The Management Consulting Problem and Solution
The Management Consulting Problem
The basic problem is that management consultants have never helped their clients organize and manage the business. Management consulting has always created or improved the structures overlaid on the business.
Management consultant practices tend to build or utilize overlaid structures
Most management consultant services specialize in certain performance capital, which are implemented as separate structures overlaid on the business. Consultants may develop or improve information technology (IT) and information systems, organization, business processes, accounting, strategy, human resources, or performance and productivity structures. Other management consultants may be result-oriented such as sales and marketing, financial, administration, total quality management, project management, supply chain, or customer relationship consultants. In any case, services provided are scoped to their specialized expertise. The consultant contract fixes conditions for the consulting project and redefines the problem to be “satisfy contract conditions”. This induces disconnects for out-of-scope areas and distortions to make it appear that contract conditions are being met.
Much business change consulting has become a “business service” rather than professional consulting
Most management consultants or business service companies involved in business change do not use senior professionals to directly service clients. Their job is to sell projects and to leverage junior consultants. Junior consultants are trained in a methodology that does not require analytical skills or business knowledge to produce a deliverable. The real client problem is often redefined to be the problem that is addressed by the methodology. Methodology steps are performed whether necessary or not. The methodology is proprietary and rarely shared with clients.
Business change projects are approached as “consultant projects”. The consultant takes over an area and often works separate from client staff. Projects are executed with no framework of understanding between the consultant and client. Consultant technology is rarely shared with clients or employed to help client success. The consultant recommends or implements solutions to business performance problems rather than actually solving the problem. Deliverables, such as reports or implemented solutions, are produced by the consultant and delivered to the client to accept, and then to utilize further in order to gain any benefit.
Clients often think that consultants should do the work and present improvements on a “silver platter”. The client does not understand the underlying rationale and has no sense of ownership of the consultant work. Even the best deliverable will be criticized by those whose vested interest is elsewhere. At best there is controversy and at worst rejection over the consultants work.
Recent exposures have dented the image of professional management consulting
Recently there have been exposures of the failures of conventional management consulting. Clients no longer have complete faith in their consultants. But, they also do not see a viable alternative. They want a way to control business change to ensure that their real problems are solved and that they get a payback on their business change investment. Professional management consultants need a way to get back to professionalism in professional analysis and problem solving that provides measured client success.
The R-pM Management Consulting Solution
Performance improvement is difficult and risky for any enterprise. However, not to improve, when improvement is needed, is even worse. Enterprises are experts at their business and industry. However, they cannot afford to maintain the expertise periodically required for performance improvement. Management consultants have an important role, but the role must change to employ the right method, to utilize technology, and ensure enterprise success.
R-pM Management Consulting is based on organizing and managing the enterprise business
R-pM is based on a new 21st Century Management Consulting Model that is designed to overcome conventional problems. R-pM does not employ obsolete methodologies or structures. The R-pM consulting objective is to organize and manage the business to add measurable value to specific enterprise results.
The enterprise must be responsible for business improvement and development
R-pM organizes the business as revenue results to create strategic value, capital results to manage capital and performance, and investment results to manage change over time. The enterprise assumes management responsibility for investment results. Project scope and goals are related to results and determined by strategic enterprise needs and availability of enterprise capabilities. R-pM consultants work, under a partnership agreement, as a part of the enterprise team to achieve enterprise performance improvements and result value-added. Consultant customer service is through management guidance, problem-solving, work leadership, program result quality assurance, and areas beyond enterprise capabilities. The enterprise and consultant agree to provide specific performance solutions to produce specific results, within a result-performance development program. All programs are organized and managed using R-pM.
R-pM consultants leverage enterprise capabilities to achieve result value-added success
Experienced consultants support the team with the required knowledge, analytical skills, business judgment, and progress push. Consultants leverage the enterprise team to do as much as possible. Consultants transfer knowledge to the enterprise, rather than building dependence for future work. Consultant success is determined by enterprise success.
R-pM consultants work in partnership with the enterprise, with guidance from the R-pM toolkit
R-pM consulting is based on a toolkit that both the enterprise and consultants understand and follow. The toolkit helps to address all capital affecting results, rather than concentrating on certain capital. The toolkit provides a foundation for individual or remote consultants to support the consulting firm or enterprise with the breadth of capabilities needed. Toolkits are supported on-line for updates and help in understanding.
Result-performance-management.com provides knowledge and learning for those involved and enables enterprises and consultants to support each other with knowledge and solutions.
R-pM is an open approach to performance improvement employed by both the enterprise and consultants. R-pM focuses on results and involves only the work necessary to improve results. R-pM encourages sharing and exchanging knowledge and solutions to reduce risks, problems, and costs for all.
R-pM Consultants are licensed to assure enterprises of professional services directed at measured result value-added success
R-pM consulting is provided by licensed R-pM consultants to ensure the enterprise is professionally served and to protect the consultant investment in developing the capabilities to understand, utilize, and support R-pM.
21st Century Management eliminates 20th century problems
Result-performance Management (R-pM) eliminates the top ten problems and other costly 20th century problems. Help your customer enterprise slash costs, simplify business management, and boost competitive advantage through R-pM, the conventional method for 21st Century Management.
Download your 21st Century Management Manual today
Your 21st Century Management Manual, The R-pM Toolkit, is available today for use by both the enterprise and consultant, and is under continual development to expand and refine 21st Century Management. The R-pM Toolkit is offered at a nominal price to encourage wide use of R-pM. Get your R-pM Toolkit, and future updates, at result-performance-management.com.
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