CONSULTING FUNDAMENTALS NOTES
WEEKLY ANNOTATED BIBLIOGRAPHY
Each week, with the exception of week 4 & 7, students are required to prepare a
descriptive annotated bibliography of the 'Post-Reading' which is outlined in your
Subject Guide and accessible via the 'Subject Overview' link on the LMS. The
descriptive annotated bibliography MUST be submitted via "Assignments" by 5pm
Sunday of that week. Each submission will contribute to your 'Attendance and
Participation' mark for the subject. For any given week, you will need to attend your
workshop and submit your annotated bibliography in order to receive full marks for that
week.
A descriptive annotated bibliography is simply a summary of the main points within the
article. You should not evaluate, critique or provide an opinion regarding the article.
Please title each submission as "Week X Bibliography Submission" and it would be
preferred if you could copy and paste your submission as an entry.
Each submission should be approximately between 150 - 200 words. However, I will
not be strict with the word count.
EXAMPLE OF A BIBLIOGRAPHY SUBMISSION:
Gückler, J., & Armbrüster, T. (2003). Bridging uncertainty in management consulting:
The mechanisms of trust and networked reputation. Organization Studies, 24(2),
269-297.
This article aims to identify and rate the key competitive mechanisms within the
management consulting market. The first section describes the origins of management
consulting and growth explosion of the 1990s. The authors hypothesize that as
management consulting is not an institutionally protected profession and has low
barriers to entry, this creates a volatile market with a high degree of uncertainty for
clients. An economic sociology approach is used to assess three factors of market
choice, the publicly available reputation of the management consulting firm, trust gained
from direct personal experience, and recommendations from an already established
network of trusted relations. The second section uses previously collected survey data
from the German consulting market to support the hypotheses raised. The authors'
assert that when a client selects a management consulting firm, price is not as
important as many other industries. The management consulting marketplace is
characterized by uncertainty in the industry and the inherent risk in sharing confidential
business information. This means trust is paramount and the firm's reputation within a
network of business relations is the most important competitive attribute.
WEEK 1
Introduction to consulting
Class Activity Pre-Reading: Jones, G., & Lefort, A. (2012). McKinsey and the
Globalization of Consulting (pp. 1-14): Harvard Business School.
Class Exercise:
● What was Marvin Bower’s rationale for wanting to expand McKinsey
internationally?
● What were the market-based factors that underpinned McKinsey’s
success in expanding globally?
● Scholars have often described consultants as being transmitters of
business techniques. Does the case study support this? Explain.
● For the consulting industry, what lessons can be drawn from the history of
McKinsey & Company?
Textbook: Baaij (2022), Chapter 2 – The Management Consultancy Industry (pg. 27-34)
Post-Reading: Gross, A. C., & Poor, J. (2008). The Global Management Consulting
Sector. Business Economics, 43(4), 59-68.
Week 1
Gross, A. C., & Poor, J. (2008). The Global Management Consulting Sector.
Business Economics, 43(4), 59-68.
The article describes the trends of global management consulting sector. The first section of the
article describes the origins of management consulting. The history of the origins of
management consulting begins as advisory practices businesses where emerged from a variety
of firms offering different advices such as accounting, financial, and operational assistances.
The article then analysed management consulting growth where they identified the underlying
factors. The growth was contrasted between the united states and Europe. Following the first
introduction of management consultancy in the United States, regions in Europe indicated their
necessity for expertise training to deliver high-quality services. The article also identified the
advancements in the service lines and end users. The service lines of management consultancy
is concluded to the division into customer relations, finance, strategy, human performance and
supply chain management. The article estimated the global management consulting market of
around $210 million in 2007 and its revenues in the U.S. were around $72 billion in 1992 and
$152 billion in 1999. The earnings of the management consultancy firms are also listed that
revelas its stability and upward trends that indicates its competitive landscape. Ultimately,
management consultancy is going to be an integral part of such service offerings, with
consulting opportunities in information technology and outsourcing, followed by operations,
strategy and human resources that will remain a significant practice.
WEEK 2
Defining management consulting and operating models
Class Activity Pre-Reading:
Baaij, M (2014) First Edition textbook. The Effect of Advice (pp. 84-85).
Class Exercises:
● What was/were the main reason(s) why Blivet hired an external management
consultancy? Elaborate on your answer.
● Should Brain & Company have based its consultancy fee on the performance
effect that its advice generated? Why or why not? Explain your answer.
● If you were the CEO of Blivet, would you have accepted a
performance-based consultancy fee for Brain & Company?
Textbook:
Baaij (2022), Chapter 1 – The Management Consultancy Phenomenon (pg. 1-26),
Chapter 3 – The Management Consultancy Firm (pg. 51-75).
Post-Reading:
Sturdy, A. (2011). Consultancy's Consequences? A Critical Assessment of
Management Consultancy's Impact on Management. British Journal of Management,
22(3), 517-530.
Week 2
WEEK 3
Consulting Lifecycle & The Client-Consultant Relationship
Class Activity Pre-Reading: Kesner, I. F., & Fowler, S. (1997). When Consultants and
Clients Clash. Harvard Business Review, 75(6), 22-28, 31.
Class Exercises
● What was Statler Group engaged to do? Did Royce Kellogg consider the
project to be complex one?
● What was Royce Kellogg’s perception of Barlow and Roussos? Did this
perception change over time?
● What concerns were staff conveying to Royce Kellogg after they had spoken
to the consultants?
● Is the business relationship between the Statler Group and
Kellogg-Champion Securities a lost cause? How should the consultants –
and the client – handle the status meeting?
Textbook: Baaij (2022), Chapter 5 – Selling a Consultancy Project (pp. 100 -120),
Nikolova, N. & Devinney, T. (2012). The Nature of Client-Consultant Interaction: A
Critical Review. The Oxford Handbook of Management Consulting. M. Kipping and R.
Clark. Oxford, UK, Oxford University Press: 389-409.
Post-Reading: Garvin, D. A., & Margolis, J. D. (2015). The Art of Giving and Receiving
Advice. Harvard Business Review, 93(12), 61–71
WEEK 4
In order for consultants to find the right solution and to be efficient, they used hypothesis-driven thinking
to identify the best possible solution by looking for the strategic reason behind it. The scientific method
requires us to consider carefully our definition of the problem to be understood that will lead to effective
and efficient strategic decision making. In the business perspective of finding the answers to the
hypotheses, we collect evidences that support the argument and what they believe the optimal solution is.
Herbert Simon argues that design is the key skill for business to envision what might be in the future.
March argues that all design thinking is abductive that makes it different from scientific reasoning.
According to Rittel, design problems are solved differently because they involve multiple stakeholders for
support of successful implementation, lack a clear shared definition, different formulations of the problem,
and possess interdependencies. Scientific methods deal with explaining what is, but designers deal with
what does not yet exist, explaining the current reality to find the understanding of patterns of the
underlying essential to formulate the execution successfully. Designers deal with what does not yet exists,
while scientists deal with explaining what it is. There are types of hypothesis-driven methods of thinking;
that differ in scientific or descriptive. After identifying the descriptive hypothesis, what they believe to be
the root cause, and generating the proposed best solution which is the design hypothesis, the data is
gathered to test it. Therefore, the steps include defining the problem, gathering informations to construct
initial hypotheses, develop a set of competing descriptive hypotheses, select the most promising
descriptive hypothesis, identify the analyses to be performed and the design of the study, collect the data
and test the hypotheses and ultimately, structure the argument for the design hypothesis.
WEEK 5
This article describes the ways on how to give a killer presentation that can help people to
practise and transform their muddled presentation into a mesmerising one. They developed a
process to help inexperienced presenters to frame, practice and deliver talks that will capture
people’s attention and gain their engagement. Firstly, the presentation needs to be
conceptualised and framed which is considered as the most vital part of preparation. As
recommended by the authors, the talk can be presented as a journey – finding out the right
place to start and where to end. However the subject must be concise and limit the scope of the
presentation. The topic can be brought to life with examples, and instead of going broader with
the topic, people should go deeper as it can be damaging to over-explain. The next step would
be planning the delivery. There are three main ways to deliver a presentation; read iff a script,
develop a set of bullet points, or memorise the talk. However, reading off a script would
decrease the intimate connection and the way that the audience receives the talk will shift. If an
investment of time is possible, it would be worth it to memorise the presentation but be aware to
not sound awkward or recited. Next would be developing stage presence, not to move your
bodies too much. It is crucial to make eye contact as you speak. After this step, is to create the
presentation slide, keep it simple and not to repeat the words that are on the slide. This is not
essential as there are talks that do not require slides. Slides are an addition to make the topic
come to life. Ultimately, a lot of practice is essential to ensure a killer presentation. The quality of
the presentation will be according to the quality of the idea, the narrative, and the passion of the
speaker but remember to make the talk your own, play your own strengths and give a talk that is
authentic to you.
WEEK 6
WEEK 7
In order to be able to effectively communicate, strong writing skills are essential in business.
Based on the research on psychology and neuroscience on how people’s brains are affected by
writing skills, this article describes eight S’s to be the hallmarks of the best writing. The first S is
Simplicity, it increases processing fluency as the reader would not need to exert a lot of
brainpower to understand the meaning that you are trying to convey. Human brains are driven
by simpler explanations and allow them to express more confidently. Second is, specificity, as
the specifics will awaken the brain circuits which cause the brain to process meaning more
robustly. This will also reward the readers and make it more memorable where the message will
be retained more. Third, is surprise, since our brains are wired to make predictions all the time,
creating an unexpected and unpredictable message will help the readers learn and retain
information easier. Next, to stir the language, human brains are more sensitive and likely to
process emotional connotations of the information rather than being persuaded by logic, which
will help in understanding it faster. Fifth is seductiveness, humans are wired to savour
anticipation that scientists refer to this reward system as “anticipatory utility”, this method is to
build excitement on the structure of the writing to wind up people’s curiosity and put them in a
state of uncertainty and lead them to something better. Following this, is to make people feel
smart by phrasing a pragmatic message to trick them. This includes activating the reward part of
the brain which will affect people’s emotions to be at ease, certain and ultimately, happy. Due to
the inevitable craving of human connection, next is, social connection. The idea is to create vivid
descriptions of people. People will respond more as this will activate the areas of the brain that
interpret social signals that will trigger their reward circuits. This will also help readers to connect
with you and essentially your writing and also by revealing more traces of you in the writing –
your voice, worldview, vocabulary, wit, synthac, poetic rhythm, and sensibilities. By including a
human angle to ‘humanise’ your topic, this will also help readers to connect and engage with
your writing. Lastly, is storytelling, this captivates an extensive portion of the reader's brain as
this includes many of the other elements. Storytelling will help in increasing the reader’s
listening brain area and will then exert more willingness, more invested and comprehend the
meaning more. Ultimately, the key is to reward the reader in order to create the best and most
effective writing.
WEEK 9
The article demonstrated the idea that a company’s capacity for change matters a lot. A
company needs to understand their own capacity for change as it is difficult to determine it. A
system has been developed – change power to measure a company’s capacity for change. The
article identified nine common traits and abilities to be excellent at implementing change:
purpose, direction, and connection are necessary for leading change; capacity, choreography,
and scaling are necessary for accelerating change; and development, action and flexibility are
necessary for organising change. Through the understanding of their capacity for change, the
strengths and weaknesses can be identified, know the distinction with the competitors and use
this information to develop a plan for a better change. Next, there are four common archetypes
to balance factors that affect change power. First archetype is in search of focus, focus in the
bigger picture - connecting company activities to purpose and strategy. Second is stuck and
sceptical, typically weak in connection, scaling, and action. This is when innovations are stalling
and not spreading across the organisation. The other archetype is aligned but constrained,
when the employees work well as a unit but find themselves pushing against hard constraints.
To tackle this problem, the companies need to identify and address their capacity bottlenecks, it
could be by reordering their priorities and adding resources where most needed. The fourth is
the archetype of struggling to keep up, where adaptability becomes increasingly important and
need to get better at anticipating and change their plans accordingly. Ultimately, to boost the
change power, companies need to get the facts, understanding and identifying specifically.
Companies also need to disrupt how they work, thinking of change in terms of an organisational
shift which may lead to great transformation to invest actively to build the strength for sustained
success. Lastly, is to mobilise leaders, embrace a new approach and improve critical change
capabilities.
WEEK 10
A real strategy requires distinct choices that determine the actions a company will take
and those it won't. Even with dedicated individuals, numerous strategies fail to be
executed because they lack well-defined choices. People often mistakenly assume
goals are the same as strategies but a strategy is needed to achieve the goal or it can
be assumed as priorities and choices. There are factors for the implementation process
for a clear strategic direction. A clear strategic direction would need logic to be
communicated. Communicating choices is not enough as choices cannot influence
behaviour, but it is essential to have the rudimentary logic behind. It is not just a
top-down process, implementation may fail when companies see strategies as a
top-down or two-step process. A successful strategy execution process will need much
more cascade of decisions. It may be true that a clear top-down strategic direction is
needed, but it only will be effective if there are also bottom-up initiatives based on the
strategic intent. A common mistake in the bottom-up implementation process is not
being able to resist doing the selection by the executives themselves. However, it is
important to let selection happen organically. Lastly, implementation effort fails because
usually it is required to change people’s habits. Therefore, make change the default,
identify and counter bad habits that kept the strategy from being executed.
WEEK 11
James McKinsey founded his management consulting firm in the period between World
War I and the Great Depression, with the aim of delivering in-depth, independent advice
to senior management. Marvin Bower, his protégé, played a significant role in shaping
the industry using principles such as prioritising client interests and maintaining high
ethical standards. McKinsey, and firms like it, have become integral in solving complex
issues for leading corporations and public sector organisations. The management
consulting field has grown immensely over the past 85 years, with firms like Boston
Consulting Group, Bain & Company, and Booze & Company serving various levels
within corporate structures. They have become a consistent presence in the global
business landscape, with their relevance seeming secure amid ongoing changes.
Consulting firms provide opportunities for exploration and growth across industries and
geographical locations. McKinsey, for example, offers significant learning and
development experiences for associates, allowing them the flexibility to explore,
specialise, or change direction. Teams encourage learning in both formal and informal
settings, promoting intellectual freedom and equality. Consulting firms look for
candidates with strong leadership and problem-solving skills, the capacity for ongoing
learning, and a high emotional intelligence quotient (EQ). These individuals should be
able to handle ambiguity, demonstrate business judgement, and influence others
positively. Life scientists often fit this profile due to their inclination for continuous
learning and innovative problem-solving. To enter this field, life scientists should explore
internships or summer rotations at management consulting firms, or participate in
university business case competitions. Demonstrating leadership and teamwork skills
outside academia can also be beneficial. Consultants often leave the field to join
industry roles or start their own businesses, with many McKinsey alumni becoming
executives in major healthcare, pharmaceutical, and biomedical research companies.
Consulting offers life scientists a unique opportunity to accelerate their careers, learning
new skills and discovering new passions.
WEEK 12
​This article separates the qualifications of the consultant from what is required by the
consulting task that requires professionalism. Simply doing consulting does not turn one
into a professional - the task/ work sets the standards.
Four challenges to greater consulting professionalism is considered: better articulation
and communication of high standards and required skills, enhanced consulting
education, and greater collaboration among stakeholders.
Unlike most professions, consulting has no continuing education requirements, and
most consultants don't belong to any professional organization concerned with
improving the quality of consulting. High industry growth attracts marginal people who
lack professional skills.
Most consultants do not measure up to the requirements for high standards of
intellectual knowledge and sound judgment, advanced education and training, and a
professional consulting association. There is an absence of testing and public regulation
for management consultants.
Every consulting firm must establish an ethical context for its consultant employees.
This context must be supported by all major stakeholders who can set high standards
and monitor results.
The field of consulting has made slow but gradual progress toward professionalism, with
limited support given by a few stakeholder leaders. Some clients have learned through
the hard knocks of experience and become more sophisticated in hiring consultants.
Despite limited progress, we continue to believe that many stakeholders are needed to
assure that consultants are truly professional.
Four associations exist to move professionalism ahead: ICMCI, the Academy of
Management Consulting Division, the Association of Management Consulting Firms
AMCF, and the Organization Development Network. These associations offer
certification, publications, and career assistance to members.
We need to move beyond the contention that working for a reputable firm will qualify
one as a professional, and instead we need to raise the level of education in consulting
skills, achieve widespread certification for this acquired knowledge and experience, and
create formal or social enforcement within private firms or through public institutions.
Individual consultants need to take responsibility for improving their personal
competencies through additional training and ultimately certification, and should
consider joining a professional association.
We urge business schools and individual faculty to initiate more courses on
management consulting, as well as establish concentrations in consulting.
Concentrations should include intervention and change management, interviewing and
data-gathering in consulting, power and influence, and the marketing of services.
The need for more joint research and publishing between academics and consultants is
important to improve the credibility of consulting. More teaching cases where
consultants are involved should be researched and written, and the IMC and AMCF can
help with this.
The Consulting Division of the Academy of Management should offer workshops on
course design and teaching, and share its learning from teaching courses. It should also
encourage research on consulting and work with firms to identify researchable topics.
The professional associations, consulting firms and business schools must step forward
to discuss and decide on solutions to improve the level of professionalism industry-wide
and head off creeping
--This article separates the qualifications of a consultant from the professionalism required to execute consulting
tasks. Merely performing consulting work doesn't equate to professionalism; the task itself sets the standard. There
are four key challenges to elevate consulting professionalism: enhanced communication of high standards and
necessary skills, improved consulting education, and increased collaboration among stakeholders. Consulting differs
from most professions due to a lack of continuous education requirements, and many consultants aren't part of
professional bodies aiming to improve consulting quality. Rapid industry growth often attracts individuals who may
lack essential professional skills. Unfortunately, many consultants fail to meet high standards involving intellectual
knowledge, sound judgment, advanced education, training, and professional association membership. The industry
lacks testing and public regulation mechanisms for management consultants, and each consulting firm is obliged to
foster an ethical environment for its consultants. This environment should be endorsed by major stakeholders who
can set high standards and monitor outcomes. Despite gradual progress towards professionalism, backed by a few
stakeholder leaders, many clients have become more discerning in consultant selection through tough experience.
However, believing that working for a reputable firm qualifies one as a professional is insufficient. The field needs
to elevate consulting skills education, achieve widespread certification for acquired knowledge and experience, and
establish enforcement mechanisms within private firms or public institutions. Individual consultants should take
initiative to enhance their competencies through additional training and certification, and consider joining a
professional association. Business schools and faculty members are urged to introduce more management consulting
courses and establish specializations in this field. The need for collaborative research and publishing between
academics and consultants is essential to bolster the credibility of consulting. Professional associations, consulting
firms, and business schools must collaborate to decide on solutions to boost industry-wide professionalism.