Accenture slashes 19,000 jobs worldwide
cnn.com
cnn.com
They lie and treat their employees like garbage.
And their employee technical skill is typically less than a warm body from the street. Less than a dead body from the street.
I still feel sad for the people who lost their jobs. They know who they’re working for though.
And the problem is, the companies hiring them don't seem to care.
Yep, can't just throw out this garbage that doesn't work, have to keep because "we paid for it already".
Accenture is a scam
I’ve worked with consultants from Accenture a few times. All seemed technically competent and excelled in their roles.
You've worked for companies with halfway decent management. Unfortunately, that's not universal.
Think about if from the perspective of the consulting firm. They are charging $X per hour and paying their staff $Y per hour. Profit is $X-$Y, and their incentive is to maximize the delta. If you let them continue to increase the delta, why wouldn't they?
The other two posters perfectly describe the Accenture experience (terrible) so I am curious.
My direct experience is that they send high quality technical architects to get the deal done and the moment that happens those architects vanish and they back up the school bus and send in an army of zero competence low experience drones who are barely functional.
And that’s a good outcome compared to the offshore variant.
This is also my experience. Accenture was given several high value projects, and their technical architects made it seem like they had the knowledge and skills to deliver. When I spoke to one of the in-house engineers a few months later, he said the consultants had yet to deliver anything of value, and the on-going planning made it seem like the team from Accenture actually doing the work didn't even fully understand the project.
On my own project, the Accenture team took nearly an entire program increment to deliver a clearly dysfunctional plan for implementing a progressive web app based on one of our products. They submitted an MR for the plan, and after the number of review comments reached 50, they just moved on to other things.
I am sure there are some good consultants at Accenture. I just haven't worked with them.
The number of people who come from these large contracting type companies who can't complete the first set of questions is alarming.
Their customers, too.
Some quotes from Hertz' lawsuit against accenture:
> "Accenture also failed to test the software, Hertz claims, and when it did do tests "they were seriously inadequate, to the point of being misleading." It didn't do real-world testing, we're told, and it didn’t do error handling.
> Accenture’s developers also misrepresented the extent of their testing of the code by commenting out portions of the code, so the code appeared to be working."
The sooner off-shore body shops are gone from this earth, the better.
[1] https://www.henricodolfing.com/2019/10/case-study-hertz-acce...
https://www.crn.com/news/channel-programs/accenture-layoffs-...
Then over hired just like others and now this.
https://www.macrotrends.net/stocks/charts/ACN/accenture/numb...
Their early pandemic estimates being wrong, this trend shouldn't surprise anyone. People look at it and scream "CONTAGION! Everything's going to hell in a handbasket!"
Please, no. This is not (yet) 2008 2.0.
Unless you're a company that made a huge bet which has yet to pay off (ahem, Meta), this doesn't really signal anything out of the ordinary.
That is frankly quite modest, considering that Accenture had massive contracts with the FAANG gang. And who do you think Amazon, FB, Google & friends let go before they fired their own staff? External contractors like Accenture.
The market can remain irrational longer than you can remain solvent etc etc.
Those middleman roles would not be being cut by this, those roles will continue until the large company stops paying
However, it's an extremely effective business.
I'm sure for every management/marketing consultant, there are 5 developers and 20 people doing various data entry or support tasks.
I would say 19,000 is a drop in the bucket for them.
p.s. And many times, companies like Accenture will tell you they have a team of 5 Sr developers working on it when it's actually 1 Sr and 4 Jrs.
Their 10% to 12% profit margin indicates they either have massive overhead, or more likely, they do not actually collect on that “$300 to $400 per hour” they charge.
https://www.wolframalpha.com/input?i=accenture+revenue+per+e...
I have nothing against them. I understand that Accenture goes for the lowest pay possible. Quality is delivered accordingly.
Smart and experienced engineers in places like India have better things to do than working for Accenture.
It is still fascinating to see how big companies with supposedly smart people, keep overpaying for these IT mills. There is not a single one I have interacted with (Atos, Accenture, Tata), that hasn't provided a subpar service for a sky high fee.
Blame management for this one - they still think that tech is an operational cost overhead, not a strategic long-term interest, for their companies, which is why a company like hertz paid a company like accenture $32 million for a site that was never delivered.
I have seen the same contractor kept around for 12 years, slapped down upon applying for FTE after ten years (GE). They would rather pay more than allow them into the FTE ranks--unless their pedigree fits. Humiliating.
I used to hire and manage contractors as an FTE and was a contractor initially at GE. As such, I participated in the yearly consultancy hourly negotiations and onboarding with HR. Had a spreadsheet with all of the consultants and their hourly rates for our division. When I hired I would only consider the $125 and up candidates.
I work at a small consultancy now where I'm a partner. We don't do any business with GE but we do contract with other large companies willing to pay our rates. And they do so happily, even through pandemics and downturns. Our consultants keep the majority of the billing rate--save for expenses like office space and other business expenses and the "sales team" (some of which also bill). FTEs overall are the lowest paid. Even the "managers." Few evaluate the deal because they reason that they get severance or will not be laid off as readily. Ignoring the fact that the contractor already built in the severance and doesn't want to go to the Christmas party.
Given how poor the work they product is, I'll take that "retenue" and toss it in the nearest garbage can. [1]
[1] https://www.henricodolfing.com/2019/10/case-study-hertz-acce...
I've been in client meetings where the devs (and managers) from an offshore Indian consultancy were in. Putting aside the huge language barrier due to the thick accent, they were barely able to comprehend English instructions. And to top it all off, they simply didn't know what they were doing (in this case Salesforce). Literally the thing they were hired as "experts" in, they couldn't do. All with zero shame throughout the whole ordeal. But the cheap price-tag and mountains of hidden technical debt were worth it for the client it seems.
After the meeting and talking with the client, I went ahead and assigned a go-getter junior from our side to research and figure out what needed to be done, handed it on a platter to them after a few hours, and they still couldn't figure it out when I asked about it weeks later.
What they were experts in, though, is re framing their failings on something or someone else. Instead of "we don't know where to find the API keys for this Salesforce API in the Salesforce GUI (and can't be bothered to google it)", they say "we would like to have a workshop about how you are integrating with our Salesforce API." where they weasel information out of others and make it seem like other parties did something wrong.
They couldn't even start the process of developing the integration. At some point, we assigned a guy to guide them somehow. Their lead would then report progress to our VP. At some point after a couple months, this guy announced that they finished the project, and were ready to move on to the next one.
What they didn't disclose was that the integration was basically done by our guy, who was too good-hearted to leave them alone. Of course, when it was time to start the new project, they had the same issue, we assigned another of our guys to help them, just that, this time, he was having none of it.
Still they lasted for several months after that (and at least a full team re-org).
Dishonesty is common in that business.
However, This is likely in correlation to general reduced spending across the board causing reducing spending with firms. With all the cost cutting, most high cost consulting/outsourcing is the first on the chopping block.
Consulting firms are great when the economy is good and executives don't mind throwing money around. When budgets get scrutinized, those contracts get downsized or not renewed at all.
I get that the way Accenture works likely means their onboarding process is a little less intense than for other companies but Accenture must have hundreds if not thousands of people whose sole job is to onboard these employees. Having never worked in a company of that scale, it's a little difficult for me to comprehend that.
It's easier to furlough contractors than regular employees, for one.
> ... to cut 2.5% of its workforce
Holly-Molly, they have 760K employees. What the heck are they all doing?