Does consulting help companies to improve their performance?
Consulting helps companies to improve their performance and to succeed in the competitive environment. Modern businesses require reliable and experienced consulting services to solve problems and to implement solutions that have a positive effect on sales, profits and productivity. Looking you further suggestions :)
Like TylerT said, the majority of major transformations are not successful. The number I've seen thrown around at my firm is a 70% failure rate (for business overall, not for my company).
However, when transformations are successful, they can be VERY successful. The first study I did when I joined my firm successfully quadrupled the operating profit of our client in about 8 months (I keep up with them on Google Alerts to track whether it is sustained).
I've heard anecdotes of some other pretty successful efforts. I've also heard some horror stories of massive time and energy investments with very little to show in terms of impact. Overall, I'd say that the degree of impact achieved on the successful studies more than compensates for the unsuccessful ones (though the clients that are unsuccessful probably wouldn't agree).
Check out this Freakonomics podcast, which delves into the value of consulting. They discuss a study done in Asia (I think, it's been awhile since I listened) in which they gave a handful of companies heavy operational consulting and the rest light operational consulting and concluded that the companies with heavy consultant involvement drastically improved efficiency over the other firms. They also concede that it's virtually impossible to gauge the value of strategy consulting.
http://www.freakonomics.com/2012/11/26/i-consult-therefore-i-am-a-new-f…
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