Jeremy Wilcock
4.9 Managing the client/consultant relationship
As this chapter has illustrated, there is no shortage of subjects in the international business world that need to be known and understood by the effective consultant. Clients will need help and advice on a number of topics. Whether it is understand- ing if general average can be declared over a jettisoned cargo or whether the act will in fact be construed as barratry, whether it is to appreciate that a two-litre bottle will not fit easily inside the average Spanish refrigerator, whether it is to realise that the English advertising slogan will have an unfortunate double entendre in another language, whether it is to learn the ways of conducting business with an Indian counterpart, whether it is to be taught the key principles of key account manage- ment in the USA, or whether it is the need for a second pair of eyes to assess the intended business plan, there are very many opportunities for consultant advice.
The challenge, though, must be whether the consultant will add value. If they are no more than discussion facilitators, or if they merely provide the infor- mation and opinions the company could have found out for themselves had they taken the trouble to ask (and indeed believe) their own staff, the investment will have been costly and unnecessary. What is sought from the consultant is genuine expertise, particular subject knowledge, the application of best practice and rigorous, high standards. In short, the provision of superior knowledge and skill not generally available within the company.
To succeed, the relationship must be professional, based on mutual respect. The consultant is neither a hired hand nor a white knight coming to an ailing company’s rescue. A company capable of utilising this expertise has appointed them because of their perceived ability. But the personal chemistry must be good. An arrogant, overbearing and inflexible consultant will not endear themselves to the company with whom they are working. Nor will one who trades on their inter- national reputation and assigns inexperienced staff to the project. Nor will one who sets out to make themselves indispensable to the company and who draws out the time and scope of the project, still less will one who feels it appropriate to involve themselves in the internal politics of the organisation. For they will only
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.. 94 Part 1 / Management consulting in context and how it adds value
be as good as the way in which they deliver the brief they have been given. Consultants play a pivotal role in guiding and assisting companies in aspects of their international operation, but in the final event it is the job of the company to ensure that they derive the maximum value from their investment.
u
Summary of key ideas
n The role of the consultant in helping firms with their international strategies
can be a major area of work; however, this brings with it additional complexities.
n Operating internationally has great appeal, but implies considerable additional
complexity and risk for the company.
n The company needs to be fully informed in order to take overseas investment
decisions with confidence.
n Specialist agencies and consultants play a key role in providing information
and expertise.
n A company operating internationally needs to understand and to defer to the
differing cultures in the countries where it is present, and should behave as a responsible global citizen.
n Clear rules and defined responsibilities are vital for an efficient performance.
Key reading
Hollensen, S. (2004) Global Marketing: A Decision Oriented Approach. Harlow, Essex: FT Prentice Hall.
Noonan, C. (1999) The CIM Handbook of Export Marketing. London: Butterworth Heinemann.
Further reading
Albaum, G., Duerr, E. and Strandskov, J. (2004) International Marketing and Export Man-
agement. Harlow, Essex: Financial Times Prentice Hall.
Arnould, E., Price L. and Zinkhan G.M. (2004) Consumers. New York: McGraw-Hill. Bradley, F. (2002) International Marketing Strategy. Harlow, Essex: Pearson Education. Branch, A.E. (2006) Export Practice and Management. London: Thomson Learning. Brassington, F. and Pettitt, S. (2006) Principles of Marketing. Harlow, Essex: Prentice Hall. Johanson, J. and Vahlne, J.E. (1977) ‘The internationalization process of the firm:
a model of knowledge development and increasing foreign market commitment’,
Journal of International Business Studies, 8 (1), 23 –32.
Katrak, H. (1971) International Trade and the Balance of Payments. London: Fontana. Team
discussion points
1 What value can the right consultant deliver to an international firm that the com-
pany’s own management could not provide for themselves?
2 What do you think would be additional challenges in managing a multinational team
Chapter 4 / Consulting across borders and cultures 95
Keegan, W.J. (1995) Multinational Marketing Management, 5th edn. Upper Saddle River, NJ: Prentice Hall, pp. 378 – 81.
Klein, N. (2000) No Logo. London: Flamingo.
Kotler, P. (2000) Marketing Management. Harlow, Essex: Prentice Hall.
Levitt, T. (1983) ‘The globalization of markets’, Harvard Business Review, May–June, 92–102. Morden, A. (2007) Principles of Strategic Management. London: Ashgate Publishing. Schlosser, E. (2001) Fast Food Nation. London: Penguin Books.
Sherlock, J. (2006) ‘Be prepared – it’s a jungle out there’, Exporting World, Sept/Oct, pp. 30 –31.
Usunier, J-C. and Lee, J. (2005) Marketing Across Cultures. Harlow, Essex: Financial Times Prentice Hall.
Walker, A. (1970) Export Practice and Documentation. London: Butterworth Heinemann.
The Bill Chieftain brand of clothing originated in the 1960s and was best known for its buttoned-down, narrow collared shirt that was beloved of the ‘Mods’. Throughout the 70s and 80s, it became part of the ‘uniform’ of the skinheads and other groups of young men seeking to define their identity. By the 1990s, however, the company that made them in Ireland was suffering, like many of its competitors, from cheap, foreign competition and was struggling to survive. A white knight arrived in 1995 in the shape of 2B venture capitalists who saw an opportunity to make the Bill Chieftain brand popular once more, and they bought the company. 2B employed a dynamic new management team who brought with them extensive experience of the fashion industry.
In the following five years, sales and profits rose fivefold as the brand was extended into menswear, womenswear, shoes and other accessories. This was on the back of a successful campaign that highlighted the heritage of the brand. Practically all the sales came from the UK as the management team concentrated on developing the brand there. There always had been a small amount of sales abroad, particularly to Germany and the US, through small specialist retailers, catering to young men who followed the ‘skinhead’ fashions. In 2000, 2B were reviewing their investments and asked the management team to put together a three- year plan. In order to continue with their investment in the company, 2B required that sales and profits be doubled to £200 million and £40 million respectively. The management team’s response was to expand inter- nationally, building on the business that they already