Chapter 1 – Overview of MAS

Consulting Industry (CHOI)

- Corporate Strategy
- Consulting and System Integration
- Human Resources Management
- Operations Management
- Outsourcing

Main Types of Consultancy Firms (IAMI)

- IT Firms
- Accounting Firms offering Consultancy
- Major Consulting Only Firms
- Independents

Career Structure in Consulting Firms

- Analysts
- Consultants
- Senior Consultants
- Business Development Managers
- Director

Nature of MAS by Independent Accounting Firms

- Management Advisory Firms

- Management Consulting

Two Types of Encounter with the client

o Consultation
o Engagements

Management Consultants are hired for at least 4 valuable reasons

- Independent Viewpoint
- Professional Advisor and Counselor
- Temporary Professional Service
 - Agent Change

Independent Accounting Firm’s Role in MAS

- To provide advice and technical assistance which should provide for client participation in the
analytical approach and process. Specifying this as the proper role recognizes both the
appropriate place of MAS and the realities of practice. This is the only basis on which the work
to be done

CPA’s objective in engaging in MAS

- To utilize the essential qualifications, it has available to provide advice and technical assistance
which will enable client management to conduct its affairs more effectively.

Essential Qualifications and Attributes Acquired

- Technical Competence
- Familiarity in the business industry problem of the client
- Analytical Ability and Experience
- Professional Independence, Objectivity and Integrity

Chapter 2 – Areas of MAS – Part I

Six Dimension in all MAS Engagements (NSTP-IG)

- Nature of the Problem

o Corrective
o Progressive
o Opportunistic
- Service Delivery Area
- Techniques and Methodologies Applied
- Phases of Analytical Procedure
o Identifying the objectives
 o Defining the problem
o Finding out the facts
o Develop the solution
o Implement the solution
- Industry
- Geographical Area

Types of Consultancy Work

- Project Feasibility Study

- Information System Consulting
- Operations Audit
- Reengineering
o Cultural Factors
o Managing Organizational Factors
- Others:
o Marketing Research
 2 type of Marketing Research
 Primary Research
o Quantitative Research
o Qualitative Research
 Secondary Research
o Marketing Strategy Development
o Developing Promotional Campaign
o Planning and Sales Force Activity
o New Product Development
o Developing Proposal for Financial Support
o Staff Recruitment
o Exporting and International Market

Chapter 3 – Areas of MAS – Part II

Management Consultancy Service category:

a. Traditional Services
1. Managerial Accounting
 2. Design and Appraisal of Accounting System
3. Financial Management Related Services
4. Project Feasibility Studies

b. Emerging Consultancy Services

1. Global Risk Management Solution
2. Transaction Services
3. Financial Advisory Services
4. Project Finance and Privatization
5. Valuation Services
6. Business Recovery Services
7. Dispute Analysis and Investigation
8. Computer Risk Management
9. Application Software Selection and Implementation

Determining the Scope of Service

Types of Clients Served

- Contact Clients
- Intermediate Clients
- Primary Clients
- Unwitting Clients
- Indirect Clients
- Ultimate Clients

Group of clients that CPA’s can provide MAS

- Privately-owned business firms

- Governmental Agencies and Organizations
- Not-for-profit nongovernmental agencies
- Professional Associations
- Others
Chapter 4 – Professional Attributes of Management Consultants

Broad Areas of Skills

I. Technical Skills
II. Interpersonal Skills
III. Consulting Process Skills
a. Identify the cause of problem or inefficiencies
b. Identify alternative solutions
c. Select the most desirable alternative
d. Implement the chosen solution

Technical Skills

Interpersonal Skills