What are some of the factors that contributed to the emergence and growth of management consultancy? 1.

Growth in size and complexity of business. 2. Difficulty in conducting and managing a business. 3. Greater competition among businesses so that new management techniques will have to be applied. 4. Recognition of the importance of accurate and timely information in decision-making. 5. Inability to have a complete line-up of professional management. Why do small companies need the services of management consultants? Management consultants can provide many different services to small companies. They can provide technical expertise to a company that might not otherwise employee it. They can take on special projects that nobody else has time to complete. They can provide strategic advice based on their years of experience in similar business situations. They can also serve as a coach to the owner, both advising on situations as they arise, as well as being another set of eyes watching over the business. The issue isn't usually whether a small company can benefit from this professional expertise; most every small company would in some way or another. Rather, the issue is that the owner does not recognize their is a need for assistance or realize the economic value that this professional expertise would bring to the business. What are the objectives of management of a business organization? The overall goals, purpose and mission of a business that have been established by its management and communicated to its employees. The organizational objectives of a company typically focus on its long range intentions for operating and its overall business philosophy that can provide useful guidance for employees seeking to please their managers. Distinguish between consultation and engagement. Describe briefly the main types of consultant firms. Management Firms
Management consulting firms help companies improve overall management. According to The Princeton Review, consulting often involves researching the company in order to suggest improvements in managerial procedures. Consultants often work many hours beyond the typical 40-hour work week. Consultants engage in heavy travel to and from clients' work sites. Management consulting requires consultants to be able to analyze a variety of issues and explain their recommendations. McKinsey and Bain are two well-known firms, according to Management Consulted. The consultants usually have a master's degree in business with coursework in finance, management and economics.

Technology Firms
Technology firms consult with companies in different technology fields. Their advice can help companies use software more efficiently and cheaply, while training employees on new software. Consultants advise companies on project management, setting technology policies and security, according to Mickler and Associates.

Accounting Firms
Accounting consulting firms evaluate the accounting procedures within a company. According to Forensic Accounting Consulting, they act as witnesses in court cases, investigate fraud and solve partnership disputes. Services are usually partially paid in advance, with the rest of the work paid on an hourly basis. MBA Career Bible states that these consultants usually have a bachelor's degree in accounting.

Investment Firms
Investment consulting firms work with individuals and companies and advise them on investment strategies, according to Mercer. The consultants generally have a background in finance or math, are experienced with Microsoft Excel and analyze investment data. First Financial Consulting states that consultants review clients' investment portfolios and determine changes that will improve the portfolios' financial performance. Describe briefly the nature of responsibilities of the following personnel in a consulting firm. Analyst- A person who reviews and examines data or information for a specific area. For example,

a financial analyst looks into the economic and financial information associated with stocks and other securities. Consultants - Experienced professional who provides expert knowledge (often packaged under a catchy name) for a fee. He or she works in an advisory capacity only and is usually not accountable for the outcome of a consulting exercise. Some consultants (like Peter Drucker and W. Edward Deming) have brought dramatic shifts in managementthinking and improvements in the performance of organizations. Managers - An individual who is in charge of a certain group of tasks, or a certain subset of a company. A manager often has a staff of people who report to him or her. As an example, a restaurant will often have a front-of-house manager who helps the patrons, and supervises the hosts; or a specific office project can have a manager, known simply as the project manager. Certain departments within a company designate their managers to be line managers, while others are known as staff managers, depending upon the function of the department. Business Development Managers Partners - Individual who joins with other individuals (partners) in an arrangement (partnership) where gains and losses, risks and rewards, are shared among the partners. Directors - Person who leads, manages, or supervises an organization, program, or project. See also company director. Give and explain briefly atleast four reasons for using management consultants.

1. To help instigate and manage change

The business environment is in a constant state of change and only those on the alert for favourable opportunities will stay ahead of the pack. Because change can be threatening to many people, the change process has to be planned and managed carefully. A consultant can help.

2. To help resolve issues

Business issues can be very complex. Often a whole range of diverse but interrelated factors are involved in an issue, and the web of connections may not be readily apparent to the untrained person. Consultants can help you deal with questions such as these:

How do we build staff morale? How do we overcome behavioural problems to work? What computer system is needed to support the business? How do we introduce quality assurance programmes? How do we turn around a fall in sales? Why has there been a decline in productivity? How do we overcome our cash-flow crisis? What strategic direction should our information systems take?

3. To identify opportunities
Management Consultants can help identify favourable opportunities for your business: What new product lines should we adopt? What is the best way to improve our productivity? What new production techniques should we adopt? How do we maximise the benefits of the effective integration of people and technology? How do we identify key success factors for penetrating overseas markets? How can we become internationally competitive?

4. To help with strategic and business planning

Planning is an essential function in the running of any business and is the driving force behind competitive workplace change. Any planning activity should take into consideration certain factors, such as your competitors' and your company's strengths and weaknesses. Consultants can help you identify your strategic advantages, using the latest management techniques, to realise the full potential of your business.

5. Special functions
Consultants can provide you with an objective and independent opinion. Two examples: An impartial appraisal of a proposal by a consultant with no vested interest in your organisation can lend credibility to a proposal or, conversely, demonstrate the difficulties likely to eventuate. A consultant can be employed to investigate sensitive issues which, if handled internally, could cause tension between staff.