Why growth and scalability are fundamental to consulting companies

Sometimes I meet with leaders of consulting companies that seem satisfied with a certain turnover, earnings and number of employees. A level they have been achieving during the last few years. However, there are indications that consulting firms experiencing business growth with a plan for scalability succeed better than those who deliver stable results on the same level year after year.

The competition for the talents is fierce on the market. Consultants are coveted and have many potential employers to choose from. In addition, many, both junior and senior consultants, want to run their own consultancy and freelance today.

Without growth, the risk increases that your consultants look for new challenges

The are many reasons why you should focus on growth. You might say “Do we really need to? We have stable sales, profit and low staff turnover. Is that not enough”?

A large part is, of course, up to your long-term ambition, but plenty suggests that growth is crucial for long-term success. It will help you attract new talents and keep the ones you have. In addition, an influx of new employees helps your organisation remain relevant and innovative.

Growth creates the conditions for the development of both consultants and your consulting company. If you do not expand, you lose market share in a growing market. This creates more opportunities for your competitors and you risk losing your best consultants.

What is your consulting company’s raison d’être? Why do you exist?

To crack the code to success, a clear “Why” is needed. What do you do that also make the best in your niche want to work for you? This aspect should not be underestimated in times of high demand. Read more about this, draw the conclusion where you are heading and how you can avoid the two lowest levels in Maslow’s hierarchy of needs adapted for consulting companies.

For those who succeed in achieving growth through increased sales, scalability is often a challenge. Minimize administration through structure, automation, efficient processes and tools in all essential areas such as competence inventory, sales, resource planning, support for IT, and both short and long-term goals. Without good planning, there is a risk that you will discover the need for scalability too late.

Growth and scalability are related

Growing is a challenge without scalability. Without growth, it will be difficult to attract talent, customers and find time to innovate.

What are you doing right now and next years to succeed with your growth goals and to scale up your consulting company?

If you haven’t already created a plan for what you need to do, you should check out the webinar “How to scale your consulting business!” where Cinode’s CEO, Anders Hagberg and PE Accounting’s CEO, Olle Rydqvist, are interviewed and share advice, experiences and lessons learned . The webinar is created specifically for leaders in consulting companies and ends with the questions from the audience. Download the webinar here!

P.S. I also recommend that you analyze your assignment mix, ensure that it is in line with your desired market position and the brand you are or want to be. In this video interview you will find out why this is so important to business growth and much more!