MB222 - Business Project: External Consultant vs Internal Manager Role

This essay explores the distinct roles of external business consultants and internal managers within a dynamic business environment. It highlights the importance of both roles in achieving organizational growth and competitive advantage. The external business consultant is defined as a strategic advisor who assesses and evaluates organizational problems, offering solutions and strategies for competitive advantage. The internal manager, on the other hand, coordinates business functions, motivates employees, and implements policies for company growth. The essay contrasts their decision-making processes, resource utilization, and flexibility, noting that while external consultants offer specialized expertise and flexibility, internal managers provide crucial knowledge of company culture and cost-effective management. Both roles are deemed essential for attaining organizational goals, with the essay referencing the global consulting market and the increasing reliance on external consultants for specialized functions.

2019
[EXTERNAL BUSINESS CONSULTANT AND INTERNAL MANAGER]

Running head: Business project
Role of an external business consultant with that of an internal manager
It has been investigated that in the dynamic environment, it is necessary to have control
over the organizational operations as it will help in attaining growth in relation to the other
competitors present in the market. Also, there are many challenges that are faced by the company
and to solve those issues the assistance is taken from the external business consultant. The paper
will highlight the role of external business consultant with that of the internal manager (Xu, Loi
& Ngo, 2016). The paper will focus on the different factors that will showcase the role of the
external business consultant and also of the internal manager. It is important that there should be
link with the external business consultant in relation to the activities of the company as it has
been observed that it will help in attaining the competitive advantage in the market.
The external business consultant is considered as the organization that helps the company
in accessing and evaluating the basic problems or the issues that takes place in the workplace.
The external business consultant is the firm that provides strategic options to the company to
solve the issues or to attain the competitive advantage in the market. It can be said that by
analyzing the high level of competition it is important for the company to focus on contracting
with the external business consultant so that they can guide them to consider the effective
method that can help in maintaining the competitive advantage in the market (Prange & Pinho,
2017).
On the other hand, it can be stated that the internal manager is the one who focuses on
coordinating the different functions of the business. They are the one who know about every
aspect of the company and also they have the skill to control the basic functions of the company.
It has been noticed that the major role of the internal manager is to ensure that the employees of
the workplace are informed and motivated towards the set goals of the company. They
emphasizes on communicating through the different mediums such as through email and also
social media. In the workplace, the internal manager role is to analyze the performance and also
to find out the issues that exist in the workplace. It is important for the internal manager to
implement the different policies which are useful for the overall growth of the company in the
highly competitive market (Hu & Liden, 2015).
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Running head: Business project
Nowadays there are majority of the companies who are involving external business
consultant to manage the overall operations of the business. The external business consultant
assist the companies in considering the competitive advantage by new product development and
also by managing the basic functions of the company such as training and HR function of the
business. They give advice to the company to make the changes in the different functions or the
factors of the company so that it could be easy to maintain the brand image in the market. After
analyzing the situation or the issues, they have the role to offer accurate solution to the
management after the overall analysis of the information. But if comparison is made with the
internal manager then it can be stated that they focus on giving decisions when the external
business consultant gives some suggestions to change the overall functions of the company. The
contract which is made with the external business consultant takes place with the consent of the
internal manager. Without the consent of the internal manager it would not be possible for the
external business consultant to control the activities of the company (Leonidou, Christodoulides,
Kyrgidou & Palihawadana, 2017).
If compared with the external business consultant it can be stated that they are the one
who are financially stable and also they have their own resources and finance which are utilize at
the time of evaluating the different factors of the company. But the internal manager has to make
the decisions within the set framework given by the management. They are not allowed to
deviate themselves from the rules and regulations that are implemented in the workplace (Meng
& Boyd, 2017).
It can be examined that the major benefit relates with the external business consultant is
that they focuses on the specific projects or the contracts. The company only focuses on the
specific work but the manager emphasizes and controls the different functions of the company.
It can be analyzed that external business consultant can manage their work according to their
flexibility but on the other hand the manager focuses on manage their work according to the set
rules and regulations of the management. It is necessary to maintain control over the functions so
that employees can also give their best towards the work. The role of the manager is not only
limited to analyzing the data but it is also concerned with managing the activities of employees
and also to focus on maintaining their performance in the workplace (Navarro-García, 2016).
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Running head: Business project
The external business consultant plays a role of giving guidance to the companies but the
internal manager also plays the role of business consultant. They are the one who emphasizes on
changing the functions of the business and also implement the different policies which are
beneficial for them in the competitive market. Without the internal manager it would be difficult
for the organization to control the operations but without external business consultant the
company can easily manage the functional activities of the company. The external business
consultant can suggest the companies to make the change in the areas that are weak and through
which the overall success can be affected but on the hand of internal manager to implement the
suggestions in the workplace (Noe, Hollenbeck, Gerhart & Wright, 2017).
The internal manager also plays an important role in guiding the external business
consultant at the time of evaluating the different aspects of the business. It can be stated the
information of the culture and needs of the employees is given by the internal manager to the
external business consultant. This helps in maintaining the overall activities of the company and
also helps the external business consultant to manage the different operations of the business
effectively. One of the benefits relates with the internal manager is that they are not offered any
extra cost as compared to the external business consultant. The internal manager controls the
operations and also analyzes the issues within the fix salary which is offered, so it can be stated
that this is one of the factor that helps the companies to reduce the cost of the services (Evans,
Rees & Edwards, 2017).
But on the other hand, it can be stated that there are various cons that are concerned with
the internal manager. The internal manager can evaluate the issue within the company but it
would be difficult for them to analyze the external business environment. There are many cases
when the managers do not possess the competency to perform the specific task, so at the time the
external business consultant plays an important role in managing the overall operations of the
business in the highly competitive business environment (Gustavsson, 2018).
It can be examined that one of the con in relation to the internal manager also relates with
the use of the resources of the company. The organizational resources are divided into different
areas and it is difficult for the internal manager to focus on the overall resources of the company
that are utilized by the different areas within the business. By evaluating the different factors it
can be stated that the external business consultant and internal manager both are important for
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Running head: Business project
the company in relation to attaining the organizational goals in the competitive market (Engle,
Lopez, Gormley, Chan, Charns & Lukas, 2017).
(Source: Consultancy UK, 2019).
It is necessary for the business to focus on the external business consultant as it can assist
the managers in maintaining the overall performance of the company. By the given graph, it can
be stated that in the global consulting market, the large market share is in the North America.
There are many companies in the North America who are focusing on considering the
consultancy services to manage the business operations. Also, it has been investigated that in the
financial advisory and in operations department the major role is played by the external business
consultants (Consultancy UK, 2019).So, it can be stated that in the present era, there are
companies who are focusing on considering the different functions in relation to external
business consultants.
It can be concluded that the major role is played by the external business consultant and
also by the internal manager. They are the one who controls the overall functions of the company
and also focuses on boosting the growth in the market. There are various advantages that are
related with the external business consultant such as they have their own resources and also they
enjoy flexibility and in relation to internal manager it can be seen that they make the important
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Running head: Business project
decisions and control the different operations of the business. Therefore, it can be said that
external business consultant and internal manager has the main aim to boost success ratio of
company.
References
Consultancy UK. (2019).Global. Retrived from: https://www.consultancy.uk/consulting-
industry/global
Engle, R. L., Lopez, E. R., Gormley, K. E., Chan, J. A., Charns, M. P., & Lukas, C. V. (2017).
What roles do middle managers play in implementation of innovative practices?. Health care
management review, 42(1), 14.
Evans, D., Rees, M., & Edwards, R. (2017). The influence of subsidiary strategic role on
manager‘s mindset. Electronic Journal of Business & Management, 2(1), 11-28.
Gustavsson, T. K. (2018). Liminal roles in construction project practice: exploring change
through the roles of partnering manager, building logistic specialist and BIM
coordinator. Construction Management and Economics, 36(11), 599-610.
Hu, J., & Liden, R. C. (2015). Making a difference in the teamwork: Linking team prosocial
motivation to team processes and effectiveness. Academy of Management Journal, 58(4),
1102-1127.
Leonidou, L. C., Christodoulides, P., Kyrgidou, L. P., & Palihawadana, D. (2017). Internal
drivers and performance consequences of small firm green business strategy: The moderating
role of external forces. Journal of business ethics, 140(3), 585-606.
Meng, X., & Boyd, P. (2017). The role of the project manager in relationship
management. International Journal of Project Management, 35(5), 717-728.
Navarro-García, A. (2016). Drivers of export entrepreneurship. International business
review, 25(1), 244-254.
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Running head: Business project
Noe, R. A., Hollenbeck, J. R., Gerhart, B., & Wright, P. M. (2017). Human resource
management: Gaining a competitive advantage. New York, NY: McGraw-Hill Education.
Prange, C., & Pinho, J. C. (2017). How personal and organizational drivers impact on SME
international performance: The mediating role of organizational innovation. International
Business Review, 26(6), 1114-1123.
Xu, A. J., Loi, R., & Ngo, H. Y. (2016). Ethical leadership behavior and employee justice
perceptions: The mediating role of trust in organization. Journal of Business Ethics, 134(3),
493-504.
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