In management, information technology consulting (also called IT consulting, computer consultancy, business and technology services, computing consultancy, technology consulting, and IT advisory) as a field of activity focuses on advising organizations on how best to use information technology (IT) in achieving their business objectives. In addition to providing advice, IT consultancies often estimate, manage, implement, deploy, and administer IT systems on behalf of their client organizations – a practice known as “outsourcing”.
The IT consulting industry can be viewed as a Four-tier system:
- Professional services firms which maintain large professional workforces and command high bill rates.
- Staffing firms, which place technologists with businesses on a temporary basis, typically in response to employee absences, temporary skill shortages and technical projects.
- Independent consultants, who are self-employed or who function as employees of staffing firms (for US tax purposes, employed on Form W-2), or as independent contractors in their own right (for US tax purposes, on “1099”).
- Information Technology security consultants
There are different reasons why consultants are called in:
- To gain external, objective advice and recommendations
- To gain access to the consultants’ specialized expertise
- Temporary help during a one-time project where the hiring of a permanent employee(s) is not required or necessary
- To outsource all or part of the IT services from a specific company.
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