Self-employed consultant is a popular career option for experienced managers or professionals who are looking for a challenge. The variety of work available assures that a career in this sector provides varied and attractive opportunities for any hardworking graduate, says Dr Sanjiv Marwah
Management consultants offers external advice for professional expertise or an objective outside viewpoint on the business. Consultancy needs the classification and assessment of a problem or the psychoanalysis of a specific area of an organisation, the accounting of result and the conceptualisation of recommendations for perfection. Consultants are commonly called in for betterment of the business, change of the management, information technology and long-term planning of the organisation.
Though a consultant’s job is to recommend a company on betterments that could be made to its business but the array of work is tremendously varied and consultants can be found in almost every business sector. The variety of work available assures that a career in this field provides varied and attractive opportunities to any hardworking graduate.
Setting up shop as a self-employed consultant is a popular option for experienced managers or professionals who are looking for a pristine challenge. They are attracted by the option of running their own business or are seeking an alternative employment. At the same time, sovereign consultants may miss the security of a regular income and a company benefits package; suffer closing down and reduced job security or face difficulties in maintaining work or life balance. These issues should be measured carefully before starting out independently.
Scope
The daily activities of a management consultant are often multi-faceted. Projects can alter in length depending on the type of consultancy, firm and the requirements of the client. They can call for an individual or a large team and may be grounded in one location or across various sites including overseas.
Business strategy: This involves long-term planning, the restructuring of a company’s composition, validation of services and products and a general business evaluation of the company.
Financial and management controls: These comprise the setting up of budgetary control systems, profit planning or capital and revenue budgeting, office reformation and managerial arrangements.
Human resources: Working as a HR consultant involves advising on personnel policy, manpower planning, job improvement, job valuation and industrial relations.
Marketing: This requires market research and business forecasting, sales force training and the organisation of retail and wholesale outlets.
Skills
The necessity of consultants is actually considered very important because they can get faster outcome than the department of the company. This is done through their specialised skills and the attention that they can provide by having precise objectives and projected time frames. People within the business maybe too focused on the business as usual and they need the energy, focus and skills of management consultants to help move the business smoothly or advance its performance. Work-life balance is a crucial factor to build a career in consulting.
The candidate should have deep industry knowledge, proven analytical skills, real world execution experience, team spirit and convincing power. They should be seen as a problem solver who advises people on the best options and then works with them to achieve their objectives. They need to be able to conceptualise their knowledge and experience in a way that can be leveraged by multiple clients across multiple industries. The candidate should have the quality to come up with compelling ideas with less information. Strong communication skills are required for dealing with different scenarios across various clients.
Job Prospects
Consulting houses employ MBAs and other post graduates right out of school or from industry. Most new MBA hires come into a firm as associates. After few years, they move to the next level where they manage case teams. After managing projects for a couple of years, consultants may be upgraded to principal, as a result of which the focus shifts to more intensive client work and the promotion of services. Finally, after seven to 10 years within the industry, a consultant might be promoted to partner. The welfares of partnership include big hike in the salary and responsibility. The fundamental function of partners at most business firms is to grow clients and sell them the firm’s services.
Thousands of other organisations and persons call themselves consultants and make money by selling their suggested services, and they present plenty of opportunities for employment. If one likes the idea of suggesting businesses and if one has a particular interest in computers, HR, corporate communications, mobile communications, health care, financial services, real estate, e-commerce, or some other specific field, there is a good possibility that one can find a place within an organisation.
The area of IT services in particular has developed over the past decade. Many of the biggest consulting firms, including IBM Global Services, Capgemini, and Accenture, receive a significant section of their revenue through systems integration and outsourcing engagements. These business houses work with a client to develop hardware and software solutions and then often administer the systems.
Eligibility
There are no specific academic requirements that exist for management consultants, but nearly all employers want at least a college degree in a related field. Employers generally favor candidates who have studied in one of the areas like business, economics, statistics, mathematics, computer science, and logic.
More familiar consultants should consider the diploma in professional consulting which will increase your knowledge, skills and behaviours to function as a management consultant. It is meant for people who want to enter management consultancy from a functional discipline, or for those who desire to develop the skills and knowledge required to function in the pasture of management consultancy.
Remuneration
MBA holders are remunerated at a higher altitude than consultants with normal UG or PG degrees. An average salary for graduates is around Rs 20,000 to Rs 30,000 per month. Chief consultants can earn within Rs 50, 000 pm. While directors and partners earn between Rs 1,20,000 to Rs 1,50,000 pm. Consultants while working in an establishment get performance-related bonuses. Other perks include company shares, pensions, personal medical cover, dental and optical insurance, restaurant facilities and interest-free ticket loans.
(The writer is the director of ERA Business School)