In 2016, the global consulting market was worth more than $250 billion,
including over $130 billion in management consultancy services alone.
CASE STUDIES
Fragmented No More
How consulting giant PricewaterhouseCoopers
(PwC) helped a financial software company
consolidate processes and increase efficiency
and accuracy companywide.
> SITUATION: A financial software and services company struggled with
inefficiency caused by several legacy systems that had been cobbled together
over the years. Through a series of acquisitions, the mid-size company
inherited various core business processes, which had not been implemented
across all divisions. As a result, project management, contracts, finance, and
HR were unable to effectively communicate with one another, forcing staff
members to manually recreate documents and spreadsheets needed for the
monthly close and other processes. Organization-wide visibility was virtually
non-existent, and the resources needed to accomplish the consolidation of
more than a dozen different systems seemed impossible.
> STRATEGY: T he troubled company called on consultants at PwC to help
unify the platforms, a project that would involve most of the company’s core
systems. Consultants completely redesigned each process to standardize
and adapt them to a unified cloud-based information management software
system. Additionally, consultants implemented companywide use of
Salesforce.com, redesigned the global chart of accounts to provide robust
reporting capabilities, and set up the system to consolidate financial results
and execute a faster monthly close.
> IMPACT: The single platform now provides visibility throughout the
company's operations, improving controls and promoting regulatory
compliance. Time spent on monthly close was reduced from several weeks
to a few days, and accuracy improved dramatically. Web-based dashboards,
analytical tools, and mobile capabilities promote inter-functionality amid
divisions, resulting in more rapid, informed decision-making. Finally, work
completed by the consultants has positioned the firm for seamless integration
of future acquisitions and rapid growth.
Working with Consultants:
4 Pitfalls and How to Avoid Them
Hiring a professional consultant can drive
growth and even save a failing business. It
can also be a disaster if not well-executed.
Avoid these common pitfalls and get the
most out of your consultant relationships:
ALL THEORY—NO SUBSTANCE
Some consultants fail to deliver
practical takeaways and instead offer
vague theories, industry jargon, or
the latest management fads. Under
these circumstances, plans are largely
unexecutable because they lack
strategies to assign adequate resources
and to integrate across the company
divisions. Be leery of consultants who
use too many buzzwords or tend to
state the obvious using convoluted
terms. Ditch the empty promises by
insisting on data-backed research and
measurable outcomes.
WRONG FIT
A consultant is a member of your team
and an extension of you, so make sure
he or she complements your company’s
vision and culture. Qualified candidates
should have a deep understanding of your
unique market and industry and should be
able to articulate the specific problem you
seek to address.
COMMUNICATIONS JAM
Even the best consultants are made
useless if they can’t communicate
properly with you and your staff. Be clear
about the role of every consultant and
every member of your staff that will be
involved in the project. Have a plan that
specifically defines how and when you
and your consultant(s) will communicate
on progress, problems, and permissions.
Document everything and schedule
periodic status meetings.
NO EXIT PLAN
It’s tempting to hire consultants then let
them run the show with little involvement
from you or your staff, but the objective
of hiring a consultant is to align your
company for future success long after
the consultant is gone. Stay hands-on
every step of the way, create milestones
that are described in measurable or
concrete terms, and insist that all work is
documented so that anyone can take over
when the consultant leaves.
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