CRM - October 2008 - (Page 29)

• BY LAUREN McKAY With the days of never-ending on-premises engagements and limitless budgets long gone, CRM can no longer sustain the consultancies of yesteryear. But what kinds of professional services are still needed in today’s CRM industry—and what kind of CRM are consultants selling? When Mark Benioff cofounded Salesforce.com, in 1999, he loudly declared that the software-as-a-service (SaaS) model would drive into obsolescence the exorbitant installation-and-maintenance fees once commanded by consultancies. On-demand software could be up and running in a matter of days without putting a huge dent in budgets. SaaS vendors have stuck to the promise in many respects, providing lowcost, viable options for even the largest of enterprises. But pity the poor consultants! (Well, OK—maybe not.) Seriously, though: How are consultants faring in the changing software landscape? In the Age of SaaS, has the need for consultants evaporated alongside expensive license fees? It’s clear that the professional services field hasn’t just packed up and faded away. Part of that is due to the continued existence of on-premises CRM implementations, which many analysts say will always have a place in the industry. However, as organizations ease away from on-premises software and look more favorably upon SaaS solutions, large-scale consulting and implementation lightens up, too. The consensus seems to be that the demand for professional services is still high—it’s just coming in a different form nowadays. With the emergence of Web services, consultancies are reshaping their offerings to meet the changing frontier. As servicesoriented architecture (SOA) continues to blossom, organizations are emphasizing integration and flexibility. So, was Benioff ’s boast one of foresight or fantasy? Is there a need for CRM consultants in the cloud-computing world of Web 2.0? of www.destinationCRM.com THE TIDES SHIFT Morris Panner knows a thing or two about consultancies. As chief executive officer of OpenAir, a Boston-based professional services automation company that was acquired by NetSuite in June, Panner has noticed a shift in the industry over the years. Many clients, he says, now come to OpenAir for help with scheduling and billing solutions. “I think there is a revolution taking place in how consultancy services are delivered, both in the U.S. and globally,” he says.“What’s pushing these trends is the ability to focus on value-added services—[that] has really differentiated consultancies that are providing high-end services [over] those services that are getting commoditized.” Panner’s view is echoed by Woody Driggs, managing director of the Accenture CRM service line. Accenture positions itself as a company that specializes in global management consulting, technology services, and outsourcing—and it’s the largest consulting CRM Consultant CUSTOMER RELATIONSHIP MANAGEMENT | OCTOBER 2008 29 http://www.Salesforce.com http://www.destinationCRM.com

Table of Contents Feed for the Digital Edition of CRM - October 2008

CRM - October 2008 Contents Front Office Feedback Reality�Check Customer Centricity The Tipping Point Sprinting Toward Disaster? SAP�Retains Market-Share Lead in�CRM A�Week of Strong Customer�Service CRM�on Twitter Build a Good Event and They Will Come Required Reading There's No Place Like Home The New Breed of CRM�Consultant The Price is Right...You Hope How Much Marketing is Too�Much? The�Sweet Smell of High-Quality�Service The Next Act! For An Acquisition Some Stories Never Get Old CRM�Eases the Pressure For WIKA�Instruments Secret of My Success Re:Tooling Scouting Report Pint of View

CRM - October 2008

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