Most businesses, regardless of scale and industry require expert input from consultants at some point during their evolution. However, the way in which businesses source and work with consultants has changed dramatically in recent years, shifting towards a Consultancy as a Service (CaaS) model. CaaS, like other ‘as a service’ offerings, is becoming the de-facto approach to business consultancy, and for solid reasons. At its core, CaaS operates on a flexible consumption model (FCM), enabling organisations to acquire specialist business guidance within a set budget and scope. And because for most business, it simply is not feasible to bring all of the skills they need to grow and develop in-house, CaaS is providing a fit for purpose vehicle to benefit from class-leading expertise, with the minimum of risk, cost, and time.
To illustrate the appeal of FCM services, analysis by International Data Corporation (IDC) shows the market for these offerings has now reached US$160 billion in 2018. As such, there must be compelling reasons for this shift in how business services are being provided and consumed.
How the CaaS model works
CaaS service providers typically work within specific domains of expertise, e.g. healthcare clinical delivery, marketing and sales, or supply-chain management. An organisation may elect to work with a CaaS provider on a one-off project engagement, on a recurring monthly basis, or initially on a one-off basis but shifting to ongoing once a business case has been established. Once engaged, a set budget and scope of work is agreed. CaaS providers will then work closely with your in-house teams and key staff, acting as an extension of your own resources.
What separates CaaS experts from traditional consultants is the speed at which they can be embedded, making progress immediately. They typically follow a cyclical agile model, which ensures constant fine-tuning of the guidance provided, underpinned by performance metrics; therefore, an ongoing and iterative collaboration is often preferred to a one-off engagement.
A Customer-Centric Model
According to global multinational professional services giant Deloitte, service offerings such as CaaS are intrinsically more customer-centric, rather than product-centric. But why would this be, and why is this positive? Firstly, CaaS consultants typically work with clients on a recurring basis. This means CaaS providers, rather than selling a product and walking away, become more embedded in the daily business of their customers, thereby helping them succeed. CaaS service providers offer constant customer engagement as they need to understand the evolving strategic and operational requirements of the business.
This is good news for consumers of consultancy services, as the burden is on the provider to prove their worth, so to ultimately retain your custom.
Financial flexibility and risk reduction
In recent years, there have been other shifts in how businesses seek to purchase services and products. Many organisations consume a wide range of external services, both technological (e.g. cloud-based IT platforms) and business expertise (e.g. human resources and accounting) and paying through operational rather than capital expenditure. Or at the very least they want to have the option to determine which category of expenditure to use because OpEx tends to require less business justification, financial forecasting, and ultimately approval hurdles.
Also, business consumers are showing a preference for purchasing complete best of breed solutions as opposed to individual products. After all, why buy a dog and bark yourself? This, in turn, translates to a shift in risk-taking from the customer business to the service provider because it then becomes incumbent on them to become as efficient and effective when it comes to delivery and performance; their business and reputation depends on it.
Specialist skills on demand
The range of specialist skills available on demand as a service means that even start-ups can very rapidly acquire a full suite of skills comparable with a mature and established business entity. And because CaaS providers work across a range of clients in differing industries, they bring the benefit of their ever-evolving experience.
Reach Revenue specialise in providing strategic sales and marketing guidance to SME’s, assisting them to rapidly gain customer engagement, market share, and reach revenue targets. The area of sales and marketing is a prime example of how much consultancy has evolved. Gone are the days when traditional models of marketing and sales can be relied upon to reap rewards. Today iteration, agility, data analysis, targeting, testing, social media, and carefully crafted content strategies are the essential components of reaching and engaging with your intended audience. This is how we achieve results for our clients.
In conclusion
For any business seeking a rapid injection of domain expertise to boost their business performance, launch a new offering, prepare the business for a new phase, or any other need, CaaS provides the means to do so, in a cost controlled and risk mitigated manner. Not only will the CaaS specialists work hand-in-hand with your internal teams, they will work tirelessly to become a trusted partner by achieving your required results in the minimum time
Reach Revenue works with business owners, leaders and investors to develop high performing sales and marketing teams aligned to the strategic objectives of their business. To find out how we can help you, please call 0203 858 8030 or email info@reachrevenue.net
