Earlier this month, we announced the publication of the latest CMCE report ‘Measuring Management Consultancy Performance’ . It summarises the key points discussed at a roundtable meeting hosted by CMCE and led by a panel including an experienced buyer of management consulting services and a former partner in a number of leading consulting practices.
In the words of Cosette Reczek, a member of the CMCE team: “The round table discussion – in addition to being CMCE’s first face-to-face event in over three years – was a very rich discussion that took in the extensive experience of some 20 consultants as suppliers and shaped by a buyer’s perspective. We’ve identified an ongoing mis- match between what clients buy and what consultants actually deliver. Helping to clarify this will enable clients to get better value from their consultants and consultants to sharpen up their offerings.”
We consider the report a “must read” for users, buyers and providers of management consulting services because it identifies the key factors to be taken into account in defining performance measures, conducting performance reviews and linking consultancy fees to performance. These include the extent to which the objectives and expected outcomes and impact of a consultancy engagement are defined, the need to complement formal reviews with an open, ongoing dialogue and the potential need for less established consultancies to put more of their fees at risk.
In addition, it provides guidelines for defining suitable performance measures, identifies measures that should be considered and includes the results of recent research by CMCE on the impact of the frequency of performance reviews and on the linkage of consultancy fees to performance.