Consultancy

Question 1

When was the birth of management consultancy?

Answer 1

Late 1800’s - Scientific management

Question 2

When did consultancy become widespread?

Answer 2

After WW2 when american firms moved to europe

Question 3

Why do organisations use management consultants?

Answer 3

1. Organisations have become leaner over the last 30 years and don’t have the in-house expertise they once did.
2. Consultants sometimes have wider knowledge of industries and markets: something that is new to a client may be relatively routine to a consultant.
3. Consultants can transfer knowledge/experience between firms and industries.
4. Consultants often have more experience of implementation.
5. Consultants bring an independent viewpoint, impartiality.
6. Sometimes consultants can moderate/resolve a dispute within an organisation.
7. Consultants offer managerial time for hire.

Question 4

What do management consultants do?

Answer 4

1. Analysis of:
2. Strategy (including market entry)
3. Organisational change/development
4. Information technology (strategy, systems design, implementation, ongoing management) – compete with IT firms in this space (e.g. IBM).
5. Research
6. Evaluation (especially for government, NGOs)
7. Undertake interventions.

Question 5

What is important in management consultancy?

Answer 5

Repeat business

Question 6

What is a downside of being a management consultant?

Answer 6

Quite a lot of non-billable time: training, proposal writing, research and development, schmoozing

Question 7

What do you need to be to be a management consultant?

Answer 7

Young
very Bright
Articulate
Have social skills
Have knowledge of finance, economics, stat, strategy, accounting, data visualitsaion, project management
Business research skills
Logic and analytical skills