Download ReGlobalization White Paper 
Businesses Need Access Only to What They Need
Running into business or supply chain troubles? Ready to hire one of the world’s best consulting firms?
Well, that may not get you the results you want. After more than 40 years in the business, I have concluded that traditional consulting firms do not work in today’s world.
Basically, business consulting firms come in three flavors: broad but shallow, narrow but deep and broad and deep. Broad and shallow firms might be able to give advice, but they can’t help you take action. Narrow and deep firms can fix a function or two but can’t relate to the overall business. And broad and deep firms, by necessity, are asset heavy, which lessens their value proposition.
In today’s world, the B2B matchmaking process beats the consulting process any day. That’s why I don’t see the past year’s news about consulting layoffs as an aberration. It’s a trend. This month has been no different, and I expect the best consulting firms to shed more staff in the future.
The relentless waves of business disruption demand optionality, flexibility and real-world solutions. Your business doesn’t need another consulting report. You need a team who can help you fix your problem, seize the next opportunity and change the way you operate.
What Do Consulting Firms Do – and Why They Fall Short
Let me explain why traditional consulting firms, whether broad/shallow, narrow/deep or broad/deep, fail to meet modern needs.
Broad but shallow firms can provide strategic insights across multiple business silos, but their advice is often impractical. You often end up with a beautifully worded report that you cannot translate into action. High-level mumbo jumbo fixes nothing.
Narrow but deep firms, while experts in specific niches, are inherently limited.
For example, I ran one of the world’s most successful supply chain consulting companies for over 40 years. We excelled at network planning, distribution, fulfillment and material handling automation. Not so much in areas like procurement, transportation or S&OP.
But back then, it was easier to do. The world wasn’t disrupted every five minutes. Consultants could get good data, evaluate that, provide an optimal solution and be done. Now, companies must go from optimality to optionality. Consultants cannot do a project, turn over the keys and leave. As soon as they walk out the door, something will change. And that optimized solution won’t work anymore.
I simply cannot do what I did back then. And neither can any other consulting agency.
Broad and deep firms attempt to solve such dilemmas by being everything to everyone. With large teams sitting idle and expensive global offices to maintain, their value proposition doesn’t justify their astronomical fees. And even these giants have expertise gaps that undermine their offerings.
The reality is simple: No consulting firm in today’s disruptive world can be great across the entire supply chain. High-level advice often isn’t actionable. Concentrating on a few functional areas leaves your company trying to use an “optimal” solution in a world that will change tomorrow.
Reports from Leading Consulting Firms Are Not Enough
Perpetual disruption from geopolitics to wars to tariffs demands optionality. But traditional consulting firms just aren’t built for this reality. They fly in, complete the project, write a report and leave.
That doesn’t leave you with flexible solutions that can change in this era of ReGlobalization.
Because when companies call consultants, they think they need advice. But often they need action instead.
Businesses with distribution struggles need a partner who can make their distribution network better, not a consulting report. A company struggling with cash flow doesn’t need guidance on raising capital. Instead, they need supply chain financing that solves their working capital crunch.
And someone who needs help managing their transportation services doesn’t need a consultant to theorize. They need experts who’ve been managing transportation for decades to manage their transportation. Spending millions on consultants who throw reports over the wall isn’t the answer.
In other words, you need to match with the right partner, not the right consultant. You need B2B matchmaking.
How a Smart Logistics Team Beat a ‘Best Consulting Firm’
Take this real-world example: A big consulting firm studied a company’s domestic transportation operations, which amounted to $400 million in annual spend. Their “detailed analysis” identified about $50 million in potential savings. Within two hours, the company’s sharp logistics team debunked $40 million of those supposed savings.
Why? The consultants never really understood what the company’s logistics staff said. The consultants didn’t take the time to understand how each business unit operated or how the company served its customers. Instead, they relied solely on data.
For instance, the data told consultants that tractor-trailers carrying 20,000 pounds could be consolidated with others carrying 20,000 pounds for multi-stop deliveries. After all, tractor-trailers can carry around 40,000 pounds on highways. But here’s the problem: 20,000 pounds of some products completely fills a truck by volume. You can’t fit more onto a full truck, no matter what the weight capacity says.
Another misguided suggestion? Postponing and consolidating deliveries for factories or customers that require next-day service. That’s not just impractical – it’s disruptive.
Let’s be clear: Those 25-year-old Harvard MBAs are smart – very smart. But they haven’t spent years walking through warehouses, working on factory floors, inspecting docks, navigating ports or handling drayage. They lack the hands-on experience that makes transportation and logistics work in the real world.
In cases like this, B2B matchmaking could get the right transportation experts to examine your transportation spend – often without charging you a penny. Your executive teams could match with a solution without paying huge consulting fees.
The Ecosystem Paves Your Way Forward
I believe true greatness requires dedication to a specific function. If so, what’s a company to do? After all, if they hire experts for everything, they’re just mimicking a broad, deep and expensive consulting firm.
Well, the future isn’t about trying to do everything under one roof. Instead, you need to tap into an ecosystem of specialized experts. At Tompkins Ventures, we’ve reinvented consulting by creating a B2B matchmaking ecosystem. This ecosystem connects clients with exactly what they need, when they need it.
Need help with material handling automation? We’ve got partners for that. Struggling with procurement? We have experts who’ve mastered those functions for decades.
Our network spans hundreds of partners, each laser focused on their area of expertise. This allows us to deliver solutions with excellence and scale – without the overhead of a traditional consulting firm.
By leveraging an ecosystem, we go beyond where management consultants can take you. Businesses can access a comprehensive suite of services without paying for bloated structures or idle consultants. You only pay for what you need, when you need it.
The magic of B2B matchmaking comes from the knowledge of the matchmaker. Anybody can Google a transportation or leadership coaching company. (Back in the day, we used this thing called the phone book!)
But to succeed, your B2B matchmaker must know when to use Company A and when to use Company B. Or when to use both. Or when Company A won’t work well with Company B, but you need both specialties. So the matchmaker pairs your executive team with Company A and Company C, or Company C and a change management expert.
So, are consultants even useful in this new era? Sometimes, yes. But in nearly five years I would say less than 10% of the opportunities I’ve seen require consultants.
Choose a Path that Beats the Traditional Consulting Models
At Tompkins Ventures, we’ve built the bridge that connects businesses to the solutions they require. Our B2B matchmaking partners bring decades of experience in everything from network planning to transportation management, leadership, supply chain redesign, supply chain financing – anything your business and operations need. This approach eliminates the inefficiencies of traditional consulting and ensures businesses get exactly what they require.
The beauty of this model is its simplicity and cost-effectiveness. You plug into the ecosystem when needed and pay for what you use – nothing more, nothing less.
If you’re tired of expensive consultants and impractical advice, it’s time to explore a better way. Reach out, and we’ll examine how your executive teams can gain access to the expertise you need to thrive in today’s disruptive world. Let’s turn your challenges into opportunities – together.
Related Reading
- ReGlobalization – Redefining Global Supply Chains
- Trump Tariffs: The Rest of the Story
- Dynamic Optionality Beats Expanding Your Supply Chain House
Jim Tompkins, Chairman of Tompkins Ventures, is an international authority on designing and implementing end-to-end supply chains. Over five decades, he has designed countless industrial facilities and supply chain solutions, enhancing the growth of numerous companies. He previously built Tompkins International from a backyard startup into an international consulting and implementation firm. Jim earned his B.S., M.S. and Ph.D. in Industrial Engineering from Purdue University.
Hi Jim,
Your article hits on the very reason I resigned from a top-tier consultancy 15 years ago. As a boutique firm providing site selection and Government relations for companies expanding in the U.S., we fill a specific role that only comes up once or twice in the typical company’s lifespan. We hit the ground running with highly-experienced professionals only after closely studying our clients’ needs and vision. Because we are so nimble with very little overhead, our value proposition is way better than my former Partners can offer.