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Consulting Industry

Consulting in South Africa – what to expect

Consultants in the rainbow nation have continued to operate efficiently and effectively during the Covid pandemic. The chaos has changed the way the consulting process is carried out but the end goal of providing reliable solutions to clients has remained the same. Based on several interviews with consultants, here is the picture painted for me on what to expect for consulting in South Africa.

The consulting industry is surviving during these uncertain times. Although consulting jobs have been under threat because of the negatively impacted economy, companies have cut off many expenses (travel, networking events) and firms have adjusted their operations to support a ‘work from home’ model. Lack of physical engagement with clients has added challenges. The changes were not smooth at first but have ultimately been successful. They are temporary responses to the pandemic, rather than trends that will become part of normal operations after the COVID pandemic comes to an end.

In South Africa, aspiring consultants should be reassured the industry still has business despite the pandemic, and there are new problem areas requiring the advice of consultants. One trending area is data science and so it would be advisable for aspiring consultants to be familiar with the field. Since consulting firms still utilize an “up or out” policy, this creates space for new recruits even during a period of economic downturn. There is also a growing demand for implementation in the country. Expertise on a problem alone is becoming less valuable to clients compared to the combined solution and implementation package. One may also see more consulting firms partnering with private equity firms to build capacities and profits.

South Africa hosts branches of many global consultancies and is home to many originating within the country. BCG, McKinsey, Bain, A.T. Kearney and other firms have operations in the country and a variety of services are offered in strategy, management, digital, HR, financial services, public sector, energy, and healthcare. These sectors offer many employment opportunities. For example, Letsema is a South African consulting firm that aims to drive positive social change.

Although soft skills are always important in consulting, individuals need to understand their relevance for building and maintaining successful client relationships. Even though client engagement has generally gone digital, with less bonding over activities like outings and dinners, relationships must be developed within an online environment and refining your soft skills will be crucially important.

Finding a sustainable work/life balance is a constant challenge.  Working from home requires integrating personal and professional roles that many are used to keeping separate. South Africa experienced a hard and extended lockdown in 2020, and 2021 shows no signs of being much different. Consultants should expect their time management skills to be tested and sharpened. The Gauteng province is a major focus for many consulting firms as many of the firms are located within the region. Flexibility for employees settling outside of the province is possible, however it may be an issue.

South Africa currently has a load shedding problem whereby the electricity supply for certain provinces, cities, and suburbs is switched off at certain times of the day. This issue has not yet been resolved by Eskom, the power utility.  As a result, one should have good planning to accommodate the frequent and varying stages of load shedding that South Africa faces.

The consulting industry in South Africa does cater to SMEs but not to a large extent because the cost of hiring a well-established consulting firm is high. Typically, smaller players such as ex-consultants, one-man practices, and boutique firms cater to SMEs. The top consulting firms have high fixed costs and so are geared towards large enterprise clients. Aspiring consultants should generally look forward to working on large projects. However, SMEs appear to be a gap in the market. Although it is less profitable for consulting firms to serve SMEs, it is a relatively large market.  South Africa had more than 2 million SMEs in 2016.

The rainbow nation is known for its many languages and diverse people. As a consultant in South Africa, you will get the chance to be involved with people from various backgrounds. The cultures and perspectives will add life to your professional network. Regarding projects and clients, you will not have to make drastic adjustments to your language as the working environment will always consist of people proficient in English. Within the work environment, there are generally uniform professional expectations that clients and employers have of their consultants: effective communication, delivering desired results, professional behaviour. These must be possessed by all consultants regardless of which shade of the rainbow nation you are from.

South Africa is a developing country that offers opportunities in the consulting industry, although these do not come without their challenges. The country offers access to a rewarding consulting experience and access to the humbling African continent.

Rhulani (Ruce) Ndlala is an accounting student at the University of Cape Town, and former President of the UCT Consulting Club.

Image: Pexels

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