Why is advice important in organizations

Organizational Consulting - Definition

Kraus & Partner - Lexicon - economic terms simply explained

Definition and explanation of the management term "organizational consulting":

The term "Organizational advice“Actually means or in the classical sense
advising organizations by external consultants with the aim of designing the structure as well as the processes and procedures in such a way that the organization in question achieves its goals.

The clients can be both profit organizations (private companies) and non-profit organizations (e.g. foundations, public administrations).

Organizational advice versus management consulting

It is not uncommon for the term to be used to distinguish it from the term management consultancy, in order to designate the target groups of consultancy firms that work for non-profit organizations and, for example, state or municipal institutions, in addition to commercial enterprises.

In this case, the advice not only relates to the structure as well as the processes and procedures in the organization; it can relate to all aspects that are relevant for the performance and target achievement of an organization, such as
  • Strategy development and implementation,
  • Personnel selection, management and development,
  • Quality and innovation management,
  • Technology and IT selection and use.

Focus of Organizational advice lies on the system

A key characteristic of a professional Organizational advice is that the focus of your consideration is on the system (or parts of the overall system), because the goal of the consultation is that it can provide its performance in the desired quality and achieve its short, medium and long-term goals.

This is what makes the Organizational advice from individual advice, which focuses on individuals - regardless of whether they are private individuals, self-employed or entrepreneurs or specialists and executives.

Organizational advice is "systemic" per se

Organizational adviceWhen doing their counseling work, they must always keep in mind the effects of possible interventions on the client's overall system and their goals. This means that they have to know the interdependencies (i.e. dependencies and interactions) existing in the organization itself as well as the interdependencies between the organization and its environment. Otherwise there is a high risk that you will produce isolated solutions that solve an acute or specific problem, but damage the (overall) system in the short, medium or long term. Therefore, at least according to Dr. Kraus & Partner a professional Organizational advice systemic per se.

White mold "Systemic Organizational advice"

Regardless of this, many consulting firms that work for organizations of any kind attach great importance to the fact that they are “systemic Organizational adviceen "are. They also emphasize the added value that their systemic way of working creates for their clients. According to K&P belief, this is nonsense, since an organizational consultant who does not think and act systemically is, in our opinion, simply not an organizational consultant.

Organizational advice requires organizational experience

It is therefore important for K&P when selecting the organizational consultants who work for our consulting company that, in addition to their technical expertise, they have practical experience in working for and in organizations. Because this makes it easier for them to assess what is (not) possible or (not) expedient in organizations - among other things due to their structure, culture, market position, financial situation; furthermore, assess the risks and possible consequential problems associated with certain interventions - be these of a strategic, structural, cultural, personal, technical or financial nature.

Further training on the subject of "organizational constellation" from K&P

Since December 2020, K&P has also been offering an open advanced training course "Organizational constellations: Effectively influencing system constellations". In it, the participants practice using an organizational constellation to analyze and understand the relationships and mutual dependencies in social systems whose patterns of thought and behavior are to be changed - Regardless of whether the system is an entire company, an organizational unit or a cross-departmental work and project team. They also train the use of various smart tools to gain clarity about the interdependencies and mechanisms of action in complex systems To determine and evaluate the systemic solution options. In addition to personnel and organizational developers, the addressees of the 3.5-day training program include coaches and consultants who want to increase their skills in system analysis and expand their repertoire of methods For example, to force the agile mindset in a company. On request, K&P can also carry out further training in-house. More info can be found here.

Video: That Organizational advice-Model by Dr. Kraus & Partner