What is management consulting?

Management consulting is a popular career option for bright graduates. With good salaries, specialist training and opportunities to progress quickly, it’s easy to see why. But what is management consultancy? If you don’t know, you’re not alone. Luckily for you, we’re here to fill in any gaps.

If you’re unsure what management consulting is or how to get into the sector, our quick guide gives you everything you need to know.

We’ll run through:

• What do management consultants do?
• Who are the main employers for management consultants?
• Why do businesses use management consultants?
• How does a management consulting project work?
• How to become a management consultant

Management consultants help businesses improve their performance by giving them expert advice on how to solve problems and boost growth. They advise companies at the highest level, so they’ll often work with the C-suite (that’s the name for executive-level managers, like the CEO, CFO and COO).

In basic terms, the role of a management consultant is to get an understanding of current procedures, recommend improvements and create an action plan for implementing those changes. Sometimes, they’ll advise senior management on a specific project. Other times, they’ll work broadly on the structure and practices of a whole firm.

Management consultants support organisations across different areas, including business strategy, finance, HR and marketing. While management consultancy covers a range of concerns, some consultants will specialise.

Strategy consulting is a subset of management consulting. Strategy consultants use industry-specific insights to inform actionable strategies that help organisations address current challenges.

In most cases, consultants will work for a management consulting firm and advise external organisations. Consulting firms range in what they provide, with larger firms offering end-to-end solutions that range all the way from the very beginning of a project to executing it and wrapping it up. Smaller firms might have specialisms and be involved more specific projects.

Occasionally, management consultants work in-house, meaning they’re directly employed by who they’re consulting. You’ll usually only find roles like this in big businesses that have consulting teams.

Management consultants usually fill in a gap in skills or knowledge within the business they're advising. A consultant will likely have expertise, which a business won’t always have internally. Typically, it’s cheaper for organisations to source external help temporarily than to hire people to oversee a project or task.

Another benefit is that management consultants focus on the project without the distractions of the day-to-day running of the business. When organisations use management consultants, they know their advice will always be top of their to-do list.

Plus, sometimes having an external voice is the fresh perspective that’s needed – and, occasionally, legally required. If companies are undergoing a merger, parties can’t share information. However, independent consultants are allowed to work with multiple firms. By working with the separate parties, consultants come up with strategies they can share the moment everything’s signed on the dotted line.

It isn’t just private businesses that use consultants; public institutions (eg. government bodies) use management consulting to improve their practices and efficiency.

Each management consulting project will vary depending on the problem and the goal. However, a typical approach involves the following stages:

• Problem definition. What problem are we trying to solve?
• Approach. How are we going to investigate the problem?
• Data gathering. Find out everything about the issue.
• Data analysis. What does the data show?
• Advice. What’s the best solution according to the data and our expertise?
• Implementation. Put the recommendations into action and encourage positive change.

Like the sound of what management consulting involves? It’s a competitive industry, but we’re here to help you get the job you want.

Knowing when grad roles will come up is one way to get ahead. At most big consultancies, the deadline for applications will be between the end of August and December in your final year at uni. However, they often fill roles early, so don’t leave your application until the last minute. Keep an eye on our listings and put yourself forward as soon as you’re ready.

Typically, the application process will involve submitting answers to set questions, sharing your CV, completing online tests and then attending an assessment centre. At that stage, there’ll usually be a case study which will test your ability to provide solutions to the problems you’d face if hired. After that, there’ll probably be an interview with a senior consultant before you’re accepted into the business.

To stand a better chance of becoming a management consultant, brush up on your employability skills and look out for opportunities like management consulting internships.

• The definition of management consultancy is that it’s a professional practice where people advise organisations on how to solve problems, boost growth and improve their operations.
• Management consulting takes place at the highest level, meaning consultants work with the senior management (ie. the CEO).
• Management consultants will typically work for consulting firms, but some undertake in-house roles.
• Whoever they’re employed by and whatever kind of organisation they’re consulting for, their job is to identify and define problems, investigate issues (including gathering and analysing data), offer expert advice and help put solutions into action.

If that excites you, consider a career in consulting. Keep an eye out for grad scheme openings and get ahead by upping your skills and gaining relevant experience.