In the wake of an economic tsunami that has caused organizations to reduce staff at all levels, the market today is awash with out-of-work executives competing for dwindling job opportunities. Even among the companies that are hiring, the pressure is on to keep costs down.
The current “cash-is-king” posture of most companies makes it difficult for hiring managers to justify big six figure executive investments. This is capping demand for even the most qualified of candidates. Executives in the corporate wilderness are left with a handful of choices. They can:
- Continue to work with head-hunters and recruiters to find employment that is commensurate with their talent and experience;
- Lower their executive sights – and salary expectations – by taking positions for which they are overqualified; or
- Consider launching a consulting practice as an interim or permanent career strategy.
I believe that the third option…hanging out a shingle…can be the most compelling option for experienced, talented and well-connected/regarded executives.
The hard economic benefits linked to pursuing an independent consulting business are too many to address in a short blog, but here are a few for your consideration:
- For senior executives with decades of experience, the barriers to entry are quite low, while the prospects for profits are very high.
- An independent consulting career can reduce income-risk by spreading revenue sources among multiple clients.
- While a large executive salary may be daunting to many employers, the idea of “renting” expertise in financially manageable “chunks” is completely consistent with today’s prevailing cash-preservation strategy.
I think it is safe to say that demand for expensive executive labor is likely to stay flat through the remainder of the decade and beyond. In fact, companies are further flattening management structures in ongoing efforts to control costs, improve operational efficiencies and increase shareholder value. But there is still tremendous demand for the skills, expertise and experience that only comes with a few gray hairs. I believe that this demand will increasingly be met by consultants over the foreseeable future.
Pursuing the consulting option is not for everybody. But if you have experience solving complex problems in dynamic environments – and you have done this in a rapid and accountable manner – then you have a serious shot at very good money and an even better lifestyle.
To learn more about how successful senior professionals are launching the next phase of their careers as independent consultants visit my site.
Lane F. Cooper is a thought leadership consultant for executives and organizations in the high-tech sector. He is also an editor and analyst who covers the impact of technology on business operations at www.biztechreports.com.
