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Ask each person in turn to tell her or his experience of what actually happened, what worked well, what worked poorly, and how to make things work better next time. As the leader, show a good example by being self-critical. Make sure everyone speaks. Write it down! Circulate the results to whoever might be in a same situation in the future. Cite your sources, especially AARs, as the roots of your future strategic decisions.
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CHAPTER
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The Art of Synthesis
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Expert Intuition in Strategy Consulting
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we studied methods of expert intuition that can be applied in all kinds of unforeseen situations. In this chapter, we look at a more predictable case: strategy consulting, where you have more control over your starting point and what the situation calls for.1 On the other hand, in strategy consulting you have to deal with existing methods from other traditions. You can t just waltz in with the art of what works. The music comes from the other schools of strategy. You have to dance to it, at least to some degree. Thus, you don t push the other methods aside. Instead, you add expert intuition. Let s take an example from the world s leading strategy consulting firm, McKinsey. The McKinsey way uses analysis to think a new strategy, whereas coup d oeil lets you see a strategy based on what worked in the past. Yet once again, there is a way of what works that combines expert intuition with McKinsey s method to yield the best of both worlds.
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N THE PREVIOUS CHAPTER,
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194 T H E A P P L I C A T I O N O F E X P E R T I N T U I T I O N
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Whose Strategy Is It
Sometimes consultants provide a direct product or service. This is a form of outsourcing: The consultant designs a Web site, or does a market survey, or manages employee benefits. In this case, you as the consultant touch on strategy indirectly, by asking the company how what you re doing fits in with its other activities. Other times, consultants deal with strategy directly, by helping a company figure out what to do. Instead of a Web site, you give them an IT strategy. Or you work out a strategy for marketing, investment, training, staff retention, product distribution, or anything else the company asks for. At some time in your career, you will probably find yourself on one end or the other of a consulting contract that has some element of strategy in it. As consultant or consultee, you will meet up with the methods of strategy that are common to most consulting firms.2 These methods apply most directly to situations involving direct strategy, but they also apply to a lesser degree to indirect strategy in outsourcing. We single out McKinsey because it is the oldest and most prestigious of the major consulting firms. It was founded in Chicago in 1926 by James O. McKinsey, a former accounting professor and logistics officer in World War I, where strategic planning la Jomini prevailed. Marvin Bower, a Harvard MBA, took over in the 1930s and changed the emphasis from management engineering to management consulting. As of 1967, when Bower stepped down as managing director, annual revenue was $20 million. Today McKinsey has 84 offices in 44 countries, and annual revenue of $2.5 billion.3 To see what a McKinsey consultant does, go to its Web site and click on Careers. There you are invited to Solve a Case and asked to try your hand at a case study to get a glimpse of the kind of work we do. As you keep clicking, you find case material and questions, just like in a business school classroom. The Web site of Mercer Management, a close rival of McKinsey, is similar. Under Join Us: Interview Prep, its Web site gives two cases. The interview is a case discussion, and the vast majority of
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