Reputational Damage
Reputation is all you have.
An Economist article (Nov 1, 2022) started with this sentence, quoting, “If a list were made of the reviled species in the professional world, only investment bankers would stand between management consultants and the top spot.” And it continued, “Sceptics portray these corporate consiglieri as snake-oil salesmen, bamboozling chief executives and politicians with management gibberish and glossy chart while gorging on fat fees.” Yikes
There is more negative press regarding our profession. Sample headlines read:
Consulting Firm Agrees to $1.75 Million Settlement in Water Treatment Plant Suit
[Global Consulting Firm] to Pay Nearly $600 Million in Settlements Over its Work with Opioid Companies
Consulting Firm Agrees to $4.95 Million Settlement in Resolve Class Data Breach Claims
[Three Global Consulting Firms] Implicated in Angola Corruption Scandal
[Global Consulting Firm] is currently subject of a criminal probe in France that ‘they allegedly violated French campaign laws and played an unlawful role … in the presidential elections.”
The purpose of this blog is not to beat up on these, and other consulting firms, there are some very good consultants in those firm. As, however, the consulting profession’s proverbial 800 pound gorillas their negative press (whether accurate or not) does besmirch the reputation of all consultants, directly or indirectly.
Headwinds, indeed.
What can you do to differentiate yourself from the stains to the profession’s reputation? It’s hard enough as a solopreneur or a consultant in a small- to mid-size firm to sell consulting services , especially against public-sentiment reputational headwinds.
As consultants we know many of the unflattering jokes about consultants and we’ve seen them depicted (not in a favorable light) on TV.
We also recognize that our profession is one of the few professional services that is unregulated or licensed (by States in the U.S.). Maybe as a result of this, and publicity of the attractive newly minted MBA salaries paid by the big firms, that the profession widely attracts people. Any one can hang a shingle, create a web presence and consult. It’s relatively easy to do so. Forced out/retired? Hang a shingle and consult to the same industry and, maybe, even to the very firm that just let you go.
Starting a practice may be easy; sustaining it is different. Your skills may help you get started, but did you know there is a set of ISO-level standard consulting competencies that will contribute to sustainability and competitive position. These competencies involve not what you do, but how you consult.
Thinking about consulting? Trying to up-your-game?
I suggest there are two things that can separate you both form the mass of competition but also from the reputational damage:
1. Understanding of and becoming certified in ISO Consulting Competencies
2. Adoption of and adherence to a Code of Ethics
Perhaps this formula is too simplistic, but I ask you to do a bit of research. Then consider how this story
serves to differentiate my practice:
“When you are getting ready to use the car for a family vacation and you want to check the brakes, oil and other things, you could go to most anyone, even a shade-tree mechanic. But, because your family’s safety is at stake, wouldn’t you go to a trained, Certified mechanic? When your tax returns are due you could go to most anyone to prepare them, but wouldn’t you prefer to go to a trained, Certified Public Accountant? If you have a series health challenge, you could go to most any doctor, but wouldn’t you choose a trained, Board Certified Specialist? When you are looking for an outside advisor to help you with the future of your company, you could go to most anyone, but wouldn’t you want a consultant who is Certified to meet or exceed an international ISO set of consulting competencies and who adheres to an enforceable Code of Ethics. It’s your organization’s future and it is your decision, make it wisely.”
To repeat, if you are considering hiring a management consultant, wouldn’t you want one who is (1) certified to meet an ISO set of consulting competencies and (2) one who adheres to an enforceable Code of Ethics – both of which are recognized worldwide?
If you are a consultant, I urge you to consider either the CMC® (Certified Management Consultant®) accreditation for you or the CMC®-Firm for your consulting practice. Do what’s right and stand out. (Check out www.icmci.org and www.imcusa.org).