Strategic Management and Core Competence

Mostly are large consulting firms (more than 30 employees) that offer consulting services to small and medium sized businesses. However, these large firms cannot cost effectively service this market due to high overhead and labour costs. Small and medium sized businesses usually cannot afford the high hourly fees charged by these firms. Business from this target market does not represent a significant portion of the revenues generated by these large firms which all specialize in new projects.

Appointing Consultants like Mc-Kinsey will definitely lead to review of the company’s strategic movement. A dedicated team will help review all aspects of the organisation and will provide a long term strategy for robust sustainability, support growth and enhance the brand reputation. The external consultants have exposure and relationships with many organisations and they are aware of Best Practice which could help company in long term.

Significant experience in collaborating with Business stakeholders, project teams, digital and support teams across geographies and companies

Is our strategy pertinent to our opponents? What is the core of a good strategy? (Porter, 2015) So, on and so forth. Get together as a complete team, using communication. There are mutual mistakes made by executives daily, by perplexing the strategy with the goal. Is the company’s strategy comprehensive? Always remember that, activities are dissimilar from the strategy. The strategy is more than a mission statement, or a vision statement. A good strategy is very precise. Focus on the ability to make good selections and the company will contend, and differentiate itself from the opposition. This is vital to the accomplishment of the company. The core levels of our strategy are how we compete in the industry. A.K.A. Business Strategy. You need a strategy for each separate business within the company. Bring these businesses together successfully, we then create value? That’s corporate strategy.

“Management Consulting involves providing professional knowledge and skills and specialist advice to management or the clients. It aims at improving organizational performance.” The service does this by first pinpointing the existing problems of an organization and then proposing solutions to said problems as well as helping with the execution of the solution to increase the performance of the organization. Today, with the uncertainty surrounding the global economy, the management consultancy sector could not be more important. “With a total value of $250 million, the global consulting sector is one of the largest and most mature markets within the professional services industry”. Due to the nature of the sector, it is clear that the

for their expertise and knowledge. Consultants also need to possess good personal skills so as to be

There is possibly a market for a new model of consulting services, divorced from specialist design outputs, the goal of which is to help organizations manage Design as a critical element of strategic management.

(26) They are believed to maintain objectivity which is a crucial in certain cases such as working on a certain policy proposal. Both the public and private sector use consultancy to access specialist skills that are not available internally.(1) Management Consultancies Association (MCA) conducted a survey that showed that 72 percent of management consulting work commissioned for central government due to the lack of relevant specialist skills in-house (3). Given the more complex nature of projects that are mostly IT related, departments require specialist expertise that they lack. (5) Moreover, management consultancy is believed to provide security. Managers are often insecure about vital decisions and consultants provide sense of order and direction (26). Big Four consultancy firms (Deloitte, Ernst & Young, KRMG and PwC) are especially associated with comfort and security. (1)Another crucial reason for employing consultants is cost reduction. Governments all over the world are attempting to cut costs, for instance, by commissioning complex IT projects to enable certain activities to be done online (22). The Comprehensive Spending Report puts additional pressure on government’s departments to be cost efficient. (2) Hiring management consultants can help a department to implement cost-cutting procedures maintaining necessary level of performance. (17)

What can individual management consultants or management consultancy as a profession contribute to the recover from current economic climate.

The concept of strategy is as old as the history of wars itself. “The Art of War” the first comprehensive book on strategy was written about 500 BC. The roots of strategy are in competition. The word “strategic” derives from the Greek word “strategos,” which means “a general set of manoeuvres carried out to overcome an enemy during combat” (Nutt & Backoff 1992, p. 56). However, corporate strategy gained the recognition of being a separate field of study around fifty years ago (Kay 2003). The most famous work on for-profit strategy is Porter’s “Competitive Strategy”. He defines strategy as: “developing a competitive strategy is developing a broad formula for how a business is going to compete, what its goals

Technology has impacted everyone’s life, and this is one of the reasons why many chose to invest in the services of management consulting to improve organizational efficiency and effectiveness. This industry was historically founded in the year 1986 but it becomes popular after the emergence of IT industry. At present the industry has more than 15 big companies operating all over USA and in the New York region.

Establishment that focuses on business consulting and Training deals with management consulting that helps the firm to improve on their performance. consultant professionals give ana analysis of the business while creating solutions that help firms achieve success. the firm focus on the consultants on personal development: decreasing the self-sabotage behavior, finding precision, decision making, and making all things be in control. In general, the outcome is to help the clients find answers within themselves.

Strategy is the key to running a strong, successful, and well-rounded company. Having a sound strategy can make a world of difference when running an organization and the impact that it has cannot be overlooked. Many organizations fail because they do not have a durable strategy in place for their organization. The importance of having a good strategy cannot be stressed enough. Everyone should have a voice in the making of an organizational strategy; it’s good to get all points of views and opinions from top to bottom in an organization. It’s up to the top management to make sure the strategy is implemented and executed. It’s very simple to tell which organizations have good strategies and which ones do not.

With the start of twenty first century organizations have been facing the uncertainties of many different shapes: rapid globalization, accelerating innovation and growing competition, bringing them the challenge to develop a “strategy” to survive and operate in such hostile conditions. Strategy can be defined as a method or plan acquired to bring about a desired future, such as achievement of a goal or solution to a problem. Strategy is also considered as the art and science of planning and conducting resources for their most effective and efficient use. In terms of business we can say strategy is a plan that determines how organizations use their resources, skills and competencies in a combination to create competitive advantage. (BusinessDictionary.com, 2015) In for- profit organizations main objective of strategy is to increase profitability, get more market share, increase approval ratings or boost customer satisfaction and complete a project under budget and before deadline (porter, 1985).

Topic: “Outline and discuss the concepts of strategic capabilities, core competencies and strategic competitive advantage and how they relate. In your discussion, consider how CEOs utilise these concepts in the strategic management process to build and sustain a firm 's competitive position”