What Service Professionals Can Expect in 2012

michael mclaughlinLast month, the good folks at RainToday.com asked several of their contributors to take a crack at answering these questions:

  • What do you expect to happen in the new year as it applies to professional services marketing, sales and business growth?
  •  Are there any trends you see taking hold?
  • Are there things you think firms should do in 2012?
  • Do you have any advice for handling the still-challenging economy and buyer habits?

Here’s a link to the answers the group gave to these questions.

My response:

Maybe it’s a cliché to say that we’re awash in information. But it’s hard to paint a true picture of today’s world without that reference.

Think about it: More data was transmitted over the Internet in 2010 than in all previous years combined, according to researchers at Intel. It’s a safe bet that the numbers didn’t shrink in 2011.

Every minute, 48 hours of video are uploaded to YouTube; each day, 200 million tweets are sent out; and every month, more than 7 billion photos are uploaded to the Internet. More than 4 billion devices are connected to the Internet, and that number is expected to reach 15 billion in just a few years.

The mind-boggling stats have profound implications for professional services providers in 2012 (and beyond). For starters, we have to re-double our efforts to remain effective information filters for our inundated clients.

Also, clients will become increasingly dismissive of those who try to market services by publishing over-simplified stuff like, “The 7 Secrets of Servant Leadership” in 300 words or less.

Service providers who rely on thought leadership to generate business will have to ratchet up the quality of what they produce, and they must be ready to distribute that content across the many channels clients will use.

Winners in 2012 will be both client advisers and publishers. They’ll apply the same uncompromising standards to their publishing activities as they do to client service. They’ll work tirelessly to put the “thought” into thought leadership.

They’ll stress substance and depth in their marketing content, not volume. They’ll be generous with their best ideas because they realize that’s the way to get clients to notice. And they’ll treat the communities they create through their publishing and marketing activities like clients—those they will listen to, serve, and eventually convert into buyers.

News You Can Use

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IBM Global CMO survey: 68% of CMOs feel unprepared to manage the impact of social media on marketing.

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Infographic: How the world is using social networks.

Is Your Project Doomed?

According to Geneca‘s survey of more than 600 business and IT executives, the answer is probably yes. 75% of the respondents believe that most projects are doomed to failure before the project starts.

You can find studies showing that projects fail for predictable reasons, like poorly defined objectives, lack of resources, and chaotic decision-making. Add to the list that you need to check people’s mindset at the outset of the project. If your client and others on the team believe the project will fail, you face an uphill battle.

Read more about this and other findings from the Geneca study.

Project Doomed


In the News: Quick Takes

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Small business worker loyalty is declining sharply. This could be an issue for leadership and organizational development consultants to discuss with their clients.

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How much you should tip in different situations.

Status Report on Thought Leadership

Analysts at Sourceforconsulting.com reviewed consulting firms’ thought leadership marketing for the first half of this year to give us a sense of where firms are focusing their efforts and investments.

It’s interesting that 58% of the thought leadership published wasn’t industry or sector specific. Some firms choose to take the “generic” (cross-industry) approach to thought leadership development to maximize reuse of material across multiple industries, and to control costs.

Of the industry-specific thought leadership, the financial services sector was the most popular target with more than 25% of the material published. Next on the list of popular industries were health care and pharma, which together garnered almost 20% of the industry-specific thought leadership. Given the developments in both of those industries, it’s not surprising that firms are targeting them for business.

In the last six months, industry “studies” have continued to be a favorite choice for consulting firms, in spite of reports from Sourceforconsulting.com that clients aren’t especially interested in reading them. 17% of thought leadership falls into this category, with the Big 4 firms publishing 40% of that amount. Some Big 4 firms use these studies for specific client marketing activities and then publish them more widely at a later time.

Another area that’s gotten lots of attention is managing government regulation. 13% of thought leadership covered this topic, with content ranging from the strategic implications of regulations to the nitty-gritty details of regulatory compliance. Given that many firms have built substantial practices around compliance (think Sarbanes Oxley, for example), it’s predictable that firms would focus here.

There’s been little emphasis so far this year on practical issues like customer service, sales effectiveness, and new product development. These subjects represented less than 1% of the total. Maybe firms (and clients) feel these issues have already been covered ad nauseum.

Next month, researchers at Sourceforconsulting.com will release their assessment of the quality of the thought leadership they’ve reviewed. I get bleary-eyed just thinking about that task.

Find out more.

Services Industry News: Quick Takes

Here’s a brief roundup of links and news from around the services industry.

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What do executives want from their CIOs? PA Consultants’ survey says cost savings, increasing operational efficiencies, and delivering consistent, stable IT performance.

Retaining Top Talent in Professional Services

michael w mclaughlinFor the last few years, consultants at many firms were barely hanging on. Some dodged layoffs, survived cost-cutting measures, and withstood client pressure for fee concessions. Now, many of them think it’s time for firm leaders to recognize their sacrifices.

In their report, Professional Service Firms–Re-engaging and Retaining Employees, researchers at Towers Watson have some advice for firm leaders wrestling with this issue. With retention levels creeping back to pre-recession levels, firms must put renewed emphasis on keeping their best people. According to the report, though, firms that simply throw more money at top performers are missing the boat.

Certainly, financial rewards play a pivotal role in retention. But firm leaders must also look at how they’re helping people with career development, work-life balance, and workload. Effective retention practices include an array of strategies, not just pay raises.

Equally important is for firm leaders to strengthen the bond of engagement between employer and employee. Better engagement, the report says, leads to improved retention. That’s not exactly an “aha” finding. But the research offers specific ways for firm leaders to boost engagement, including giving people a say in the selection of their work, fostering an environment in which people can express their opinions, and ensuring that all employees are treated with respect.

The report wraps up with a warning: Firm leaders who fail to recognize the seriousness of the retention issue risk losing their top talent. For some firms, the approach to employee engagement needs reinvention. And the time to do that is now.

Services Industry News: Quick Takes

Here’s a brief roundup of links and news from around the services industry.

New Kellogg/Northwestern research: Visionary leaders attract more followers, especially in times of crisis.

A jab at outsourcers: 77% of IT staffers say that outsourcers invent work just to make more money.

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Deloitte survey: Two out of three workers actively looking for new jobs.

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Services Industry News: Quick Takes

Here’s a brief roundup of links and news from around the services industry.

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IBM is jumping into the Business Process Management business. Is any firm not in this market?

So, you want to be a consultant? One person’s lessons learned.

Research report: 75 percent believe IT projects are doomed before starting. Ouch.

ComputerWorld: 7 dirty consultant tricks (and how to avoid them).

Sparking creativity in teams: An executive’s guide, by McKinsey & Company (registration required).

Who’s using all those iPads?

CEOs:Things Are Looking Up

PwC released its 14th Annual Global CEO Survey, which shows strong confidence in the growth prospects for the global economy. CEOs are almost as confident about growth as they were before the global economy tanked.

It’s understandable why CEOs are bullish. For instance, in North America, corporate earnings are at record levels and profit margins for non-financial S+P 500 companies are expected to climb to their highest levels in at least 18 years, according to Bloomberg.

Find out more about the PwC survey report.