Hello, and welcome to Smart Consulting Sourcing, the podcast where we unpack everything you need to know about consulting and how to get the most value from it. I’m your host, Helene Laffitte, CEO of Consulting Quest—the only global firm specialized in consulting procurement. If you’re a procurement, strategy, or finance professional looking to get better results from your consulting spend, you’re in the right place.
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Today, we’re tackling one of the biggest trends reshaping the consulting landscape: the rise of specialized and niche consulting.
Now, generalist consultants have been—and still are—an important part of the consulting world. They’re great when you need someone who can look across multiple functions and connect the dots. Whether it’s a complex restructuring or a broad strategic initiative, they offer a wide-angle lens on your business. But, when you’re facing a highly specific challenge, like integrating AI into your supply chain or navigating a complex regulatory framework, that’s when the niche experts come in.
So, if you’ve ever wondered whether you should be calling in a generalist or a specialist, this episode is for you.
Consulting has been around far longer than many of us realize—did you know that Marco Polo, Colbert, and even Alexander Hamilton was, in a sense, early consultants? They didn’t call themselves that, of course, but their role was similar: offering expert advice to decision-makers of their time.
Fast forward to today, and consulting has evolved alongside business and technology. Specialized consulting, in particular, has become increasingly important as industries and challenges become more complex. And that’s exactly what we’ll be diving into today—how specialized consulting has risen to prominence and why it might be exactly what you need to solve your most pressing challenges.
Let’s jump in.
The Shift from Generalist to Specialist
Now, let’s take a little walk through the history of consulting and see how we got to where we are today. Consulting as a formal industry really began to take shape during the second industrial revolution in Europe at the end of the 19th century. Businesses were facing complex new challenges—scaling operations, managing supply chains, and handling the early days of industrialization. They needed advice, and that’s when consulting firms like Arthur D. Little first emerged.
At that time, generalist consultants were the go-to choice. They helped companies tackle broad business issues, and for good reason. A generalist could come into an organization, look at operations, processes, and management structures, and provide a solid overall strategy. They were especially useful when businesses needed someone who could connect the dots across multiple departments.
Generalists are still essential today. When you’re dealing with something like a company-wide restructuring or a merger, a generalist can help you see the big picture, guiding you through the strategy and execution. It’s like having a multi-tool—you’ve got everything you need to fix a lot of different things.
But—and here’s where things get interesting—as industries and technologies evolved, businesses started facing challenges that were far more specific. For instance, a company trying to implement artificial intelligence doesn’t just need general advice—they need someone who understands the ins and outs of AI, from the algorithms to the integration with their existing systems.
That’s when niche consulting started to rise. Companies needed deeper expertise—specialists who could zero in on a problem and deliver a tailored solution. It’s a bit like hiring a personal trainer. Sure, a general fitness instructor can help you stay fit, but if you’re training for a marathon, you want someone who knows exactly how to prepare you for that 42km.
And the more complex business gets, the more important these specialists become. From cybersecurity to digital transformation, niche consulting has become a necessity for businesses dealing with cutting-edge challenges.
The Rise of Niche Consulting
As businesses and industries became more complex, the consulting world had to evolve to keep up. The rise of specialized or niche consulting came out of necessity, driven by industries that needed more than just broad advice. They needed deep expertise.
Let’s fast-forward to the 1950s and 60s. This is when strategy consulting took centre stage, led by firms like McKinsey and BCG. They didn’t just advise companies—they developed strategic frameworks that still shape business thinking today. One example is BCG’s famous Growth-Share Matrix, which helped companies figure out where to allocate resources. Another is the Experience Curve, which demonstrated how costs decrease as companies gain more experience. These frameworks were revolutionary and showed that strategy wasn’t just about making decisions—it was about using data and analysis to guide those decisions.
But here’s the thing: as business challenges became more nuanced, the need for even more specialized knowledge grew. Technology was advancing, markets were globalizing, and industries like healthcare, finance, and IT were becoming so complex that a generalist approach just wouldn’t cut it anymore. A company looking to implement a new ERP system, for example, couldn’t just rely on high-level advice—they needed a consultant who lived and breathed ERP systems.
By the 1980s and 90s, we saw the explosive rise of IT consulting, with the Big Four accounting firms and others stepping into this new niche. IT consultants became indispensable as businesses grappled with digital transformation, enterprise resource planning, and the rise of the internet. This wasn’t just about giving advice anymore—it was about implementing systems, optimizing them, and making sure they worked seamlessly with existing operations.
And now, niche consulting has spread across virtually every industry and function. Whether you’re dealing with cybersecurity, AI, sustainability, or supply chain optimization, there’s a specialist out there who knows the subject inside and out.
To put it in perspective, niche consultants are like expert surgeons. If you’re dealing with a general health issue, you’ll go to your GP—a generalist who can give you a solid overview. But if you’re dealing with something specific, like heart surgery, you don’t want just anyone—you want a cardiac specialist. The same goes for your business challenges. When you’re dealing with something complex and critical, you need an expert in that exact area.
This shift toward specialization is also being fuelled by technology. New fields are emerging so quickly that it’s impossible for one person or firm to stay on top of everything. Think about AI, blockchain, or data science. These fields are evolving at breakneck speed, and companies need consultants who are on the cutting edge, constantly updating their knowledge and skills. That’s why niche consulting is growing—it’s meeting the need for highly specific, highly relevant expertise.”
And soon enough, we might even see consultants who specialize in helping you find the right consultants—a bit like a meta-consultant, if you will. Actually… that’s us! At Consulting Quest, we help you source the perfect consulting talent for your needs.
Benefits of Going Niche
So, why is specialized consulting such a game-changer? What’s the real advantage of choosing a niche consultant over a generalist when it comes to tackling your business challenges?
First and foremost, it’s about expertise. Niche consultants are specialists—they don’t just have a broad understanding of the industry; they have deep, specific knowledge. Whether it’s AI integration, supply chain optimization, or ESG strategies, they know the nuances because they’ve spent years mastering that specific area. Think of it like bringing in a cardiac surgeon for heart surgery. You wouldn’t want just any doctor—you want the one who’s done this procedure countless times.
But there’s something else that sets niche consultants apart—real-world experience. This is an area where large consulting firms often struggle. While they have the resources and brand name, they also tend to rely heavily on pools of young, smart, but less experienced consultants. And that can lead to what I call the ‘school bus problem.’ You end up with a team of very bright junior consultants, who are following the playbook laid out by the senior partner—the expert who you never actually see in the field.
Now, don’t get me wrong, these juniors are sharp, but they’re still applying methodologies without the flexibility that comes from experience. If something unexpected happens on the project, they might not have the expertise to adapt on the fly. This is where niche consultants shine. With smaller boutique firms, you’re more likely to have senior consultants on the ground—people who’ve been through similar challenges and can adjust the approach as needed.
Niche consulting firms are also typically more flexible. Because they’re smaller, they can tailor their services to fit your exact needs and pivot quickly when necessary. That adaptability is incredibly valuable, especially in fast-moving industries like tech or healthcare.
And let’s not forget about cost. Surprisingly, niche consultants are often less expensive than their larger counterparts. With smaller overheads and a leaner business model, boutique firms can provide specialized expertise without the massive price tag.
So, with all that expertise, flexibility, seniority, and lower cost, it’s clear why niche consulting is becoming the preferred choice for companies dealing with highly specific challenges.
Let me give you a personal example. It’s like when I take my son to his rugby practice. Now, my son is smart, and he can use Waze, so he’ll usually get us there just fine. But he’s only 16, after all, and he knows just one route. If we hit a strike or a roadblock—being French, it’s always a possibility—we’d be stuck. Luckily, I played for the same team, and I know several routes to that rugby pitch. So, no matter what happens, I can get us there on time. That’s the difference—experience and adaptability.
How to Choose a Specialised Consultant
When it comes to choosing the right consultant, there are really two key steps. The first is finding the right consultants, and the second is selecting the one that fits best. Both of these steps are crucial to making sure your project is a success.
Step 1: Finding the Right Specialized Consultants
Specialized consultants are, by definition, harder to find. Unlike generalist firms, which have a broad range of services, specialized consultants focus on a limited set of capabilities and industries. It’s a bit like the difference between finding a fork and a needle in a haystack. If you’re looking for someone with deep expertise in a specific area—like AI integration for supply chain logistics or upstream operations in Oil & Gas—you’ll need to be prepared for a more focused search.
So, how do you find the right one?
First, start with capabilities and industry experience. Because specialized consultants focus on very specific areas, it’s critical to match their expertise to your project’s needs. For example, if your project is in the Oil & Gas sector, do you need a consultant with a broad understanding of the industry, or do you need someone who specializes in upstream operations, exploration, or production? The more specific your need, the more important it is to find a consultant with exactly the right experience.
Next, think about geography and footprint. Many specialized consultants operate in niche markets and may not have a global presence like larger firms. If your project spans multiple countries, make sure the consultant has experience in those regions or can operate effectively across borders. And while larger firms may have more extensive networks, specialized consultants often have deep expertise in particular regions, which can be a significant advantage.
Finally, keep in mind that size matters. Specialized consultants often work in smaller, boutique firms. If you need to move quickly or cover multiple locations, you may need to consider whether the consultant has the resources to meet your timeline. On the other hand, if your project is more focused and localized, a smaller firm could offer the agility and personal attention you need.
Now, here’s the secret to finding the right specialized consultant: it’s twofold—do your research and talk to them. Because these consultants operate in narrow fields, it might not be immediately obvious who the best fit is. But the more time you spend researching and having conversations with potential consultants, the more you’ll understand who has the expertise you need. Don’t be afraid to dig into case studies, ask for references, and spend time discussing their previous projects to gauge whether they truly fit your needs.
Step 2: Selecting the Best Fit
Once you’ve identified a few specialized consultants with the right capabilities, the next step is to select the one that’s the best fit for your project. Here’s how to make sure you’re picking the right partner.
First, pay close attention to their track record. With specialized consultants, this is absolutely critical. You’re not just looking for someone with general experience; you want someone who has worked on projects just like yours. The more relevant their past work, the more likely they are to have the in-depth expertise you need. Ask them about similar projects they’ve delivered and what specific results they achieved.
Next, consider the team dynamics. With niche consultants, you have an advantage here. Since specialized consultants tend to come from smaller boutique firms, the people you’re speaking with during the proposal stage are likely to be the same ones working on your project. This makes it much easier to assess whether they’ll be a good fit for your team. You’ll have more confidence knowing that the senior consultants you’re discussing the strategy with will be the ones executing it, not delegating it to a less experienced team.
Then there’s cultural fit. While this is always a factor, it’s often less crucial when working with specialized consultants, particularly because they tend to handle smaller, less global projects. That said, it’s still important that they can collaborate well with your team and communicate effectively. You want to ensure there’s a level of comfort and trust between your organization and the consultant.
Finally, let’s talk about cost and value. Here’s where things get interesting with specialized consultants. Yes, some expert consultants may have high daily rates, and they might be more expensive than you initially expect. But that’s because seniority and deep expertise come with a price—and we’re not talking about commoditized expertise here.
This is real, in-depth knowledge that can solve complex problems efficiently. Specialized consultants often complete work faster and with fewer people because they have the experience and skill to get things right the first time. So, while their daily rate might be higher, the overall project cost could be lower than using a larger firm that requires more time and resources. The key is to look at the full picture—value delivered vs. cost, not just the price tag.
And now, before we wrap up, here comes the part where we indulge in a bit of shameless self-promotion. But hey, it’s for your benefit, we promise!
Let’s talk about consource.io. It’s our SaaS platform that streamlines the entire consulting procurement process. Whether you’re finding consultants, writing RFPs, or managing contracts, Consource.io makes it easy to ensure you’re getting the best expert for your project. We screen over 4,000 consulting firms and help you identify the perfect match for your needs.
So, if you’re ready to make the consulting procurement process easier and more effective, head over to Consource.io or visit our website to learn more. Shameless self-promotion complete!
So, what have we learned today?
The world of consulting has evolved, and the rise of specialized and niche consulting is reshaping how businesses get the expertise they need. Generalist consultants still have an important place when you need a big-picture strategy, but when it comes to highly specific, complex challenges, specialized consultants are the ones who can really make a difference.
In a nutshell, here’s what you should remember:
- Specialized consultants bring deep expertise and seniority that can make all the difference for complex, specific challenges.
- Don’t just look at the price tag—focus on value delivered vs. cost. Sometimes higher daily rates actually save you time and money in the long run.
- Finding the right consultant requires research and conversations. Do your homework and talk to potential consultants to make sure they fit your exact needs.
- And finally, when it comes to execution, niche consultants often have the advantage of flexibility and direct involvement. You’ll likely get the senior consultant you talked to, not a team of juniors.
So, the next time you’re looking for expertise, make sure you’re thinking about who’s the right kind of smart for your challenge.
Thanks for tuning in to Smart Consulting Sourcing. If you enjoyed today’s episode, don’t forget to subscribe to the podcast and check out our YouTube channel for more insights on how to source and manage consulting services effectively.
If you’re ready to go digital and streamline your consulting procurement process, check out Consource.io. It’ll help you find the right consultant, write the RFP, manage contracts, and oversee the project—all from one platform.
But if you prefer to go the traditional route and work directly with a team of experts, we’ve got you covered at Consulting Quest. We’re here to help you source and manage consulting services the old-fashioned way, with a personal touch.
Either way, I’m always game for a chat. Just reach out, and we’ll figure out what’s best for you!
Happy Sourcing, and Au Revoir!
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