Why the Accenture/Hertz affair is no news to me

The news is pretty amazing. Everybody in the IT field knows what goes on with these kind of companies, but seeing this spreading in the news it’s really funny and gives me the chance to write a blog post, which is always nice.

Let’s start from the beginning: Accenture was sued over website redesign by Hertz

Hertz, the car rental giant, is suing for the $32M it paid Accenture in fees to get to that aborted stage, and it wants more millions to cover the cost of fixing the mess.

"Accenture never delivered a functional website or mobile app" Hertz claimed.

Let’s recap:

  • The US corporation hired monster management consultancy firm Accenture in August 2016 to completely revamp its online presence.
  • The new site was due to go live in December 2017. But a failure to get on top of things led to a delay to January 2018, and then a second delay to April 2018 which was then also missed, we’re told.
  • As Hertz endured the delays, it found itself immersed in a nightmare: a product and design that apparently didn’t do half of what was specified and still wasn’t finished.
  • "By that point, Hertz no longer had any confidence that Accenture was capable of completing the project, and Hertz terminated Accenture," the car rental company complained in a lawsuit lodged against Accenture in New York this month.

And now the funny part: why this is no news to me? I’m in the IT field since a while, and I’ve seen some sh*t.

This story, if you think about it, is crazy. According to Hertz Accenture asked 32M to make a website that a team of a dozen very senior people, let’s say 20 with PMs, designers, whatever can easily do in one year, with opensource technologies.

Come on. It’s a car rental website with and Android and iOS app that you have to hook up to a backend software. Completely doable, even if the backend is a 30 years old AS400 behemoth.

Let’s oversimplify costs. Let’s pay these 20 people 200k a year (which is a huge salary) to do it. Let’s add a full year of delays, because we know things can go wrong.

The entire cost? 8 millions.

Let’s put 2 millions of related costs, and still we have 10 millions

One third of the cost Hertz claimed to have paid. And at the end you’ll have a team that made you everything from scratch, with open technologies and without licenses to be paid, if not minimally.

Accenture is exposed today, but she’s not alone. Many companies bill millions delivering nothing to enterprise customers.

Can’t we really do anything to push out these old crooks out of the market?

P.s. If you want more details, please read https://twitter.com/allafarce/status/1121174850226147328

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