So.. Why Do You Need Business Advisory?

6 reasons why companies spend $2 million to hire management consultants!

They are the masters at reinventing the wheel!

1) Staff augmentation

Companies often have short to medium-term staffing needs (in the case of government work, this can extend for several years) due to a variety of factors (e.g., recent downsizings, sudden expansion). Consultants in this situation “plug a hole” for the company by filling the role of full-time employees.

2) External change force aka “political cover”.

It can be hard for companies to do what’s right – particularly when it comes to job layoffs, salary and benefit changes/reduction, major operational and strategic shifts. Hiring consultants can be a way to reach the desired conclusions.

3) Best practices across industries and functions (e.g., organization, supply chain)

Consultants have the rare privilege of serving multiple clients in the same sector (e.g., Beverages, Enterprise Software).

This enables them to recognize common attributes of effective solutions, applying lessons learned in applicable situations.

4) Analytical horsepower

Companies may need help solving issues and executing strategies where their skill sets and knowledge are insufficient. Consultants can be of great value given their training and capabilities.

5) Fresh perspective

Companies often need a fresh set of eyes – you’d be amazed at the amount of value consultants can add based on the most mundane observations and insights. Critics contend that this is an example of consultants selling “glorified common sense”, but for front-line client employees, it can be easy to fall into daily routines without a critical eye towards measurement, analysis and improvement.

6) Training and skill set augmentation

The best recommendations are worthless if clients can’t implement and maintain suggested changes. Thus, a large part of what consultants do is educating client employees on necessary knowledge, skills and mindsets.