What's worse for Consulting: Audit or Operations?

Hello,

I'm in the process of Consulting internship applications and I'm thinking about my backups:

either a Big4 Audit internship or a possible JP Morgan Operations internship.

While I know that these have nothing to do with Consulting, I'd still like to know which one would be more beneficial considering that I'd apply for FT consulting the year after.

Thank you for your inputs guys!

 
Best Response

Operations will provide you with a technical skillset you can immediately "apply" as a consultant. Likely better for salary, and a better starting position if you're trying for MBB type firms.

Audit: Excellent internal opportunities within the Deals Stream of a firm, learning what working in professional services is like vs. industry, client facing skills, and if you're a good networker no real reason why you couldn't move into the firm's advisory practice. It happens (rare, but half of that is most CA/CPA candidates don't think about consulting as an option).

I would side with those believing Operations is the advantage, but don't discount the value of having client facing skills. These are one of the biggest hurdles to new consultants.

TT

 

Wow it surprises me how all of you would opt for ops instead of audit. I guess I had the wrong picture of operations in my mind as it is always regarded inferior to almost everything else you can do at a bank.

Within ops, would you recommend a generalist or a specialist stream, keeping in mind my future consulting aspirations? I'm having a hard time finding out about the actual different between these two internship alternatives.

Thank you

 
erklam:
I guess I had the wrong picture of operations in my mind as it is always regarded inferior to almost everything else you can do at a bank.

The people who tend to open their mouths the most when it comes to discussions about banking are front office people. Operations is back office. Front office people stereotypically like to shit on back office roles. No surprise there that your general perception of ops is highly negative.

 

FWIW, I work with former Big 4 auditors that were able to get into MBB consulting firms after a top MBA. My friends that are currently in operations are having no luck moving into consulting at all - even with my referrals to the consulting firm that I used to work at. Of all the consultants I know, both from my former firm, and from my current job, there is not a single person that arrived in consulting after operations work at a bank. I would say do audit, since you will likely be able to get a better MBA from audit than operations, which can lead to a consulting offer. I wouldn't say this is particularly close either... Not sure why others seem to think otherwise.

 

I don't know understand how people are telling you to pick Operations. Its a fine job in its own light, but I'd go with Big-4 Audit if your end goal is Consulting. Say what you will about Audit, but its a client-facing role, and meaningful interaction with different clients occur daily. You have an opportunity to learn different processes in the business, build deliverables, etc. This can be fairly easily spun in a Consulting Interview. Also, don't discount the fact that every Big-4 has an Advisory Department (KPMG?), which many future MBB Consultants come from. Compare this to an Ops role, where you will most likely have ZERO client-facing opportunities and a subpar network.

 
erklam:
That makes sense. I wonder which change is more probable or feasible: - a switch from operations to front office OR - a switch from audit to advisory within the same firm, i mean.

From what I've heard it nearly impossible to swtich from Ops to Front office for a bank, I personally have no experience in this. But I know of a lot of people who were able to switch from Audit to Advisory in a big 4. You just have to be a high performer and network within the firm.

Hugo
 

Lol wow, I guess the only thing worse than Ops on this board is Big 4 auditing apparently. I'd go with Big 4. People over here like to crap on the Big 4 because it's a "state school job", they take a ton of people each year, and since it won't lead to PE/HFs without a top MBA/Contacts/Luck. At least at the Big 4, you'll be doing client work and can transition to TAS services groups within them.

Additionally, even though one won't be doing journal entries as a consultant, audit will still help one learn more about business processes and a good background in accounting can't hurt as a consultant even if it's not a necessity. I'd also argue that if consulting STILL doesn't come by after a Big 4 stint, one has much better exits into industry positions from the Big 4 than Ops.

I work in corp finance, which is similar to "Ops" and I can't possibly imagine how anything I'm doing could relate consulting/IB in the future. This is why I'm considering going for a masters in accounting and using the Big 4 to transition to something better if the job market doesn't pick up.

 
marathon218:
Andres - I'm interested. Surely the auditors didn't go straight from Big 4 Audit into MBB consulting. What were the intermediate steps?

Big 4 Audit -> MBA -> MBB?

Were there other steps involved, and if so, what were they? Thanks!

Most likely:

Big 4 Audit --> Big 4 Advisory --> MBA --> MBB

Another plausible variation:

Big 4 Audit --> F500 Corporate Finance --> MBA --> MBB

Maybe even:

Big 4 Audit --> Big 4 TAS --> MBA --> MBB

 

Hi SlikRick,

As your post gives a thorough answer to half of my question regarding the Audit>MBB path, I'm wondering how hard any of those 3 steps are above. While I know MBA>MBB jump is always competitive, how hard are the other two transitions, namely Audit> Big4 Advisory/TAS and Big4>MBA?

Thanks a lot for your insight!

 
marathon218:
Andres - I'm interested. Surely the auditors didn't go straight from Big 4 Audit into MBB consulting. What were the intermediate steps?

Big 4 Audit -> MBA -> MBB?

Were there other steps involved, and if so, what were they? Thanks!

Nope, some MBB people I know actually lateraled directly from Big 4 audit to MBB (losing grade\tenure though). Big 4 Audit -> Big 4 \ Tier 2 consulting -> MBB also sounds logical, pretty sure there are people who have done that. I am based in Europe though and an MBA is less prevalent here.

 

30-40% placement into consulting from a M7 is pretty misleading as that's among all students. Among students who are actively pursuing consulting, it will be far higher. The majority of your class will probably not want to be a consultant even if they were simply offered the job.

 

wow I was reading somewhere that working at Big 4 advisory and going M7 MBA wasn't that impossible? I mean, M7 MBA can't all have bankers/traders/MBB people, right? They recruit actively people from many different career paths

 

Occaecati laboriosam omnis velit neque consequatur non. Officia sunt numquam praesentium iusto labore velit cum earum. Enim odit consectetur sequi delectus consequatur corrupti. Qui rem dolore et totam repellat voluptas. Inventore libero dolores impedit error qui. Et nihil deserunt magni modi recusandae officia consectetur.

Minima exercitationem ut qui quasi distinctio fugiat. Iure et tempore facilis architecto aut autem veritatis. Facilis quo exercitationem cum deserunt quibusdam laudantium. Sit ut sed provident rerum sint exercitationem similique. Ut a esse saepe iusto qui vero sit. Et est laboriosam adipisci.

Et quia aut fuga voluptas. Amet quam fugit inventore ipsa. Eligendi sed quia sit unde. Voluptatem quod atque aut illum.

Nisi odio voluptas rem est omnis. Sed molestiae cupiditate eum inventore soluta maxime quo molestiae. Et magni ipsa asperiores nobis deleniti non aliquam. Quia omnis at maiores nihil. Aut voluptas velit voluptas odio quos. Iure eum eos praesentium sed est atque quidem.

Career Advancement Opportunities

March 2024 Consulting

  • Bain & Company 99.4%
  • McKinsey and Co 98.9%
  • Boston Consulting Group (BCG) 98.3%
  • Oliver Wyman 97.7%
  • LEK Consulting 97.2%

Overall Employee Satisfaction

March 2024 Consulting

  • Bain & Company 99.4%
  • Cornerstone Research 98.9%
  • Boston Consulting Group (BCG) 98.3%
  • McKinsey and Co 97.7%
  • Oliver Wyman 97.2%

Professional Growth Opportunities

March 2024 Consulting

  • Bain & Company 99.4%
  • McKinsey and Co 98.9%
  • Boston Consulting Group (BCG) 98.3%
  • Oliver Wyman 97.7%
  • LEK Consulting 97.2%

Total Avg Compensation

March 2024 Consulting

  • Partner (4) $368
  • Principal (25) $277
  • Director/MD (55) $270
  • Vice President (47) $246
  • Engagement Manager (99) $225
  • Manager (152) $170
  • 2nd Year Associate (158) $140
  • 3rd+ Year Associate (108) $130
  • Senior Consultant (329) $130
  • Consultant (586) $119
  • 1st Year Associate (538) $119
  • NA (15) $119
  • 3rd+ Year Analyst (145) $115
  • Engineer (6) $114
  • 2nd Year Analyst (342) $102
  • Associate Consultant (166) $98
  • 1st Year Analyst (1046) $87
  • Intern/Summer Associate (188) $84
  • Intern/Summer Analyst (547) $67
notes
16 IB Interviews Notes

“... there’s no excuse to not take advantage of the resources out there available to you. Best value for your $ are the...”

Leaderboard

success
From 10 rejections to 1 dream investment banking internship

“... I believe it was the single biggest reason why I ended up with an offer...”