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Chapter 14 ■ Change architecture
manufacture of PCs, other peripherals and software. In recent years the group
has dramatically increased the output of its factories and its software develop-
ment capacity by going to a 24 7 regime. Despite the growth of the indus-
try in recent years, this creates substantial pressures on the sales side.
Technology Associates, while notionally pursuing a vision of ‘customer serv-
ice’, is in fact under pressure to sell solutions to maximize group sales of hard-
ware and software.
This does not mean that its consultants wholly ignore customer needs, but
nevertheless their bonuses are linked to the sales of group products. Competitors
outsource and are therefore less committed to particular configurations. Thus
Technology Associates’ position has deteriorated.
The board review the situation at a strategy conference. It decides on the
need over a period of two years to shift the ‘business model’ toward the idea of
‘outcome–based consulting’. A simple enough idea, the change involves focus-
ing the objectives of any consulting engagement more directly on the outcomes
defined by the client. The board recognizes that at its core the change involves
switching the focus of the engagement away from the pursuit of selling IT con-
figurations. This requires less attention on selling particular combinations of
hardware and software and more toward jointly defining ‘solutions’, working
with the client on defining and understanding client needs. Ironically in any
event this also means changing the focus of the engagement from enhancing
low value-added sales because competitive pressure has led to the commoditi-
zation of hardware and software. Instead the focus was to be on higher value-
added outputs–solutions, facilities management, development work, training
and so on.
But this change represents first and foremost an intellectual challenge of huge
proportions. How to achieve this shift while at the same time continuing to make
a valued contribution to those group sales targets is the issue. It is all very well
identifying the ‘paradigm shift’ which is needed. But it is another thing entirely
to make that change without destabilizing the parent group.
Moreover to achieve the change, a ‘mind-set’ shift is needed by the consultants
themselves. They need new ways of working, new tools and techniques and they

must embark on a new world of ‘relationship building’ and client management.
So how do Technology Associates go about this challenge? There are various
tasks to undertake:
1 Develop a competence model defining the skills, capabilities and characteris-
tics needed of consultants in order to deploy the new model.
2 Develop a consulting skills workshop as a training and development interven-
tion.
3 Ensure the commitment of managers and consultants to the new business
model.
4 Look at existing systems of performance management, people development,
coaching, appraisal and rewards to ensure alignment to the new approach.
Let us look at the approach adopted. The board strategy forum was followed by
a conference of the board and the regional management teams. With inputs from
group, key customers and others, the focus of the conference was on understanding

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