the market for quality certification of consulting services system analysis...
TRANSCRIPT
September 2014
The Market for Quality Certification of Consulting Services
Market System Analysis
“This Publication has been funded by UK aid from the UK Government; however the views expressed does not necessarily reflect the UK Government’s official policies.”
“This Publication has been produced with the assistance of the European Union. The content of this publication does not reflect the views of the European Union.”
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Contents
List of Acronyms 5
Executive Summary 8
Overview 11
Background 13
Scope of the Study 14
Problem Statement 14
Methodology 14
Analysis 16
Characteristics and Key Constraints of the Supply and the Demand 19
Conclusions and Recommendations 28
Annexes 29
Annex 1: List of Consulting and Accredited Training Providers 30
Annex 2: List of Examination Institutes 33
Annex 3: Validation Workshop 34
Annex 4: The Accredited Consulting Practices (ACP) Process and the Ten Requirements 36
Annex 5: Individual Certifications 39
Annex 6: Key Findings and Recommendations of the Diagnostic Study 49
Annex 7: The American Society for Quality (ASQ) Certification 50
Annex 8: The ICMCI Code of Ethics 51
Annex 9: Benefits of Six Sigma/Minimum Expectations of a Six Sigma Black Belt (SSBB) 52
Annex 10: Action Plan NES 1.2.2 54
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AAPM American Academy of Project Management
ACP Accredited Consulting Practices
AMCC Accredited Management Consultancy Course
ASQ American Society for Quality
BABOK Business Analysis Body of Knowledge
BPSES Business and Professional Services Export Strategy
BSPs Business Service Providers
CAM Communications, Advertising and Marketing
CBAP Certified Business Analysis Professional
CBME Certified Business Management Expert
CCBA Certification of Competency in Business Analysis
CCE Centre for Continuing Education
CEN European Commission for Standardization
CFA Chartered Financial Analyst
CIM Chartered Institute of Marketing
CM Certified Manager
CMA Certified Management Accountant
CMC Certified Management Consultant
CQA Certified Quality Auditor
CQE Certified Quality Engineer
DFSS Design for Six Sigma
DFX Design for Excellence
List of Acronyms
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DMAIC Define, Measure, Analyse, Improve and Control
DOE Design of Experiments
EN 16114 European standard that provides guidelines for the effective delivery of management consultancy services
EU European Union
FEACO European Federation of Management Consultancies Associations
FMEA Failure Mode Effects Analysis
FNMD Facility for New Market Development
HR Human Resources
ICMCI International Council of Management Consulting Institutes
ICPM Institute of Certified Professional Managers
ICT Information and Communication Technology
IIBA International Institute of Business Analysis
IMCs Institutes of Management Consultants
IPMC International Project Management Commission
ISMM Institute of Sales and Marketing Management
ITC International Trade Centre
MBB Master Black Belt
MCP Management Consultant Professional
MCSPs Management Consulting Service Providers
MDA Market Development Approach
MMC Master Management Consultant
MPM Master Project Manager
MSMEs Micro-, Small- and Medium-Sized Enterprises
NES National Export Strategy
Ofqual Office of Qualifications and Examinations Regulation
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PalTrade Palestine Trade Centre
PHR Professional in Human Resources
PMDP Palestinian Market Development Programme
PMI Project Management Institute
PMP Project Management Professional
PR Public Relations
PRINCE2 Projects IN Controlled Environments
PSI Palestine Standards Institution
ROI Return on Investment
SMEs Small- and Medium-Sized Enterprises
SPC Statistical Process Control
SPHR Senior Professional in Human Resources
SSBB Six Sigma Black Belt
TPM Total Productive Maintenance
UAE United Arab Emirates
UK United Kingdom
UKAS United Kingdom Accreditation Service
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The goal of this study is to contribute to a better understanding of how the firm quality certification1 for the management consulting service providers (MCSPs) market system operates by identifying the potential certificates for (firm level MCSPs) that would support better performance and improve the quality of services to their clients.
The Palestinian Market Development Programme (PMDP) carried out this market analyses to identify how the supply and demand market for quality certification between the certification providers and the MCSPs operate and what factors drive underperformance in order to facilitate addressing the root causes of underperformance. The original assumption was that there is a low quality services delivered by the MCSPs and one solution is for a firm acquire quality certification. The facility for new market development (FNMD) conducted a market system analysis of the business services provision titled “Business Services Sector Market Analysis”. The study laid out the constraints in the market system and clearly stated that there is a problem with the quality of delivered services by the MCSPs to their clients.
Methodology
The study uses a market development approach (MDA) as the main tool for diagnosing the certification market system. A desk research, structured interviews, bilateral meetings, workshops and focus groups were used to analyses The following sections describes the methodology and in some details the used tools to collect the data, the analyses results was validated with the key stakeholders to maintain independency and impartiality in judgments.
At the firm level
The results were limited to two specific standards: the Accredited Consulting Practices (ACP), which is a global audited standard which has been developed by the International Council of Management Consulting Institutes (ICMCI) for the competence and professionalism of management consultants. ACP defines a set of core, minimum requirements for management consulting organizations, which has direct and indirect benefits to the management consulting firms and consultants as well as the profession itself. While the second is EN 161142 which is a European standard released in 2011 that provides guidelines for the effective delivery of
1 Certification is the procedure by which a third party gives written assurance that a product, process, system, or person conforms to specified requirements (UKAS). 2 http://www.en-standard.eu/csn-en-16114-management-consultancy-services
Executive Summary
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management consulting services and is applicable to all MCSPs: public and private companies, government entities, not-for-profit organizations, and internal consultancy units, regardless of their ownership, structure, size, and specialization, both of which focus mainly on management consulting.
Characteristics and key constraints of the supply and demand
The main characteristics of the supply side are the lack of local suppliers and the weak connections between potential local providers and current international providers, while The main supply-side constraint stems from the absence of local providers combined with the complications, the extended process, and the weak value proposition by the global suppliers. In addition, global suppliers implement weak promotional efforts to create demand by local clients.
The Demand Side (No Local Demand for ACPs)
The Local cluster of MCSPs is small-sized companies with a total number fewer than 40 private firms3. These companies are still in need to understand the certification requirements as they have not yet decided to invest in certification. Firms are mostly not specialized due to the small market and the fact that they face strong competition from freelancers with full time jobs who work in the management consulting industry.
The main constraint on the demand side is that MCSPs do not see certification at the firm level as a priority in the short run.
They key finding for this analyses was the low perceived value for the firm level certification and the high perceived value for the individual certification, as the demand on the firm level certification is very limited.
Why the ACP doesn’t address the problem
In spite of the above benefits for the ACP, yet the local MCSPs underestimate the value of global certifications. The simplest reason is that their current market doesn’t require such a systemic audited scheme.
Why the EN 16114 doesn’t address the problem
Although EN 16114 is a valuable standard that was developed to contribute to a better management consulting profession, it is still not widely spread around the globe. This European standard does not impose or interfere with any contractual obligations or intellectual property rights. Also, it does not require or imply a need for third-party certification.
3Business and professional services export strategy- Paltrade 2014
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At the individual consultant level
Though the individual certification was not at the core of this market system analysis, it is difficult to avoid addressing this option as it has a direct influence on the MCSPs business industry. This document discusses in some detail selected examples of available certificates and certifications in the following fields that have been earlier highlighted in the FNMD study: 1) management consulting, 2) HR, 3) marketing, 4) business and financial services, and 5) quality management. The recommended certificates help develop the quality, productivity, and efficiency of the consultants in particular and accordingly MCSPs.
Other Non-Certification
Other non-certification options that could contribute to the improvement of the sector performance include: A specialized Sector Representative Body e.g. (Institute of Management Consultants (IMC) Chapter in Palestine) a classification or ranking system; Clustering of a group of management consulting firms; membership in international recognized bodies (ICMCI); teaming up with international consultants, and the a adoption of a professional code of conduct were highlighted as other options that contributes to enhancing the quality of delivered services.
Conclusion
The most significant findings of this market system analysis could be summarized in the following.
Firm level certification is not the most appropriate solution at this point;
Short-term focus should be on: o Individual level professional management consulting certification; o Teaming up with international companies; and o Supporting creating the awareness of a Palestinian institute of
management consultants (IMC); as part of a longer list of recommendations.
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The Palestinian Business and Professional Services Sector
As indicated in the Palestine Business and Professional Services Export Strategy (BPSES), the vast majority of firms in this sector are micro- and small-sized enterprises. In 2012 there were 3,134 establishments operating in the business and professional services sector, employing 10,056 (part-time or full-time) employees. The total figures represent all service providers including business consulting, translation, editing, accounting and auditing, advertising, event management, public relations (PR), education and training, and staffing.4 Figure 1 below shows the breakdown of the business and professional services sector by activities in Palestine.
Figure 1: Distribution of Operating Establishments in the Business and Professional Services Sector in Palestine by Sub-Sector
Source: BPSES (Pal-Trade, 2014)
Legal firms represent 50% of the total number of operating establishments and 31% of the total employment (see Figure 2). With regards to management consulting, the number of firms engaged in such activities in Palestine is 36 with total employment of 212 persons. Meanwhile, the 23 market research and public opinion polling firms employ 180 persons. Figure 2 below shows the distribution of employment per sub-sector.
4 BPSES (Pal-Trade, 2014)
1,573
306 36
638
389
23
161
6 2 Legal
Accounting
Management Consulting
Architecture and TechnicalConsultingAdvertising
Market Research and PublicOpinion PollingSpecialized Design Activities
Employment PlacementAgenciesCustomer Care Centers
Overview
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Figure 2: Distribution of Employment in the Business and Professional Services Sector in Palestine by Sub-Sector
Source: BPSES (PalTrade, 2014)
It is worth mentioning that the State of Palestine National Export Strategy (NES) has attributed the growth opportunity in the business and professional services sector exports to the following factors5:
High levels of development project activities driven by a plethora of donor and technical agencies active across a variety of sectors and activities;
An entrepreneurial culture that has exhibited resilience and a tendency to rebound with enhanced stability;
Principles of a free market economy adopted by the government, which, while beset by multi-dimensional challenges, have overall facilitated increased entrepreneurial activities;
Relative detachment from mobility restrictions that have constricted tangible goods-based sectors such as stones and marble, leather and footwear, fruits and vegetables, and others; and
The sector is human capital intensive and therefore coped relatively (even if only slightly) better during the Intifada and other periods of unrest than other sectors that are technology intensive and thus faced equipment/facility damages.
5 BPSES (Pal-Trade, 2014)
3,117
990
212
2,704
1,560
180 353
20 920
Legal
Accounting
Management Consulting
Architecture and TechnicalConsultingAdvertising
Market Research and PublicOpinion PollingSpecialized Design Activities
Employment Placement Agencies
Customer Care Centers
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In 2011 the Palestinian Facility for New Market Development (FNMD) conducted a market system analysis of the business services provision titled “Business Services Sector Market Analysis”. The study laid out the constraints in the market system and clearly stated that there is a problem with the quality of delivered services. The Palestinian Market Development Programme’s (PMDP) terms of reference, building on the previous assumptions, suggested that a firm level certification process will contribute to the improvement of the quality of services.
As a follow-up to that study, the PMDP team conducted a workshop on 3 February 2014 that presented and discussed the findings of the study as part of the analysis of the supply, demand sides and support functions of the business service providers (BSPs) certification market system.
In addition to the FNMD study, the analysis took into consideration the findings of the BPSES (see Annex 6), which was developed as part of the NES. The BPSES aims to propose robust solutions to technical constraints faced by the export value chain of the business and professional services sector. As a technical strategy, it does not attempt to address political level challenges that nevertheless also restrict the sector.
The main findings of the FNMD and the BPSES can be summarized as follows:
Many BSPs lack the capacity, skills, innovation, and actual experience in business, which makes it difficult for them to provide practical advice;
BSPs have failed to develop appropriate products and effective delivery mechanisms to meet the needs of the clients;
Quality standards are mostly set for tangible goods and not for services; thus, there are no quality standards in place for most of the sub-sectors;
BSPs face donor-driven requirements in terms of offers and services; Service consumers are not aware of their main weaknesses and the gaps in
their knowledge; There is a lack of confidence among micro-, small-, and medium-sized
enterprises (MSMEs) that the service for which they pay will solve their problem;
The majority of clients are price sensitive; The workforce is educated but exhibits limited skills; and Specialized business associations are not available.
Background
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The ultimate goal of this study is to contribute to a better understanding of how the quality certification6 for the management consulting service providers (MCSPs) market system operates by identifying potential certificates (firm level MCSPs) that support better performance and improve the quality of services.
BSPs provide low quality services as one example of a market failure that was
identified through the FNMD; 7 Small- and medium-sized enterprises (SMEs) lack productivity and
competitiveness because they do not use BSPs; and Consumers of BSPs services are not able to identify the good BSPs.
The study uses a market development approach (MDA) as the main tool for diagnosing the certification market system. The MDA analyzes the core relationship (supply and demand) along with the support functions, rules, and regulations to determine the binding constraints within the market system in order to facilitate systemic interventions. To collect the needed information for the analysis, the team conducted desk research, structured interviews, bilateral meetings, workshops, and focus groups.
6.1 Desk Research
As a starting point to help better understand the current situation in the market system, the team conducted a thorough review of available documents, including the FNMD study and the NES (see Annex 6) along with online resources such as the International Trade Centre (ITC) Standards Map, the Business Training Institute, the American Society for Quality (ASQ) (see Annex 7), and reviews of the top 50 consulting firms in the world. In order to explore the management consulting firm
6 Certification is the procedure by which a third party gives written assurance that a product, process, system, or person conforms to specified requirements (UKAS). 7 BSPs are all for-profit consultancy firms, organizations, and educational institutions that provide business services for the development of the private sector such as in the areas of HR development, financial services, marketing, exports, standards, and others.
Scope of the Study
Problem Statement
Methodology
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level systemic audit certifications and to learn about the availability and requirements of such certification schemes, the team aimed to compile a list of the available firm certifications designated for management consulting and of the certification examination bodies (see Annex 1 and Annex 2).
6.2 Structured Interviews and Bilateral Meetings
Further specialized discussion on certification and standards was conducted with local MCSPs (the demand side of certification), which aimed to better define the characteristics of the demand side and the root causes of the weak performance as well as potential solutions that support the enhancement of the quality of deliverables. Another goal of the discussion was to measure the top management’s perception of firm level certification and their knowledge of the relevant international quality standards, guidelines, and best practices in addition to the practicality of applying such standards and guidelines in order to explore whether certification could solve their problem or at least contribute to unlocking new markets for them. Finally, the team studied the MCSPs’ willingness to invest in certification and membership in international organizations.
6.3 Workshops and Focus Groups
These activities aimed to explore the available possibilities and test the interest of the participants in obtaining certification. The first workshop was conducted to present and discuss the findings of the FNMD study on the “Business Services Sector Market Analysis”. The workshop hosted 82 participants from 49 BSPs, two universities, the Palestine Standards Institution (PSI), and one donor project in the West Bank. The workshop aimed to validate and to build a consensus on the conclusions and results of the study. A second workshop was conducted in the Gaza Strip, attended by 28 participants representing 23 BSPs in the Gaza Strip. To follow up on the issue of higher standards and certification, the PMDP organized a focus group on 11 February with the participation of four training companies, the PSI, and the Birzeit University Center for Continuing Education (CCE). A validation workshop was held on 4 September, which aimed to validate the findings of the analyses as well as to disseminate the information to the key actors in the sector. This final workshop also aimed to initiate a discussion whether firm level certification is the proper tool for enhancing the quality of services provided by MCSPs and to introduce some of the potential interventions by the PMDP (see Annex 3).
In order to address this problem, the team started with analysis of firm level certification as this issue is at the core of the market system analysis. However, in the process, additional options at different levels like certification and non-certification were considered. The following section represents the findings on the firm level standards and certifications.
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7.1 At the Firm Level
Research was conducted to better understand the international best practices in the field of BSPs certification at the firm level. The results were limited to two specific standards: the Accredited Consulting Practices (ACP) and the European Service Standard EN 16114 Management Consultancy Services, both of which focus mainly on management consulting. The team also reviewed the ITC Standards Map, which identifies over 130 standards related to various products and services. Nevertheless, none of the standards listed in the ITC Standards Map matches the sought certification. The following section represents the findings.
7.1.1 Accredited8 Consulting Practice (ACP)9
The ACP is a global audited standard which has been developed by the International Council of Management Consulting Institutes (ICMCI) for the competence and professionalism of management consultants which are accepted by its member institutes. Currently operating in around 50 countries, this standard defines a set of core, minimum requirements for management consulting organizations. The ACP scheme is operated through the member institutes of the ICMCI.10
The following steps have to be accomplished by the management consulting firms as a prerequisite to obtain the ACP:
Establishing a national management consulting institute (as a representative body); and
Obtaining the ICMCI membership.
To obtain the ICMCI membership, organizations are required to go through a process (see Annex 4) that includes the following requirements11:
The Organization is confirmed as being a valid ACP Candidate;
8 Accreditation is a formal recognition by an accreditation authority of the technical and organizational competence of a conformity assessment body to carry out a specific service in accordance to the standards and technical regulations as described in its scope of accreditation (UKAS). 9 ICMCI-ACP-001 (ICMCI, 20 May 2013) 10 http://www.icmci.org 11 ICMCI-ACP-001 (ICMCI, 20 May 2013)
Analysis
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Its Professional Processes are assessed to assure they are appropriate for developing consultants to the Certified Management Consultant (CMC) Standard;
Its Professional Standards are assessed to assure they are at least equivalent to the CMC Standard;
The Institute Assessors are suitably trained/qualified, briefed and quality assured;
ACPs are formally accredited by the Institute, for a maximum of 3 years; ACPs are empowered to propose CMC Candidates to the Institute; CMC Candidates from ACPs are subject to lesser scrutiny by the Institute; The Institute nevertheless reserves the right to fully scrutinize any CMC
Candidate from an ACP. CMCs from ACPs are individual members of the Institute, on the same basis
as direct CMCs; and The Institute has the right to withdraw ACP status at any time.
ACP Value Proposition
Although the size of the management consulting firm has a direct influence on the value proposition for the ACP, yet this is irrelevant to the Palestinian management consulting firms which have been categorized under SMEs. However the medium sized could benefit by having their core management processes defined and, through the ACP process, reviewed and audited. For the smaller firms, the ACP can help ensure that effective management processes are in place to manage and grow their business.
In this section we summarizes why a management consulting firm should invest to become ACP. This value proposition should convince the MCSPs that this investment will add more value or better solve a problem than other similar offerings. Following are the three main reasons for a company to invest in adopting a standard or in a certification process:
Market access: BSPs would consider adopting a standard or certification if this is related to market accessibility;
Differentiation: BSPs would adopt a standard or certification if this will differentiate them from other BSPs, which is not the case in the local market; and
Productivity and efficiency: BSPs would adopt a standard or certification if this will contribute to the enhancement of their productivity and efficiency.
However for the main benefits for adopting the ACP is well defined below.12
12 http://www.icmci.org/
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ACP Benefits to Firms
The professional standards and ethics of the practice in combination with the recruitment, training, development, supervision, review, and quality assurance processes for management consultants meet internationally recognized standards in management consulting;
These professional standards and processes are regularly audited, reviewed, and accredited through the national institute responsible for maintaining standards in management consulting;
Its consultants either are CMC or are working towards that goal; It offers its consultants a career plan and continuing professional
development in cooperation with the professional institute; and Certified companies will become a more attractive employer and therefore
be better able to attract and retain talent.
ACP Benefits to Individual Consultants
They can plan self-development and self-assessment of personal professionalism and ethics against international standards;
They will be actively encouraged to seek the CMC qualification with all its attendant benefits; and
The process of achieving the CMC qualification can be more easily accommodated within their daily work.
ACP Benefits for National Institutes
It supports their mission to maintain and raise standards of competence and professionalism in the practice of management consulting;
It provides a basis for a wider relationship with larger practices, engaging them in the activities of the institute; and
It provides the opportunity to increase membership among consultants who work for larger practices.
Nevertheless, there are sets of requirements for management consulting firms, which must be met in order to be recognized by the ICMCI as ACP, in addition to the registration and subscription fees.
7.1.2 EN 16114 Standard
EN 16114 is a European standard released in 2011 that provides guidelines for the effective delivery of management consulting services and is applicable to all MCSPs: public and private companies, government entities, not-for-profit organizations, and internal consultancy units, regardless of their ownership, structure, size, and
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specialization. This standard gives recommendations for carrying out management consulting services.13
EN 16114 was designed by the consultancy industry and procurement experts from across Europe including the ICMCI and the European Federation of Management Consultancies Associations (FEACO) under the guidance of the European Committee for Standardization (CEN).
EN 16115 Benefits
The adoption of EN 16114 will contribute to the competitiveness and business performance of both the MCSPs and their clients, based on the transparency of the market, offers, quality criteria, responsibilities, results, and cost-effective, high-quality and innovative management consulting services delivering added value to businesses and corporations. The following are the main characteristics of EN 16114:
EN 16114 is an optional standard, written as guidance; It protects innovation and differentiation; It focuses mainly on all MCSPs and not on the clients; It emphasizes the importance of understanding client needs; The adoption of the standard does not require certification; and It is based on outcomes.
7.2.1 The Supply Side (No Local Supply of ACPs)
Globally there are around 50 Institutes of Management Consultants (IMCs), which are the main providers of the global management consulting standards and certificates. The main characteristics of the supply side are the weak connections between potential local providers and current international providers, a need to know more about demand, and further weaknesses in presenting the value proposition to clients. It should be noted that the PMDP team contacted the IMC Jordan, which confirmed the ability to provide the ACP although the process is complicated. Table 1 in the following section shows the total number of ACPs.
The main supply-side constraint stems from the absence of local providers combined with the complications, the extended process, and the weak value proposition by the
13 http://www.en16114.eu/
Characteristics and Key Constraints of the Supply and the Demand
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global suppliers. In addition, global suppliers implement weak promotional efforts to create demand by local clients.
7.2.2 The Demand Side (No Local Demand for ACPs)
Local MCSPs are small-sized companies with a total number fewer than 40 private firms. These companies are still in need to understand the certification requirements as they have not yet decided to invest in certification. Firms are mostly not specialized due to the small market and the fact that they face strong competition from freelancers with full time jobs who work in the management consulting industry.
The main constraint on the demand side is that MCSPs do not see certification at the firm level as a priority in the short run.14 Yet, MCSPs share a perception that the currently delivered assignments match clients’ expectations. These firms lack information about firm level certification and believe that clients are not willing to pay more for extra certification.
When MCSPs were asked what they would do to enhance their capacities and the quality of the deliverables, they offered the following techniques:
Implement better methods in the selection of consultants (who are certified and experienced and pass successfully a practical assignment);
Adopt global best practices; Adopt individual certification15 (However, there are no strong contractual
terms, or rules and regulations, to guarantee consultants’ loyalty except for personal ethics); and
Apply creativity, intelligence, and innovation to determine the value proposition.
The chart below demonstrates the supply and demand analysis in details.
14 Only one out of thirty participants in the validation workshop confirmed that he will proceed with firm level certification no matter what that will take. 15 It is a challenge to retain certified consultants within the firm.
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Supply and Demand Market for Firm Level Certification for MCSPs
Certification Providers The majority of providers are
internationals The nearest is IMC Jordan, one
out of 50 IMCs around the globe Weak connections between
potential local providers and the current international providers
Need to know more about the demand
Supply Demand
MCSPs Need to understand
certification requirements Need to make a decision to
invest in certification Small-sized companies Wide range of areas of
specialty
Effective Market
Supply = Demand
Demand Constrains
Obtaining professional certificates requires full membership in international bodies
Weak value proposition to their clients
Suppliers’ efforts to promote certification do not create a demand in the Palestinian market
Need to know the importance and benefits of certification unless it is technical
No perception of the value of certification at the firm level
The local market does not require certification
Current clients are not willing to pay extra fees for certified MCSPs
Belief that to a large extent current services match demand
Supply Constrains
Growing Demands for International Certification
7.3 Why the ACP Does Not Address the Problem
In spite of the above mentioned benefits for the ACP, Yet the local MCSPs underestimate the value of global certifications. The simplest cause is that their current market doesn’t requires such a systemic audited scheme, The ICMCI statistics show a very limited growth in the spread of the ACP and even a decline in some EU countries. In specific, Denmark and Germany no longer have ACPs or consultants under the ACP, while the number of ACPs in the UK dropped by two-thirds between 2007 and 2013. Table 1 below compares the number of ACP institutes and ACP consultants in 2007 and 2013. The fact that the number of ACP institutes remains under 400 indicates the limited demand, and maybe relevance for the ACP worldwide.
Table1: Comparison between 2007 and 2013: Number of ACP Institutes and ACP Consultants
Institute16
Institute 2007
Number of ACP 2007
Number consultants with ACP 2007
Institute 2013
Number of ACPs 2013
Number of consultants with ACP 2013
Denmark 1 5 Croatia 15 32 Germany 4 5 Finland 1 400 - - - Iran 340 1100 Ireland 5 160 Ireland 12 393 Netherlands 3 73 Netherlands 6 57 - - - New Zealand 1 4 - - - Sweden* 1 50 UK 14 291 UK 5 80 USA 1 10 - - - Total 28 544 381 2116
7.4 Why EN16114 Does Not Address the Problem
Although EN 16114 is a valuable standard that was developed to contribute to a better management consulting profession, it is still not widely spread around the globe. This European standard does not impose or interfere with any contractual obligations or intellectual property rights. Also, it does not require or imply a need for third-party certification. It is neither intended for certification, regulatory or contractual use nor designed to be used as the basis for any personal or organizational qualification. Any offer to certify, or claims to be certified, by this standard would be a misrepresentation of the intent and purpose and a misuse of the standard. As this standard does not impose any requirements, no certification would be a demonstration of conformity with it. It is not intended to provide a basis for legal actions, complaints,
16 http://www.icmci.org/download/?id=17666844&
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defenses, or other claims in any international, domestic, or other proceedings, nor is it intended to be cited as evidence of the evolution of customary international law.17
Though the individual certification is not at the core of the analysis, it is difficult to avoid addressing this option as it has a direct influence on the business industry. Hereunder is a brief analysis.
7.5 At the Individual/Consultant Level
With regards to the individual consultants who work for the management consulting firms, a list of certifications18 and certificates19 has been provided though more options for certification schemes could be helpful to serve the BSPs and the MCSPs in particular. This document discusses in some detail selected examples of available certificates and certifications in the following fields that have been earlier highlighted in the FNMD study: 1) management consulting, 2) HR, 3) marketing, 4) business and financial services, and 5) quality management. The recommended certificates help develop the quality, productivity, and efficiency of the consultants in particular as well as management consulting businesses (for more details see Annex 5, which provides a list of existing certificates at the individual level). Unlike firm level certification, individual certificates are significantly more widely available, and their value is better perceived by business owners and individual consultants. However, the question remains whether a consultant would choose a simple training in an existing area of experience or would invest more in a certification process.
The following section identifies the rationale and main reasons for obtaining an individual certification.
Why Individual Certification Is a More Practical Solution
The main reasons for companies to obtain individual rather than firm level certification are the following:
The working core of any consulting firm is the consultants themselves, and business owners need highly qualified and skilled staff members to build a professional consulting firm;
Many consulting fields require specific certificates for technical and managerial qualifications, which might be applicable to individual consultants only; and
The certification process for individuals is less complicated.
17 http://www.en-standard.eu/csn-en-16114-management-consultancy-services/?gclid=CMnKsJLx_b8CFRHHtAod8BoA4A 18 Certification must be renewed by demonstrating continued competency to reflect knowledge. 19 A certificate is an evidence for passing certain training and has no expiry date.
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The main reasons for individuals to obtain certification are as follows:
It helps the consultant to enter new local and international markets; It gives the consultant the ability to work in new areas of business consulting with new
technical skills; and It provides the consultants with an opportunity to charge higher rates.
It is worth mentioning that obtaining certification for individual consultants raises a challenge for business owners to retain their consultants inside the firm. The best solution in that regard is to maintain excellent and fair terms of contracting, by sustaining a win–win situation for the consultants and the consulting firm. Otherwise, the entire industry may collapse as a result of hesitance about upgrading the consultants’ experience and knowledge.
7.6 Other Non-Certification
A number of ideas were introduced by interviewed consulting firms to be considered along with the certification option including:
A Specialized Sector Representative Body
There is a demand by various consulting firms for a representative body.
The following points represent the main roles and responsibilities of such a body:
To set the goals and selection criteria for its members; To regulate the work done by different firms; To rank or categorize the consulting firms based on criteria agreed on by the members; To promote the specialization of consultancy firms according to their qualifications,
expertise, and capacity; To improve the qualifications of registered consulting firms in different areas of
specialization; To identify the certifications and/or accreditations required by each specialty; To facilitate the access of consulting firms to international accredited centers; and To build on the PMDP initiative as a third trusted party, to update the current roster of
BSPs, and to ensure the classification of consultancy firms according to their qualifications.
Nevertheless, some other consulting firms expressed their skepticism about the feasibility of establishing such a body. They stated that several attempts had been made before to form a representative body for the consulting firms. However, none of these attempts was successful as the member firms struggled to define the terms of reference with a clear timeframe for its
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work. In addition, they were not able to gather a significant number of consulting firms from the West Bank and the Gaza Strip, so as to ensure the representative body’s influence on the entire sector.
Classification/Ranking of Local Consulting Firms
Classifying or ranking of the local consulting firms was highlighted as an option that contributes to enhancing the quality of delivered services, in addition to making it easier for the clients “services consumers ” to select their capable services providers, the study meant not to get into the details of how and who will carry out this assignment in the short term , Due to the absence of a representative body for the sector, however the team recommended to assign this job to a third party “a capable professional outsider firm or an organization ”, while the following represent examples of some suggested classification criteria at the firm level:
Years of experience; Number of full time/part time experts/consultants; Number of assignments conducted in the field of specialty; Volume of managed projects; Certifications obtained by the team; and Quality levels achieved (clients’ evaluation as per assignment).
Clustering for a group of local BSPs to target international market
This idea came out some MCSPs as a mitigation strategy, it’s obvious that the Palestinian management consulting services providers are small sized firms, lack the capacity to meet the international market needs, of which the is the size of the firm and intellectual capacity. So it worth considering to cluster a group of well qualified local firms to develop some businesses in the regional and global markets.
Membership in the ICMCI20
ICMCI is an international membership organization and a network of the management advisory and consultancy associations and institutes worldwide, who have a common purpose and shared values and goals.
The goal of ICMCI is to promote a closer working relationship between all management consulting institutes or organizations primarily dedicated to the registration or certification of individual management consultants. The purpose of this closer working relationship is to accelerate the achievement of mutual goals of the national institutes, particularly to assist them
20 http://www.icmci.org/about_icmci
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in raising the standards of the profession of management consulting and to create worldwide recognition and acceptance of the CMC (Certified Management Consultant) mark.
The core activities, focused on the promotion and improvement of the CMC value proposition, are to:
Achieve common objectives to improve the profession. Elevate standards of management consultants worldwide and increase acceptance of
management consulting as a respected profession. Encourage reciprocity between national institutes with recognized universal standards
and adherence to an International Code of Conduct. Promote the value of the CMC to international bodies who influence the selecting an
dues of management consultants. To become a member of ICMCI requires the existence of IMC either in the local market
or being affiliated with a regional office. The following represents the benefits for ICMCI members (IMCs):
It helps in gaining the international recognition and creates the global identity. It sets a common practices and standards such that a CMC will be seen at a professional
consistent level. To leverage the awareness and practice of CMC designation from the local institute
levels to international levels. To gain access to new “processes” like ACP. To gain access to ICMCI materials. To share best practices of global institutes and assisting in developing and maturing
institutes and raising the bar for all institutes To leverage the membership of the ICMCI for enhancing the image of the association
with its external stockholders.
While the following represents main benefits for the members of an IMC
Huge source for networking Enhance the companies intellectual property Provides the company with a pool of skilled people Optimize the training and development budgets
Other services could be delivered by an IMC
Regulation and standardization Training and training of trainers Certification Information
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Classification Networking: and Business promotion
Teaming up with International Consultants
The suggested idea is for the local firms to team up with international consultants to perform certain assignments as a practical training for local consulting firms. This should be clearly designed to build the knowledge of the consulting firm and the quality of its work.
Similar to partnerships with international consulting firms, this will support the development of the quality of deliverables for local MCSPs. However, this practice should be properly planned and the expectations should be managed; otherwise, this exercise may harm the local business and the sector reputation.
Adopting a Professional Code of Conduct
The idea is to develop a professional code of conduct customized for Palestinian MCSPs. This will contribute to the better organization of the profession while maintaining the success factors for the management consulting profession (independence, impartiality, qualifications, resources management, professionalism, organizational steering, and control). It is worth mentioning that commitment and buy-in by the key service providers at the individual and the firm levels are crucial factors in maximizing the benefits of a code of conduct. The main elements of a strong code of conduct should address: confidentiality, avoidance of unrealistic expectations, prohibition of financial interests and commissions, area of specialty assignments and conflicting assignments, deliberating with clients, and other arrangements with other management consultants (see Annex 8 for an example of a code of conduct).
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The most significant findings of this analysis are listed below:
Firm level certification is not the most appropriate solution at this point;
Short-term focus should be on: o Individual level certification; o Teaming up with international companies; and o Supporting creating the awareness of a Palestinian institute of management
consultants (IMC);
Meanwhile, the medium- and long-term focus needs to be on: o Building a consensus among MCSPs to develop and adopt a professional code of
conduct; o Supporting the clustering of BSPs to target international markets; o Supporting Palestinian MCSPs’ representation in the ICMCI; o Raising awareness about the need to create a certifying body for MCSPs; o Building a classification system for the MCSPs market; o Supporting consulting firms in conducting gap analysis based on the area of specialty
and technical requirements; o Supporting leading consulting firms to provide their consultants with the CMC and
the Accredited Management Consultancy Course (AMCC); o Encouraging local training providers to join accredited international institutions (see
Annex 10); o Supporting the conducting of specialized trainings on management consulting in
particular; o Creating awareness on the role of classification in helping beneficiaries differentiate
between BSPs.
Conclusions and Recommendations
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Annexes
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List of Consulting and Accredit Training Providers
# Name Contact Info Area
1 Advantage Learning Tel: +44 (0) 131 668 2445 Fax: +44 (0) 870 429 2049 Email: [email protected] Web: www.advantagelearning.co.uk
UK, North America, Europe, Africa, Middle East
2 AFA Projects Tel: +44 (0)1362 692973 Fax - +44 (0)1362 655429 Email: [email protected] Web: www.AFAprojects.com
Global
3 Aikona Management Ltd
Tel: +44 (0) 208 722 8389 Fax: +44 (0) 208 770 9555 Email: [email protected] Web: www.aikona.com
Face-to-Face: Worldwide operating from the UK
Distance Learning: Worldwide (on-line, CD, and paper)
4 Aspire Europe Limited Tel: +44 (0)1275 848099 Fax: +44 (0)1275 848099 Email: [email protected] Web: www.aspireeurope.com
UK, North America, South America, China, Europe, Baltics, Asia, Middle East, Africa, Australia, New Zealand
5 Blue Visions Management Pty Ltd
Tel: +61 (0)2 8908 9888 Email: [email protected] Web: www.bluevisions.com.au
Australia, Middle East, Asia
6 Bristol Management Centre
Tel: +44 (0) 117 949 1500 Fax: +44 (0) 117 975 3663 Email: [email protected] Web: www.bmc.ac.uk
Global
7 Core Integrated Solutions
Tel: +44 (0) 845 833 3210 Fax: +44 (0) 1264 326 471 Email: [email protected] Web: www.coreis.co.uk
8 Cupe Ltd Tel: +44 (0)1202 555711 Fax: +44 (0)1202 555722 Email: [email protected] Web: www.cupe.co.uk
Annex 1
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9 Edusys Services Private Limited
Tel: +91 (0) 80 4155 75 47/48/49 Fax: +44 (0)207 691 7259 Email: [email protected] Web: www.projstudy.com
Global
10 Global Knowledge Tel: +44 (0)1189 777 735 Fax: +44 (0)1189 777 767 Email: [email protected] Web: www.globalknowledge.co.uk
11 Global Project Performance
Tel: +31 (0) 30 22 11 987 Fax: +31 (0) 30 22 11 125 Email: [email protected] Web: www.globalprojectperformance.com
Western and Eastern Europe, UAE, Russia, Africa (FR and EN), North America, South America, Singapore, Hong Kong, Cameroon, Canada
12 HiLogic Pty Ltd Tel: +61 (0) 3 8676 0629 Fax: +61 (0) 3 8601 1180 Email: [email protected] Web: www.hilogic.net
Australasia, Asia
13 ILX Group Tel: - +44 (0)1189 832323 Email: [email protected] Web: www.ilxgroup.com
UK, North America, South America, Europe, Baltics, Asia, Middle East, Africa, Australia, New Zealand
14 Info Spec SdnBhd Tel: +60 (0) 3 7957 1806 Fax: +60 (0) 3 7957 1807 Email: [email protected] Web: www.infospec.com.my
Asia, Australasia
15 Insights PM Tel: +44 (0)1245 707423 Email: [email protected] Web: www.insights-pm.com
UK, Europe
16 The Knowledge Academy Ltd
Tel: +44 (0)1344 203 999 Fax: +44 (0) 1344 887 601 Email: [email protected] Web: www.TheKnowledgeAcademy.com
Global
17 Maxpert GmbH Tel: +49 (0) 69 500 65 126 Fax: +49 (0) 69 500 65 500 Email: [email protected] Web: www.maxpert.de
Germany, UAE
18 MentorixApS Tel: +45 (0) 72 44 12 34 Email: [email protected] Web: www.mentorix.dk
Global
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19 NES Aim Academy Tel: +44 (0) 161 942 2129 Fax: +44 (0) 161 941 4873 Email: [email protected] Web: www.nesaimacademy.co.uk
Global
20 PearceMayfield Tel: +44 (0)1235 227 252 Fax: +44 (0)1235 227 571 Email: [email protected] Web: www.pearcemayfield.com
Global
21 PM-Partners group Pty Ltd
Tel: +61 (0) 1300 70 13 14 Email: [email protected] Web: www.pm-partners.com.au
Global
22 PM-Partners group UK Ltd
Tel: +44 (0)1962 280019 Email: [email protected] Web: www.pmpartners.co.uk
Global
23 Project Performance Consulting Ltd
Tel: +44 (0) 1202 417332 Email:[email protected] Web:www.projectperformance.co.uk
24 Tanner James Management Consultants
Tel:- +61 (0) 1300 774 623 Fax: +61 (0) 2 6162 0462 Email: [email protected] Web: www.tannerjames.com.au
Australia, New Zealand, South East Asia, UK
25 That Creative Management Company
Tel: +44 (0)1652 655288 Email: [email protected] Web: www.thatcmc.com
26 Snap-Tech (Pty) Ltd Tel : +27 (0)118 017600 Fax: +27 (0)11 801 7679 Email: [email protected] Web: www.snaptech.co.za
Global
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List of Examination Institutes
The following table lists nine global examination institutes that provide examinations for various certification schemes and methodologies:
# Name of Examination Institute 1 APMG
2 BCS
3 CSME
4 DANSK IT
5 DF Certifying AB
6 EXIN
7 Loyalist Certification Services
8 People Cert
9 TUV SUD
Annex 2
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Validation Workshop
The validation workshop aimed to disseminate the available information to the key actors in the sector and potential donors as a well as to validate the findings of the analysis. The validation workshop also aimed to initiate a discussion whether firm level certification is the proper tool for enhancing the quality of services provided by MCSPs and to introduce some of the potential interventions by the PMDP.
Hereunder are the main outcomes of the workshop:
MCSPs did not appreciate the value of firm level systemic audit certification;
MCSPs perceived individual level certification as the most important priority at the
moment;
MCSPs ranked creating a code of conduct for themselves as the second most important
priority;
MCSPs assessed raising awareness among customers about the importance of certification
as the third most important priority; and
MCSPs placed creating a classification system and teaming up with international
companies as the fourth and fifth most important priorities.
Source: PMDP Validation Workshop (3 September 2014)
Annex 3
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The participants agreed on the findings and expressed their expectations of PMDP’s potential intervention as follows:
To facilitate the process of certification;
To support establishments in achieving a certifying status;
To support firms (individual/group) in achieving any certification;
To support the creation of localized certifications as needed;
To support the raising of awareness among the private sector; and
To support the establishment of a code of conduct for MCSPs.
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The Accredited Consulting Practices (ACP) Process and the Ten Requirements
The main requirements for a national ACP scheme to comply with the standard include:21
The Organization is confirmed as being a valid ACP Candidate: Institutes assure that candidate ACPs are identifiable organizations OR management units undertaking a management consultancy role and providing management consulting services;
21 Accredited Consulting Practice Scheme Manual (ICMCI)
Annex 4
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Its Professional Processes are assessed to assure they are appropriate for developing consultants to the CMC Standard: The professional recruitment, training, development, supervision, review and quality assurance processes of candidate ACPs for their consultant staff are thoroughly assessed upon application to become an ACP, in accordance with a written institute standard, in order to assure that they are suitable in nature and quality for developing consultants to the ICMCI CMC standard;
Its Professional Standards are assessed to assure they are at least equivalent to the CMC Standard: The professional standards of the candidate ACPs for their management consultants, and the processes for assessment of their consultant staff against them, are thoroughly assessed upon application to become an ACP, in accordance with a written institute standard, in order to assure that they are of at least the equivalent level and rigor as the ICMCI CMC standard;
The Institute Assessors are suitably trained/qualified, briefed and quality assured: Institute assessors undertaking the above assessments on behalf of national institutes are suitably trained and/or qualified, are briefed in their role, and are quality assured;
ACPs are formally accredited by the Institute, for a maximum of 3 years: ACP candidate organizations who pass this assessment scrutiny are formally recognized, for a maximum period of three years, as accredited by the national institute in respect of their professional training and development and professional standards, under the title of Accredited Consulting Practice (or the national equivalent name);
ACPs are empowered to propose CMC Candidates to the Institute: ACPs are empowered to identify and propose suitable management consultants from their practice for award of the CMC by their national institute, via a route different from that for direct CMC candidates. Moreover, ACPs are expected to do so in all possible cases, and to inform and encourage their consultants to wish to become CMCs;
CMC Candidates from ACPs are subject to lesser scrutiny by the Institute; The Institute nevertheless reserves the right to fully scrutinize any CMC Candidate from
an ACP: National institutes should exercise this right of scrutiny at least a few times each year, for quality control purposes;
CMCs from ACPs are individual members of the Institute, on the same basis as direct CMCs; and
The Institute has the right to withdraw ACP status at any time: Withdrawal of ACP status should be treated as the final sanction, applied only after an ACP has been warned of problems, and given every reasonable opportunity to rectify them. Reasons for that could be any major failure to continue to observe the requirements for ACP status, such as: professional development to CMC level is no longer adequate; standards are no longer equivalent to the CMC standard; or proposed individual CMC candidates are not well qualified.
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ACP Feasibility and Cost-Benefit Analysis
One of the options is to identify a potential local provider that can be supported to become accredited to award such a certification. Another option is to get the certification through any IMC in the region, given that the foreign supply for the service will perhaps come at a higher cost.
Is It Worthwhile?
It seems that currently it is not worthwhile as there is no demand for the certification by BSPs and their clients.
ACP Cost-Benefit Analysis
ACP Costs to Firms
Any management consulting institution, in order to obtain the full ICMCI membership, has to be a legal entity and to have been in existence for four years or more, in addition to paying an application fee and an annual subscription as follows:
Provisional application fee: €200 + the cost of travelling, hotel, and meals of assessor(s), when necessary; and
Full member application fee: €550 + the cost of travelling, hotel, and meals of assessor(s), when necessary.
In addition to the flat fee, there is also a fee for every individual member (non-CMC), a fee for every CMC member, and a fee for corporate members. Besides, a small fee has to be paid for the ICMCI Certificate signed by the Chairman.
The total cost of full membership amounts to around €1,000, in addition to an annual subscription. Only after the fees have been paid, the institute will be able to award ACP to the consulting firm. In fact, any consulting firm willing to obtain the ACP shall pay an application fee based on the local IMC schedule. In general, this fee ranges from €200 to €250 in addition to an annual subscription fee ranging from €50 to €100.
Basically, looking at the demand side, there is currently no demand by MCSPs and their clients for global certificates, particularly at the firm level. Therefore, it does not seem feasible for local consulting firms to invest in the certification, unless the demand side perceives the value of a higher standard.
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Individual Certifications
1. Management Consulting
1.1. Certified Management Consultant (CMC)
The CMC mark could be awarded to consultants who have achieved a level of performance that includes professional standards in technical competency and ethics and global standards in consulting competencies, professional behavior, client and project management, and personal conduct. The CMC standard is applicable to individual management consultants who wish to express their qualifications.
CMC Benefits for Consultants
The CMC is a qualification that is recognized in the ICMCI22 member countries and is therefore internationally accepted. It provides lasting formal recognition of training, development, and experience and encourages discipline for continued professional development. Not only should it be attractive to clients who want to engage a management consultant; it should also contribute to employment as a professional within a consulting practice.
CMC Benefits for Clients23
The CMC is the gold standard for excellence among management consultants. In selecting management consultants, clients are well advised to seek individuals who meet the profession’s own standards of competence, ethics, and independence. The institute certification is a valuable aid in this quest.
The CMC qualification ensures that the consultant meets high standards of performance, experience, and ethics. CMCs are knowledgeable, skillful, competent, and trustworthy. Their performance is monitored by their institute on a regular basis to ensure a mature management consulting performance, while the requirement to undertake continuing professional development secures essential and up-to-date knowledge. These factors facilitate the selection and evaluation of management consultants when appointing them.
Candidate’s qualification must meet the ICMCI standard with respect to:
Knowledge: Of business, organization, functional specialism, market sector, national economy, and culture;
22 ICMCI 23 ICMCI
Annex 5
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Skills: Interpersonal, process, and analytical (including practicality and a sense of proportion);
Competence: Demonstration in client assignments of competence to operate a complete consulting process and appropriate behavior; and
Trustworthiness: Adherence to a defined code of conduct and professional ethics and an understanding of the implications.
The CMC certification process is based on the following requirements24:
Support by other certified consultants or reputable clients in the form of testimonials; Evidence of bona fide consulting assignments totaling not less than three years; Evidence of an undergraduate or post-graduate degree; Sufficient management experience or line support experience to indicate competence in
management and its principles; Signature of the code of ethics; A completed assignment study on a chosen project, mapping the experience in each of
the required competency quadrants to the assignment, highlighting that clients have understanding of and experience in this area; and
An interview with qualified assessors to confirm the details of the application and to perform a summative assessment of the candidate as a certified management consultant.
1.2. Management Consultant Professional (MCP) and Master Management Consultant (MMC): The American Academy of Project Management (AAPM) Business Analyst Credential Certification and Advancement As consultants gain experience, they often become solely responsible for specific projects, taking on more responsibilities and managing their own hours. A high percentage of management consultants are self-employed, partly because business startup and overhead costs are low. Since many small consulting firms fail each year because of lack of managerial expertise and clients, persons interested in opening their own firm must have good organizational and marketing skills. Several years of consulting experience are also helpful. A certification of MCP or MMC is designated for those who meet minimum levels of education and experience, submit client reviews, and pass an executive course and exam covering the International Project Management Commission (IPMC) and the AAPM’s code of ethics. Management consultants with an MMC designation must be recertified every 2 years.
2. Project Management
2.1. Project Management Professional (PMP)25
24 http://www.imcsa.org.za/ProfessionalMatters/Certification/tabid/206/Default.aspx 25 http://www.simplilearn.com/project-management/pmp-certification-training
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The PMP certification is claimed as the topmost professional certification for project managers offered by the Project Management Institute (PMI). The PMP certification demonstrates professionals’ knowledge of and experience in project management including five processes and nine knowledge areas of project management. The certification establishes an expert’s knowledge of all the knowledge areas including integration management, cost management, time management, scope management, quality management, communications management, HR management, risk management, and procurement management. Best Suited This certification is best suited for project managers looking forward to moving ahead in their career with a globally recognized credential. PMP Certification Benefits Establishes one’s credibility through a globally recognized professional certification; Is valid across industries; Enhances one’s proficiency in project management knowledge areas; Establishes one’s ability to handle challenging projects; and Increases one’s value as a skilled project manager.
Procedure to Get the PMP Certificate
Submission of an application to PMP; Submission of PMI audit materials including supporting documents; Exam attendance post acceptance; Acceptance within 90 days; Name of passed candidates displayed on the PMI website; and Delivery of the PMP certificate within four weeks.
Fee
The exam fee for PMP exam is $405 for PMI members and $555 for non-members. The re-examination fee is $275 for PMI members and $375 for non-members.
2.2. Master Project Manager (MPM): The Original International Masters Certification26
The MPM is the world’s premier graduate Master’s certification for project managers. This credential is awarded to college-educated professionals who manage teams, departments, and employees. This designation is a project management certification designed for senior project managers and project directors. This is the graduate gold standard of project management.
26 http://aapmapac.com/providers.html
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2.3. Projects IN Controlled Environments (PRINCE2)
PRINCE2 is one of the most popular project management approaches adopted by the business world. PRINCE2 demonstrates professionals’ skills in process-based management of all types of projects. The certification includes two levels of qualification: foundation and practitioner. PRINCE2 foundation credentials are awarded for an indefinite period and do not expire. PRINCE2 practitioner credentials are valid for five years and give the candidate recognition as ‘PRINCE2 Registered Practitioner’. PRINCE2 certification demonstrates professionals’ ability to manage projects using PRINCE2 methodology and principles. 2.4. Business and Financial Services
2.5. Certified Management Accountant (CMA)
Achieving the CMA credential demonstrates mastery of financial planning, analysis, control, decision support, and professional ethics.
2.6. Chartered Financial Analyst (CFA)
The CFA credential has become the most respected and recognized investment designation in the world; enrolling in the CFA program is the first step towards earning this qualification. 2.7. Certified Business Analysis Professional (CBAP)
The CBAP exam is a globally recognized credential by the International Institute of Business Analysis (IIBA)27, ideal for intermediate and senior business analysts. The CBAP certification establishes professionals’ skills in and knowledge of identifying business needs and finding solutions for an organization or a project. The CBAP certification is one of the most demanded professional credentials in the genre of business analysis. The CBAP is a highly regarded designation offered to professionals who successfully pass the CBAP exam. The CBAP certification program is based on extensive business analysis and is ideal for those with experience in and knowledge of business analysis. By achieving this credential, professionals can demonstrate their ability to understand business needs and determine effective solutions to fulfill these needs. Since the CBAP exam was scheduled for the first time in 2006, more than 1,000 professionals from 30 countries have achieved this credential. Owing to its growing recognition and demand, more and more companies hire professionals with CBAP designation.
2.8. Certification of Competency in Business Analysis (CCBA)28
The CCBA certification is a well-respected designation offered to professionals who successfully pass the CCBA exam. Offered by the IIBA, this certification program is based on extensive business analysis and is ideal for those with experience in and knowledge of business analysis.
27 IIBA 28 http://www.iiba.org/Certification-Recognition/CCBA-Certification.aspx
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By achieving this certificate, professionals exhibit their ability to understand business needs and find effective solutions to fulfill these needs. Owing to its growing recognition and demand, more and more companies hire professionals with the CCBA designation.
Targeted Individuals
The CCBA certification program is mainly aimed at intermediate and senior business analysts, project managers, program managers, and others.
Requirements
A minimum of 3,750 hours of business analysis work experience aligned with the BABOK29 Guide in the last seven years;
A minimum of 900 hours in two of the six knowledge areas or 500 hours in four of the six knowledge areas;
A minimum of 21 hours of professional development in the past four years; A minimum of high-school education or equivalent; Two references from a career manager, client, or CBAP recipient; and Signed code of conduct.
3. Marketing
3.1. The Chartered Institute of Marketing (CIM) Certification: Certified Marketing
CIM30 courses and professional CIM qualifications are the only marketing qualifications accepted and respected worldwide and there are now over 50,000 certified marketers registered across the globe. The CIM is the largest and most successful professional marketing institution in the world,31 which is dedicated to helping marketing professionals keep up with the latest trends and marketing best practices and build on their existing achievements to create a stronger, more proactive, and cutting-edge profession ready to meet the challenges of the future.
Benefits of full membership of the CIM include:
Career growth; Networking; Knowledge; and Support.
29 Business Analysis Body of Knowledge (BABOK) 30 CIM 31 Oxford College of Marketing
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3.2. The Communications, Advertising and Marketing (CAM) Foundation Certification: Certified Digital Marketing
The CAM Foundation courses can help gain credibility and career advancement and give more knowledge and confidence to provide an effective contribution to business performance.
In 2000 the CAM Foundation formed an alliance with the CIM, and since then CAM qualifications have been managed and awarded by the Institute. All students studying for a CAM qualification must retain CIM membership for the duration of their studies. In simple terms, the CAM is treated as a part of the Institute which delivers marketing communications-focused qualifications, yet the CAM Foundation remains a separate entity with its own Board of Trustees.
3.3. CAM Diploma in Marketing Communications
The CAM Diploma32 in Marketing Communications provides an in-depth understanding of the range of communication methods that can be used to meet business objectives.
This qualification covers the fundamentals of marketing and consumer behavior, advertising, PR, direct marketing, and sales promotion. A part of this marketing course is also dedicated to understanding how these elements of communication (including digital media) can be integrated together.
Key Points about the Diploma in Marketing Communications
The diploma consists of five units at level 4; Two units are assessed by an assignment and three units are assessed by an exam; There are over 40 CIM accredited study centers in the UK and overseas; Study centers offer different study methods and start dates; Cost depends on the place and method of education; and Individuals working in marketing communications, holding any degree or a CIM level 2
or 3 certificate, can apply.
3.4. The Institute of Sales and Marketing Management (ISMM) Certification: Certified Sales and Marketing Manager
The ISMM33 represents the interests of the sales profession and provides practical support to salespeople and organizations. The ISMM offers a range of practical benefits to help its members achieve their goals in sales in addition to providing qualifications designed to help aspiring salespeople improve their skills set.
The ISMM qualifications are vocationally related and recognized by the UK government’s Office of Qualifications and Examinations Regulation (Ofqual), which assures that they meet the highest standards.
32 http://www.camfoundation.com/cam-chartered-institute-marketing 33 ISMM
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The ISMM qualifications are:
Relevant to the workplace and developed in association with a wide range of professionals representing employers, salespeople, and trainers;
Bite-sized-built from small units that can be assessed individually and form stand-alone qualifications or can be built on to form bigger qualifications at a later date;
Flexible: An individual can choose from four different assessment routes including assignment or work based evidence (which could be used during the work experience); and
Designed by sales experts to equip learners with the knowledge and skills they need to succeed in sales, marketing, retail, or business careers.
4. Human Resources
4.1. Professional in Human Resources (PHR)34
The PHR is a certification for people working in the HR management profession. The certification signifies that individuals possess the theoretical knowledge of and practical experience in HR management necessary to pass a rigorous examination, demonstrating a mastery of the body of knowledge in the field. The Senior Professional in Human Resources (SPHR) is the senior-most HR certification for those who have also demonstrated a strategic mastery of the HR body of knowledge.
Eligibility requirements to sit for the PHR exam include:
A minimum of one year of experience in an exempt-level (professional) HR position with a Master’s degree or higher; or
A minimum of two years of experience in an exempt-level (professional) HR position with a Bachelor’s degree; or
A minimum of four years of experience in an exempt-level (professional) HR position with a high-school diploma;
The rigorous exams are administered at computer-based testing centers throughout the world.
The exams are offered twice a year: 1 December through 31 January and 1 May through 30 June. The exam is knowledge and experience-based. Candidates are given three hours to answer 175 multiple-choice questions. The test specifications are based on the PHR/SPHR body of knowledge, which is composed of six functional areas.
4.2. The Institute of Certified Professional Managers (ICPM) Certification: Certified Manager (CM)35 The CM certification program comprises of an application, training, and assessment. A job task analysis performed periodically confirms the knowledge, skills, and abilities needed to lead and
34 http://www.hrci.org/our-programs/our-hr-certifications 35 http://www.icpm.biz/?page=cm_program
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manage in the global workplace and forms the basis of the CM body of knowledge. Three challenging CM exams assess knowledge and critical thinking skills to verify that a level of managerial competency has been achieved. The CM program imparts flexibility that allows applicants to begin the certification process at any time (continuous enrollment) and test at their convenience (on-demand testing). Applicants control the pace of the program to be completed within 15 months.
Requirements
CM applicants need to meet eligibility requirements for education and experience to receive approval to pursue the CM certification. Training on the comprehensive CM body of knowledge comprises 75–90 hours and can be completed in groups as classroom training or individually as self-directed study.
5. Quality Management Quality management is the discipline of managing quality processes in organizations. There are different approaches towards managing quality issues in enterprises, and various quality management courses validate professionals’ expertise in respective approaches and quality areas. Six Sigma Certification, Lean, and CTFL are three of the most demanded quality management certification training programs.
5.1. Six Sigma Black Belt (SSBB) The SSBB36 certification is a globally acknowledged professional certification that establishes professionals’ ability to manage quality in processes ensuring zero defects. The Six Sigma certification is offered at different levels; Six Sigma Green Belt and Lean Six Sigma Black Belt are two of the most demanded ones.
A certified SSBB understands Six Sigma philosophies and principles, including the supporting systems and tools; demonstrates team leadership; and understands all aspects of the Define, Measure, Analyze, Improve and Control (DMAIC) model in accordance with the Six Sigma principles.
Requirements
Two completed projects with signed affidavits; or One project with signed affidavit and three years of work experience in one or more of
the SSBB body of knowledge.
5.2. Certified Quality Engineer (CQE) The CQE37 certification develops and operates quality control systems, applies and analyzes testing and inspection procedures, and uses metrology and statistical methods to diagnose and correct improper quality control practices.
36 http://asq.org/cert/six-sigma/right-for-you 37 http://asq.org/cert/quality-engineer
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Requirements
Eight years of on-the-job experience in one or more of the areas of the CQE body of knowledge; and
A minimum of three years of this experience must be in a decision-making position.
5.3. Certified Quality Auditor (CQA) The CQA certification analyzes all elements of a quality system and judges its degree of adherence to the criteria of industrial management and quality evaluation and control systems.
Requirements
Eight years of on-the-job experience in one or more of the areas of the CQA body of knowledge; and
A minimum of three years of this experience must be in a decision-making position.
5.4. The American Society for Quality (ASQ) Master Black Belt (MBB) The ASQ MBB certification is a mark of career excellence and aimed at individuals who possess exceptional expertise in and knowledge of current industry practice. Individuals with the MBB have outstanding leadership ability, are innovative, and demonstrate a strong commitment to the practice and advancement of quality and improvement.
Requirements
At least five years of experience in the role of a SSBB or MBB; or Completion of ten SSBB projects.
5.5. Certified Business Management Expert (CBME) The CBME38 program is a professional certification tailored to fit the schedules of busy professionals. Designed to provide them with a practical learning approach, the CBME covers project management, product and sales funnels, management of staff, and an overview of management tools, systems, and methods. The CBME enables the consultant studying the art of combining ethics, leadership, and management to effectively achieve more. This program relies on a 100% online learning platform and multi-media study materials. The program provides participants with hours of audio interviews with industry experts and more than 20 instructional videos covering the fundamentals, best practices, and insights.
5.6. Lean Management
The Lean Management certification is a globally recognized certification in quality management. The term Lean Management refers to an end-to-end business process and system for organizing and managing product development, manufacturing, operations, services,
38 http://businesstraining.com/business-management-certification.html
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suppliers, customer relations, and the overall enterprise. Lean Management applies to every business and every process. It is not a cost reduction program, but a way of thinking and an approach to optimize end-to-end processes to have maximum value for everybody. Lean Management Benefits
Is a globally recognized certification; Reduces cost, improves quality, and speeds up delivery; Improves skills on data-driven approach; Increases cash flow due to additional revenue generation; Increases revenue; Ensures quick return on investment (ROI); and Avoids cost due to risk management.
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Key Findings and Recommendations of the Diagnostic Study39
“Diagnostic Study – Palestine: Export Readiness & Potential of Services Sector” was conducted by Emmanuelo Barreto between August 2012 and January 2013 to assess the export readiness and export potential of four priority services sectors in Palestine. The scope of this EU-funded project included: financial services, information and communication technology (ICT), tourism, and business-related professional services.
The more recent Palestine Business and Professional Services Export Strategy (BPSES) build upon the results of this diagnostic study among other sources of analysis. The main findings and recommendations of the diagnostic study as pertaining to the business and professional services sector are listed below.
Key Findings
Lack of export markets information; Weak specialization and innovation; Lack of governmental strategies pertaining to the sector; Educated workforce but limited specific skills; Unavailability of specialized business associations; Lack of support by the regulatory framework for export activities; Quality standards mostly set for tangible products and not services; and Lack of specialized sector strategies and policies to support export activities.
Key Recommendations
Development of sector strategies and promotion policies to enable expansion and penetration into other markets;
Need to review regulations on business consulting, management consulting, PR and marketing, and other sub-sectors;
Need for the government and business associations to focus on quality standards in order to develop such quality standards based on international best practices;
Development of appropriate training models to identify needs and meet the needs of skills and knowledge improvement of the sector; and
Need to provide information to the market about the services offered by its members and raise awareness about the importance of such services.
39 BPSES (PalTrade, 2014) and “Diagnostic Study – Palestine: Export Readiness & Potential of Services Sector” (Barreto, 2013)
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The American Society for Quality (ASQ) Certification40
The certification is a formal recognition by the ASQ that an individual has demonstrated a proficiency within and comprehension of a specific body of knowledge. Nearly 150,000 certifications have been issued to dedicated professionals worldwide. In addition, an increasing number of companies, 125 at last count, have formally recognized ASQ’s certifications as verification of an individual’s knowledge of quality theory and techniques. It is important to understand that the ASQ certification is not a license or registration but peer recognition. In order to obtain the ASQ certification, candidates must meet the following three criteria: 1) have a specified level of education and/or experience, 2) provide proof of professionalism, and 3) pass a standardized exam in the certification area.
There are two examination centers in the region: one in Egypt (American Supplier Institute) and one in Jordan (OPEXPRO Training and Consulting).
40 http://asq.org/cert/quality-technician/bok
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The ICMCI Code of Ethics Confidentiality: A member will treat client information as confidential and will neither
take personal advantage of privileged information gathered during an assignment nor enable others to do so.
Unrealistic Expectations: A member will refrain from encouraging unrealistic
expectations or promising clients that benefits are certain from specific management consulting services.
Commissions/Financial Interests: A member will neither accept commissions, or
remuneration, or other benefits from a third party in connection with recommendations to a client without the client’s knowledge and consent, nor fail to disclose any financial interest in goods or services which form part of such recommendations.
Assignments: A member will accept only assignments which the member has the skills
and knowledge to perform. Conflicting Assignments: A member will avoid acting simultaneously in potentially
conflicting situations without informing all parties in advance that this is intended. Conferring with Client: A member will ensure that, before accepting any engagement, a
mutual understanding of the objectives, scope, work plan, and fee arrangements has been established, and that any personal, financial, or other interest which might influence the conduct of the work has been disclosed.
Recruiting: A member will refrain from inviting an employee of a client to consider
alternative employment without prior discussion with the client. Approach: A member will maintain a fully professional approach in all dealings with
clients, the general public, and fellow members. Other Management Consultants: A member will ensure that other management
consultants carrying out work on behalf of the member are conversant with and abide by this Code of Professional Conduct.
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Benefits of Six Sigma/Minimum Expectations of a Six Sigma Black Belt (SSBB)41
The main benefits of the SSBB are that it enhances efficiency and effectiveness and helps reduce the variation levels per product/service. Additionally, it brings about the following:
Ability to explain Six Sigma philosophies and principles, including related systems and tools (lean, quality, process/continuous improvement, and others) and ability to describe their impact on various business processes throughout the organization;
Understanding of the various leadership and Six Sigma roles and responsibilities in addition to ability to recognize organization roadblocks and change management techniques to manage organizational change;
Ability to define benchmarking and understanding of various financial and other business performance measures in addition to ability to identify customer requirements and describe the impact that Six Sigma projects can have on various types of customers;
Fundamental understanding of the components and techniques used in managing teams, including time management, planning and decision-making tools, team formation, and performance evaluation and reward in addition to knowledge how to use appropriate techniques to overcome various group dynamics challenges;
Understanding of the elements of a project charter (problem statement, scope, goals, and others) and ability to use various tools to track the project progress;
Ability to use customer feedback to determine customer requirements; Basic understanding of data collection techniques, process elements, and process
analysis tools; Basic understanding of measurement systems; Basic understanding of probability concepts and distributions; Ability to perform statistical and process capability calculations; Ability to analyze the results of correlation and regression analyses and to interpret
multi-vari study results and interpret data to find sources of variation; Ability to define multivariate tools; Ability to perform hypothesis testing and analyze the results; Understanding of the elements and purpose of Failure Mode Effects Analysis (FMEA)
and ability to use root cause analysis tools; Ability to identify and interpret the seven wastes; Ability to use gap analysis tools; Ability to plan design of experiments (DOE) and analyze the results; Ability to use various tools to eliminate waste and reduce cycle-time;
41 http://asq.org/cert/six-sigma/right-for-you
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Ability to define kaizen, kaizen blitz, and theory of constraints; Fundamental understanding of how to implement an improved process and how to
analyze and interpret risk studies; Ability to implement statistical process control (SPC); Understanding of total productive maintenance (TPM) and visual factory concepts; Ability to develop control plans and use various tools to maintain and sustain
improvements; and Understanding of common Design for Six Sigma (DFSS) and Design for Excellence (DFX)
methodologies, robust design and processes, and techniques for strategic and tactical design.
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Action Plan NES 1.2.2 The BPSES concluded with a set of recommendations that help in developing the sector in an effort to reduce the number of unqualified consultants saturating the market (as well as to provide potential buyers with an assurance on quality), in addition to introducing a Palestinian business and professional services certification, – developed jointly by domestic partners such as PALTRADE and the Palestinian Association of Management Consulting (to be revived) and international partners (possibly international consulting firms). The following are the main points in the strategy:
The certification process will involve an examination to assess proficiency in basic consulting/analytical areas;
The involvement of international partners will assist in facilitating international recognition/mutual recognition within target markets;
The certification program will include provision for applicants to specialize in specific business services: for instance, a certified management consultant could specialize in financial services consulting, business process re-engineering, project management, translation, or others; and
Certification holders will need to renew certification every two years, through a renewal process involving skills refreshing examinations.
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