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NATURE, TRENDS, CAREERS Nature and purpose of consulting Recent trends and current challenges Staff and career paths in consulting 32 2018-7-18 * RECENT TRENDS AND CURRENT CHALLENGES ? Changing customer expectations ? Increasing market power of the TOP consulting companies ? Effective usage of information technology ? Split Tax/Auditing - Consulting ? Strategic Alliances and Start-up Partnerships ? New suppliers enter the consulting market ? Expansion of the well known consulting companies ? IT consulting by traditional consulting companies ? Get retain the right people ? How to face the current challenges 33 2018-7-18 * CHANGING CUSTOMER EXPECTATIONS – SOME STATEMENTS CTOs and other e-business strategists do not want to hear me tell them I can help Web-enable their business. That is not enough. They want to know how I can help them transform their business. -- Chuck Burns, global senior vice president, services, KPMG CTOs have more choices than ever before when it comes to selecting a consultant. We go into bids now where we may compete against one of the giant, Big Five firms ... and even, in some cases, an advertising or marketing agency. -- Scott Lochridge, principal, strategy solutions group, DiaLogos The days of black magic are over, Consultants can no longer get away with just writing a white paper for the client and saying, OK, now you do what I say. ” -- Jose Campos, president of Rapidinnovation 34 2018-7-18 * CHANGING CUSTOMER EXPECTATIONS ? Customer expect real added value ? Standard Implementations are decreasing while individual end-to-end solution become much more important ? Unsuccessful ERP implementations in the 90s made the customer more aware of risks and challenges -- Customer are much more sensitive to what they get for their money ? Results in new payment schemes like: ? Fixed price (especially done by smaller / start-up companies) ? Risk and reward sharing ? Equity payment ? Payment in terms of %-age of actual value added ? On time delivery c