Why Hire Management Consultants?

You pay hundreds of thousands for these men in suits. Most of them are younger than you, some are just fresh our of college and they speak like they have been in the industry for many centuries. Are they credible, and is it worth paying such a huge sum for their services?

Given the significant success in the management consulting industry speaks volume about the value of the services Management consultants bring. Some are tangible while others intangible: 

The database

Large Management consulting firms like McKinsey have an immense database accumulated over years of market research. This is the main reason why those young chaps have the confidence to speak louder than you during meetings. They based their recommendations over solid market data. This asset of information is what many companies lack

A clear, unconflicted 3rd party opinion

Having worked in your company and in this industry for a few decades, you might already have some ideas cast in stone which impedes you from making an objective analysis of the situation. Consultants have a broader perspective and can possess knowledge and benchmarks which are exclusive to them. They are not conflicted and they can offer advice from a position unaffected by biases of your company.

A lifeline for change

Management consultants especially from established companies like McKinsey or Bain would bring with them an aura of credibility. To get a proposal approved, officers can convince the management team better if the change is proposed by McKinsey or Bain. 
Some companies might be in an unfavorable situation and need the best advice as soon as possible. Management consulting is like their lifeline and they are willing to pay for it.