy is going to exercise the industry for a long time to come.
One consultant wondered if the whole issue couldn’t be resolved at the branding level, noting “I haven’t seen a distinction in the way clients approach/look upon us (business consultants) vis-à-vis the IT/hardware people”.
Could IBM services even now be flying high under the “Monday” brand which they presumably inherited along with PwC? I suspect that even if they’d come up with something a bit more workable we’d be having discussions along the lines of: “When we talk to clients they don’t understand that we can draw on the whole IBM organisation – isn’t it time IBM put its brand behind its consultants?” Which is exactly what BT has done, after all.
A lot of comments came from people with IT backgrounds. One weighed in from a Chicago airport, where “everyone is going Wi-Fi”, adding “it seems to me that the real markets (our day to | |
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IT and business look more and more like the irresistible force and the immovable object, with consultancy positioned precisely and painfully between the oncoming rock and the unyielding hard place.
I'm not sure I know what the answer is but I do have a few questions. Such as, is it better to integrate the value chain externally, and deal with the cultural gaps and clashes as they occur, or have a one-stop shop and internalise all those problems? Or should businesses simply expel the IT cuckoo from the nest, and deal with everything through outsourcing or “through-the-wall” services like salesforce.com. Should your CIO be a driving force in the business, or just an underling in the procurement department? And if your IT department is ultimately subservient to finance, are you going to get the best technologies or the cheapest? Another correspondent noted that recent IT failures in the NHS could be traced pretty squarely back to the failure to commit resources. (A digression, but given that Government computer projects are so | |
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| | controversial and so expensive, isn’t it time they had their own minister. Or is that a recipe for disaster?)
One answer that strikes me as blindingly obvious is that it’s both necessary and urgent for consultants – all consultants – to stop being prisoners of their past. Any consultancy firm needs to answer the question: Why are you in business? By this I don’t mean the bit on the mission statement which says “To give the bestest excellence to our super-lovely clients” but the personal history bit which goes “I fell out with Frank over the Munich fiasco and I heard that Roger had been let go by XYZ and Beryl was unhappy at ABC and so...” Or “then we acquired So-and-So for their supply chain practice but they had a little interim management side and so...”
If consultancies are going to wander up and down the value chains like rampaging mastodons then they need to make a good case for it. Equally, if they’re not, they need to explain that their lack of capability doesn’t matter. Otherwise, the suspicion from the client side is | |
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| | that whatever a big systems integrator or a Big Four firm says, they’re simply playing the cards they are dealt.
I’ve said before that there’s a very powerful argument to be made for the integrated firm if it can be shown that consultancy experience is actually feeding back into product and service design – but so far there’s little evidence that this is happening. Equally, there’s a great case to be made for independence and objectivity, but not much so far in the way of results to back this up.
It might be interesting now to hear from clients, to see what their ideal consultancy firm looks like. I’ve noticed that GP practices have begun to orient themselves more around patient expectations, with some pretty good results at ground level. I’ll redesign your business, you redesign my consultancy. What would that look like?
My thanks to all my correspondents for their stimulating feedback – I’ve mentioned no names (unless letters are marked “for publication”, I respect anonymity) but I’m very grateful and hope the flow of comment | |
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