Virtually all industrial areas and some governmental areas in the U.S. will be using an increasing amount of consulting services between now and the turn of the century. Consulting is one of the fastest growing professions in the ’90s. The following factors provide the business climate that contributes to this growth:
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- Large corporations are reengineering and downsizing
- Small business start-ups are on the rise
- Specific industries are experiencing significant growth
Two years ago, Business Week projected that the consulting profession would grow by double-digit rates for at least the next five years. Results currently reported in Management Consulting International confirm these figures. This trend has not gone unnoticed by MBA graduates—the percentages eschewing corporate management positions for consulting opportunities is increasing.
Large Corporation Reengineering and Downsizing
Layoffs create major opportunities for consultants. The quest for survival and increased quarterly profits causes major corporations to cut staff expenses to come in line with
revenues and profit projections. Companies that I have consulted for pride themselves on high revenue-per-employee ratios.
Although the number of people within a company is less, the tasks still have to be accomplished; and the jobs must get done. Corporate downsizing creates consulting opportunities in large companies and the small companies that serve the corporate giants. First, consultants are engaged by large corporations to compensate for the knowledge gap created by departed employees, either through layoffs or early retirement. Second, large firms outsource to small business subcontractors, who in turn need consulting resources for expertise that may not be available in the smaller firm.
Small Businesses
Most of the jobs being created in the U.S. today are in the small business sector. Many small business firms compete with the corporate giants, while others have large corporations as their customers. Whatever market is being pursued, small businesses typically don’t have the depth of resources available to large corporations. Two types of consulting opportunities exist; providing consulting services in your functional area of expertise and working for the small company on a temporary (‘temp’) basis.
Hot Growth Areas for Consultants
The following table provides a capsule summary of some of the major growth areas for consulting in the ’90s.
Growth Areas for Consultants
Health Care
- Outsourcing human resource functions including benefits administration, outplacement, and recruiting.
Outsourcing patient care functions, requiring consulting support for administration and recruiting.
Telecommunications- Software development, including security and billing products, setup and installation of microwave and satellite links.
Network consulting to set up corporate Local and Wide Area networks.
The Internet- Marketing consulting in the design and implementation of Home Pages for small corporations.
Technical consulting in the areas of communications software, operating systems, graphical user interfaces, and systems design.
Finance/Banking- Management and staff training and development including computer and software training and installation.
Environmental- Site testing and evaluation of toxins and other harmful chemicals for non-environmental companies. Expert testimonial consulting.
Government- Consulting to prime contractors serving the government to transition their capabilities for the private sector.
Project consulting for defense--related projects.
Not-for-Profit- Management development, financial consulting, marketing and sales consulting, as well as consulting for fund-raising activities and events.
* Source Streetwise Independent Consulting
