| How to Fail As An e-Business Consulting
Firm in Five Easy Steps The emergence of e-Business has created tremendous opportunity for virtually every facet of our economy. One business sector that has been particularly impacted is that area providing consulting services to companies trying to take advantage of the "new economy". These services range from more strategic consulting services such as advising companies how to utilize e-Business to enhance their supply chain management to services such as web site design, hardware and software enhancement. Everyone is "jumping on the bandwagon". Companies that six months ago were placing programmers in companies at an hourly rate can now "help you achieve your e-Business goals." Virtually every consulting firm with information technology focus wants to be your e-Business partner. It’s time for a reality check. The risks are extremely high; for the company risking its future on the e-business solution, and for the consulting firm attempting to provide that solution. One of the shortcomings of consulting firms that did not manifest itself with the emergence of e-Business is the inferior service quality provided by many firms. This lack of service quality has negatively affected corporate America’s view of consultants as professionals, and is created by a series of inter-related problems within the consulting firm itself. Because e-Business consulting firms are, in many cases, providing an intangible product in the form of professional services, there have been no clear, globally accepted measures of service quality in terms of the work they perform. However, as client sensitivity to quality, return on investment, the fundamental changes that e-Business will have on the success of their companies and public documentation of e-Business project failures intensifies, the issues associated with meeting the client’s expectations becomes increasingly important. A framework for examining the quality of service being provided by consulting firms can be examined based on the Five Constructs of Service Quality established by Zeithaml, Parasuraman and Berry, some of the foremost researchers in service quality. These five constructs include Reliability, Responsiveness, Assurance, Empathy and Tangibles. Reliability is the ability to perform the service dependably and accurately. Responsiveness is the willingness to help clients and provide prompt service. Assurance is the consulting firm’s employees’ ability to inspire trust and confidence. Empathy is the caring and individualized attention given to clients and Tangibles is the appearance of facilities, equipment, personnel and written materials. These five constructs can be the foundation for assessing the client’s expectations with respect to the services to be provided, as well as the basis measuring the client’s actual experience with the encounter. The difference between the client’s expectation and the client’s actual experience relative to the service provided is known as the "Service Quality Gap". The ability to identify and understand these gaps is significant for a number of reasons. First, understanding of these gaps, their significance and where and why they exist can be essential to the e-Business consulting firm in terms of strategic positioning. A client’s questions about "Who are you?," "What can you offer my company", "How do I know you will be successful?" and "Why should I select you instead of your competition?" are almost impossible to answer with confidence without understanding these gaps. For example, the shortage of qualified technical professionals is affecting all e-Business consulting firms. Sales personnel are aggressively pursuing opportunities as though the resources will be available when the deal closes, and setting these expectations with the client. If the firm is selected, the risk of a serious service quality gap resulting is tremendous if the firm does not have qualified resources in its employ. Even if the firm has the quality of resources required for the job, the service quality gap will still result if the resources are assigned to another project. A decision to use a subcontractor introduces additional service quality risks, as well as risking client retention. In the above example, having excellent resources in some areas and not others creates and perpetuates service quality gaps. The firm that possesses excellent marketing skills that stoke up a client’s expectations are not an asset and are, in fact a distinct liability if deployed before the ability to successfully deliver the service is in place. This is just one example of an area where serious service quality gaps can occur. A careful review of your firm against the Five Constructs of Service Quality will reveal an endless number of scenarios where your company could "fail in five easy steps". In order for the e-Business consulting firm to truly provide service quality to its client companies, initiatives must be developed at the individual as well as corporate level. This is essential for virtually all types of service companies, but is especially true for consulting firms as so much of the service is provided at the individual consultant level. In an environment such as e-Business where the definitions are evolving, technologies are changing and competition is exponentially increasing, providing the highest service quality to client companies will be the cornerstone of your success.
Eric Threatt is President of Consultant Development Group, Inc., advisors and trainers to consulting firms. He can be contacted at www.consultingquality.com. |