LAGUNAS DE CONOCIMIENTO Y PROPUESTAS DE SEGUIMIENTO

It is as important to know what not to include in the project proposal as to know what to put in. A lot of background on the business does not usually help. It ‘pads out’ the proposal, making it longer than it need be. It tells the client things he or she already knows and runs the risk of losing his or her interest before the important aspects of the proposal are reached. The temptation to discuss the methodology that will be adopted should also be avoided. The formal business analysis techniques used by the consultant in developing an understanding of the business and how it might be moved forward are the consultant’s concern – not the client’s! A simple analogy with the repairing of your car makes the point. If you take your car to the garage for repair, you are not particularly interested in what tools the mechanic will use. Management consulting is the same. The consultant is an expert who is brought in because he or she knows how to call upon a range of tools to deal with business issues. There is no reason to reveal those tools to the client before the project starts. Exhibit 3.1 presents an example of a project proposal along the lines discussed in this chapter.

Chapter 3 / The skills of the consultant and the project proposal 73

Greyline Printers: support for a business expansion programme

Your requirements

Greyline Printers is a small but ambitious and fast growing firm offering a range of printing and reprographic services. The consulting team has been invited to work with the senior management team and explore the opportunities for growth the business might successfully capitalise upon, given the business’s current resources. Overall aim

The main aim of the consulting project is to give Greyline Printers a clear sense of direction for the way in which the business might be expanded into new market sectors.

Objectives

The consulting project aims to:

n evaluate the market context of Greyline Printers;

n identify high-growth customer segments;

n develop an understanding of what those customers require from a good print and reprographics supplier – in terms of both products and service support;

n identify major competitors of the business;

n evaluate what those competitors offer and identify how Greyline Printers might develop a competitive edge;

n summarise the findings in the form of a brief for the business’s sales team;

n make recommendations on a PR campaign to increase awareness of the company and its products among target customers.

Outcomes

As a result of this consulting exercise Greyline Printers will be able to:

n develop an understanding of the market sectors that are most attractive for new business development;

n _{dedicate valuable resources towards the exploitation of those market sectors;} n position itself in a way which is competitive given the current profile of

competitors.

In particular the business will be able to:

n refine its product range and service offering to increase competitiveness;

n _{initiate a sales campaign dedicated to gaining new customers in those sectors;} n support sales activity with a well-focused PR campaign.

Our approach

Our approach will emphasise the importance of reliable information to the decision- makers of Greyline Printers. Secondary marketing research will be used to establish a picture of the dynamics of the print and reprographics market and the competitive situation. Building on this, primary market research will be used to investigate customer needs and expectations. The findings will be used to give a clear direction for new product development. Market intelligence will be summarised in a form that makes it accessible to the sales team. A review of publications that reach important customers will be undertaken. This will be used to develop for Greyline Printers an awareness-building communication plan.

Exhibit 3.1 Consulting proposal

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Time plan

Key events in the project will be as follows:

October 2007: Initial meeting with client to discuss requirements. November 2007: Initial proposal presented to client and reviewed. November 2007: Final proposal based on review: agreement to go ahead.

December 2007: Progression of project. Further meetings with client (three expected over period).

January 2008: Secondary marketing research. February 2008: Primary research with buyers.

April 2008: Preparation of final report. Sales brief and PR plan appended. May 2008 Final presentation of findings.

Key personnel

There will be three consultants involved in this project. Mr A will lead the project and ensure that the work is completed to your satisfaction. He has 20 years’ experience in this field and worked on similar projects for Xerox and Canon. He will be assisted by Mrs B, an experienced consultant in the area of marketing within the communication industries, having previously worked for Hewlett Packard as their marketing manager. She will be responsible for the majority of the work outlined above and be your main point of contact on a day-to-day basis. Finally Miss C, an analyst in our specialist Communications practice will conduct the market research described above. She is a recent MBA graduate and has worked with Mr A on the project for Xerox and recently completed a market research study for IBM.

Costings

There are two elements to this proposal. The first is the fees charged based on the estimated time spent by our consultants:

Mr A 5 days @ £2,000 £10,000 Mrs B 30 days @ £1,000 £30,000 Miss C 20 days @ £500 £10,000

Total £50,000

The second is our expenses. These will be charged at cost; however, we estimate that they will be around 10 per cent of our fees. If this figure is likely to be significantly higher then we will inform you in advance.

Team discussion

points

1 You have undertaken a consulting exercise with a local travel firm. The firm is very

pleased with the outcomes of the project and by way of thanks offers your group a free holiday together. Consider this holiday as a project. What project management, analysis and relationship-building skills must the group use if you are to make the holiday enjoyable for all?

Hint

Consider the various stages of the ‘project’:

n deciding where to go, when to go and how long to stay;

n deciding what needs to be taken and packing your luggage;

n travelling to your destination;

n enjoying the activities available on the holiday;

n returning home.

Chapter 3 / The skills of the consultant and the project proposal 75

u

Summary of key ideas

The effective consultant offers the client firm a way to add value that it cannot do on its own (see Figure 3.3). To do this the consultant must call on three areas of management skill:

n analysis skills – an ability to know where to go and how to get there; n relationship-building skills – an ability to take people along with you; n project management skills – an ability to make it happen!

These are general management skills. Consulting presents a steep learning curve. This means it is a challenge. However, the rewards are high. An effective consultant can expect to take on highly responsible roles at an early stage in his or her career.

The sales process of a consulting project has to be structured to be effective. Potential target companies, their buyers and product offerings should be looked at first. Then a check for competitiveness is required, followed by a promotional plan. This should lead to sales enquiries, sales meetings and the invitation to write a proposal.

The project proposal is a critical part of the consulting project. It does two things:

n It sells what the consultant has to offer.

n It can be used to manage the client’s expectations about the outcomes of the

consulting exercise.

2 You have decided to set up a company with some of your fellow students that will

offer consulting services to local businesses who rely on the student trade. Go through the selling process described above to identify your targets, products you will offer and your promotional ideas to get sales enquiries.

Figure 3.3 The consultant must always convince the client that the service on offer is of real value!

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The proposal should be a short, impactful document. The key elements to include are:

1 a title;

2 a brief statement of the client’s requirements; 3 an overall aim for the consulting project;

4 a list of specific objectives – what the project aims to do;

5 a list of specific outcomes – what the business will be able to do as a result of

the project;

6 a statement about your approach to the project – how you intend to tackle the

project and why this will be effective.

If appropriate, the following may be added:

7 a time plan detailing key events; and 8 details of key personnel;

9 a costing for the project, detailing fees and expenditure.

Key reading

Fombrun, C.J. and Nevins, M.D. (2004) The Advice Business: Essential Tools and

Models for Management Consulting. Upper Saddle River, NJ: Pearson Prentice Hall

(Chapters 2 and 9).

Markham, C. (2004) The Top Consultant: Developing Your Skills for Greater Effectiveness (4th edn). London: Kogan Page Ltd (Chapters 4 and 5).

LAGUNAS DE CONOCIMIENTO Y PROPUESTAS DE SEGUIMIENTO

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Summary of key ideas

Key reading

Further reading