Saturday, November 9, 2013

A Story of Pervasive Influence

The Firm: The Story of McKinsey and It’s Secret Influence on American Business (Simon & Schuster) – Duff McDonald

I found Duff McDonald’s new book The Firm: The Story of McKinsey and It’s Secret Influence on American Business to be an interesting examination of the influence that the consulting giant wields not only in the corporate world in the corridors of government power. It is equally thought provoking when pondering the impact that business consultants have had in both positive and negative ways.

It got me thinking back over my career and how consultants have often negatively impacted the industries that I have worked in over the course of my career. McDonald makes a strong case that that the goals of the consultants don’t always work in harmony with the businesses that they are serving. Projects often snowball into seemingly lifetime appointments with lines being blurred and initial goals pushed to the wayside if not completely off the table.


While certainly there are any number of high profile successes that can be cited, there are an equal if not exceeding number of grand failures that can be laid squarely at the feet of the consultant class. The overriding question for businesses seem left unanswered; are the consultants delivering the expected outcomes or have they become just another crutch for a failure to lead on the part of upper management. Consultants can be the double edged sword of hero or scapegoat for leaders who fail to truly lead.
I have witnessed the limp leadership that is wrought by consultants. Having spent the first half of my career in broadcasting, I am firmly of the belief that the dire circumstances that radio broadcaster currently find themselves in can be laid squarely at the feet of consultants. In their determined rush to homogenize and make uniform the way “personalities” delivered their product, consultants gutted a business that thrived on creativity and left the door wide open for replacements like online streaming services and Ipods. Is it any wonder that advertisers have jumped ship and radio struggles to produce revenue.

It is that pervasive influence that is the underlying question that McDonald weaves through the McKinsey story. It is clearly a question that real business leaders must ask themselves as they ponder the role consultants play in their organizations.  

 

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