McKinsey, which is one of the world’s largest management consulting concerns, has curated a list which consists of seven steps, that are effective in the problem- solving process. The first stage is to identify the specific issues. Then, everyone’s interests need to be understood. A list of possible options or solutions must then be brought out. These, now need to be evaluated, one- by- one. Either one or just a few of these then have to be selected as the course of action. The agreements will then need to be formally documented. The last step will be to agree on the contingencies, evaluation and monitoring.

Source:https://www.mckinsey.com/business-functions/strategy-and-corporate-finance/our-insights/how-to-master-the-seven-step-problem-solving-process

Uploaded Date:29 January 2020

A lot of the management consulting experts might actually be novices. In fact, even a number of experience ones, struggle at first when they encounter a totally new project. There is nothing unusual about this, due to the sheer diversity of the tasks at hand. As a result, consultants need to quickly imbibe as much knowledge about their new client and the client’s broader industry, while maintaining an outward image of being an expert. To do this, consultants need to be clear that their work is like a performance, not too dissimilar to theatre. They encounter three major kinds of threats at their work. These are competency, acceptance and productivity threats. Some common tactics have been adopted by consultants universally to face up to such threats. For a start, one needs to craft relevance so that they seem competent while actually learning on the job. Resonance is crafted by recycling insider knowledge. Knowledge objects meanwhile, may be created by crafting substance. Similar kinds of learning- credibility tensions also exist in some other work profiles, but one needs to find the right balance to mask the flaws, while not disturbing productivity.

Source:https://hbr.org/2018/07/how-consultants-project-expertise-and-learn-at-the-same-time

Uploaded Date:16 August 2019

Columbia University’s New York City campus has launched a new course in its menu. It is the “Driving Strategic Impact”. One of the key stated aims of this programme is to help practitioners master the art of management consulting. Real life case studies will be debated in it. Role plays will also be assigned. Consulting scenarios will be drawn up for the students enrolled. Consulting stories will also be discussed. A toolkit is to be developed for the students to hone their skills at developing the corporate strategy. A multi- faceted approach is to be used in this course. The class will be comprised of a diverse set of students to mimic real life situations.

Source:https://www8.gsb.columbia.edu/execed/program-pages/details/133/DSI

Uploaded Date:20 May 2019

Numerous studies have recently catalogued the disruption robo-advisers are set to ring in to strategy and management consulting. Several financial services firms such as Black Rock, Morgan Stanley, Schwab and Vanguard have started using hybrid machine/adviser solutions. A report by Deloitte states that assets that will be managed by automated services will increase to between five and seven billion dollars by 2025 as opposed to the present three-hundred billion. Credit rating agency Fitch, meanwhile suggests that there will be double digit growth in this category consistently for several years from now. Research firm A.T. Kearney seconds this view by insisting that the two-billion figure will be crossed by as soon as 2021. The reasons for such exponential growth are aplenty, but key among them is the size of data warehousing now on, estimated at 10.5 ZB by 2020. A McKinsey report claims that many companies are today both investors as well as operators. AI too is growing super-fast, while tools run on the technology, are falling leading to a rise in availability. Plus, these solutions bring benefits to all kinds of companies. In order to be good at this, there are three broad approaches. They are either to develop one’s own pure-play solution, enter into a partnership with any existing provider, or to create an internal robo-advisory service.

Source:https://hbr.org/2018/01/robo-advisers-are-coming-to-consulting-and-corporate-strategy?utm_medium=email&utm_source=newsletter_monthly&utm_campaign=finance&referral=00209&spMailingID=18926386&spUserID=OTY0OTMwNTk5NwS2&spJobID=1182057884&spReportId=MTE4MjA1Nzg4NAS2

Uploaded Date:13 February 2018

A number of management principles exist advising companies or professionals to work in a certain manner. Case studies and management consulting advisories are prepared on how a company underwent a transformation when that certain practice was adopted. However, companies adopting these practices must tread caution, as anything that works in a situation, need not work replicate its success in quite another. Instead different organizations must strive to find their own recipe for success. The situation is very similar to cooking an apple pie. While the recipe and ingredients may be universally same, a lot of intrinsic factors go in making of the perfect pie.

Source:http://innovationexcellence.com/blog/2017/12/24/finding-your-silver-bullet-in-an-apple-pie/

Uploaded Date:09 January 2018

Few companies these days are willing to slug it out long term. This can be evidenced though this study conducted by management consulting market leader McKinsey. In this study, more than half the professionals surveyed, have confirmed that they would be willing to forego long-term value in order to meet quarterly targets. An even higher percentage states that this pressure has increased over the past five years. An even higher figure maintains, that pressure to financially succeed is highest at the two-year point. Companies that have a corporate strategy geared towards long-term growth have outperformed that short-termist peers by thirty-eight percent in earnings, forty-seven in revenues and fifty-six percent in market capitalization. The Economist publication however, does not agree claiming that investment in research and development is actually proportionately quite high. To prioritize long-term strategies, companies need to pursue alliances with sophisticated investors. Investors need be educated towards changing priorities and quarterly calls need be revisited. Artificial moves to meet earning targets need be avoided, especially discretionary spending.

Source:https://www.mckinsey.com/global-themes/long-term-capitalism/five-fifty-going-long

Uploaded Date:13 December 2017

A study was recently concluded involving a team from the University of San Francisco and Harvard Business School on whether transparency plays a part in improving marketing returns. It started accidentally when an online retailer forgot to place the cost infographic in two of its five colour-based URLs for leather wallets. The cost-transparent wallets did better by forty-four percent. Further marketing research was conducted to establish that this was not due to other considerations, but indeed transparency leads to improved results. Transparency promotes agreement and trustworthiness, two qualities essential ahead of a negotiation. It also improves communications as customers are better informed about the products. Transparency can provide competitive edge especially if others are not following the same. A San Francisco based online clothing firm- Everlane- also adds variable costs along with images of production process. Belgian fashion retailer Honest By even does supply chain information. All may not be able to follow suit due to supplier agreements, or high R&D costs. If everyone were to follow this, it may no longer be an advantage, but simply manage to weed out those unable to do so.

Source:https://knowledge.insead.edu/blog/insead-blog/the-persuasive-power-of-transparency-7736

Uploaded Date:30 November 2017