Areas of Management

Advisory Services- Part 1

Management Services Engagements
according to six dimension:
 NATURE OF THE
PROBLEM
 SERVICE DELIVERY AREA  INDUSTRY TO WHICH
 PHASE(S) OF THE THE CLIENT BELONGS
ANALYTIC PROCESS  GEOGRAPHICAL AREA(S)
 TECHNIQUES AND WHERE THE
METHODOLOGIES ENGAGEMENT TAKE
APPLIED PLACE
Nature of the Problem

Classifications of problems according to their situation are as follows:

 Corrective problem involves a situation in which conditions have worsened. It
usually arises suddenly and demands urgent action
 Progressive problem involves an existing situation that can be improved.
 Opportunistic problem involves in a situation in which a future opportunity
exists.
Service Delivery Areas

 Functions or activities in which the problem situation exists may be classified in a

number of ways.
 Within each principal area are several narrower areas.
Application of the Analytic Process

The analytic process in a consulting engagement includes:

 Identifying the objectives
 Defining the problem
 Finding out the facts
 Developing the solution
 Implementing the solution
Techniques and Methodologies Applied

 Most engagements can be aided by technical models or methodologies.

 Information systems planning and design can be aided by a structured
methodology.
Industry or Nature of Organization

 A client who is the subject of an engagement may be a privately owned business

firm, a government agency, or not-for-profit non governmental organization or
some other type of organization
Geographical Area

 A consulting engagement may be restricted to a single location, multiple locations

such as the several production places or may even involve locations in foreign
countries.
Areas of MS Practice

Management consulting can relate to areas such as:

 The management functions of analysis, planning, organizing and controlling.

 The introduction of new ideas, concepts and methods to management.
 The improvement of policies, procedures, systems, methods and organizational
relationships.
 The application and use of managerial accounting, control systems, data
processing, and mathematical techniques and methods
 The conduct of special studies, preparation of recommendation.
Areas of Management Consultancy

The most-sought after types of consultancy work generally include:

 Business planning and development or project feasibility studies
 Information systems consulting
 Management/ operations audit
 Business process improvement/ reengineering
 Others such as
• Marketing research
• Marketing strategy development
• Developing promotional campaign
• Planning sales force activity
• New product development
• Developing proposal for financial support
• Staff recruitment
• Exporting and international market
Business Planning and Development
(Project Feasibility Studies)

Business development is a very broad term. The first task the consultant faces is to
establish exactly what the client wants from a business development project.
The effective consultant can use the project proposal to establish exactly what the
client wants and to manage his or her expectations about what can realistically be
achieved.
Information systems consulting

Management information systems aim to collect and organize such information and
present it to managers in a usable form It usually based on computer technology.
They therefore require a good deal of technical expertise to implement.
Management/ Operations Audit

Operational audits also known as management audits and performance audits are
conducted to evaluate the effectiveness and/or efficiency of operations. These are
examinations of all or part of an entity to determine the degree of its operational
efficiency, effectiveness and economy.
Business Process Improvement/
Reengineering
In process reengineering, a business process is diagrammed in detail, questioned and
the completely redesigned
 To eliminate unnecessary steps
 To reduce opportunities for errors
 To reduce costs.
These benefits are most dramatic when new models are discovered for conducting
business:

 Cultural Factors
 Managing Organizational Change

Meaningful change is more likely to occur if there is a well-defined process

established for change. A timetable for certain activities, a set of well-articulated
goals and follow-up are all important elements of such a process.
Other Types of Consultancy Work
Marketing research is the process through which managers discovers the nature of
the competitive environment in which they are operating. The objective of marketing
research is to obtain information which managers can use to support their decision-
making, to reduce risk and to enable managers to dedicate valuable resources in a
more reliable way.
Marketing research fails into two types:
 Primary research is information collected for the specific project:
 Quantitative research provide answers to questions when those answers need to be
expressed in statistical or numerical form.
 Qualitative research provides answers to questions that do not demand a quantified
answer.
 Secondary research is based on information that has been collated earlier for
reasons other than the project at hand.
Marketing Strategy Development

Marketing strategy defines the approach the business will take in order to get the
customers’ attention and critically get them to spend their money on the business’s
products or services.
Developing Promotional Campaigns

A promotional campaign is any program of activities dedicated to informing

customers about a product, simulating their interest and encouraging purchase.
Promoting Sales Force Activity

Detailed and thoughtful planning of sales force activity is a process which offers real
returns. Some of the key issues that might be addressed include the following:
 Overall organization of the team
 Sales team training
 Sales team motivation
 Planning sales campaigns
New Product Development

New product development represents a complex project that draws in most, if not all,
of the firm’s functions. It is often undertaken by interdisciplinary teams, which cut
across departmental boundaries.
Developing Proposals for Financial
Support
Businesses often need infusion of capital. Consultants are often called in to offer
advice in four critical areas:
 Evaluation of the business’ investment needs
 Identification of funding providers and how they might be contacted.
 Developing an understanding of the criteria employed by funding providers and
how these might be addressed
 Developing communications with funding providers, particularly in relation to
proposals and business plans.
Staff Recruitment

Important contribution to recruitment projects might be help:

 Assessing the firm’s human resources requirement and identifying skill and
knowledge gaps both currently and predicting for the future.
 Creating advertisements to attract the right people.
 Developing assessment criteria, interview procedures and possibly, psychometric
testing of candidates.
 Advice on the reimbursement packages new recruits will expect.
Exporting and International Marketing

The most successful moves into international operations are those which are based on
sound preliminary research and a thorough understanding of what to expect. The
consultant can assist this process of discovery.