Choosing the Right Consultancy Firm

We’ve all been there. Crazy schedules, not enough resources, and timelines looming. We need to bring in the consultants. We bring in the consultants and then “meh,” widespread feeling we are better off doing it ourselves.

One of the significant problems is folks don’t look at consultant companies as part of a system, instead thinking bringing in an expert will just solve things. The other is picking the last company you used instead of properly vetting for the job.

Choosing the right fit is critical. I always look for an excellent systemic consultancy. Hard to find.

Aspect	Traditional Consultancy	Systemic Consultancy
Approach	Linear, top-down approach relying on “expert” advice	Process-oriented, viewing organizations as complex, interconnected systems
Problem-solving	Analyzes problems and proposes solutions based on expertise	Helps clients discover solutions by examining the entire system and its dynamics
Focus	Focuses on specific issues or departments in isolation	Looks at the whole organization and how different parts interact
Client Involvement	Positions consultants as outside experts delivering solutions	Involves clients deeply in the process, seeing them as co-owners of projects
Consideration of Social Factors	May overlook social and psychological aspects	Heavily considers social interactions, culture, and psychological factors
Implementation	Provides recommendations but may leave implementation to the client	Assists with implementation and provides ongoing support
Timeframe	Engagements can be lengthy, lasting months or years	Can be more time-efficient, sometimes requiring fewer sessions
Perspective	Relies more on logical-rational analysis	Expands the view to include aspects neglected by purely rational analysis
Adaptability	May be less flexible in adapting to changing circumstances	Designed to be more adaptable to complex, evolving situations
Outcome Focus	Aims for specific, predefined outcomes	Focuses on improving overall system functioning and adaptability
Industry Specialization	Often works across various industries without deep specialization	Often has deep excellence within a narrow corridor of competencies and roles
Real Solutions	May take time to understand the problem and suggest solutions	Can start work on day one, providing immediate, insightful solutions
Personal Skills	May require time to build rapport and understand the organizational culture	Often possesses the maturity to navigate difficult situations and build immediate rapport

To truly find a good fit, you must go through a robust selection process.

1. Define your needs and project scope clearly. Before evaluating a consultancy, clearly understand your project goals, timeline, budget, and desired outcomes. This will help you find consultants with the right expertise and capabilities.
2. Look for relevant experience and expertise. Seek out consultants with a proven track record in your industry and with similar types of projects. Ask for case studies and client references to verify their experience.
3. Assess their approach and methodology. Look for consultants who have a structured yet flexible approach that can be tailored to your specific needs. The above table can really help. Their methodology should align with your company’s culture and ways of working.
4. Evaluate their team and resources. Consider the qualifications of the specific team members working on your project. Also, assess whether the consulting firm has adequate resources and support to deliver successfully.
5. Check their communication style and cultural fit. The consultants should be able to communicate clearly and work well with your team. Their working style and values should align with your company culture.
6. Compare pricing and value. While cost is important, focus on the overall value the consultant can provide rather than just the lowest price. Consider their expertise, methodology, and potential ROI.
7. Assess their thought leadership and innovation. Look for consultants demonstrating forward-thinking approaches and staying on top of industry trends and best practices.
8. Consider the size and type of firm. Based on your project needs and budget, decide whether you need a large global firm, a boutique specialist, or an independent consultant.
9. Review their technology and tools. Evaluate whether the consultant has access to relevant technologies, data, and analytical tools that can benefit your project.
10. Trust your instincts. After evaluating all the factors, trust your judgment about which consultant you feel most confident partnering with for a successful outcome.

To select the right consultancy:

1. Create a shortlist of potential consultants based on the above criteria.
2. Request detailed proposals from your top choices.
3. Conduct in-person interviews and presentations.
4. Check references thoroughly.
5. Evaluate proposals against your key selection criteria.
6. Negotiate terms with your preferred consultant.
7. Ensure alignment on project scope, deliverables, timeline, and budget before finalizing.

A systematic approach to evaluating and selecting a consulting partner will help you find the right fit for your needs and set your project up for success.

Remember, criminal enterprises like McKinsey should be avoided.