29.1 The marketing approach in consulting
In consulting, marketing is often thought of as a distinct function, a set of activities, tools or techniques, which cost time and money and which many consultants would prefer to avoid – if only they had a sufficient number of unsolicited clients. According to this view, marketing is an unavoidable evil, something that consultants accept that they have to live with, although they do not like it.
Fortunately, more and more consultants, as indeed other professionals, regard marketing as an inherent characteristic of the service concept. Marketing is not a supplement to a professional service; it is a professional service in its own right, needed to establish and maintain an effective consultant–client relationship. It identifies clients’ needs, reveals the clients’ mentality, defines the best way in which the consultant can be useful and puts the whole consulting process in motion. Service marketing does not stop when a sale is made. The consultant continues to market after the contract has been signed, while the project is being executed, and even after the project has been completed.
What is to be marketed?
The marketing of consulting is strongly affected by the intangibility of consulting services. As noted in Chapter 27, clients are not able to fully examine the product they are intending to buy and compare it with products available from other consultants. Even if consultants supply structured systems and methodologies, the tangibility can never be comparable to that of industrial products, or of many other products in the service sector.
What the consultant is selling is a promise of a service that will meet the client’s needs and resolve the problem. Why should a potential client buy a mere promise? Why should he or she take such a risk?
First, because the client has established, or feels, that it might be useful to get the consultant’s help. Second, because the client has no alternative – buying any consulting service (even from someone who is well known personally or whose work is familiar) is always buying a promise. What has worked in one company may not work elsewhere. Even an excellent and highly standardized consulting product (methodology, package) may not work in a given situation. A client who is not prepared to take this risk and buy a promise must refrain from using a consultant.
It is fully understandable that, in buying a promise, clients will wish to reduce risk. They will be looking for ways of evaluating what they are likely to
- FOREWORD
- Plan of the book
- ABBREVIATIONS AND ACRONYMS
- 1.1What is consulting?
- 1.3How are consultants used? Ten principal ways
- 1.5Evolving concepts and scope of management consulting
- THE CONSULTING INDUSTRY
- 2.1A historical perspective
- 2.2The current consulting scene
- 2.3Range of services provided
- 2.4Generalist and specialist services
- 2.6Internal consultants
- 2.7Management consulting and other professions
- 2.8Management consulting, training and research
- 3.1Defining expectations and roles
- 3.2The client and the consultant systems
- 3.4Behavioural roles of the consultant
- 3.5Further refinement of the role concept
- 3.6Methods of influencing the client system
- 3.7Counselling and coaching as tools of consulting
- CONSULTING AND CHANGE
- 4.1Understanding the nature of change
- 4.3Gaining support for change
- 4.4Managing conflict
- 4.5Structural arrangements and interventions for assisting change
- CONSULTING AND CULTURE
- 5.1Understanding and respecting culture
- 5.2Levels of culture
- 5.3Facing culture in consulting assignments
- 6.2The professional approach
- 6.3Professional associations and codes of conduct
- 6.4Certification and licensing
- 6.5Legal liability and professional responsibility
- ENTRY
- 7.1Initial contacts
- 7.2Preliminary problem diagnosis
- 7.3Terms of reference
- 7.5Proposal to the client4
- 7.6The consulting contract
- DIAGNOSIS
- 8.1Conceptual framework of diagnosis
- 8.2Diagnosing purposes and problems
- 8.3Defining necessary facts
- 8.4Sources and ways of obtaining facts
- 8.5Data analysis
- 8.6Feedback to the client
- ACTION PLANNING
- 9.1Searching for possible solutions
- 9.2Developing and evaluating alternatives
- 9.3Presenting action proposals to the client
- IMPLEMENTATION
- 10.3 Training and developing client staff
- 10.4Some tactical guidelines for introducing changes in work methods
- 10.5 Maintenance and control of the new practice
- 11.1 Time for withdrawal
- 11.3 Follow-up
- 12.1Nature and scope of consulting in corporate strategy and general management
- 12.2 Corporate strategy
- 12.3 Processes, systems and structures
- 12.4 Corporate culture and management style
- 13.1 The developing role of information technology
- 13.3An overall model of information systems consulting
- 13.4 Quality of information systems
- 13.5 The providers of IT consulting services
- 13.6 Managing an IT consulting project
- 14.1 Creating value
- 14.3 Working capital and liquidity management
- 14.5 Mergers and acquisitions
- 14.7 Accounting systems and budgetary control
- 15.1 The marketing strategy level
- 15.2 Marketing operations
- 15.3 Consulting in commercial enterprises
- CONSULTING IN E-BUSINESS
- 16.1 The scope of e-business consulting
- 16.4 Dot.com organizations
- 17.1 Developing an operations strategy
- 17.2 The product perspective
- 17.3 The process perspective
- 17.4 The human aspects of operations
- 18.2 Policies, practices and the human resource audit
- 18.3 Human resource planning
- 18.6 Human resource development
- 18.7 Labour–management relations
- 18.8 New areas and issues
- 19.1 Managing in the knowledge economy
- 19.2 Knowledge-based value creation
- 19.3 Developing a knowledge organization
- 20.1Shifts in productivity concepts, factors and conditions
- 20.2 Productivity and performance measurement
- 20.4Designing and implementing productivity and performance improvement programmes
- 20.5Tools and techniques for productivity improvement
- 21.1 Understanding TQM
- 21.3 Principles and building-blocks of TQM
- 21.6 ISO 9000 as a vehicle to TQM
- 21.7 Pitfalls and problems of TQM
- 22.1 What is organizational transformation?
- 22.2 Preparing for transformation
- 22.3 Strategies and processes of transformation
- 22.4 Company turnarounds
- 22.5 Downsizing
- 22.8 Joint ventures for transformation
- 22.10 Networking arrangements
- 22.14 Pitfalls and errors to avoid in transformation
- 23.1 The social dimension of business
- 23.2 Current concepts and trends
- 23.3 Consulting services
- 23.5Consulting in specific functions and areas of business
- 24.1 Characteristics of small enterprises
- 24.4 Areas of special concern
- 24.6 Innovations in small-business consulting
- 25.1 What is different about micro-enterprises?
- 25.3 The special skills of micro-enterprise consultants
- 26.1 The evolving role of government
- 26.5 Some current challenges
- 27.1 The management challenge of the professions
- 27.2 Managing a professional service
- 27.3 Managing a professional business
- 27.4Achieving excellence professionally and in business
- 28.2 The scope of client services
- 28.3 The client base
- 28.5 Going international
- 28.6 Profile and image of the firm
- 28.7 Strategic management in practice
- 29.1 The marketing approach in consulting
- 29.2 A client’s perspective
- 29.3 Techniques for marketing the consulting firm
- 29.4Techniques for marketing consulting assignments
- 29.5 Marketing to existing clients
- 29.6 Managing the marketing process
- COSTS AND FEES
- 30.1 Income-generating activities
- 30.2 Costing chargeable services
- 30.5 Fair play in fee-setting and billing
- 30.8 Billing clients and collecting fees
- ASSIGNMENT MANAGEMENT
- 31.1 Structuring and scheduling an assignment
- 31.2 Preparing for an assignment
- 31.3 Managing assignment execution
- 31.4 Controlling costs and budgets
- 31.5 Assignment records and reports
- 31.6 Closing an assignment
- 32.1 What is quality management in consulting?
- Box 32.2 Responsibility for quality
- 32.2Key elements of a quality assurance programme
- 32.3 Quality certification
- 33.1 Operating workplan and budget
- 33.2 Performance monitoring
- 33.3 Bookkeeping and accounting
- 34.1Drivers for knowledge management in consulting
- 34.4 Sharing knowledge with clients
- 35.1 Legal forms of business
- 35.2 Management and operations structure
- 35.3 IT support and outsourcing
- 36.1 Personal characteristics of consultants
- 36.2 Recruitment and selection
- 36.3 Career development
- 36.4 Compensation policies and practices
- 37.1 What should consultants learn?
- 37.3 Training methods
- 37.4Further training and development of consultants
- 37.6 Learning options available to sole practitioners
- PREPARING FOR THE FUTURE
- 38.1 Your market
- 38.2 Your profession
- TERMS OF A CONSULTING CONTRACT
- CONSULTING AND INTELLECTUAL PROPERTY
- WRITING REPORTS
- SUBJECT INDEX