What are the important factors to get acquainted with when understanding the roles of management firms?
- Types of Firms
- Growth Strategy
- Business Diagnostics
- Organizational Design
- Cost Reduction
Management consulting firms in the Philippines are currently seeing a strong resurgence due to the fact that more and more small-scale as well as large-scale business owners are beginning to recognize their significance to continuously grow.
In order to get a clear picture of how these consultancy firms function, it is best to take a look at an overview of how exactly they work with their clients and how they are categorized. Keep in mind that they are slowly but surely branching out into non-business platforms, such as government agencies.
Management consultancy is definitely a unique field of enterprise that aims to provide their clients with valuable information, secure solutions, conduct thorough diagnoses that identify key issues, and assist in the implementation of solutions.
Below are the major elements of management consultancy:
General Types of Firms
Before we dive into the specific roles of a management consulting firm in the Philippines, let’s discuss first the general types you can find in the country.
This type of consultation firm is directed towards high-level corporate operations. They are also known as ‘MEGA firms.’ The inner workings of this management consultancy deal with broad industry analysis, assessment of competitors, mergers and acquisitions, production strategies, etc. At their very core, these management firms are geared towards high-level corporate engagements.
These firms are purely focused on the development of a company’s technology systems, communication, and internal data structures.
HR management firms are focused on handling everything that concerns the employees of an organization. All aspects that have to do with compensation, health plans and benefits, recruitment and outsourcing procedures, etc.
There are many firms that mainly deal with specified fields. Depending on the industry, concerns such as maximizing profitability, analysis techniques, strategy development, etc. are all tailored to fit the nature of the clientele. Niche firms are currently expanding to organizations that are concerned with environmental issues, energy issues, political affairs, entertainment and media, etc.
Growth Strategy Implementation
This refers to the consultancy project that addresses the main objective of a consultancy firm for their clients: growth. Issues that concern international or local expansion, product marketing strategies, methods as to market share increase, and product retention are mainly dealt with when it comes to strategic growth advice.
Projects of this nature usually consist of a 3 to 6-month calendar span. They involve in-depth analyses of competitor profiles, industry mechanisms, expert interviews, and customer feedback relations. It all fundamentally depends on the specific growth issues that are most optimally addressed. As a result, management meetings will be higher in frequency while client meetings have a tendency of becoming less regular.
Informed Business Diagnostics
This consultancy project involves the development of a clear assessment plan for the state of a business organization. It is ultimately ideal for CEOs and managers to get external and objective advice from experienced consultants in order to shed a light on what exactly are the platforms that need due attention.
Proper diagnosis is a necessary precursor to action and implementation. Consultation projects of this nature typically occur within a 3-month span. It is crucial to first do extensive competitor benchmarking in order to get tangible data on how a client fares within its industry.
Experienced Organizational Design
Organizational products consist of the majority of a management consultants job. Conducting organizational re-design might involve large and risky moves such as transfiguring a region-based structure to a global-based structure. But the tangible evidence gathered by management consultants are the foundational basis for such decisions.
The evaluations conducted by consultancy firms determine the opportunities where matters such as the reduction of company headcount would be most fruitful. The main purpose of prescribed re-design is to identify key decisions that need to be made for a company to move forward.
Systematic Cost Reduction
Companies usually seek the guiding services of management consultants when in the midst of streamlining costs. There are several different sources to reduce overhead costs, such as downgrading unnecessary technology, reducing procurement expenditures, and downsizing company headcount. These approaches can definitely be difficult, political, and even painful to the business owners, but management consultants operate on a strict code of objective data.
Cost reduction projects rely on the diagnostic process that was conducted prior in order to fully pinpoint where a company tends to be overspending thus hampering the maximization of the budget.
Management consulting firms in the Philippines are setting the waves for business to thrive under their given conditions. The analytic principles mastered by management consultants is about so much more than simply giving advice; they are about the meticulous strategic implementations that stem from inside operational assessments.
Consultants are adept and trained for high-risk situations. Management consultants are certainly necessary assets that business owners and managers can rely on. The advantages of guidance from management consultancy directly point to flexibility and open opportunities to many choices for solution and development.