Why do companies hire independent consultants? You might have asked this question many times and wondered if it makes business sense to hire consultants for your business.
In this blog, we will help you understand what independent consultants do and what are the benefits and challenges that you can face while working with them.
Let us first understand who an independent consultant is.
An Independent Consultant is not an employee of anyone specific company. They offer their specialised services to companies on a contractual basis for a particular duration or a specific project or assignment.
There are 41 million self-employed consultants or contractors in the US and by 2024, the number is expected to rise to more than 47 million. This rise suggests that more and more people are looking at working independently due to the freedom and vast range of experience it offers.
Independent Consultants are available in all sectors of industry & departments and spread across all levels of skills and experience.
So, should you hire an independent consultant for your business? What are the key benefits?
1. Get a fresh perspective
Sometimes we are so close to the problem that we cannot see obvious solutions. Independent consultants offer an outside perspective that is unbiased and honest, providing innovative and out-of-the-box solutions. Another advantage here is also that since consultants work with many different businesses and industries, they have a better and wider understanding and experience which might be lacking within the organisation. For eg. You are looking a launching a new product and you want to conduct market research on how the customers would react to a particular price point. Here, taking the help of an independent consultant helps get unbiased and honest answers. Their rich experience in Market Research also ensures that you get the benefits of the best market research tools and best practices.
2. Temporary requirement
Sometimes companies need to hire talent based on skills required for a project or other times, the company is faced with a situation that needs additional manpower for a few months. Hiring full-time employees in such scenarios would mean spending a lot of money and time. Independent consultants help bridge the manpower gap in these kinds of situations. For eg., You might need additional workers in your finance team to complete the process of the M&A.
3. Specialised skills requirement
One of the most common reasons most companies hire consultants is to gain access to specialised skills for a specific period or project. Independent consultants with specialised skills and experience in an array of industries are available across all departments like IT, finance, HR, marketing, etc.
Hiring these specialists on a full-time basis would not only be expensive but there may not be enough work for them once the project is over. Hiring consultants with highly specialised skills for limited periods is both time and cost-efficient.
Apart from the above, independent consultants are more cost-effective since the company does not need to pay for benefits, training, etc.
While there are many benefits that hiring an independent consultant can offer, there are certain challenges too.
A. Not aligned with company goals & culture
Since the consultants work with the company for a short duration of time, they may not get the time to understand the company culture and goals and align with them. They may not be able to get along with the teams that they need to work closely with leading to gaps in understanding and inefficiencies. It would be a good idea to let the consultants spend some time with the teams before they start working on the projects.
B. Accountability
Sometimes the consultants might not complete the work they are hired for since they know they are working only for a limited period. It is hence important that the consultants are held accountable for the work and their remuneration is tied to the implementation and results.
The challenges clearly outweigh the advantages and benefits that hiring an independent consultant offers. While most consultants are hired for specific projects or duration, most companies end up utilising their services in the future for other projects, and many a time, they even get absorbed by the companies.
Flexiventures helps you hire from a pool of pre-screened independent consultants when you need, for the duration of your need. For more on how you can hire an independent consultant for your company, contact us at flexiventures.in today!
