Chapter 12: A Comparative Image of Management Consulting Through the Magnifying Glass of its Main Stakeholders

The modern concept of management consulting can be linked to the early decades of the 20th century when companies known today as Booz Allen Hamilton and Arthur D. Little saw a business opportunity out of providing external assistance and expertise to companies. It was thought to be a beneficial opportunity for both the providers of the services and the organizations in need of advice. After more than a century, management consulting grew enormously, diversified in many profiles, became embedded in most aspects of business, and created a world-wide, powerful industry.

Yet, management consulting is still searching for a clear definition, with stronger boundaries around the profession, and it is confronted with an ambiguous image. A few facts show that this search continues to be troublesome. The different estimations of the industry’s yearly global revenues show an immense gap, revolving at sums between 160 billion Euros (Greiner & Ennsfellner, 2010, p. 72; about 207 billion USD) and 280 billion Euros (Plunkett Research, 2011; about 363 billion USD). At the same time, while several estimations show that the profession employs over one million consultants worldwide, the largest professional association, the International Council of Management Consulting Institutes (ICMCI), counts only 30,000 members. We see these facts as proof of a blurry image.