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I show up differently in their accounting ledger, and because investors scrutinise that, management will optimise for it. Instead of employee cost (which is usu
by fxtentacle 3y ago
I show up differently in their accounting ledger, and because investors scrutinise that, management will optimise for it. Instead of employee cost (which is usually tightly controlled) I now show up as an external service next to extortionate cloud bills (where nobody knows or cares what they pay for anyway) somewhere 2 levels deep in COGS. Being the cheapest service provider looks a lot better on paper than being the most expensive employee.
- antupis 3y agoAlso depending on country there is tax and social security payments which companies dont have pay when they are buying consulting.
- notahacker 3y agoAnd in Europe consultants are much, much easier to fire (especially if the minimum standard of performance is "more capable than our existing staff" or the problem is for an indeterminate amount of time)