Service delivery approaches and the strategic positioning of information technology management consultancy firms in Kenya
Abstract
Management Consultancy firms are entities which have a role to play in managing
organizational change, bringing in specialist skills which may be lacking in organizations
as well as supplementing the organizations management when business activities are at
their peak.
These firms can be grouped into two namely: Mainstream Audit and Accounting firms
and the New Consultancy firms which only specialize in providing Management
Consultancy services. This researched focused on the latter and sought to find out the
role of Management Consultancy firms in meeting and satisfying customer expectations.
The research was based on the hypothesis that Management consultancy firms do not
do enough in terms of preparing themselves internally to address customer needs.
It was found out that all consultancy firms use a set of Assignment delivery tools and
techniques (Even though some of the newer firms do not refer to them as such) which
help to structure project activity and assist them in client reporting. New technologies
such as the Internet and Web tools have also found their way into consultancy firms.
Consultancy firms develop client service strategies in order to manage the non-technical
side of an assignment. This is usually concerned with managing the client relationship,
providing help outside the assignment contract, addressing client concerns and
promoting the clients interests. Though some firms have a client service strategy this is
rarely put to use and instead client relationships are managed instinctively, subjectively
and a result of that incoherently.
As a means of planning for new business clients use Account plans. An account plan is
"hit list" of all organizations that a firm seeks to do business with. The list contains the
company name, Key decision makers and influencers, buying patterns and behaviours.
The plan is reviewed often and assumptions changed and modified. Not all Management
Consultancy firms have Account plans. Many of them seek to obtain business through
informal and personal sources and reviewing the press. This is inadequate as there
needs to be a concerted effort to obtain and retain clients. This is the only way it is
possible in Information Technology Consultancy firms.
After a consultancy assignment is over firms usually do little in terms of maintaining client
contact other than occasional updates of firm activities and invitations to business
functions and luncheons. More needs to be done in this area in terms of supporting
organizations who are undergoing organizational and technical change.
This study also sought to determine the relationship between delivery models and
approaches to strategic positioning. It emerged that those firms who tend to have a
variety of delivery approaches and methodologies practice some form of differentiation
strategy. They also have business segments in which focus strategies are employed. For
those firms with few delivery tools and methodologies the strategy used is one of cost
leadership and this has helped them to compete effectively against the usually larger and
well-established firms.
The research argues that more attention needs to be given to client needs and that
business systems should always be designed and built with the customer in mind and
cater for client participation where possible.
Citation
Master in Business Administration, University of Nairobi (2005)Publisher
University of Nairobi Faculty of Commerce