Consulting

The four most popular consulting specialties are management/strategy, financial, information technology, and human resources/staffing. Large one-stop shops offer advisory services in these and other specialties. Boutique firms specialize in a single area, such as human resources consulting.

Management/Strategy Consulting

Management/strategy consultants solve a multitude of organizational problems. All management/strategy consultants require knowledge of management science, strategy, operations, marketing, logistics, mergers and acquisitions, manufacturing, government relations, environmental issues (including compliance), materials management and physical distribution, finance and accounting, human resources/staffing, and electronic data processing and systems.

Examples of typical management/strategy consulting tasks include:

• recommending a new strategic direction for a growing wireless company
• determining why a Hollywood studio keeps losing money and how the studio can reposition itself to profit maximize from new markets
• analyzing the potential positive and negative effects of a government bailout of the auto industry for a presidential task force
• studying why an online retailer is losing market share to a competitor
• helping a major telecommunication service provider transition from outdated equipment to next-generation networks
• developing a strategy for a consumer products company to revive a 50-year-old brand and relaunch it worldwide
• valuing a computer hardware manufacturer on a stand-alone basis, or suggesting possible buyers to help it divest some of its non-core businesses
• evaluating investment opportunities in a variety of industry sectors to support the growth aspirations of a multinational company
• streamlining the equipment purchasing process of a major steel manufacturer
• determining how a restaurant chain can spend less on ingredients without changing its menu
• increasing the efficiency of customer response at a newly merged commercial bank
• creating a new logistical database for a smartphone manufacturer

Financial Consulting

Financial consultants provide advice on handling issues from profit-and-loss reporting and risk management, to financial control and compliance with laws, to capital budgeting and corporate restructuring. Working on these problems—whether as a one-time staffing assignment as a generalist consulting firm, or as an employee of a specialty financial strategy consulting practice—can be very rewarding for quantitatively focused people with skills in accounting or financial analysis.

Common financial consulting projects include:

• assisting clients with capital budgeting, financial statement preparation, and/or project valuation
• identifying and analyzing potential financial risks and helping clients control their risk exposures and plan for disaster scenarios
• applying an individualized financial model to improve a company’s earnings or profits
• helping an investment firm identify a strategy to reach a new target market
• evaluating and deciding on the optimal amount of liquidity for a private equity firm
• assisting in corporate restructuring or offering “turnaround” consulting, where consultants step in as temporary management for a client facing challenging situations such as Chapter 11 bankruptcy
• helping a client remain in compliance with a multitude of tax regulations in the various countries in which it operates
• helping a Fortune 500 manufacturing company determine the expected financial impact of a new environmental regulation
• assessing the implications of a proposed merger between two large accounting firms

Information Technology Consulting

Information technology (IT) consultants utilize their in-depth knowledge of the IT industry, computer and telecommunications hardware and software, and the Internet (including social media and cloud computing) to help clients achieve their technology goals.

Services provided by IT consultants include:

• assessing a client’s existing data-mining software, and providing advice on how to optimize and expand data collection and analysis
• providing help-desk services to a client’s employees
• evaluating the benefits and costs of establishing a new Internet-based business-to-business exchange that creates a more efficient supply chain for the home appliance industry
• helping an online retailer plan for future IT growth and increased capacity requirements
• training a company’s staff in the use of new software or hardware
• developing client-specific software programs for an insurance company to run in the cloud environment
• developing and implementing strategies that protect an international bank’s IT systems from hacking and industrial espionage
• determining how a major “big-box” retailer can use technology to improve its distribution network
• analyzing the potential benefits of wireless technology for a global shipping company
• helping a major health care system make the transition to a digital record-keeping system
• assuming management responsibilities for a client’s IT operations
• helping a mid-level company integrate artificial intelligence into one of its software products
• conducting research and analysis to determine if a Fortune 1000 technology firm should offshore most, or all, of its research and development function

Human Resources/Staffing Consulting

The largest of any company’s expenditures are generally tied to human capital, including recruiting, hiring, and training workers; managing human resources (HR) departments; overseeing compensation and benefits; developing and managing ongoing initiatives (e.g., to improve diversity and work/life balance); and maximizing the skills of employees to achieve the organization’s goals. Many companies have realized that investing in human capital and effectively managing HR programs pays off in the form of a more satisfied and dedicated workforce, lower recruiting and training costs (by holding onto productive workers), and improved company staffing flexibility.

Human resources/staffing consultants work on the following types of projects:

• handling outsourced recruiting and hiring
• creating job roles and descriptions for a company creating a new department
• blending the cultures of merged department-store chains by developing or altering work cultures
• building employee skill-sets through better and more efficient training programs
• assisting with layoff procedures, including counseling laid-off employees and assisting them in finding new jobs
• developing a retention strategy for a company that has experienced a high rate of turnover
• creating or updating a new division’s benefits package
• reengineering a company’s retirement plan assets
• developing and managing HR-related information technology systems

Health Care Consulting

Passage of the Patient Protection and Affordable Care Act in 2010 has helped drive strong employment in the health care consulting sector. The act may be revised or repealed/replaced future presidential administrations, but there will still be a strong need for consultants to assess changes to the current act or evaluate new legislation and help organizations adapt to these changes. The health care industry was already the largest employment sector in the United States, and regardless of the state of the overall economy, there will always be a need for expertise in this rapidly changing field. Clients in every corner of health care, including health care providers (hospitals, academic medical centers, outpatient centers, etc.); pharmaceutical, biotech, and medical device companies; insurers and payors (HMOs, Blue Cross/Blue Shield organizations, etc.); government agencies; and organizations of health professionals rely on health care consultants. Typical health care consulting projects include:

• advising a pharmaceutical company on marketing, human resources, or information technology issues
• creating and implementing a plan to digitize a hospital’s patient records
• analyzing the best way to move patients and equipment from one hospital that is closing to a new hospital across town
• studying the manufacturing strategy and processes of a major drug company in order to improve plant capacity, shorten production times, and better utilize staff
• providing advice to insurance companies on compliance with regulations in the Patient Protection and Affordable Care Act
• advising doctors, hospitals, and medical practices on avoiding medical-malpractice suits
• assisting an insurance firm with billing and claims processing
• facilitating market entry for a new drug or medical device
• ensuring that hospitals are operating at as close to full capacity as possible
• helping hospitals and other health care facilities to better prepare for future pandemics, natural disasters, and other events that tax hospital resources (including medical equipment, supplies, and staff)
• optimizing the size of a pharmaceutical sales force in response to the recent entry of new competitive drugs into the client’s market segment

Political Consulting

Political consultants advise political candidates and elected officials. They usually work independently, or as members of consulting firms, often contracting with individuals. A consultant may be hired for an entire campaign; others accept engagements only to produce an ad, or to come up with a sound bite (or a catchy quote) for the media. Some work of political consultants includes:

• providing general strategy advice regarding campaign tactics, debates, and client position statements on hot-button issues such as abortion and gun control
• producing radio and TV ads, writing campaign plans, and developing themes for these campaigns
• conducting polls and surveys to gauge public opinion and to identify their client’s biggest competition
• advising clients in the best ways to use new media (launching campaign Web sites, managing a politician’s postings on social media sites such as Twitter, and even chasing down and countering rumors that spread across the Internet)

Marketing Consulting

Marketing consultants work with a company’s senior marketing or business development leadership to prepare or adjust overall marketing plans, or to develop detailed approaches for launching a new product or maximizing the return from existing ones. Examples of typical marketing consulting work include:

• positioning a snack manufacturer to enter the Japanese market, determining the types of snacks that are most wanted, and assessing the market’s willingness to pay for certain snacks
• developing a marketing campaign for a pharmaceutical company to target two distinct groups: physicians and customers age 65 and older
• developing and implementing an e-commerce strategy that addresses concerns such as retail competition, special promotions, and the overall performance of the client’s Web site
• evaluating the return on investment in various marketing and sales activities

Other consulting specialties include:

• defense
• economic
• education
• energy
• environment/sustainability
• forensics
• law
• logistics
• public relations
• retail
• security