What Is Strategy Consulting & How Does It Relate To Your Business?
As companies worldwide become more competitive in a globalized ecosystem, it has become increasingly important and critical for enterprises of all sizes to adopt pragmatic principles, along with industry best practices and robust tactical & strategic plans to scale, grow their consumer base, reach the overarching goals, and to increase profit margins. When companies begin their journey into a market, they typically begin by writing out a business model, which includes statements defining the company overall and what goals (including target financial goals) the company seeks to reach. The goals can be thought of as an end-destination, while the business model defines what the company is at its core. Finally, a business also needs an overarching and comprehensive strategic plan - the business map or blueprint - that defines the direction that the company will take to concisely express all critical goals.
A business strategy is thus a statement that summarizes how a company will fulfill its business objectives over the long-term, which typically comprises several tactical projects and foundational tasks that must be intricately interwoven with daily workflows. Creating a business strategy steers the enterprise toward what directions to take, what objectives to reach, how to deal with obstacles and issues along the way, and exactly how to go about fulfilling its overall goals. While the process of creating a robust business strategy is important, the manner of managing the strategy and ensuring that all projects and workflows are tactically fulfilled includes addressing operational management and strategy management practices, among other things.
If a company is to fully and feasibly create a robust strategy, manage its operations, and ensure the tactical directing of daily workflows/projects that align with the strategy, a strategy consultant may be needed.
A strategy consultant is a specialist with a copious amount of industry knowledge and hands-on experience (associated with business, management, and strategic planning), who works with top-level executives - those responsible for ensuring that a business strategic plan is created and followed - and assists a company with the three goals noted beforehand:
Writing an overarching Business Strategy (also known as a business strategic plan). This is largely associated with the Chief Executive Officer (CEO), who would consult with a strategic planner (i.e. a strategy consultant), along with the Chief Finance Officer (CFO) of an enterprise.
Managing operations so that the strategic plan is followed on a term-by-term basis (i.e. that all time-based terms within a business, like the fiscal year, still utilize the strategic plan as the core blueprint of the business). This is largely associated with the Chief Operating Officer (COO), who might consult with a strategy consultant on how best to manage department directors and project managers so they align with the company’s overall strategy and goals.
Ensuring that all projects and workflows align with the overall company strategy, which would be associated with management, including project managers and department directors.
Think of a company strategy as being like the GPS of a map that can be used to conceptually visualize the direction that a company must take to reach its goals. Without a strategy, companies - especially scaling ones - often get lost in a sea of issues, including financial issues, budgeting, and timeframe issues, IT issues, and more. Such companies often do not reach their destination or fulfill their goals due to a lack of a strategy that the company adheres to. With a strategy in mind, a company will often still need assistance with ironing out the details of the company's strategic plan and with helping executives understand exactly how to stick to the strategic plan. This is where a strategy consultant comes in - he/she helps to shine a light on the strategy “map,” and to calibrate the company operations (GPS) to ensure that the enterprise is on the right track.
As noted by Statista, the strategy Consulting market is worth $31 billion globally, a bit less than 25 percent of the overall, global management consulting market (of $133 billion). Strategy consulting, as can be seen, is a critical aspect of the consulting ecosystem that can benefit a company of any size, in helping it scale, remain competitive, and to reach all of its goals.