Dear members,
On one of the WA groups of HR, Administrator of the groups, Mr Rajaram Thorve, had raised the topic for discussion. The topic for the discussion was on role of consultants. He had raised the following questions:
Q. 1 Is the consulting more lucrative profession than working as full time professional in the organization?
Q. 2 Are the consultants working as the change agent for organizational development?
Q. 3 Can the consultants work as the authorised signatory to sign any denomination cheques and documents of the organization?
Q. 4 Why aren't the consultants held responsible for execution of any strategic plan or process to be able to get desired results or failure of any project or financial mess?
Somehow, I could not give my reply to this discussion. I have given the reply today. The replies to his questions are as below:
Q. 1 Is the consulting more lucrative profession than working as full time professional in the organization?
Reply: - To be a consultant, need not be lucrative per se. There is a limit to their earning. Today senior management professional in India earns anything between Rs 25L to Rs 1 Cr. How many consultants earn that kind of profit is a matter of debate. If they have that kind of capacity to earn, they do not remain as consultants and start their own company. Secondly, many persons enter into the profession of consulting after their retirement. Nevertheless, they may not have a zeal to grow. They consider it as just a “time-pass” activity. Others may start consulting before their retirement, but there could be few other reasons. In few cases, persons become unemployed in the mid of their career and to hide their unemployment, they become consultant.
Q. 2 Are the consultants working as the change agent for organizational development?
Reply: - To give the reply, first it merits clarification on the role of consultants. Consultants are Subject Matter Experts (SMEs). Because of their past tenure in various companies, and especially in MNCs, they acquire unique knowledge and skills. Once they feel that they no longer required to do regular work, they share their knowledge by charging some fee. Consultant’s role is advisory. They themselves cannot be change agent per se. Change agent has to be somebody from the organisation especially CEO.
Q. 3 Can the consultants work as the authorised signatory to sign any denomination cheques and documents of the organization?
Reply: - Consultant’s work externally. Therefore, generally organisations do not authorise them to sign important documents or financial instruments like cheque. Unless there are some vested interests, consultants are not empowered to be authorised signatories.
Q. 4 Why aren't the consultants held responsible for execution of any strategic plan or process to be able to get desired results or failure of any project or financial mess?
Reply: - Consultant can help in preparation of the strategic plan but execution is always the responsibility of CEO or MD. What if there is mismatch in the actual strategic plan and it’s execution? Why consultant should be held responsible?
Thanks,
Dinesh Divekar
On one of the WA groups of HR, Administrator of the groups, Mr Rajaram Thorve, had raised the topic for discussion. The topic for the discussion was on role of consultants. He had raised the following questions:
Q. 1 Is the consulting more lucrative profession than working as full time professional in the organization?
Q. 2 Are the consultants working as the change agent for organizational development?
Q. 3 Can the consultants work as the authorised signatory to sign any denomination cheques and documents of the organization?
Q. 4 Why aren't the consultants held responsible for execution of any strategic plan or process to be able to get desired results or failure of any project or financial mess?
Somehow, I could not give my reply to this discussion. I have given the reply today. The replies to his questions are as below:
Q. 1 Is the consulting more lucrative profession than working as full time professional in the organization?
Reply: - To be a consultant, need not be lucrative per se. There is a limit to their earning. Today senior management professional in India earns anything between Rs 25L to Rs 1 Cr. How many consultants earn that kind of profit is a matter of debate. If they have that kind of capacity to earn, they do not remain as consultants and start their own company. Secondly, many persons enter into the profession of consulting after their retirement. Nevertheless, they may not have a zeal to grow. They consider it as just a “time-pass” activity. Others may start consulting before their retirement, but there could be few other reasons. In few cases, persons become unemployed in the mid of their career and to hide their unemployment, they become consultant.
Q. 2 Are the consultants working as the change agent for organizational development?
Reply: - To give the reply, first it merits clarification on the role of consultants. Consultants are Subject Matter Experts (SMEs). Because of their past tenure in various companies, and especially in MNCs, they acquire unique knowledge and skills. Once they feel that they no longer required to do regular work, they share their knowledge by charging some fee. Consultant’s role is advisory. They themselves cannot be change agent per se. Change agent has to be somebody from the organisation especially CEO.
Q. 3 Can the consultants work as the authorised signatory to sign any denomination cheques and documents of the organization?
Reply: - Consultant’s work externally. Therefore, generally organisations do not authorise them to sign important documents or financial instruments like cheque. Unless there are some vested interests, consultants are not empowered to be authorised signatories.
Q. 4 Why aren't the consultants held responsible for execution of any strategic plan or process to be able to get desired results or failure of any project or financial mess?
Reply: - Consultant can help in preparation of the strategic plan but execution is always the responsibility of CEO or MD. What if there is mismatch in the actual strategic plan and it’s execution? Why consultant should be held responsible?
Thanks,
Dinesh Divekar