Biech.
So You Want to Be a Consultant
A person who never made a mistake never tried anything new. Albert Einstein
Have you ever admired consultants who zip into your company, capture everyone's
attention, accomplish in days what you've been struggling with for months, and waltz out with a
big check?
Ever thought you might like to be a part of that glamorous profession? This book will
help you determine whether you have what it takes to be a consultant, as well as whether the
consulting profession offers what you desire as an individual.
WHAT IS CONSULTING?
Consulting is the process by which an individual or firm assists a client to achieve a
stated outcome. The assistance can come in the form of information, recommendations, or actual
handson work. A consultant is a specialist within a professional area who completes the work
necessary to achieve the client's desired outcome.
Whether companies need help downsizing, installing a new computer system, building an
executive team, or breaking into the Chinese market, they can call a consultant to assist with the
effort. The organization requesting the assistance is usually called the client. The term can refer
to the entire organization or to the person who actually made the call.
Consulting is not a descriptor that identifies a profession in itself. Unlike doctors or
accountants, highly skilled consultants come from very different backgrounds. A qualifying
adjective is required to identify the form of service or the area of expertise for example,
management consultant, engineering consultant, or performance consultant. Although consulting
is not a profession by definition, it is often referred to as "the consulting profession." For the
sake of convention, I will refer to the "profession" in this book.
The actual work of a consultant can vary quite a bit, depending on the area of expertise
offered. Every consultant must be a subjectmatter expert in some area. The expertise might be in
the form of general content, such as management development, organization development,
leadership, or family business. Expertise might be in a specific profession, such as computers,
security, writing, or marketing. Expertise might also be in the form of how the consultant
delivers services, such as facilitation, training, strategic planning, or team building.
Even after you determine an area of expertise, you will want to select the actual work
method you wish to use. For example, if you decide to focus on the training and workplace
performance field, you could develop and deliver your own material or subcontract material
development to another person while you deliver it. You could develop material for others, or
you could deliver others' materials. You could even be certified to deliver others' courses,
especially for the large training supplier firms.
If you are a generalist, such as a management consultant, you will need to determine
whether you will focus on a specific industry, such as manufacturing, banking, aerospace, or one
of hundreds of other industries.
FOUR WAYS TO GET STARTED
Taking risks. Embracing ambiguity. Practicing flexibility. Balancing both process and
people issues. Managing multiple responsibilities. Tolerating extensive travel. Communicating
effectively. Learning continually. Proving your worth again and again. Does this describe you? If
you responded with a resounding "Yes!" consulting may be an ideal career move for you.
Let's assume that you've decided consulting is right for you. What opportunities exist?
Think about your ultimate goal. Do you want to be a partner in one of the "Big Four"? Will you
eventually own your own firm? Do you think you will always want to consult as a sole
practitioner? Do you want to teach part-time at a small university and consult on the side? There
are at least four ways you can enter the field: as an employee, as a subcontractor, as a part-time
consultant, or as a selfemployed independent consultant.
As an Employee
Numerous employment opportunities exist for you. You could join a large national
consulting firm or a small firm. Another alternative would be to partner with someone in an even
smaller firm.
Large Firm. If you have just graduated from college, this is your best bet. You will need
to get experience. As an employee in a large firm you will be an extra pair of hands on large
projects a great way to get experience. The summer 2006 Salary Survey of the National
Association of Colleges and Employers (NACE) lists consulting as one of the fifteen highest
paying jobs. The average salary offer for undergraduates was $50,657, with some starting offers
as high as $65,000.
E-Idea: NACE publishes a quarterly Salary Survey Report of
offers to new college graduates in seventy disciplines at the bachelor's
degree level. The data are compiled from college and university career
services offices across the United States. lf you are a recent or soon-to-
be graduate, check for the most recent report for starting consultant
salaries, among others, at www.naceweb.org.
If you stay in school longer, the rewards are greater. According to WetFeet (2006), a
leading career research firm and top career website, M.B.A.s from top schools can expect to be
offered a base salary of $100,000 to $130,000 as new consultants with some firms. In addition,
about 75 percent of all consultants are eligible for bonus awards on top of their salary. Recognize
that high starting salaries and the demand for consultants have led to strong competition for
talent.
As a consultant for a large national firm, you would be able to focus solely on delivering
consulting services and generating business. Someone else would complete tax forms, hire
secretarial support, and pay the rent. You would have instant name recognition and a clear career
path. Although this may sound advantageous at first blush, the greatest drawback is that you
might become so comfortable with your job that you would never experience the world of the
independent consultant. These jobs also generally come with a great deal of pressure. Usually
you are expected to generate (sell) a certain amount of consulting services. A great deal of travel
is another drawback.
If you choose this route, learn more about these large firms, who they are, and what they
do. I've identified several arbitrary segments. The same firm may be represented in more than
one of these segments:
• The "Big Four" international accounting firms also offer professional services.
They handle the vast majority of audits for publicly traded and private companies. Members of
the Big Four are PricewaterhouseCoopers, Deloitte Touche Tohmatsu, Ernst & Young, and
KPMG.
• Large national strategy firms, such as Accenture, Booz Allen Hamilton, the
Boston Consulting Group, or McKinsey & Co., provide strategic or operational advice to top
executive officers in Fortune 500 companies.
• Boutique strategy firms that specialize in a specific industry or along a functional
line, such as Cornerstone Research (litigation support) or the Gartner Group (high-tech research),
are smaller, and many have excellent reputations.
• Firms that focus on human resources issues, such as change management, design
of compensation systems, mergers, or employee satisfaction surveys, include the Hay Group,
Hewitt Associates, and Watson Wyatt & Company.
• Technology firms that design, implement, and manage information and computer
systems are involved in time-intensive work that requires large teams and usually takes place
behind the scenes. These firms are less prestigious, but offer more opportunities for
undergraduates. A sample of firms includes EDS, HP Technology, Oracle, SAP, and Synopsis.
Note that it is not always necessary to have a technology degree, as many of the jobs in these
firms require other skills.
