Management consulting, a business practice that has been around for over a century, is based on the premise that companies lack the internal expertise to identify and solve their own problems. This industry, which emerged from Frederick Winslow Taylor’s scientific management theories, has been questioned for its effectiveness. Taylor’s principles, originally designed for factory workers, are often unsuitable for knowledge-based industries.
Critics argue that management consultants often lack the practical experience needed to implement their theoretical solutions. Furthermore, their advice can be overly generic, not tailored to the specific needs of the company. Despite these criticisms, management consulting remains a billion-dollar industry.
The power of management consulting lies not necessarily in its actual effectiveness, but in its perceived value. Companies hire consultants for their prestige and the reassurance that an ‘expert’ is handling their problems. The industry thrives on the human tendency to seek external validation and the belief that complex problems require complex solutions. In reality, many business issues could be solved through simple, common sense solutions.
The management consulting industry’s success is a testament to the power of branding and perception. It underlines the fact that the perceived value of a service can often outweigh its actual effectiveness.
Go to source article: http://www.theatlantic.com/magazine/archive/2006/06/the-management-myth/304883/