Management Consulting Readings PDF

SESSION 1 Management consulting : is an advisory service where trained experts are hired by organisations in order to objectively help identify & analyse management styles/issues, recommend solutions and implement these solutions. Importance of management consulting 1) Strategic guidance : hel...

SESSION 1 Management consulting : is an advisory service where trained experts are hired by organisations in order to objectively help identify & analyse management styles/issues, recommend solutions and implement these solutions. Importance of management consulting 1) Strategic guidance : help businesses navigate complex markets, identify growth opportunities, & implement strategies for long term-success. 2) Specialised expertise : bring industry knowledge & best practices to help companies adopt innovative solutions + stay competitive. 3) Objective analysis : consultants provide an unbiased, external perspective to address internal challenges + support informed decision making. 4) Change management : assist organisations in planning / + executing major transformations. 5) Operational efficiency : help streamline operations, reduce costs, and improve efficiency by identifying & addressing inefficiencies. 6) Crisis management : assist companies in stabilising, recovering & building resilience for future challenges. Kubr 5 Phase Analysis 1) Entry build rapport initial problem diagnosis assignment planning contracting 2) Diagnosis Data gathering Data analysis & synthesis Feedback / confirmation 3) Action planning Potential solutions Evaluation Criteria Options analysis 4) Implementation Planning ( who does what when and how )  Monitoring Train & develop staff Maintenance control 5) Termination / completion Completion Withdrawal Evaluation SESSION 2 - Entry phase Build rapport - from first contact, start to build a relationship with the client. Initial problem diagnosis - start to distinguish between problems & symptoms Assignment planning - negotiate scope, approach, methodology, roles, statement of work Proposal / terms of reference - write up a project plan, approach, methodology, deliverables, schedule, staff qualifications, cost, etc… Contract - formal, legal binding agreement signed by all parties. Stakeholder Analysis Who is a stakeholder ? → anyone affected / with interest in the company’s actions → the analysis is often conducted in project management, policy development transformation & change management types of assignments. → the goal isn’t to make everyone happy, but to succeed with the change and have everyone understand the need for change. Steps to stakeholder analysis 1) Define the population of stakeholders 2) Identify the level of interest in each stakeholder 3) Map according to level of interest & influence they might have on the project Thematics Analysis in interviews & other Q.A - Grounded theory / hypothesis building - Discourse analysis-a-wide range of “pattern-seeking” techniques of responses - Thematic analysis - No theoretical framework implied - Can be used to reflect reality - Uses inductive reasoning Corrections from week 2 quiz 1) What is the main difference between strategic consulting and operational consulting ? → Strategic consulting focuses on long-term goals, whilst operational consulting is more for the day-to-day functions 2) In management consulting, what does scope creep mean? → the process of expanding the project boundaries beyond the originally agreed-upon terms. SESSION 3 - Diagnosis phase Fact finding - decide what data collection methods to use Stakeholder investigation - think about who is affected by any proposal change & incorporate their perspectives. Analysis & synthesis - organise, look for patterns, summarise Feedback to client - gain “agreement” on diagnosis (WNTBA) as well as the commitment to proceed to the action planning phase. Data collection → Data processing & compilation → Data analysis → Data synthesis → Feedback to client ( WNTBA) Data collection methods Primary research ○ Survey ○ Interviews ○ Focus groups  ○ Stakeholder consultations Secondary research ○ Departmental results framework (GoC) ○ Statistics Canada ○ Company records ○ Published analysis ○ Annual reports ○ Industry associations Diagnosis : SWOT Analysis Strength - What do we do well? - What is unique about the organisation ? Weaknesses - What could be improved? - What resources could improve our performance? Opportunities - Are there market gaps in our services? - What are our goals this year? Threats - Are there changes in the market - What are the new market trends on the horizon? Diagnosis : PESTLE Analysis Political Environmental Social Technological Legislative Economic Diagnosis : Mind Mapping Technique Diagnosis : The McKinsey way Generate hypothesis What facts must be “true” for the hypotheses to be correct? Classify & analyse with the hypotheses in mind SESSION 4 - Action Planning Phase Objective of Action Planning - generation & evaluation of potential solutions ( options analysis ) followed by the recommended option. Outputs of Action Planning - clear idea of the preferred solution, as well as the expected results. Client involvement - get early client commitment to the evaluation criteria used to assess the options as well as the set of options ( do this prior to options analysis ). Present all feasible & viable options with the options analysis along with your preferred option & the rationale. Sample Evaluation Criteria categories for options analysis Strategic alignment Business benefits Stakeholder benefits Lifecycle costs Risk / degree of change Time to implement Spectrum of potential solutions Reflect your findings & WNTBAs Consider the level of change possible for the organisation Consider client readiness Consider other stakeholders High - level Implementation Plan After providing recommendations & implications, present a High-level Implementation plan  HLI is not a detailed project plan but outlines key next steps for the short- & medium- term. The plan should empower the client to begin implementing recommendations immediately Ensure client also feels a sense of urgency & clarity. SESSION 5 - Implementation Phase + Termination Phase IF asked to help with implementation : Basic project management & planning ○ Work breakdown structure ( WBS ) ○ Gantt chart / timelines ○ Budget ○ Staff / resources ○ Success measures Be sensitive to internal staff & interpersonal dynamics Change management Performance measurement The Final report Structure and clarity is crucial : Summarise frequently in tables & charts ( embed them in the document ) Use subheadings often ( clear structure ) Use business language, not jargon Write a great executive summary : expect to revise this multiple times before its right All details go in the appendices ( interview notes, calculations, raw data of any kind ) Review & edits … avoid typos & grammatical errors Have 1 author edit the final version to have “1 voice” Termination phase 1 of 3 potential states : 1) Implementation is complete & your contracted commitment is complete. 2) The assignment is ending early ( either client or consultant initiated ). 3) The current assignment is complete & there is follow-on work. Your key activities should include : Prepare the final report, linking back to the proposed scope Complete any knowledge transfer or hand over activities Send the final invoice & calculate the financial performance of staff on the assignment Continue to build the client relationship & identify additional opportunities to assist