The Role of Business Consulting and Advisory for Your African Business
Africa is home to 54 countries and more than 100 minerals and resources deemed as abundant, sufficient and potentially possible to sustain the continent. Despite this revelation, Africa is still the least developed continent. As I write, Africa has just two countries that do not import premium motor spirit (P.M.S), a major energy source used by hundreds of millions of Africans for domestic and industrial energy consumption notwithstanding that the West are frantically moving away from this energy source.
Africa has a very young population, a market for Western goods and services and a labour force being enticed and incentivized to ditch the African dream. Every year, young and old Africans strive to leave the continent due to its inability to support their dreams and at most meet their basic needs.
As Africans leave Africa in their droves, multinationals and corporations from the West, East and most recently the Chinese and other Asians are making more strides in the industrialization cum exploitation of human and natural resources left behind. It appears that they see what other Africans or Africans in general do not see. Perhaps, they have developed more intelligence in studying the environment, behaviour, nuances and market readiness of the young African population. Africa has a larger internet penetration due to its sheer size and a market for information communication technology. Africa has a large market for consumables, ranging from drugs to clothing. We know this because of the available information, in-depth observation and diverse knowledge that has been accumulated over the years.
How did these businesses from the West, East and Asia know more than Africans? How did they see what Africans do not see? Could it be due to access to knowledge, ignorance of Africans or the lack of capacity of Africans to develop themselves? For me, I believe that it is a function of many things, one of which is the ability to research and explore the environment.
Business consulting can offer insights into why Africans leave the land filled with gold to sweep streets in America, Europe and Asia. Business consulting can offer insights into how Africans can self-galvanize, and share resources and capacities needed to kick-start the growth and development in Africa. Today, many young Africans are seeking the entrepreneurial pathway through the push and pull factors. They must seek the advice of business consultants and advisory services if they want to move from small-scale production to large-scale production. These supports range from business formation to business syndication services. Other support services include business development, funding, lobbying and business advocacy. Business consulting is a broad term used in identifying those who engage in the groundwork from research to development as well as those who manage the process from ideation to the last mile or the customer.
As these businesses grow many entrepreneurs seek additional support in terms of advisory services to scale their operations. Business consulting and advisory services are now available for all types of businesses and are provided by both foreign and local practitioners. Business consulting and advisory services help businesses achieve sustainable growth and development and by extension, help grow the GDP of the country.
Businesses and entrepreneurs who engage in these services in Africa must ensure that they trust, remunerate and implement recommendations and advice that are relevant to their environment, and which align with their organizational goals. In Nigeria, the likes of KPMG, PWC, Deloitte, Akintola Willimas et al have captured the high-end market. A few local practitioners support local corporations while a lot of small consulting companies meet the needs of small businesses. The important to note today is that business consulting has come to stay in Nigeria and hopefully in Africa. The business consulting industry is fragmented in Nigeria. To curb this trend, the Nigerian government through the Small and Medium Development Agency of Nigeria (SMEDAN) and other developmental agencies such as GIZ initiated, implemented and is regulating the services of business development service providers. Like many new initiatives, it would take a while before these services are made available for all business classes.
Over the last 6 years, the Federal Government of Nigeria through SMEDAN has accredited a paltry number of BDSPs. To Fastrack the growth and development of small and large enterprises it is important that the government provide considerable support in the accreditation of these service providers and legitimizing their operations. The landscape of business consulting and advisory services is taking shape at least in Nigeria and through the African Continental Free Trade Zone Area (AfCFTA) initiative it is expected that these services become available across the continent.
Business consultants and advisors must be ethical in their dealings, provide relevant and adequate support and continue to promote the importance of their role in the growth and development of the continent. If Africa must be industrialized, it must seek and use the services of homegrown business consultants and advisors who know the way, can show the way and lead the way. In short, you can say that African businesses need the services of business development service providers to remain sustainable. This is not a fad but a reality.
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