Leadership
Part 3: Offshoring Is a Business Model—Not a Cost-Cutting Exercise
“Startups build for scale. Consulting firms often build for speed—until they hit a wall."
I’ve seen it too many times.
In Part 1, I explained why consultants get laid off even when revenue is good.
In Part 2, I showed how a hybrid offshore-onsite model gives companies more time before resorting to cuts.
Now let’s talk about what many leaders get wrong—when and why they introduce offshoring.
Because here’s the truth:
By the time you’re scrambling to “cut costs,” it’s already too late to build culture, delivery maturity, or trust offshore.
That’s not offshoring. That’s damage control.
Part 1: Why Am I Being Made Redundant? Understanding The Consulting Business Model
When I asked my friend:
“Do you know the business you’re in?”
He paused, then said, “I’m a data scientist. Why should I worry about that?”
That’s when I realised: most people working in consulting don’t actually understand the business model they’re part of. They’re brilliant in their domains—data, design, software, delivery—but they operate without context on how their company earns revenue or why layoffs really happen.