Two decades ago, 70 percent of McKinsey’s revenues came from strategy and corporate finance but most now flow from hands-on work in risk, operations and marketing and less from strategic thinking.
So strategic execution fails most of the time and the demand for strategy development has fallen considerably. The conventional wisdom of management consultants has been that you must have a business strategy for the future before you develop a business plan to follow.
Has the wisdom of the market become unconventional in the 21st century? This is an important question for any business. If the answer is yes then there is no wisdom in following conventional wisdom.
Conventional wisdom is not necessarily true. Conventional wisdom is additionally often seen as an obstacle to the acceptance of newly acquired information, to introducing new theories and explanations, and such wisdom operates as an obstacle that must be overcome by legitimate alternative views seen as unconventional. Such ideas as real-time and crowd sourced strategies considered unconventional to the conventional wisdom of traditional management consultants. Yet these are real alternatives for the unconventional thinkers.
Unconventional Paradigm Shifts
The pace of unconventional trends that quickly become reality have disrupted the conventional wisdom of the past is accelerating faster than most want to believe. Consider some of the emerging trends:
- Stakeholders now have more power than companies through social media and networks
- Business has moved from strategy to execution centric focus
- Data historically viewed statically is now moved to being viewed in real-time and dynamically
- From mental models of owned to shared models
- From top down to bottom up flow of information and control of decisions that impact stakeholders
- From work here to work anywhere
- From measuring tangible results to creating & measuring intangible value
- From Enterprise IT to Consumerization of IT
- From making the transition to embracing the disruption
- From workplace to socialplace: the convergence of work and life as one, not two places
There is nothing conventional about the issues listed above except these trends are resisted by conventional wisdom.
Markets have become complex, more nuanced and less predictable than what conventional wisdom has led us to believe. Smarter consultants, and companies, understand the demands of a marketplace that has become transparent, social, informed, demanding and more influential than the marketing efforts of the supply side. Smarter Consultants focus on understanding the value of human capital, the ongoing creation of relationship capital, co-creation of strategic capital in real-time with a broader definition of stakeholders and leveraging shared structural capital with a community.
Smarter Consultants help organizations improve productivity and joy in work by enabling people to make decisions that better serve other people, stakeholders. Smarter Consultants are about helping organizations improve results by empowering behaviors that improve results. Empowering behaviors is an unconventional wisdom because it is more about managing the intangibles than measuring the tangible.
Smarter consultants, and companies, don’t follow conventional wisdom they do things the unconventional way.