Summary: Consultancy, Organizational Development And Change | 9780749478636 | Julie Hodges

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  • 1 the nature and value of consultancy

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  • 6 trends impacting consultancy which causes disruption:

    -Context: globalization of clients
    -Purchase: increasing use of multinational purchasing models
    -Resources: clients are deciding to staff more projects internally
    -Delivery: competition is now between firms and freelancers instead of between firms
    -Outcome: consultancy firms are in middle between advice and implementation
    -Margin: clients expect lower fee rates and higher value
  • What is internal consultancy

    Organizations build their own internal consulting teams to address business issues themselves
  • What are OD consultants?

    Large group of people for whom organization change is a priority
    OD was too rational and incremental, so now based on following values:
    - Facilitation of greater system awareness – increase knowledge of employees about the organization
    - Concern for capacity building and development of the organization
    - Consultants stay out of content and focus on process
  • What is a good client?

    -Honest and willing to share information with employees
    -Open minded about potential change
    -A good manager
    -Focused more on results than the methods
    -Can partner with the consultant
  • What clients are looking for in consultancy:

    - Expertise: knowledge they don't possess
    - Externality: external perspective
    - Extension: injection of extra resource
    - Endorsement: decisions can be legitimized
  • Value management and differentiation

    -Value management: ability to understand where value is being created

    -Value differentiation: difference in value between different options
  • 2 Roles and responsibilities of consulting

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  • Service provider approach

    -Consulting provides temporary support for the client because organization doesn’t have expertise or resources
    -Advantage is that organization doesn’t need to employ additional internal staff
    -Drawbacks
    oSelf-diagnosing by the client – client not always aware of causes of the problem
    oConsultant isn’t involved in early decision making about the need for change
  • Process or facilitative approach

    -Consultant is an expert in process consulting rather than specific content areas.
    -Consultant helps the client to understand the management and people processes in order for the clients to deal with the problem themselves.
    -The client owns the change and outcome – so more likely that it’s sustainable
    -Drawbacks:
    oClient may not perceive themselves as needing to be involved in diagnosis
    oClient may not have skills to engage in joining diagnosis
    oCan take longer to diagnose and implement a solution, and can be more expensive
  • Consultancy for change approach

    -Requires a mix of consulting roles, focuses on:
    oBuilding and maintaining relationships.
    oContinuous learning – emphasis on learning from both failure and success
    oCollaboration – consultants and clients work together
  • Role of the internal consultant

    -Trouble-shooter of minor and major problems that the organization faces
    -Sensors of the organization’s internal and external environment
    -Researcher-analyst – can draw attention to non-crisis situations
    -Coach and mentor – impact knowledge, motivation of employees
    -Implementation supporter – assisting managers to oversee implementation
    -Advisor and critic – challenging views of managers
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