The strategy consulting industry is rapidly growing, with a projected value of USD 101.75 billion by 2027. Businesses need strategy consultants now more than ever to sustain productivity and prevent high losses.
Strategy consulting has therefore become an attractive field for fresh graduates who want to be instrumental to an organization’s success. They will identify challenges, as well as develop and implement strategies for better outcomes.
The consulting industry is broad. It's no surprise people often confuse strategy consulting with management consulting. However, there are key differences regarding the job responsibilities, nature of work, and level of organizational influence.
If you're looking to establish a career path as a strategy consultant, it's best to understand this role, its differences from management consulting, and how you can get started. Read on.
Strategy consulting, also called boardroom or strategic consultancy, is when private organizations hire third-party consultants. These strategy consultants support clients by offering fresh and professional perspectives on specific business challenges.
Strategy consultants are well versed in the industry. Because of this, businesspeople like executives or board members expect strategy consultants to provide objective assessments of high-level business issues.
Strategy consultants work by examining organizational-wide problems holistically. They work across industries on wide-ranging issues, even for private and public sectors.
For instance, clients may hire software IT consulting firms to complete IT projects. These projects are often risky and tend to fail, especially without the presence of a knowledgeable and professional team managing them.
Businesses will need the support of software or IT consultants to implement, complete, or improve IT software or infrastructure.
Businesses need strategy consultants because they offer professional and unbiased expertise on a particular problem. They make decisions vital for the organization's future by ensuring they consider all angles of a problem.
Strategy consultants are invaluable because they help free up time for executives to run the company. Strategy consultants can also offer perspectives on a particular industry or subject, like company restructuring or market positioning.
For example, IT strategy consultants will be brought in to conduct tests and assessments on current business hardware. They will communicate their findings to the executives and train the entire business staff to use new IT tools.
Other strategy consultants may provide invaluable advice regarding financial goals, improving productivity and customer service, and lowering costs.
Strategy consulting is performed at the executive level. Consultants will showcase their strategic plans to CEOs or boards of directors who will make long-term decisions for the company.
Meanwhile, management consulting is done at a managerial level. It involves providing expert advice to improve the business's overall performance.
Another crucial difference is that strategy consulting adopts a more problem-solving approach. Consultants directly identify their client's needs and satisfy them accordingly.
Whereas organizations and big businesses hire strategy consulting firms, SMEs or companies of various sizes hire management consultants.
Strategic consultants can help answer questions regarding their clients' market share or if they want to collude with their competitors. Meanwhile, management consulting is often concerned with cutting costs or restructuring departments.
Strategy consulting services can be divided into the following types:
Strategy consultants provide high level advice to businesses. They assess the organization's market positioning through data gathering, research, and other relevant methodologies. Strategy consultants must transform their findings into actionable and implementable plans for client success.
A strategy consultant in Singapore earns a monthly salary of SGD 6,300 or SGD 75,600* annually.
In the US, the entry-level salary for a strategy consultant is much higher, earning an average base pay of USD 83,500* annually from consulting firms.
Strategy consultancy pays are highly competitive because of their significant role in many businesses. Consulting firms help address complicated problems that may be preventing growth.
Additionally, high-level executives like CEOs, CFOs, boardroom members, and other officials put their entire trust in consulting firms. Consultants are trusted to provide actionable insights and cultivate professional working relationships with their clients.
The salary of a strategy consultant differs based on type. For instance, a digital strategy consultant will earn a salary different from that of a human resources consultant.
If you're keen on a career in a consulting firm, you must develop tailor-fit skills aligning with the field of your choice. Expect that some consulting firms will pay higher or lower, depending on the field.
Below are the different types of consultants and how much you can earn annually in these roles.
Information technology consultants offer technology implementation and other digital solutions to businesses. The average salary for an IT consultant will typically fall between USD 75,000 and USD 180,000*.
Risk consultants identify potential risks for an organization and subsequently come up with business strategies to mitigate such risks. Risks can stem from failed investments or non-compliance.
A risk strategy consultant can expect an average base pay of USD 91,000 from mid-tier firms and may earn up to USD 150,000*.
The roles and responsibilities of a strategy consultant vary, depending on their field of expertise and industry niche. However, they are generally expected to perform the following roles and responsibilities:
Aspiring consultants usually hold degrees in business administration, business analytics, business management, economics, finance, IT, etc. You will need to attain a bachelor's degree from a reputable university if you want to succeed as a strategy consultant.
If you don't have a business-related degree, you can still follow a strategy consultant career path by taking up a Master's Degree in Business Administration (MBA).
MBA graduates are equipped with people-managing, process-building, and strong analytical skills. Advanced MBA programs focus on business subjects in management, finance, and organizational behavior.
To win big as an elite strategy consultant, you must possess a deep understanding of your field or industry. But beyond that, you must be able to communicate that knowledge at an executive level. You must also apply the knowledge to form strategies and resolve problems.
Here are the skills required to become a top strategy consultant:
As a strategy consultant, you'll have an opportunity to work closely with business executives in some of the top organizations in the world. It's a lucrative and high-paying career track even fresh graduates can venture into.
Start a career as a strategy consultant only with an elite digital consulting services firm, Luxoft! We're an ever-expanding technology solutions provider, empowering businesses towards digital transformation.
Yes. Strategy consulting is an in-demand career choice, with some of the most difficult recruitment processes in the corporate industry. You can become a strategy consultant with the right qualifications, educational attainment, soft skills, and personality traits.
A strategy consultant will devote much of their time holding meetings, researching the organization and its competitors, gathering data, analyzing systems, and pitching to the clients.
Yes. Consulting firms typically pay generous salaries to high-performing employees. You can secure a consultancy job with the right qualifications, experience, skills, educational background, etc.
Below is a list of the highest-paying consultancy jobs in the corporate world:
*Note: The salary figures indicated in this article were collated from multiple job portals and salary comparison platforms such as Glassdoor, Talent.com, Indeed, AmbitionBox, PayScale, Salary Expert, and Salary Explorer.