October 18, 2006 | Comments: (0)
Reader Email: Is IT Consulting Obsolete?
Got this email from a reader who shall remain nameless, and figured I'd reply to it here rather than in email Nirvana (and, no, I didn't write the first graph):
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Oliver,
I just found your podcast and I think it's really great. It talks about all the things I'm interested in. I've been thinking for a while now about starting a side biz doing technology consulting. i.e. installing servers, vpns, etc....
But with all these online apps comming about like Google's office and Jotspot and Salesforce.com I'm wondering if I should't even attempt it. I'm thinking those will probably put me out of business in a couple of years.
As someone who is currently doing consulting...what do you think?
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So the question boils down to: Does Web 2.0 make IT consulting obsolete?
Short answer: Hell, no!
Web 2.0, no matter what application it's delivering, is simply another distribution mechanism. It doesn't change the needs for which SMBs or big enterprises hire IT consultants.
Sure, Web apps don't need local servers, and that is a chunk of what IT consulting dudes use for revenue. But that's only one piece of the IT pie. Network infrastructure still needs to be installed and maintained; desktops will still need systems management and support; telecommuters still need secure access; and, data still needs to be tracked, archived and backed up.
And while Web 2.0 may take away the server piece, it actually adds a couple of new opportunities, too. For one, if the application is mission critical, no company is going to simply sign up for an account and let it go. They're going to want some kind of SLA-style obligatory contract. And since no one really knows how those are going to evolve, learning and maybe even specializing in it now is going to a great way to differentiate a consulting practice.
Security is another such opportunity. Operating your apps across the Internet necessarily means a change in how IT security is architected. Figuring out an effective way to manage that and keeping track of changes in that department is another good opportunity.
And security always leads to compliance. Making sure that data and user management is compliant with whatever regulatory problems your clients face is a solid IT consulting service--and it dovetails nicely into that SLA agreement practice.
Last but not least, Web 2.0 is nowhere near ready to take over the entire application portfolio of any business. Even if one of your clients is using Salesforce.com, that's never going to be the only application upon which the business relies. Productivity, accounting, supply and inventory management, security, communications, the list goes on. So now you've got a data flow issue between what's running in a browser and what's running on your server. Not an insurmountable problem, but definitely something an IT consultant can sink his teeth into.
Web 2.0 isn't a problem; it's an opportunity. All you need to do is figure out the best marketing strategy.
Posted by Oliver Rist on October 18, 2006 01:31 PM
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hi there,
One Technology that will make consultants less needed is Virtualization. Sure, someone needs to setup various VMs, etc. But there will be less need for engineers to setup and hookup new hardware and stuff like that.
Since VM software infrastructure is getting free/cheaper/standardized, consultants will have less scope in cheating their clients!!
Again since creating/managing new VMs can be done remotely, an offshore consultant could do that rather than have some consultant come in and PLUG in a new piece of hardware and get all the networking, etc taken care of.
BR,
~A
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