| | By Mick James
One of the big debates in consultancy has been the role of the consultant within larger organisations that have bigger fish to fry—normally in the shape of big integration or outsourcing deals. Over the past year I’ve met many consultants who have left the bigger consultancies because they felt their role was being redefined as “pre-sales”.
Of course, the other side of the coin is the massive effect that consultants can have in the selling, structuring and successful delivery of just such deals. Xansa, for example, is celebrating a year of remarkable success in the public sector—in 2005 sales were up by 31%—this success has been underpinned by a 45-string consultancy team.
Now director of government consultancy Simon Cole wants to build on this success by adding another 50 consultants—mainly in senior roles—to his team in 2006.
“Consultants fall into two groups, those that just want to do a good job as a consultant, and those that want a selling role,” he says. “I want | |
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| | change programme.
Xansa’s public sector thrust began with the LSC and its other flagship client, the Office of National Statistics. Now it is expanding into other government departments, and also has a dedicated team focused on local government. Its joint venture with the National Health Service, Shared Business Services, has also gone from strength to strength, recently signing up its 100th trust for an initiative that was originally envisaged to cover between 15 and 18.
Shared services—in HR and financial management—has proved to be the “hot button” that is opening doors for Xansa in government.
”We’re using the NHS venture as a model to dangle in front of government departments and local authorities,” says Coles. “It’s an idea whose time has come. Local authorities and government departments have come to a point where they can’t sweat their assets any more and they have to do something different.”
Coles believes that while it may never be politically acceptable for government services to go down the full | |
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| | outsourcing and offshoring route, attitudes are changing:
“A year ago people would have said ‘don’t even think about it’, now they are saying ‘put it in your proposal’,” says Coles. “But ultimately no politician’s going to export jobs.”
Xansa’s move into government has been freed by a willingness on the client side to consider suppliers beyond the “usual suspects” who have dominated government consultancy for so long.
”We’ve definitely been helped by the framework agreements,” he says. “There’s definitely been a very real drive to create space for small-to-medium size organisations. Coles believes this has also been a welcome change for clients.
“People feel comfortable with us: we’re nice chaps to do business with,” says Coles, whose background is with OSI Group, the management support consultancy that was acquired as part of the formation of Xansa. “Management support, that’s what Xansa does,” he says.
While Xansa will typically try to capture | |
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| | both the high-end and the implementation work, Coles acknowledges that clients are now much more assertive and creative in the way they structure projects: “The buyers are much more savvy, they’re asking why aren’t you partnering, are you sure you have the strength in depth?”. Xansa already has successful partnerships in place with CSC and IBM. “Some of the things clients are asking for are so large and diverse that you’ve no option but to partner,” says Coles.
He has also seen the trend towards segmenting consultancy projects.
“Increasingly the consultant that gets involved in the upfront work can’t be involved in delivering it,” he says. “That’s disappointing for us because that’s what we’re selling.”
However, he believes that there is still a strong opportunity for consultants who want to not just take an entrepreneurial role but see projects through to completion.
“I think we’re uniquely placed with respect to shared services,” he says. “We consult, we deliver the information systems and the processes as well.” | |
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| | to increase the proportion of those entrepreneurial people that want to develop the business as well.”
Xansa goes to market at two levels. The initial “door-openers” who go after the big deals come from the national sales group. But consultants also have what Coles describes as “very aggressive” targets.
“Add-on and sell on work we expect the consultants to sell,” he says. “And when the sales group get in the door they take a consultant with them. From a consultancy point of view, you don’t sell to government—you create an environment in which they buy from you.”
Although Coles says that Xansa does not do “consultancy for consultancy’s sake”, the group does take on high-value consulting work. For example, in the Learning & Skills Council, one of Xansa's flagship clients, Xansa consultants are helping to develop the internal | |
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