> But the typical management consulting bashing is about the strategy kind.
I technically do strategy consulting. Generally speaking, yes there is a lot of fluff to industry (if you want to call it that), but that's not because the role itself is flawed, it's because the individuals who are employed in it are. Note - I also do not have an MBA.
- People who are in their early 20's with 2-3 years of experience can offer great insight to strategy work, but their lack of experience really limits the amount of value they can provide. Clients frankly do not want to pay for them (they do anyway, but you get my point). So how do you get new talent into this area if you're not willing to pay for it? (I have no solution btw). Truly talented people move on elsewhere.
- I personally do not sell strategy services that cannot add value, but that's because my firm is a boutique provider and that's part of my value proposition. The big boys (McKinsey, Bain, etc) will literally sell you anything their price tag can justify, even if they don't genuinely believe the price tag is justify. That's not a knock of those firms, it's just the "Way it is"...I would do the same thing if I were in there shoes (there's a reason I'm not).
- Corporate profits continually grow at all time highs (despite relatively slow top growth outside of tech). Management/strategy consultants are VERY good at increasing profits, but are horribly matched for helping grow revenues/sales.
- Many companies have good internal strategic people within their exec teams, but need an external voice of reason to justify their position. I often claim my work consists of "Using Email, Excel, and Powerpoint to convince people to act". Sometimes it is very valid to have someone else with a different perspective to provide advice about something that you may be biased about. Again, my value proposition is that I'm not afraid to say what needs to be said, free from any incentives. Unfortunately many firms in this space like their follow-on services opportunity too much (class example is a Accenture/PwC/Deloitte/etc firm telling a client in a strategy session that they need to do an ERP implementation, oh and by the way, they sell that implementation too...THAT is bad strategy advice)
- I have first hand seen the result of good strategy work that has made individuals incredibly wealthy. I've also seen strategy fees hurt the bottom line because execs are unwilling to act on the advice they need. It's not a foolproof service offering - this is absolutely true.
I technically do strategy consulting. Generally speaking, yes there is a lot of fluff to industry (if you want to call it that), but that's not because the role itself is flawed, it's because the individuals who are employed in it are. Note - I also do not have an MBA.
- People who are in their early 20's with 2-3 years of experience can offer great insight to strategy work, but their lack of experience really limits the amount of value they can provide. Clients frankly do not want to pay for them (they do anyway, but you get my point). So how do you get new talent into this area if you're not willing to pay for it? (I have no solution btw). Truly talented people move on elsewhere.
- I personally do not sell strategy services that cannot add value, but that's because my firm is a boutique provider and that's part of my value proposition. The big boys (McKinsey, Bain, etc) will literally sell you anything their price tag can justify, even if they don't genuinely believe the price tag is justify. That's not a knock of those firms, it's just the "Way it is"...I would do the same thing if I were in there shoes (there's a reason I'm not).
- Corporate profits continually grow at all time highs (despite relatively slow top growth outside of tech). Management/strategy consultants are VERY good at increasing profits, but are horribly matched for helping grow revenues/sales.
- Many companies have good internal strategic people within their exec teams, but need an external voice of reason to justify their position. I often claim my work consists of "Using Email, Excel, and Powerpoint to convince people to act". Sometimes it is very valid to have someone else with a different perspective to provide advice about something that you may be biased about. Again, my value proposition is that I'm not afraid to say what needs to be said, free from any incentives. Unfortunately many firms in this space like their follow-on services opportunity too much (class example is a Accenture/PwC/Deloitte/etc firm telling a client in a strategy session that they need to do an ERP implementation, oh and by the way, they sell that implementation too...THAT is bad strategy advice)
- I have first hand seen the result of good strategy work that has made individuals incredibly wealthy. I've also seen strategy fees hurt the bottom line because execs are unwilling to act on the advice they need. It's not a foolproof service offering - this is absolutely true.