The importance of the management of consulting companies, concerning the commercial society during the economical crisis.
Necsulescu, Ecaterina ; Pocora, Mihail-Silviu ; Necsulescu, Marina-Diana 等
Abstract: Foundation of a company is the first step in developing a
business. Consulting firms have developed to rachieve the industrial
objectives in order to provide management consultancy, audit, legal,
technical. They have an important role in standardization of technical
norms and regulations, commercial, financial, accounting and law in the
business of national and international businesses. Through direct
involvement in market transactions between corporations, these firms
have made possible the development of mega-business mergers and
acquisitions.
Key words: consulting, socio economic instability, blocking sphere
1. INTRODUCTION
The economic crisis seems to have had other beneficial effects on
managers of consulting companies. They are more attentive to the way
that explores the impact of projects. All these changes have been
catalyzed by the economic crisis that has managed to remove a large part
of the management of the Romanian state of dreaming and
self-sufficiency. The pressure on profitability, efficiency and
attention to the customer will continue and transform the organizational
environment of the consulting companies in a more structured and
healthy.
In these circumstances management has only one option to ensure
their survival: increasing levels of professionalism and assimilation of
modern management tools and techniques of the company.
2. CONSULTING COMPANIES FIGHT WITH ECONOMIC CRISIS
Consulting services assist public and private organizations to
analyze and redefine their strategies, to improve efficiency in
operations and to optimize human resources and technology. Consulting is
composed of:
2.1 Business Consulting (BC) including:
* Strategic Consulting, which aims to improve long-term business:
strategic planning, mergers and acquisitions, sales, marketing,
communication, financial, human resources strategy.
* Operations Management, which seeks to integrate business
solutions through Business Process Reengineering (BPR), customer
relationship management systems (CRM), (Olaru, 2008) restructuring /
reduction of cost management, procurement and suppliers. Project
Management Change management, consultancy services, related to other
advisory services, assisting the organization to manage the impact that
change has on human resource organization.
* Human Resource Consulting: Consulting services aimed at improving
the item "human" of the organization by: measurement and
performance management, organization of system benefits, compensation
and retirement, human resources strategy and marketing, talent
development, management coaching.
2.2 Consultancy in Information technology
It assists organizations to evaluate their IT strategy to align
technology with business processes. These services include strategic
planning and design, operation and implementation. Consultancy,
regardless of its area of expertise, is the star of Western
practitioners who have gained ground in Romania. Companies struggle with
the economic crisis took most of the time as draft reorganization and
growth performance.
The general impression is that management has become more
interested to explore how to create added value in the company. Instead
of perceiving (Buhociu &. Negoeseu, 1999) business processes as a
black box that arises between resources and revenues, management tries
to follow the logic: "I understand--measures--optimize /
transforms--automates. Management is more realistic in terms of return
on investment. Instead of expect a return on investment in the short
term, most have reset expectations to 2-3 years, in the opinion of
consultants approach is more realistic and healthy for the Romanian
companies.
The market will take advantage of the need for companies to
restructure its activities, to control costs and streamline operations.
Even if the boom will not know the past years, services and advice will
be sought during the recession, experts say, and the main players are
optimistic estimates.
The contraction of the economy is clearly mirrored in corporate
budgets. Companies had to reduce funding for several departments under
pressure to shelve projects consumption decline and liquidity (Negoescu
et al., 1998) problems in the market rigidity.
Money has become more expensive than in the first half of last
year, and companies have come much more cautious and oriented to
restructure the business. In these circumstances, what chances are for
consulting firms to aspiring to miserly company's budgets?
Professional players on the Romanian market and remain optimistic and
consider crisis a very opportune period, even if the professional
services sector felt the problems in the economy. But many companies
have plans about business reorganization, reduction costs, and increase
efficiency.
A diagnostic analysis is required when the unit is in difficulty,
to identify the causes and measures to repair faults, but also when the
unit operates, at least apparently normal.
Based on diagnostic analysis will aim to identify opportunities to
improve performance, as well as future trends malfunctioning generators.
It is considered that due diligence is essential when:
* actions are initiated by industrial restructuring / privatization
/ sale / purchase / transfer shares;
* undertake joint ventures, joint ventures set up is initiated
collaborations with foreign partners; a crisis is found in the unit;
* aims to improve preventive control;
* enter into management contracts renewed;
* apply for loans or subsidies to budget undertakings. The reasons
why companies come to a point in the impasse is not always generated by
the economic crisis.
They can be grouped into:
* Protective Management: autocracy, limited capabilities, the owner
is the manager, there is a succession plan;
* Business strategy: rapid growth, several acquisitions, and
unrelated diversification in new areas, dependence on a single customer
or supplier;
* Liquidity: no maneuvering space, excessive use of short-term
credit,
* Financial Profile: superficiality in control, high leverage.
3. INFORMATION BUSINESS CONSULTING--EUROPEAN PROJECTS
Consulting firms continue to collect big money from the realization
and implementation of European projects. For this, consulting firms in
EU funds agriculture and rural development are often contacted to file
the stages of financing and project implementation. Also, most
consulting firms do not provide such financial instability as long as
European funds will be allocated to Romania after 2013.
European projects that have brought large sums of money were the
consulting firms of SAPARD, the European Regional Development Fund, and
the Regional Operational Programme PHARE. Furthermore, significant
amounts of European consulting firms depend upon the amount of eligible
project selected for funding. In most cases, to simply consulting
project, the beneficiary can pay three percent of the eligible project.
But the percentage may increase to eight percent, according to the
beneficiaries' construction contracting and design consultancy.
Trend consulting European funds covering several areas. Many
contracts for projects are coming from tourism, agriculture and even the
economic. They were especially attracted European funds for
modernization of agricultural holdings, renovation of villages, creating
micro-enterprises and even the establishment of boarding houses. In
addition, representatives of EU funds consulting firms say the market is
manifested Iasi fierce competition among consulting firms in European
projects.
Proof of success does consulting firms and consultant's
ability to achieve European projects. A good consultant should be in
European funds have substantial knowledge in economics, finance,
marketing, management and agriculture. In addition, the consultant must
provide proof of European funds to the client of leadership skills and
strategic planning. It is an activity that you require in terms of
intellectual.
4. BUSINESS CONSULTING AND ONLINE SUPPORT
More and more small and medium-sized companies need specialized
consulting experience in business. Local companies on the market in the
field are generally concentrated only on the major players in the
market, while small and medium business segment is virtually bare at the
moment.
Small Businesses, launched in the current economic climate, also
benefit from a major opportunity, which is on flexibility and
adaptability to the environment, big companies respond to changes made
harder by the crisis.
The services offered by consulting companies include testing the
feasibility of business idea, preparing a business plan and financial
projections, design a business model and identify the sustainable
competitive advantages.
In general, starting a business in a recession brings major
opportunities. Lower costs for start-up and operation, higher bargaining
power against suppliers, availability of resources or the possibility of
identifying new niches and competitive advantages (Ariton &
Negoescu, 1998) amid changes in market and competitive environment are
redefining some of the "advantages" of the crisis. The main
reason for a lot of small transactions fail is about a lack of adequate
marketing in terms of attracting potential investors.
Development consultancy services on-line has a high potential for
the business looking for ideas to identify solutions for implementation,
Internet search software are increasingly replacing traditional touch.
But the initial contact, the information comes via the Internet.
According to experts, (Nicolescu & Verboncu, 2008) the services
provided by specialized websites grow continuously. From the simple
presentation page offers advice reached by email and even on-line
messaging systems, including video conferencing.
Multiplying these Internet sites, offering alternative services
consulting, turnkey, business environment, represent an opportunity,
both in terms of the variety of supply and service cost. Dozens of
economic consulting firms have opened sites on the Internet and give
advice including messenger and e-mail.
And that given that obviously when you have financial problems to
solve is the speed with which fundamental most clients of business
consulting services came from the internet (72%) and a 55% learned
through advertising opportunities online, visit the rest from searching,
references, or direct visits.
5. CONCLUSION
According to representatives of companies that prevent the market
is negative and invest in consulting, crisis period is considered the
right time, as there are many companies that do not have sufficient
funds for counseling services. Knowledge of these effects is important
for management companies on this basis that management decisions can be
taken to counteract negative influences that can exploit these factors
and their positive influences.
Firms focused on controlling. After a year, consultancy was
regarded as a luxury or as an attribute of innovation and
development-oriented companies. In this moment, these services become
more of a deadlock solution for companies and incurred in a critical
situation, in which survival of the company is the first point on the
daily agenda of top management.
6. REFERENCES
Buhociu, G. Negoescu. (1999). Economic analysis. Braila: Eureka
Publishing
Ariton, D. & Negoescu, G.. (1998). Accounting and consulting
techniques. Galat: Algorithm Publishing
Negoescu, G.; Buhociu, F.; Bontas, C. & Ohradovic, C. (1998).
Creditworthiness operators. Galati: Algorithm Publishing
Nicolescu, O. & Verboncu. I. (2008). Management. Bucuresti:
Ed.Universitaria
Nicolescu, O. (2006). Management comparat.Bucuresti:Ed.Economica.
Olaru, A. (2008). Management. Galati, Ed. Europlus Constantinescu
A.(2002).Management comparat.Bucuresti, Ed.Nationala