Customers no longer seek knowledge from us: Arvind Raghav

Also says, organisations are still reluctant to share internal information with consultancy firms

Information is available to all, so what we have to offer is tailor-made solutions for specific business needs, Arvind raghav tells Sangeeta Tanwar

How has the consultancy business landscape changed over the last few years with so much volatility all around?

Over the last few years, the consultancy business has witnessed a lot of changes. Today, organisations are no longer just looking for standard products and solutions. They are demanding tailor-made and specialised solutions that can help them address specific business issues. With changing client demands, consultancy firms too are changing. They go all out to understand the real problem that plagues an organisation. Having identified the problem statement, consultancy firms get down to devising an optimum solution that could help address clients’ issues. For example, till say 15 years ago or so, a consultant’s job was more about educating and informing clients about particular business segment. It basically involved imparting knowledge. In today’s connected world, knowledge is not scarce — it is available to all. Therefore, a consultant’s job today is to play an internal role in helping organisations identify and fix a problem by offering them a well-spelt out business solution. Consultants are increasingly becoming an integral part of organisations’ business lifecycle.

If knowledge is not scarce, why would a business leader need a consultant? And what is the value proposition that consultants brings to decision making table?

By and large, leaders at the top rung entrusted with the task of leading large organisations are experts in their own domains. While running the business on a day to day basis, leaders often fail to look at the overall picture or the health of a company. It is here that a third party view coming from a consultant could go a long way in helping the top leadership see their business as a whole, identify the problem areas and take corrective measures to put the company back on the growth track. At times, a consultant could be tasked with making domain specific knowledge available to the leader and therefore help her to make a well-informed decision.

A common perception is that consultancy services predominately cater to large businesses. Would you agree?

Our customer base today comprises of largest as well as the smallest of companies. For example, we have on offer a number of specialised products and services specifically targeted at small and medium enterprises (SMEs). For us as a consultancy, the size of the organisation or the business does not matter. For instance, one of our SME clients with an annual turnover of Rs 13,00,000 runs a small auto balls manufacturing unit in Howrah, Kolkata. This client came to us and we realised that it lacked marketing skills and this impacted its prospects of bagging business from large vendors. We worked with the client closely and helped it acquire a rating certification. Armed with our rating certificate, the client is reportedly finding favour with large vendors as well.

We also have credit assessment tools on offer. Large organisations in segments like automobiles can avail of our on-boarding tools and easily get potential distributors on board and integrate them with their existing distribution system. On the same lines, clients can leverage our risk and compliance related assessment and software tools.

What is the key challenge that consultancy firms face today as money becomes scarce and pressure to show results quickly increases?

Organisations are still reluctant to share internal, finance and account related information with consultancy firms. The correct figures and numbers go a long way in providing consultants the right picture about the company’s actual health and its standing vis-a-vis competition. Taxation-related matters and thorough assessment of finances are still considered a taboo. The lack of transparency in sharing company numbers works to consultants’ disadvantage. They fail to comprehend the exact nature and extent of the problem that a company is struggling with. And in the end this limits a consultancy firms’ ability to offer and implement the right solution to help business overcome crisis at hand.