The Employed Consultant Model (ECM) is far from new, having been utilised as a talent and skill resource since the 1980s. More recently however, the use of ECM – and by who – has both increased and changed significantly.
Initially a niche approach used typically within banking and financial services industries, the Employed Consultant Model is now much more widely used across a variety of sectors, with organisations recognising the value of leveraging the skills and expertise of dedicated consultants.
Here we discuss the evolution and growth of ECM, and why it and its benefits are potentially a high-value, high-impact option for companies and consultants alike.
A brief overview of the Employed Consultant Model (ECM)
The Employed Consultant Model (ECM) is a strategic approach in which an Employed Consultant (EC) is permanently employed by a Managed Services provider, who then provides the consultant, their skills and expertise to a client for a specific task or project. All HR and contractual management, in addition to any legislative requirements, are the responsibility of the permanent employer of the consultant.
Unlike traditional freelance consultants, employed consultants are integrated into a company and its culture and ways of working; enabling a more cohesive, aligned and bespoke service.
The model makes for a trusted working relationship between all parties. Consultants benefit from the stability of contracted employment, whilst enjoying the variety of moving to different clients, projects and environments through the year. Clients receive consistent, high-quality service; and long-term collaborations can be harnessed with knowledge and IP staying within the organisation for longer.
ECM is particularly beneficial for organisations requiring ongoing support and expertise in specific areas. It ensures that they can turn to consultants who are always available, have the knowledge and expertise required, and are familiar with the company's needs and objectives.
The Evolving Use of Employed Consultant Models
As more companies have started to realise – and require – the benefits of having dedicated consultants and their skills within their projects, the Employed Consultant model has been implemented in long-term strategic initiatives and ongoing support roles more frequently too.
Today, ECMs are used for a multitude of projects and purposes; from managing large-scale transformation projects, to providing specialist skills and expertise within technology and engineering services.
Flexible, scalable and reliable, and easily adaptable to changing market conditions, the model is now an attractive option for organisations across industries and their specialisms.
Why more organisations are embracing the power of Employed Consultants
As the demands of their projects, their stakeholders and their outputs increase, organisations are always looking for ways to ensure they have the personnel, skills and expertise required to remain efficient and effective. For many companies, embracing the Employed Consultant Model and its many benefits is now key to this.
It is becoming the norm for organisations to maintain or even increase productivity levels with smaller, specialised workforces delivering outcomes – effectively this is a requirement for higher capabilities, but with lower costs. Through ECM, companies can manage both, as it enables them to find ready-to-go Employed Consultants with the skills they require and place them directly into their workforce and project with minimal disruption, whilst keeping sight and control of potential costs.
This has been made easier in recent years too as, thanks to factors such as the impact of the global pandemic and IR35 legislation, meaning that career contractors can still enjoy a portfolio project career, but with a guaranteed income and without potential tax risks. Therefore, the talent pool available is ever-growing, with more specialist contractors than ever seeking the security and consistency of well-paid permanent work.
Additionally, companies are becoming more flexible in their approach to finding and acquiring talent, whether its gig workers, contingent workers or long-term permanent hires. The beauty of embracing Employed Consultants and ECM is that it offers the ‘best of both worlds’; workforces get the talent they need, whilst the model allows for security, stability and flexibility too.
What’s more, the Employed Consultant Model can be implemented alongside other models or seamlessly work alongside an organisation’s existing workforce planning and strategies. As such, there is potential to create blended, highly-skilled teams of permanent employees, employed consultants and contractors and utilise them across projects where their skills are best suited. This can drive higher-quality of work and delivery of projects, supported by specific expertise and skills at the specific stages its needed.
The Growth of ECM: The Employed Consultant perspective
The increased implementation of the Employed Consultant Model has gone hand in hand with a noticeable increase in the number of professionals choosing to present their skills and expertise as an Employed Consultant.
This growth can be attributed to a variety of reasons, such as the demands of organisations and their projects and the value of ECM as already discussed. However, from a consultant’s perspective there are plenty of benefits that the model provides too.
Benefits of Being an Employed Consultant
Being an employed consultant offers several advantages.
It can offer job stability and security, as consultants are employed full-time by a consulting firm or directly by the client. This stability allows consultants to focus on their work without the uncertainty that often comes with freelance consulting. It also enables them to benefit from typical employment benefits such as annual leave, contributory pensions, sick, maternity and paternity pay, and life insurance.
Employed Consultants can also build long-term relationships with their clients, leading to a deeper understanding of the client's needs and more effective solutions. Additionally, being part of a team and integrated into the company's culture and processes can lead to better collaboration and alignment with the company's goals.
And, perhaps most importantly, Employed Consultants can benefit from fantastic personal and professional development opportunities, as they’ll often be given access to training resources, advice and guidance – in addition to what they will learn and gain from being part of various projects.