How Digital Democratized Consulting
There are no greater evangelists of the need for companies to transform than management consulting firms. Executives with no experience of leading digital business transformation are anxious to pay for expert advice about how to survive and thrive in the face of digital disruption. The irony is that the business models used by many traditional management consulting firms have not changed in decades, leaving them, just like many of their clients, exposed to becoming victims of digital disruption.
As Clayton M. Christensen, Dina Wang, and Derek van Bever wrote in the Harvard Business Review, “Though the full effects of disruption have yet to hit consulting, our observations suggest that it’s just a matter of time.” While the consultants that Christensen and his colleagues spoke with warn their clients about the risks of disruption, back then they rejected the notion of disruption in their own management consulting industry. A lot has happened since 2013, but have management consulting firms faced up to the reality of the increasing risk they face, as digital amplifies traditional disruption?
Digital platforms based on a variety of innovative models now provide companies with expertise that has traditionally been found within traditional management consulting firms. Mobile, social, platforms, and other digital solutions have enabled peer-to-peer consulting, where independent consultants engage directly with prospective clients. All this provides executives with more opportunity to choose between spending high on brand-name consultancies and cost-effectively on equivalent independent expertise.
KeywordsManagement consulting Digital business disruption
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