Basic Consulting Skills Community Consulting Club University of Michigan Business School

C O M M U N I T Y C O N S U L T I N G 2 Agenda zPegging the Scope Down zAnalyzing the Issues zDeveloping a Work Plan zWorking in a Consulting Team zQ&A

C O M M U N I T Y C O N S U L T I N G 3 Agenda zPegging the Scope Down zAnalyzing the Issues zDeveloping a Work Plan zWorking in a Consulting Team

C O M M U N I T Y C O N S U L T I N G 4 Pegging the Scope Down zUnderstand what the problem actually is zMeet early with client to sort this out zDevelop a statement of the problem yA question or a clear hypothesis yAs specific as possible yFocused on action zDraft the engagement letter

C O M M U N I T Y C O N S U L T I N G 5 The Red Cross does not know what its educational courses are costing What costing systems can the Red Cross put in place to find cost of courses? Build a simple and quick system that the Red Cross can put in place in order to better price its courses and manage its course mix Pegging the Scope Down Fact Too General Specific, Focused on Action

C O M M U N I T Y C O N S U L T I N G 6 Pegging the Scope Down zDefine Problem Space xContext (Situation): Why is this an issue at this time? Are there other issues bearing on the problem? xConstraints (Complication): What is not in the scope? What solutions are not acceptable? xWho exactly is the Client? To whom will we make the presentation? Who will take the decision? zDefine Deliverables (Resolution)

C O M M U N I T Y C O N S U L T I N G 7 Pegging the Scope Down zThe engagement letter If you defined the problem, the problem space and the deliverables, there’s little else to do Clearly define expectations from both sides Signed by team and client: a statement of commitment from both sides There’s no ‘right’ way to do this

C O M M U N I T Y C O N S U L T I N G 8 HeadingDescription Define what resources you will need from the client, and specify the time per week you will require from them. If possible, describe the role each individual will play on your team Prerequisites for successful project Describe in 1 page what activities the team will undertake over the duration of the project. Identify the need for customer or supplier interviews/surveys as early as possible Work plan/approach to the project In 1 paragraph, define your assessment of the current situation at your client, key issues the team is going to address, and the benefit of resolving the issues Impact/benefit of the project to the client Engagement Letter

C O M M U N I T Y C O N S U L T I N G 9 Agenda zPegging the Scope Down zAnalyzing the Issues zDeveloping a Work Plan zCreating a Good Presentation zWisdom of the Ancients

C O M M U N I T Y C O N S U L T I N G 10 Analyzing the Issues There is no ‘right’ way to do this. Different consulting firms have different approaches. Use what works. zBrainstorm and build an “issue tree” zEnsure it is MECE yMutually Exclusive and Collectively Exhaustive

C O M M U N I T Y C O N S U L T I N G 11 Analyzing the Issues zIssue Tree Example Increase attendance at given pricing level? Change pricing? How can the Art Center increase revenues? Explore alternate revenue streams? Change nature of collection? Explore alternate marketing channels to broaden audience Sub-idea 3

C O M M U N I T Y C O N S U L T I N G 12 Analyzing the Issues xPrioritize and focus on issues based on impact, team interests, ease of analysis Increase attendance at given pricing level? Change pricing? How can the Art Center increase revenues? Explore alternate revenue streams? Change nature of collection? Explore alternate marketing channels to broaden audience Sub-idea 3

C O M M U N I T Y C O N S U L T I N G 13 Analyzing the Issues zWhy bother with the darn tree? xHelps divide project xRoad map for analysis and data collection xEnsures completeness (prevents blindsiding) x(It will also help you with case interviews)

C O M M U N I T Y C O N S U L T I N G 14 Agenda zPegging the Scope Down zAnalyzing the Issues zDeveloping a Work Plan zCreating a Good Presentation zWorking in a Consulting Team

C O M M U N I T Y C O N S U L T I N G 15 Developing a Work Plan yIdentify key issues from analysis xWhat is our initial hypothesis for a solution? xWhat analysis do we need to perform to test the hypothesis? xWhat data is available? What data is required? How can we fill the data gaps? xWhat are the end products for each analysis? yWho will do each task? By when? yCheck work plan weekly

C O M M U N I T Y C O N S U L T I N G 16 Developing a Work Plan zGeneral Advice yBe end product driven, think also about slide output yAsk “So What?” yBe data driven: all opinions are equal yFocus on what is achievable yDon’t try to boil the ocean

C O M M U N I T Y C O N S U L T I N G 17 PrinciplesComments Be realistic about end product precision limits Scrutinize precision of input data– beware of “polishing dirt” Look for 80/20, “killer analyses” Avoid trying to boil the ocean– which analyses will nail the answer/ provide the most insight? Continually question the hypotheses Re-evaluate hypotheses every day and adjust work plan – regularly check ideas with client End-product drivenHypothesize the answer(s) and plan the quickest path to robustly “prove” or disprove it Planning Critical Analyses

C O M M U N I T Y C O N S U L T I N G 18 Story-board the Product

C O M M U N I T Y C O N S U L T I N G 19 Agenda zPegging the Scope Down zAnalyzing the Issues zDeveloping a Work Plan zWorking in a Consulting Team zQ&A

C O M M U N I T Y C O N S U L T I N G 20 High-functioning Teams zTrust ypresume competence zFlexible roles yneeds of project zClear ownership ydelegated responsibilities zKnow when to escalate ydelays, roadblocks

C O M M U N I T Y C O N S U L T I N G 21 Agenda zQ&A