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Just look at what other professional services firms charge (lawyers, mckinsey, etc) and there is no reason why the "top" tech consultants cannot charge somethin

Just look at what other professional services firms charge (lawyers, mckinsey, etc) and there is no reason why the "top" tech consultants cannot charge something on that order. If you count Ideo and Frog Design and BCG/Bain/McKinsey's tech branches as tech -- which I do -- then they already do.

atonse 5y ago
Yes but it’s easier for people to justify in their minds “this lawyer costs $600 an hour but is going to save me tens of thousands from getting sued” vs a lot of stuff on the tech side that’s often harder to make a connection as to WHY hiring this expert on database multi-threading will result in higher revenues. Also it’s just what people are used to. People are used to paying lawyers $300+ an hour so it’s slightly less shocking. Not arguing against, just saying what I feel is why it’s different.
- omarhaneef 5y ago
  I do think there is a process that happens before you can charge a particular fee. You could imagine how this process might happen: -- Nobody gets fired for hiring IBM, so having a brand that the decision maker can point to will help. -- You can find an area that people are price insensitive. I think security is probably an area on par with law in terms of avoided costs but all of this is really a form of agreement with your premise: charging "high" fees is an extended process that mixes negotiation, price discovery, and value discovery. You may find you can add a lot more value in a certain way than you did before. Sometimes its something silly: perhaps their internal billing code charges less for a consultant than a new hire or something.
crispyambulance 5y ago
The OP is specifically asking for what individuals charge and not consulting firms. I think it's important to point out that part of the reason why individuals can charge rates comparable to large firms is that they offer a more personal experience. You end up with the person you talked to. Moreover, individuals are better for jobs that have a smaller scope. A large consulting firm won't lift a finger for a "small job" unless it's a recurring/maintenance component of a much larger job or unless they can charge at truly insane rates (1000's per hour) which desperate clients are still happy to pay for sometimes.

atonse 5y ago

Yes but it’s easier for people to justify in their minds “this lawyer costs $600 an hour but is going to save me tens of thousands from getting sued” vs a lot of stuff on the tech side that’s often harder to make a connection as to WHY hiring this expert on database multi-threading will result in higher revenues. Also it’s just what people are used to. People are used to paying lawyers $300+ an hour so it’s slightly less shocking. Not arguing against, just saying what I feel is why it’s different.

omarhaneef 5y ago
I do think there is a process that happens before you can charge a particular fee. You could imagine how this process might happen: -- Nobody gets fired for hiring IBM, so having a brand that the decision maker can point to will help. -- You can find an area that people are price insensitive. I think security is probably an area on par with law in terms of avoided costs but all of this is really a form of agreement with your premise: charging "high" fees is an extended process that mixes negotiation, price discovery, and value discovery. You may find you can add a lot more value in a certain way than you did before. Sometimes its something silly: perhaps their internal billing code charges less for a consultant than a new hire or something.

crispyambulance 5y ago

The OP is specifically asking for what individuals charge and not consulting firms. I think it's important to point out that part of the reason why individuals can charge rates comparable to large firms is that they offer a more personal experience. You end up with the person you talked to. Moreover, individuals are better for jobs that have a smaller scope. A large consulting firm won't lift a finger for a "small job" unless it's a recurring/maintenance component of a much larger job or unless they can charge at truly insane rates (1000's per hour) which desperate clients are still happy to pay for sometimes.