Consultancy: what is it, types, origins, and why hire a business consultant?

Do you know what consultancy is? Do you know where this term came from and when it became popular in the market? So it is! Many people have this same doubt! But don’t worry, we’ll clear them all up in this article!

If you stick with me until the end, you’ll be able to access exclusive content on the subject, taking the first steps to become a consultant. Come On?

In this article, we will see:

• What is consultancy?
• Consultancy: where did this term come from?
• How did modern consultancy come about?
• Types of consultancy;
• Responsibilities of the consultant. 

Let's go!

What is consultancy?

Consultancy is an activity that consists of diagnosing problems and solving them. This way, consulting services can be offered either by a professional expert in the area in which the consultancy needs to be performed or by a consulting firm.

We have separated some topics to help you better understand what consultancy is.

Diagnose problems

A consultant specializes in diagnosing problems. The problem will not always be what the client thinks, because often what he believes to be the problem is Many types of consultancy cover just a symptom.

It is up to the consultant to know how to accurately identify errors so that all subsequent analysis is carried out on the root cause. Pay attention to this, because if this study is not done with caution, you can rack your brain over issues that will not generate results!

Propose solutions

This is a key moment in consulting! On top of the diagnosed problems, the consultant must propose solutions, stipulate schedules and decide what will be treated as a priority.

The consultant must also have the skill to prioritize the problems that cause the most impact on the company’s final result, but without letting other causes remain without proposed solutions.

Implement the project

At this stage, the idea is simple. On top of the proposed solutions, if the customer agrees, the project will be implemented. It is the final phase of the consultancy, where everything previously analyzed and proposed will be carried out.

Consultancy: where did this term come from?

The word consultancy, as you can see, came from Latin. It can also be understood as “Consultare”, that is “to receive advice from someone”.

This term originated from Ancient Greece, with the priests of the Oracles of Delphi. At that time, these priests were the society’s consultants, as they were always sought after in search of knowledge and to solve misunderstood issues.

But what about today? Our next topic will deal with how consultancy has been adapted to our reality over time. Follow us!

How did modern consultancy come about? 

We've already given a little hint of the role of a consultant, so it’s easier for you to imagine when that term gained momentum again, right? Since the consultant is a problem solver, there is no better scenario for him than a crisis.

And it was precisely in the 1929 crisis that this term resurfaced. With the need for reorganization, the market had to look for professionals who were experts in solving problems and leveraging results!

Soon after, there was the post-war expansion in the 40s and 50s in the USA and Western Europe and, consequently, it was necessary to focus on practical solutions based on technical and scientific foundations.

In this way, all these events made the concept popular around the world in the 1990s.

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• What is the role of a consultant;
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Types of consultancy

Many types of consultancy cover various improvement and problem-solving focuses. We will mention the main ones here, but there is a wide range of options, check it out!

Human Resources Consultancy

Human Resources Consultancy helps companies improve training and hire new talent. In addition, it also supports the implementation of new management technologies and the search for ways to increase employee satisfaction.

Business Management Consultancy

Management consultants focus on analyzing problems and proposing improvements in areas that most need them. In this way, the consultancy can work in logistics, legal, and any area that needs to be improved to achieve better results.

Finance Consultancy

The Finance Consultancy aims to analyze the financial processes and outline strategies for the organization’s growth, observing the improvements that can be made in the sectors to reduce cost and to choose the best investments for the sector.

Marketing Consultancy

This consultancy is focused on improving the company’s relationship with the market. It seeks to analyze more assertive ways to build more effective communication channels that favor customer relationships and increase sales.

Thus, the consultant is essential for the growth of your business. Check out below the main responsibilities and roles of a consultant!

Responsibilities of the consultant

Certainly, being a consultant is an outstanding position. You are the voice of command, you are the one who will plan and leverage the results of an entire organization! But, there is always a catch.

“With big powers come big responsibilities” - Uncle Ben

Surely you’ve heard this classic phrase! It was said by Peter Parker’s uncle when Peter gained powers and became Spider-Man.

In consultancy, we can make an analogy with this thought. The more powers you gain, the greater your responsibility. You will be responsible for moving in critical areas for the company’s growth, and that’s why you must be very well prepared for this role!

Main roles of a consultant

After telling you the responsibilities of the consultant, it’s time to say what a good consultant should do to stand out and its basic principles. Check out below the main roles of a consultant:

• Design and execute the project aligned with the customer: all the project decisions have to be aligned with the client, to ensure the deliveries are meeting his expectations. 
• Make sure that the solution meets the expectations of the client: it’s necessary to ensure the project will generate the client desired result. For this, communication has to be present between both parts of the business. 
• Keep communication clear and transparent with the client: constant communication with the client reduces his anxiety and strengthens the relationship, generating more trust and credibility in your work. 
• Maintain the client's team that will work on behalf of the project aligned: it’s essential to keep the client’s team that will work on the project aligned. They will help the consultant to execute the project during and after the consulting period. 

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