IT consultancy has come a long way over the past few decades, evolving and adapting to new technologies and business needs. Let's take a look back at the major phases in the evolution of IT consulting and what the future may hold for the industry.
In the 1970s and 1980s, IT consultancies first emerged to help companies set up and manage their IT infrastructure - mainly large, expensive mainframe systems and early computer networks. Consultants at the time focused heavily on hardware selection, installation, and network integration. Programming and custom software development were also a major part of their work. The large IT consultancy firms of today like Accenture, Deloitte, and IBM grew out of these early days.
In the 1990s, personal computers and client-server architecture brought a major shift in focus. IT consulting now involved PC rollouts, support, and integrating systems in a client-server environment. Consultants helped organizations migrate from mainframes, set up office automation systems, build local area networks (LANs), and leverage early ERP applications. The internet gathering steam also opened up web development work for consultancies.
The late 1990s saw internet adoption grow exponentially, fueling the dot-com boom. This brought significant consulting work with e-commerce systems, web development, and internet infrastructure set-ups. DJs like Sapient and MarchFirst grew rapidly during the boom years offering web consulting services. However, many firms overextended themselves during the bubble and collapsed just as quickly after it burst in the early 2000s.
In the early 2000s, companies were still grappling with making effective use of complex ERP systems like SAP and Oracle. IT consultancies flourished around implementing, integrating, and extending these systems. Development work moved towards customizing packaged enterprise apps rather than building standalone desktop applications. The period also saw rising offshore outsourcing, with consultancies setting up development centers in India and other locations.
Over the past decade or so, cutting-edge technologies like cloud computing, artificial intelligence, big data analytics, and IoT have disrupted several industries. This has driven huge demand for digital transformation initiatives - to upgrade legacy IT systems, migrate to the cloud, build data pipelines, deploy AI, launch mobile apps and digitize customer interactions. Top consultancies are now helping whole enterprises transform digitally.
As we look ahead, AI and intelligent automation present the next technology wave that IT consultancies will have to ride. Consultants will need to upgrade skills to deliver projects involving automated workflows, AI assistants, ML capabilities, and more. Rather than outright job replacement, the future role of consultants may shift towards training and augmenting business users with AI tools. User experience design will also gain importance compared to hands-on development. The winners will be consultancies that balance domain expertise and soft skills with cutting-edge tech know-how.
The IT consulting industry has demonstrated a consistent ability to adapt and grow over the decades. While upcoming technology disruptions may pose new challenges, they will also unlock exciting new value propositions for consultancies ready to make the leap.
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