> Nobody every gets fired for hiring Accenture/Deloitte/PwC. What usually happens in the non trivial niches is that these big shops sleeve the boutiques through them to get things done...
To provide a prospective as someone who works for a consulting firm like the ones you've mentioned... Hiring the "big" firms versus boutiques is a lot about a perception of risk, maintaining partnerships (procurement with new vendors is a nightmare everywhere), and leveraging experiences across other F500. For big implementations, think any ERP, our consulting teams can number 100+. Overkill? Probably, but there are few boutiques that have those kind of resources. And each of those 100 have more experience doing implementation work across a range of companies. It's a bit of a vicious cycle for boutiques where they will ultimately struggle to be competitive in these types of bids without seriously underpricing their services, which ends up meaning fewer resources or a less comprehensive scope.
As a side note, when projects go south, the company CIO isn't getting fired, but I've know many leaders (from the consulting side) getting let go for botching multi million dollar contracts.
Agreed. There is a perceived risk with the F500 so they may spend more to do something than is required because they feel they have recourse with the big shops. There are some good teams of folks out there, but there are also some shops that are happy to send a dozen folks @250-300/hr that generate process maps in visio and power point slides instead of delivering/implementing a project. I have seen these big shops deliver in a timely manner and I have seen boondoggles that waste millions. I don't think they are by default "bad", I just think they are not necessarily the right choice in some circumstances, and the right option is to hire the boutique niche firm that specializes in what they need. This lack of awareness is exactly what the article brings to light. CIO shoots down VP who needs timely solution for long protracted big rock implementation.
There's a strong case for decoupling the process flows, requirements, business analysis, scoping, current state understanding; from the implementation. Maybe even having a separate consulting firm do that work up front before going to bid on the ERP.
Many ERP implementations fail because of wrong assumptions about the business, or inflexibility of the client to modify their business process to fit the ERP. Enter expensive customizations.
These types of projects also affect peoples' jobs and that can bring up fears of being replaced that can quickly derail morale on a project. Successful projects empower the people with hands on the keyboard who know and live those processes, to own and define their future process too. When the consultants or executives are making future business process decisions without that experience, it is risky.
Sure, they get fired but are hired somewhere else because of the contracts they made botching a multi-million dollar contract. There isn't much of a downside to them for over-promising and under-delivering.
My experience with working with those consulting firms is that you start with 2 of them and at the end of the year you end up with 6 while still wondering why and having the test team somewhere offshore not doing what they promised so you end up doing it yourself as boutique firm
To provide a prospective as someone who works for a consulting firm like the ones you've mentioned... Hiring the "big" firms versus boutiques is a lot about a perception of risk, maintaining partnerships (procurement with new vendors is a nightmare everywhere), and leveraging experiences across other F500. For big implementations, think any ERP, our consulting teams can number 100+. Overkill? Probably, but there are few boutiques that have those kind of resources. And each of those 100 have more experience doing implementation work across a range of companies. It's a bit of a vicious cycle for boutiques where they will ultimately struggle to be competitive in these types of bids without seriously underpricing their services, which ends up meaning fewer resources or a less comprehensive scope.
As a side note, when projects go south, the company CIO isn't getting fired, but I've know many leaders (from the consulting side) getting let go for botching multi million dollar contracts.