Comparison
What does a management consultant do?
A management consultant examines a question in the business and delivers analysis, a concept and a recommendation. The business usually implements it afterwards itself. A consultant is the right choice when a big change is coming and there are people to carry the concept.
Service
What they deliver.
Depending on the brief: a market analysis, a strategy, an organisational concept, a restructuring plan or a process review. The work runs in projects, often with several consultants at different levels. At the end there is a report or a presentation with recommendations. In mid-sized businesses this work is often called business advisory as well.
Cost
What they cost.
Usually between around €1,350 and €2,550 a day, depending on seniority (BDU, the German consultants’ association, 2022 survey). More on this: What does a management consultant cost?
Fit
When they are the right choice.
- A big change is coming, such as a realignment, an acquisition or a restructuring.
- For a limited time, the business needs more analytical capacity than it has itself.
- There are people in-house who can implement a concept, and the time to do it.
Limits
Where their limit lies.
A recommendation is not yet a decision. Many concepts are well reasoned and still never get implemented, because it stays open what goes in return and who carries it. And the consulting often starts when the measure is already fixed. The question then is how the relaunch or the new structure can best succeed. Whether it is the right one is no longer up for debate.
Decision
What has to be decided first.
Before almost every expensive measure there is a decision that has to be made first: where the money goes and what gets stopped for it. Without it, even the best consultant advises in the wrong place. The decisions before the measure.
Comparison
| Role | Delivers | Right when | Limits |
|---|---|---|---|
| Management consulting | Analysis, concept, recommendation | a big change is coming and there are people to implement the concept | Implementation usually lands with you afterwards. |
| Decision Architect | a judgement before the measure, in writing, and then he leads the build | plans contradict each other or money is being lost and nobody knows where | He doesn’t build himself and doesn’t decide for you. |
A Decision Architect says beforehand whether you need a consultant, and for what.
Questions
What is the difference between a management consultant and a strategy consultant?
A strategy consultant is a management consultant who focuses on strategy: direction, markets, business model. What I mean by it: Strategy consulting.
What does a management consultant cost?
Usually €1,350 to €2,550 a day. The details are on a separate page.
More comparisons: What does a management consultant cost? · What does an interim manager do? · What is an advisory board? · What does a business coach do?