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Professional Services · Consulting firms

HR for Consulting Firms: Utilisation, Travel and Career Steps

A consulting firm sells the time and thinking of its people, and the business rises or falls on how well that time is used. Time is the product, so partners who sell without developing people end up rebuilding the team every couple of years.

Professional services colleagues discussing associate workload and progression around a meeting table

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A consulting firm sells expertise on projects of a few weeks to many months, usually at the client's office or by remote work. The team is stacked from analysts and associates through consultants and managers to partners or directors, and each project draws a fresh mix. When a project ends, people either move to another one or sit on the bench, and the partner's time goes to selling the next piece of work. Travel, client deadlines and long days are normal. Clients buy the firm, but they rely on the individual in the room, so losing a good consultant mid-project is costly. See also HR for professional services.

  1. Plan
  2. Hire
  3. Onboard
  4. Manage
  5. Develop
  6. Perform
  7. Engage
  8. Retain
  9. Exit
  10. Improve

When HR is weak in consulting firms, you may see

  • Bench time and overload coexist
  • The next step is unclear
  • Partners sell but do not develop
  • Projects reinvent the wheel
  • Travel and hours wear people out
  • Utilisation is judged crudely

These are the places the people side of this kind of business tends to give way. The rest of this page works through them.

Who does the work in consulting firms

HR here has to work for each of these groups, not only the office. The set-up below is written with all of them in mind.

  • Partners and directors
  • Engagement managers
  • Senior consultants
  • Consultants and associates
  • Analysts and researchers
  • Subject-matter experts and advisers
  • Proposal, operations and finance staff

Where HR strains in consulting firms

  • Bench time and overload coexist

    Some people have no project while others work every weekend, and staffing decisions are made by whoever shouts loudest.

  • The next step is unclear

    Analysts and associates do not know what it takes to become a consultant or manager, and promotion seems to follow mood.

  • Partners sell but do not develop

    Senior people are busy winning work, so coaching and honest feedback for juniors are rare.

  • Projects reinvent the wheel

    Each team builds its own models and templates, and what was learnt on one project rarely helps the next.

  • Travel and hours wear people out

    Weeks away from home and constant client demands lead to quiet exits, often to client companies.

  • Utilisation is judged crudely

    A single figure for billable time rewards the wrong behaviour and ignores contribution to proposals, hiring and learning.

HR topics for consulting firms

Start with the topics that matter most here: Performance Management; Career and Succession Management; HR Strategy and Workforce Planning. Then work through the rest. Each topic is written for professional services, not in general.

Performance Management

Goals, reviews and ratings that hold up in a conversation.

Career and Succession Management

Named backups for the roles that cannot be vacant.

HR Strategy and Workforce Planning

How many people, in which roles, by when — and what they will cost.

Organisation Design

Structure, reporting lines and who is allowed to decide what.

Recruitment and Talent Acquisition

Requisition to joining, the same way every time.

Onboarding and Probation

A first day that is the same for the fifth joiner as the first.

Employee Administration

Records, attendance, leave and the day-to-day HR that must simply work.

Compensation, Payroll and Benefits

Salary structure, payroll inputs and a month that closes on time.

Learning and Development

Training planned from need rather than from the calendar.

Employee Engagement and Experience

Communication, recognition and the conditions people actually work in.

Employee Relations

Two routes — one for complaints, one for conduct — kept separate.

Policies, Compliance and Governance

Policies a manager can apply, and obligations with owners and dates.

Health, Safety and Wellbeing

Induction, records, incident reporting and follow-through.

Retention and Attrition Management

Who leaves, when, why — and which of them mattered.

Exit and Alumni Management

Resignation to relieving letter, in a defined order.

HR Technology and Automation

Records that survive people, and approvals that do not queue.

HR Analytics and Management Reporting

A short monthly pack management actually reads.

HR Operations and Governance

An HR function that runs the same way every month.

What a working HR set-up looks like

The pieces a consulting firms business puts in place, in an order that makes each easier. Open any card for the detail.

Staff projects from a visible pipeline

A shared view of upcoming work and people's availability, so assignments are matched to skills and development, not decided by chance.

What this covers

A shared view of upcoming work and people's availability, so assignments are matched to skills and development, not decided by chance. The workforce planning work builds it.

Define each level in plain terms

What an associate, consultant and manager can be trusted with, and what evidence moves someone up.

What this covers

What an associate, consultant and manager can be trusted with, and what evidence moves someone up. The competency and talent management work writes it down.

Set up project feedback

A short review at the end of each engagement from the manager and peers, collected into a half-yearly conversation.

What this covers

A short review at the end of each engagement from the manager and peers, collected into a half-yearly conversation. Performance management provides the process.

Capture reusable knowledge

A shared library for templates, models and lessons, with one person responsible for keeping it usable.

What this covers

A shared library for templates, models and lessons, with one person responsible for keeping it usable.

Agree travel and workload norms

Limits on consecutive weeks away, recovery time after heavy projects and an honest discussion before assignments are made.

What this covers

Limits on consecutive weeks away, recovery time after heavy projects and an honest discussion before assignments are made.

Start by checking where you stand

Before changing anything, find out what is true today. These checks take an afternoon and tell you which of the topics above to start with.

Share your requirements
  • List everyone's utilisation and bench time for the last six months.
  • Ask three associates what they think it takes to be promoted.
  • Count how many people left after a long-travel project.
  • Check where the templates and models from your last five projects are stored.
  • Note which partners give regular feedback and which do not.
  • Confirm with a qualified professional the contract, record-keeping and employment obligations that apply to your consulting firms business.

Confirm with a qualified professional. What applies to you depends on your business, your state and your arrangements, and it changes. This page describes practice. It does not state a legal position.

How GullyHR helps

The services below fit this kind of business best. Each starts by recording where you stand, and every later report compares against that. We do not promise outcomes.

Start with a free conversation, or see the paid HR Diagnostic.

Our HR transformation approach

  1. 1

    Assess

    Understand the business, its workforce, current processes and HR challenges.

  2. 2

    Identify gaps

    Find the missing, weak, inconsistent or person-dependent processes.

  3. 3

    Design

    Create the structure, processes, policies, SOPs, dashboards and systems needed.

  4. 4

    Implement

    Help HR and department managers actually adopt the new system.

  5. 5

    Automate

    Digitise repetitive and approval-based workflows where it is worth doing.

  6. 6

    Measure

    Track hiring, attendance, employee cost, performance, training and attrition.

  7. 7

    Improve

    Strengthen the people-management system continuously, not once.

Blogs worth reading first

From the GullyHR blog: one on HR in professional services, and one on each of the topics this page points to.

More on the GullyHR blog.

Questions owners ask

Share the pipeline openly, match availability to upcoming demand and use quiet periods for proposals, learning and knowledge building. Plan the move to the next project before the current one ends.

Let’s find your next step

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