Industry insider suggest traditional management consultancy is outdated
Following a difficult beginning to 2018 across various business areas, with the shutting of Carillion, Toys R Us and Maplin to mention but a few, business expert Pat Lynes has suggested that management consultancies may soon become a thing of the past as well. He has done so in his new book, ‘The Interim Revolution’ which looks at a variety of business sectors and provides a range of key insights.
In order to produce the book, Pat Lynes spoke to more than 100 corporate figures involved in HR consulting UK and around the world to build knowledge on how companies are addressing changes in ideas across the industry. Lynes discovered that many current executives are unhappy with options to implement change at present. One major gripe was that recruiting a new staff member is costly, takes time and has major risk of the person not being the right option. Many thought that there is generally a reduced quality in recruitment options due to their sector being in decline.
That said, many of the executives who were interviewed also didn’t like management consultancies, who they suggested may not understand their business culture and are often a costly mis-fit. Lynes writes that there is a shared sentiment among many executives that the main aim of most management consultancies is ‘landing and expanding’ – i.e. never really solving problems, so that they can keep charging.
Lynes explained; “It’s clear the consultancy market is leaving a bad taste in the mouths of many, because there is a sense of them having their own, misaligned agenda. This agenda is fuelled by profit over purpose. As such, consultancies tend to operate primarily to enable their own business to thrive, rather than their clients’ business. The result is often that the client is kept in the problem as the consultancy sells in the A-team to land and expand, whilst iteratively swapping in the B and C-team. In some cases, giving clients graduates who learn on their watch.”
He went on to say, “Many executives also feel that consultancies don’t bother to align themselves with the wider business culture which creates conflict and attrition. What’s more, consulting methods tend to be quite outdated, rigid and not particularly responsive, especially when it comes to ‘body-shopping’ e.g. when consultancy firms recruit IT workers to contract their services out on a short-term basis.”
Lynes also stated that the future of management consultancy, both in terms of HR consulting UK will be built around the use of interim teams so that each company can make use of the potential of a bespoke team of consultants, almost like a business ‘SWAT’ team who can step in with to a company with the mission of solving problems quickly, stepping away once the job is done. Lynes thinks that interim teams provide much better value for money due to the level of specific results they can produced and be measured by.Tags: HR Consultancy, Information Technology, IT Services