Management Consulting’s Digital Echo Chamber

Almost 18 years ago, this appeared in Harvard Management Update (a then side-journal to HBR):

“The so-called digital strategists burst onto the scene just about two years ago. Also known as e-consultants, they capitalized on the general perception that if your company didn’t have a strategy for going online, it was dead in the water.”

Fast forward to 2018 and it’s equal parts quaint and eerie to read what I wrote nearly two decades back. Quaint because “digital” has become ubiquitous in its usage, even though its actual meaning still feels ephemeral at best. Eerie because the consulting industry has a way of regurgitating concepts to feed hungry baby-clients.

Now before you hit the unsubscribe button, allow me a bit of context. Digital has indeed become core to virtually all types of management consulting. Our move to covering consulting as an integrated service model acknowledges that reality.

At the same time, we’re debating the efficacy of labeling consultants “digital specialists” when such capabilities should be considered mandatory in virtually every consulting environment. It’s the equivalent of trying to play golf without any golf clubs or balls.

Back when I wrote that article, Bain’s then-chairmwoman Orit Gadiesh observed that “e-strategy has often been thought of as just designing a website.” The same is true today for many companies seeking digital expertise. Maybe it’s not websites (although that still happens), but digital should not be thought of as a technological or tactical solution. Instead, clients should test what digital means to them using the same underlying premise: how does digital help your value proposition and expand your business opportunities?

Fear and uncertainty always contributes to decision-making when it comes to hiring management consultants. Yet slapping digital on your services doesn’t always do anything more than exacerbate the fear and multiply the uncertainties. The unsuspecting client hears “digital” and translates that to mean what? How is HR Transformation different from Digital HR Transformation?

For all those digital consulting practices out there, be assured that we appreciate your focus. We also will rate you side-by-side with those firms that embed digital into all of their offerings.

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