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April 01

Most Disasters Don’t Come From Bad People. They Come From People Who Don't Care Enough.

Today, I want to talk to you about negligence.

Why negligence?

You would think there are so many other topics that seem to be a higher priority. But make no mistake, negligence rules this world. It's omnipresent and omnipotent. It impacts every area of your career, business, and life. 

As good critical thinkers, let's start with a definition.

Negligence is a failure to take proper care of something.
In law, it is a breach of a duty of care that results in damage.

Where do you stand on negligence?
Do you believe some errors are healthy to make? 

Where was I recently impacted by negligence?

You probably guessed it: LA fires.

- Were the fire hydrants ready and functional?
- Was there enough water available to fight fires in the most dangerous season on record?
- Were residents given enough time to evacuate, or could that warning have come sooner?
- Were there plans in place that could have made a difference? And if so, were they implemented in time?

There is a reason certain businesses were able to preserve their structures in areas where everything else burned. They had a plan. They were taking their duty of preserving their assets seriously.

I was interviewing a Strategy Skills guest recently, and once the cameras stopped rolling, she asked me about fires. Over the last 3 months, I have learned not to talk to people about fires. Nothing good generally comes from it. And that was no exception. She ended the conversation by saying that everyone tells her, “Who cares about these people. They are rich. They will rebuild.”

Well, many of my neighbours will never be able to rebuild. Many of them lost everything. Some lost their jobs. Others lost their health being exposed to fire fumes and the aftermath of nervous breakdowns. Many of them lost their furry friends because they were not allowed to go back and get them. Others could not withstand the stress and had severe neurological effects, such as the inability to walk without help. Some have nowhere to live and live in shelters with other displaced people. Yes, to this day, many displaced people, those "rich people" our podcast guest was referring to, don't have any stability, merely have basic necessities, and don't know how they will be able to "rebuild" their lives.

I’m incredibly grateful to the fire department workers, police, and emergency responders who gave their all in unimaginable conditions.
At the same time, the experience left me wondering: what happens when systems are strained past their limits? When something, or someone, falls just short of what’s needed?

Growing up in the former Soviet Union, I have seen negligence on a nearly daily basis. 

I have seen my History teacher beating a schoolboy with a book, with the boy having to be hospitalized with a severe concussion.

I have seen people dying due to doctors’ negligence. This one hits home severely, as my grandmother died this way. She went to doctor after doctor over the years trying to understand what was wrong with her. She was then diagnosed with stage 4 cancer and died. 

Once, if I remember correctly, it was my 16th birthday, I was standing at a bus stop. It was deep winter. Snow and ice everywhere. Many people tried to get on the bus, and someone pushed me. I fell and slid halfway under the bus. The doors closed, and the bus started moving.

That is negligence on the part of the bus driver, who has the responsibility to check if it is safe to start moving. This was also negligence on the part of all the people who were around me, who saw me trying to get from under the bus but sliding back due to ice and did nothing to help.

As the bus wheels started to get near my body, a man pulled me out. My hero. The doors of the bus opened again, and he jumped in before I could thank him. No one asked me if I was ok as I saw the bus drive away.

My father was gallivanting around the city with his mistress (nearly my age) at this time, around the area where I was. That is also negligence. He could have picked me up. He knew how cold it was to stand at a bus stop and then try to squeeze onto a full bus and then stand on that bus for 1.5 hours trying to get home with endless bus stops along the way. If his family was a priority for him, he would have picked me up. If he took his duty as a father seriously, he would have picked me up. At least, on that day, in honor of my birthday. I understand that he was "living his life" and trying to be happy, but what he was doing was also negligence. 

Shortly after, a young lady was killed by a bus around the same area, under similar circumstances. The negligence was widespread.

The change has to start with us. Especially for those in professions where negligence means severe damage or death, higher standards should be a requirement, not an option. And in navigating the world, in selecting healthcare providers and nannies for our children, we have to pay attention to a person’s standards, not just qualifications. 

If I were hiring a nanny, I would rather hire a straight-A student, someone who demands excellence from themselves, without any child care background, than hire someone who has 20 years of experience with no track record of high standards.

This is not to say that only straight-A students have higher standards. Life circumstances have to be taken into account. It is just one of the indicators that this particular person may be demanding more of themselves than most people do. 

Where in your life do you tolerate lower standards than you should?

Who in your life has low standards in a critical area that impacts you?
And should you do something about it?

And where in your work should you level up what you expect of yourself and your team (if relevant)?

Making mistakes is completely normal and healthy. There is a place and time for it. Triple-checking everything can be a huge time-waster. But there are certain things in life where normal standards are not an option. Only the highest standard of care is acceptable.

Within StrategyTraining.com, we groom leaders and business owners to set higher standards where appropriate. Higher standards in terms of value our members bring to their clients. Higher standards in terms of value system. Higher standards when it comes to the level of contribution our members demand of themselves.

Being a person who demands higher standards of oneself is as high a calling as any. And I’m grateful that in our community, we have chosen that path. Not just because of the positive, immediate impact it has but also because of the example we set and the subsequent ripple effect. 

Negligence thrives in silence. Standards rise when someone, just one person, chooses not to look away.

In our homes, in our businesses, and in our leadership, let’s be that person.

Not perfect. Not infallible. But committed.

And when we raise the standard for ourselves, we quietly raise it for others around us.

  in  🔶 general
March 31

Your IT, Digital, AI, Cloud Project is...

...Likely Going To Fail.

Strategy Control Room Advanced members can access the new IT, Digital, AI, and Cloud Center-of-Excellence here. Full article and all associated exhibits can be viewed here: https://firmsconsulting.com/it-digital-ai-cloud/

---


You do not want to hear this, especially if you're knee-deep in an IT project. If you have spent more than a year speaking to IT experts and meticulously planning your project and about forty percent into delivering the project, this is the last thing you want to hear.

Yet, you need to hear this.

IT projects have the worst track record of any project,
including those notoriously delayed defense contracts you read about in the news. IT projects are frequently over budget, behind schedule, and fail to deliver what they promised (outcomes). This poor performance is typical across industries, regions, and types of IT projects. This is a finding across several consulting firms, universities that study projects, and our own experience with clients.

You can ignore this Center of Excellence (CoE), assume your project will be the exception, and plow ahead, but chances are you'll become another failed IT statistic. 

Or you can learn from this IT, Digital, AI, Cloud Center-of-Excellence. 

It is far better to do the work today to either fix your IT project or plan for the next IT project. The reality is that all of us, at some point or another, will be a part of or impacted by some IT project.

The findings in this CoE broadly apply across all projects, and we will, at times, use non-IT examples to explain some concepts.

Across all the IT projects we have managed, advised on, or reviewed, we have distilled the insights on what makes a successful IT project. These insights come from years of working with clients, including digital transformation efforts and large-scale AI implementations. 

This includes our significantly more extensive archive of projects than what members have seen within Insider, Legacy, or SCRA over the last 15 years. We have
yet to publish those to StrategyTraining.com and SCRA. As you can see from all our updates, this is an ongoing process. We hold the largest available repository of management consulting analyses, tools, toolkits, methodologies, proposals and studies, and sales techniques, and it keeps growing.

Those IT project related insights have been condensed into a single ~168-page internal guide we use when advising on IT projects. We hand this internal document to our teams, and we are now making it available to you.

We're releasing the first two sections for the SCRA members and will continue to share more over the next month. 

The Hidden Reason IT Projects Fail

There's a subtle, powerful reason most IT projects fail. And it's not what you think.

It has nothing to do with budgets, timelines, vendors, or technology. It's rooted in how decisions are made and defended inside organizations. It's about the psychology of teams under stress.

You won't find this insight in traditional project management literature, but it has played a decisive role in nearly every IT failure we've seen. It's part of the unique insights we make available only to our clients and members.

It's one of the most important ideas we've uncovered, and we walk through it in detail in the CoE. Once you see it, you can't unsee it, and you'll start to recognize it everywhere.

If your project is already underway, this one blind spot may become the reason it quietly derails. 

We explain exactly how this works and how to fix it in the complete IT, Digital, AI, Cloud Center-of-Excellence.

Case Studies: Why IT Projects Fail

The IT, Digital, AI, and Cloud Center of Excellence also outlines the best-practice guidelines for IT projects (and any project, whether you are building a road or an airport, since the principles are the same).

We have included detailed case studies explaining why specific projects failed and how they deviated from best practices.

We follow the advice we always offer to management consultants and industry leaders.

  1. Never go broad in a case study unless there is a clear reason for doing so.

  2. Find the one issue that needs to be studied rather than analyzing an entire company, which is practically impossible and yields little useful information.

  3. Case-study specific failures versus broad successes.

  4. Failures teach more than successes.

  5. We cannot know what was successful when the project is just completed due to the hidden reason IT projects fail. We cover this in detail in this CoE.

The full article and associated exhibits can be viewed here: https://firmsconsulting.com/it-digital-ai-cloud/

What is The Strategy Control Room Advanced?

The Type Of Materials That Consulting Firms Never Share, Never Want to Teach Their Clients, and Guard with Their Lives.

Enroll for the Strategy Control Room membership and gain access to FIRMSconsulting.com and StrategyTraining.com private knowledge management system. >$500M value created. $200M value reported by a single client in one year by using the blueprint in the operations strategy study.

This is not a duplicate of the slides used to produce the
StrategyTraining.com videos. It contains much more. We have used the same files in our consulting studies, winning >$1 million consulting proposals and client workshops. Access all our books, including bestselling books no longer available to the public and books that were never available to the public, as well as book drafts. Peruse flipcharts used for client relationship building and project workshops, private strategic planning documents, and Centers of Excellence. 

The type of content we produce cannot be found anywhere else accessible to the public. Unrivaled and curated.

The reason we call our knowledge management system the Strategy Control Room is that it allows you to have a place where you can go in and gain access to superior IP that can help you not only set apart your deliverables, not only gain an edge over your internal and external competitors, but access materials that can become an intelligence that powers the growth of your unit, practice, team, or even of your entire organization.

Imagine a control room with access to information your internal and external competitors dream of having. You go in, you pull relevant advanced IP, you see what you can integrate into your work today or this week/this month, and you integrate on the fly. Rinse and repeat. Do this at least once a week, and it can set you on a very different career trajectory.

 

Enroll for SCRA here.

---

If you're an SCRA member, the IT, Digital, AI, and Cloud Center of Excellence is now available here.

Not a member yet? Enroll here:
strategytraining.com/pages/scr and select Strategy Control Room Advanced.

We care about your success. Feel free to reach out with questions at
team@firmsconsulting.com.

Thank you for being part of the StrategyTraining community.

Access New IT/Digital/AI/Cloud Center-of-Excellence

  in  🔶 general
February 23

Strategy analyses are complicated. They are ambiguous and rarely present a definitive answer. We have to predict the future and tell a client where/how to operate in that predicted future. That is incredibly hard to do. It's unlike short-term trading, where traders can quickly adjust positions and minimize risk. Investors often move through trades in split seconds to minimize future volatility. Traders who work with commodities etc., usually have a buyer before they find a seller, thereby having strong certainty in the profit from a trade.

Investors who take long-term bets sometimes win, but often lose. Successful long-term investing is rare because it requires a qualified bet on an uncertain future, much like strategy. They have to take a qualified bet on the future. In that sense, long-term investing shares similarities with strategy work. For every George Soros, many more people made the wrong bets and were driven out of business.

Strategy is difficult for similar reasons but with even greater consequences. You are taking a bet on the future, and you must determine how to increase confidence in your predictions despite uncertainty. Since all data you could use is either from the present but often from the past, you have to extrapolate some version of the past while modifying your reasoning. 

Since strategy plays out in years, the predictions have to consider everything from shifting regulations, consumer behavior, competitor behavior, and the client's ability to fund the changes. More analyses and more detailed analyses do not remove the uncertainty. Unlike investors, who can exit a bad position, strategists often commit to decisions that are difficult or costly to reverse. Yet, CEOs and leaders have to act.

So, how do we do this? How do we make decisions under extreme uncertainty, with data that is always incomplete? How do you make high-stakes decisions when certainty is impossible? How do you convince peers and the board to act despite the unknowns?

This is why we are creating the Strategy Analyses Center of Excellence.

  1. We will show you twelve complete studies (within the Strategy Control Room Advanced/SCRA)

  2. These are the core twelve that will teach you about strategy.

  3. Through Insider/Legacy videos, we will explain the...

    1. ...strategy and operational challenges faced by the client.

    2. ...process we used to frame challenges.

    3. ...engagement structure proposed.

    4. ...proposal process.

    5. ...core analyses.

    6. ...ambiguity in the recommendations.

    7. ...why/how the bets on the future were taken.

    8. ...how we minimized uncertainty around the future.

    9. ...why the data could never be conclusive.

    10. ...how the board/management/employees responded.

    11. ...what happened years after the recommendation.

Here are the principles we followed:

  1. First-person narrative. We were there and giving you the behind-the-scenes playbook.

  2. Focus on making decisions with little certainty.

  3. Just enough analyses to answer a question.

  4. Focus on the challenges leaders face.

And, of course, 1-on-1 coaching clients can get our direct personalized guidance in our weekend clinics given their particular career/engagement challenges or opportunities. We do a deep dive with each client at each results clinic.

Below are the studies we will cover. Again, these are the core engagements that taught us the foundational principles of strategy and analyses. We may adjust this list, but this is the plan for now.

Restructuring a Bank

How does one fix a loss-making bank which is struggling to raise equity capital as its risk exposure is growing?

Restructuring a Large Industrial Concern

How does a large industrial business that measures product cycles in decades leave its loss-making business as it is battling to gain regulatory and licensing approval to join the fastest-growing and most profitable segments of the market?

Expanding a Bank

How does a bank that has realized its balance sheet can never support its ambitions seek out alliances with other lenders when it has very little to offer?

Changing a Business Model

How does a large company realize and convince its entire board and leadership team that it is pursuing the wrong strategy and facing a catastrophic future unless it changes direction immediately?

Developing an R&D Strategy

Does a corporate R&D division develop cutting-edge technologies, license in what it needs, and/or try to grow its nascent technology consulting business while deciding to invest in costly next-gen technologies?

Developing a Financial Services Product

How does a bank define the parameters of a product, test its profitability, decide which parts of the product will be within its control, which parts will reside with partners, build the product, launch the product, and calculate the returns from the product?

IT / Digital Strategy Study

How does a company decide how much of the IT team controls IT, AI, digital, and process control, and how does it manage and govern the parts under its control to support an organization rolling out a new digital infrastructure, while managing legacy mainframe systems?

Portfolio Planning Strategy

How do you prove a technology is worth the investment when it is not the cheapest, is a new technology to the client/region, has not been proven to work internationally, and would require costly new infrastructure to bring it online?

Making the Case for Market Entry

Why would a company enter a new market in which it would take many years to realize a return, where it has no expertise and there are no synergies with the other profitable and fast-growing parts of the business?

Operations Strategy - A New Approach

How does one develop an all-encompassing operations strategy to guide the entire operations of a large diversified business that is considered the best performer in its sector, especially when the client believes there are only minor/isolated operations problems?

Pharmaceutical / Healthcare Strategy Study

How does one move clients from an entrenched view of trying to cut the cost of employee healthcare towards focusing on the returns from funding even more comprehensive and costly treatment for employees?

Innovative Ways to Fund Growth & Expansion

How does a highly leveraged client find ways to fund its growth when its primary asset is co-owned by a founding investor who is unwilling to change the terms of the original investment?

Three Options to Join + Add-On:

  1. Subscribe to Insider - gain access to a vast video/audio library and materials we will be releasing related to this program.

  2. Subscribe to Legacy - everything within Insider plus more advanced programs plus be able to submit your question in writing and get an audio reply from us which takes into account your particular situation.

  3. Subscribe to SCRA - see the full studies, proposals, books, centers of excellence and more.

  4. 1-on-1 results clinics (most effective and powerful) - Apply to team@firmsconsulting.com. Please submit your resume (in any format you have it available).

Add-on - Article + Book - Published Author program to help you write your article/book. If you are in the executive coaching EB1A program, we will also guide you through your articles writing/publishing process if we will jointly determine that articles publishing should be used as part of your program to help you qualify for EB1A.

  in  🔶 general
March 10
• Edited (Mar 10, 2025)

[NEW SCRA] Investor Relations Strategy Proposal

We remain focused on a Year of Consulting Sales. In an earlier post, we laid out the program and explained the five sales meetings. The documents from those meetings and the explanation will soon be loaded.

  1. We have just released the Investor Relations Strategy Proposal, the third engagement generated by those five sales meetings. It is accessible within the Strategy Control Room, Advanced Level.

  2. The full engagement from this proposal is also available in SCRA.


In Building a Consulting Practice, our big theme is how we built out the practice from those five meetings.

***

This proposal template outlines an 8-week engagement to help a company better understand and address potential gaps between share price and intrinsic value. The proposal establishes a structured approach divided into four key phases: developing a shareholder value measurement framework, creating a targeted questionnaire, implementing the questionnaire with shareholders, and analyzing feedback to inform strategy. The document includes specific timelines for each phase and clearly defines deliverables, team structure, and fees. 

The proposal shows how to evaluate whether undervaluation stems from communication issues or operational fundamentals through shareholder segmentation and analysis. 

This template would be valuable for consultants working with publicly traded companies facing investor relations challenges, particularly when needing to align board understanding with shareholder expectations. It provides a professional framework for presenting complex financial analysis processes while maintaining a focus on actionable outcomes that links strategic planning and shareholder communication.

HOW TO FIND INVESTOR RELATIONS STRATEGY:

1. Log in to The Strategy Control Room, Advanced Level, membership area.
2. See the "PROPOSALS" dropdown. 
3. Select "36 Investor Relations Strategy Proposal"

If you are The Strategy Control Room, Advanced Level, member, here is the direct link to this particular update.

If you joined an Advanced Level of the Strategy Control Room today, you would find the most powerful strategy, problem-solving, consulting, and results-oriented leadership reading library in the world. The resources include:

  • Michael's explanation slides for selected programs on StrategyTraining.com

  • 13 full engagements

  • Change Management Influence & Persuasion Center of Excellence 

  • Detailed Business Case Methodology Center of Excellence 

  • Encyclopedia of Strategy Analyses Center of Excellence 

  • Corporate Training Center of Excellence

  • One-Week Immersion: Consulting Onboarding / Consulting Mastery Center of Excellence

  • 36 proposals

  • Flipcharts

  • Layout guides

  • 17 strategy and problem-solving books which we do not make available anywhere else

  • 2 brand new strategy and problem-solving books just released and not available anywhere else

  • 11 book drafts never before available and not available anywhere else

  • Case interview materials for Felix, Rafik, Samantha, and Sanjeev, case interview exhibits, case interview solutions

  • The evolution of corporate strategy

  • The business case toolkit

  • Implementation and operation toolkit

  • Corporate strategy toolkit

  • Strategy maps

  • And more 

Enroll as a Strategy Control Room Advanced Member

  in  🔶 general
March 08

Missing One Crucial Step in a Business Case Can Turn
A Winning Strategy Into a Costly Failure

As part of our Year of Sales theme, we also focus on how strategy/business consultants within audit firms should effectively compete against more focused strategy firms. We refer to them as Audit-Based Consultants (ABCs) even though they reside within an audit firm's consulting division. Given the nature of their firms, many audit-based consultants have asked for dedicated and specific help. This program continues this effort within Insider, Legacy, and SCRA for ABCs.

ABCs can deliver strikingly superior results and value for their clients by leveraging the unique skills and assets of audit firms.

Please assume there are no errors, mistakes, miscalculations, or overly optimistic assumptions that would make the business cases in the following example misleading. We will show you that a critical final step is missing even though everything else was done correctly in a business case. It is a step that only audit firms can perform.

Most business cases/benefits cases in any consulting engagement forecast the increased earnings from undertaking the recommendations, after deducting the cost of implementation. These earnings are discounted back to adjust for inflation. While variations exist, this is the standard approach. The increased earnings are then incorporated into the cash flows and presented as numbers at the end of the study. This number is almost always incorrect.

Hard Lessons For A Client

We once advised a multi-billion dollar market cap client that wanted to enter a new sector. Their goal was to both find new sources of earnings and share price growth, and diversify their revenue streams. We developed an effective business case for them. Everything was correct, from the assumptions to the calculations. It should be noted that many of our assumptions included a range, as precise forecasting is impossible. 

We will discuss this case study in greater detail in the upcoming Insider/Legacy program. Yet, here is the gist:

The client had a new CEO who was unfamiliar with the sector. He assumed that as long as he could raise capital, gain board approval and secure regulatory permission, he could deliver the business case. We advised him carefully that one critical step remained, which only he could lead. If not managed well, projected earnings could fall by 20-40%. We recommended he hire PwC to do the final step calculations. He declined to do so.

Confident in his abilities, he rushed ahead. The new division turned into a quagmire. It sucked up capital while delivering lower earnings than the company's traditional cash cows. The share price slumped; years later, the company offloaded the division.

For those wondering what went wrong, this is not about the cost of capital, inflation, or execution. You can have the lowest cost of capital, with the lowest inflation, and run your operations perfectly, and have the best markets, and this final step, if not completed, will haunt you.

The error was not in the implementation. The strategy was sound. The financing was optimal. The operations were near best-in-class. Yet, one crucial piece was overlooked.

Are these companies performing the same?

US Company:

Delivered earnings of $1Bn.

Revenue of $10Bn.

Dutch Company:

Delivered earnings of $1Bn.

Revenue of $10Bn.

Assuming market share, growth, competition, product standing, branding, and risks are similar, the American company will still have a higher valuation. Why? Because a crucial step in the business case was missing. When you account for it, valuation gaps become clear. 

In This Program, We Will Explain:

- The
crucial missing step in business cases.
- Why
integrating this step significantly alters strategy recommendations. In many cases, it will lead to a decision not to enter a product or market.
- The
specific calculation or metric that should conclude every business case.
- Why
this metric is essential to a business's performance.
- Why,
and this is key, audit firms are the best positioned to complete this step.
- Why ABCs should
restructure their business case methodology to highlight this step, and compete on this difference.

Simple & Powerful

This is not going to be a long and complicated program on business cases. It builds on what we have already extensively taught and brought together in
The Strategy Journal and Succeeding as a Management Consultant as well as other books available within Strategy Control Room Advanced/SCRA (more details on this membership can be found in featured box above).

At a senior level, where you are in a position to make these changes across a practice or large team, we focus on the critical moves you can make to deliver outsize value sustainably.

That said, strategic thinking is based on many small, sequential and logical steps that we teach across all our programs on
StrategyTraining.com (within Insider / Legacy) and in our books within SCRA. Mastering them will help you drive greater value for your clients.  

The team is loading this program and it will be released soon. If you are a consultant within an audit firm, structuring your entire business case and recommendations around this approach can set your firm apart. It allows you to demonstrate unique value in a way rival firms almost certainly could not replicate.

We also welcome your feedback (email us at
team@firmsconsulting.com). Your experiences and feedback may shape future programs and follow up training episodes and resources. 

(Enroll in Insider or Legacy member at StrategyTraining.com (link below.)

Access Insider

  in  🔶 general
March 06
• Edited (Mar 06, 2025)

Earlier we discussed a truly unique and significant program. One of the most exciting things we will be doing, based on strong demand from our members. There is nowhere else in the world you can see the step-by-step development of a major consulting practice built to the standards of the top firms. We are going to do it with you and you can see all the pieces and documents as they come together. This is part of our "Year of Consulting Sales" theme.

The Point-of-View (PoV) develops over five meetings. We will walk you through each meeting, prep for the meeting, follow up from the meeting, and plan after each meeting in a program on StrategyTraining.com with key documents loaded to SCRA.

We will start the release of the program and resources shortly. This email is a reminder to give you time to think through at least the first batch of questions.

Meeting One:
We are providing an update to the client on the performance improvement (operations strategy) program we have been running for about six months. (That entire strategy and logic of that engagement can be found in the Operations Management Strategy Journal in the Strategy Control Room Advanced membership/SCRA.) It's near the end of the engagement and we raise the issue of how the changes will be communicated to the markets/investment community. We were focusing on undertaking an investor relations strategy for the client. That is what we assumed could be the new work we should do for the client. (As an aside, we ended up doing that work much later.) The client, however, raises concerns that they are more worried about sharing with investors than crafting a communication strategy for them. It seems like a subtle difference, but it's significant.

Meeting Two:
The issue the client raised was not something where we had domain expertise in the strategy or operations practice. Yet, it was an area we understood from a different perspective. We had a unique lens on the problem. We decided to present a very different approach to the client. In effect, we wanted to radically slim them down. The idea is logical but not immediately obvious. From a strategy perspective, we knew it could be done, but at a practical level of going through all the steps, that was daunting.

We were also stepping into an extraordinarily political, emotional, and labor-controlled area. We would have to be very sensitive to the media issues. For this engagement, you will see how we went to some unusual outside experts to review our thinking and see if there was a better way to do what we were proposing.

Meeting Three:
This was a tougher meeting. The client was intrigued and he wanted to know how it could be done. How would it practically work? What helped us was not having done any work in this subject area before. Since we were not experts, we did not assume we knew best and did not apply best practices from the sector. That made the biggest difference here. Our problem statement surprised most people, including the experts, because we saw it as a business problem while the experts framed the problem around their understanding of the issues.

I cannot stress this enough: being strong in problem solving from first principles and not being the experts in the domain allowed us to come up with what seemed like a simpler solution. As the thinking develops, you will see this tug-of-war between the experts who want to push the engagement and our team trying to keep things moving on what mattered. Scope creep could have been a huge issue if we had not managed it.

Meeting Four:
By the fourth meeting, we had fleshed out our conceptual thinking, and we had more or less the single slide that would be the proposal. We have decided to use no domain experts in this particular stage, but would consult with them as we progressed. As you will see, the final solution does not require much of their input.

We will explain the three parts, which became three different engagements.

Part 1: Optimize the problem. In other words, make the problem as small as we can make it.
Part 2: Take the problem away from the company and give it to someone else (highly theoretical, but high margin)
Part 3: Explain what the client did. Investor relations strategy.

Meeting Five:
In meeting five, we fell into the trap of scope creep. We assumed that since the problem was so complex and had been intractable for so long and to so many experts that we had to do more analysis. The good part is that when the engagement began, as we kept rethinking about the problem, we found a way to solve the issue by radically simplifying the work.

Coming back to Part 2, we are proposing something that had not been done, was theoretically possible but the rules, regulations, systems and processes where not in place, but if could be done, the client could break into a new market with a new business. As we will explain, we are in effect changing the clients' core business mission, which in effect changed how they would operate.

Things to note as you go through this year long effort to build your practice and sales pipeline

Read the first message on this program and think through the questions.

It's often hard to see this if you are an expert, but expertise is like a straight jacket. You can make some changes, but you often cannot see the scope for radical changes. 

The client is often going to lead you to some issue. You have to listen and help them understand the issue. We teach clients and members how to do this.

You can sell theoretical work to clients. Provided, you can clearly explain what is possible if this works and the risks. By definition, leading companies must be doing theoretical work to lay the foundations for sweeping moves to knockout competitors.

The solutions to complex problems are almost always simple.

We often get trapped into selling methodologies and processes. Usually, they distract us from focusing on the real problem.

The work should be exciting. It should be meaningful and fun. You can make the work anything you want it to be.

Three Options to Join + Add-On:

  1. Subscribe to Insider - gain access to a vast video/audio library and materials within Insider (thousands of training episodes that will change the way you think) plus all the training episodes we will be releasing related to this program.

  2. Subscribe to Legacy - everything within Insider plus more advanced programs plus be able to submit your question in writing and get an audio reply from us, which takes into account your particular situation.

  3. Subscribe to the Strategy Control Room Advanced membership/SCRA - see the full studies, proposals, premium books, centers of excellence and more.

  4. 1-on-1 results executive coaching results clinics (most effective and powerful, to be used in combination with 1/2+3 above) - Apply to team@firmsconsulting.com. Please submit your resume (in any format you have it available).

Add-on - Article + Book - Published Author program to help you write your article/book. 

  in  🔶 general
March 23

Most Relocation Plans Miss One Critical Factor.

Does Yours?

The first five episodes of our new 11-part Legacy program, The Existential Mistake Made When Immigrating, are now available. You can watch the trailer [here], and Legacy members can access the first 5 episodes [here].

A reminder for Insider members: you’re welcome to upgrade to Legacy and return to Insider at any time without losing your Insider status. Simply email us at
team@firmsconsulting.com when switching back, and we’ll manually re-grant your Insider access.

We’ve designed Legacy to be convenient for Insiders — so whenever you see a program you’d like to explore, you have the flexibility to upgrade on an as-needed and as long as-needed basis.

Let’s now turn to this important new program, particularly relevant for anyone considering immigration.

 

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What is the existential reason for paying taxes? (Not being able to answer this question should require you to rethink how you make life decisions.)

This is an Editors' Choice Program. The insights are so powerful and counterintuitive that we recommend it to all members, irrespective of whether you are considering immigrating.

Every major decision carries risk. But some risks are easier to see than others.

Relocating to another country seems like a matter of careful planning: run the numbers, analyze the legal framework, evaluate lifestyle factors. It’s the kind of decision that should feel methodical, logical, and within your control.

Until it isn’t.

From a distance, everything looks predictable. But once you’re inside a system, you realize how much depends on the fine print, on factors that never made it into your analysis.

Laws shift. Policies tighten. The stability you assumed was permanent turns out to be conditional. And the most important question emerges only after you’ve made the move:

Do I still have control?

Too many leaders think of relocation as a financial decision. It’s not only a financial decision. It’s a strategic one.

Executives and investors know this when structuring deals, assessing markets, and evaluating risk. Yet, when it comes to choosing where to live, too many focus only on what they can measure and overlook the factors that are harder to quantify but impossible to ignore once they become a problem.

The questions that don’t get asked in relocation plans but should:

- What happens when policies change, and the advantages that made you move disappear overnight?
- How do you assess whether a country will work for you beyond tax incentives?
- What are the hidden costs of choosing this country?
- What makes a country a true long-term base for wealth, security, and stability?
- How do the world’s top private equity firms assess investment environments and how can you apply that thinking to your personal decisions?

These are the kinds of questions most professionals don’t ask until they’re already committed.

At StrategyTraining.com, our members (executives, investors, consultants, and leaders from major organizations) are trained to think differently. They don’t just ask the typical questions. They don’t just follow conventional wisdom. They apply the same rigor to personal decisions as they do to business strategy.

That’s why the most ambitious leaders invest in their own development.

We see it every day in our Insiders, Legacy Members, Strategy Control Room Advanced, and Strategy & Consulting AI members. Those who dedicate themselves to this way of thinking don’t just advance their careers, they break out of their orbit. 

Some of our most committed members have broken out of their orbit not just once.

This program is not only about how to evaluate relocation decisions but also about how you approach every major decision.

This new 11-part program breaks down how to think about global mobility, personal strategy, and long-term positioning. The first 5 episodes are already available for Legacy members.

If you’re considering a move, the question you need to answer is not only where to go. It’s whether you’re making the decision taking into account what must be considered and almost always overlooked.

It's about understanding the full game, not just the first few moves.

[Join Legacy Now & Access the Full Program]

  in  🔶 general
March 25

Leadership Is Not a Promotion.

It’s a Decision.

The last episode of Module 1 and the first episode of Module 2 of The Annual are now available for Insiders and Legacy members. You can watch the trailer [here], and members can access the new episodes [here].

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Too many smart people are waiting.

Waiting to be promoted.
Waiting to be handed a team.
Waiting to be told they’re “leadership material.”

But that’s not how real leadership works.

Real leaders don’t wait for authority.

They act without permission.

They find the problem no one wants to own.

They fix it.

They create value.

Then the world catches up and calls them a leader.

But by then, they’ve already moved on to the next challenge.

Leadership is not a title. It’s not recognition. It’s not the size of your team or the number of people you manage.

Leadership is about seeing something others don’t… and stepping forward when others freeze.

It’s about taking personal accountability for problems no one else is brave enough to claim.

It’s about impact, not optics.

And in most companies today, the people with real power are not waiting for approval to lead. They’re already doing it, via quiet, decisive, strategic moves that change everything.

This is what we’re unpacking in The Annual, our new year-long program inside StrategyTraining.com.

We’re building the mindset, the systems, and the frameworks that let you lead from Day 1, even if you have no authority, no title, and no support.

Because that’s when it counts.

If you need to be handed leadership, you’re not ready for it.
If you need the title before you take ownership, you’re not leading.

If you’re still waiting to be picked…

You’re already falling behind.

The Annual is designed to change that.

In this program, you’ll learn to set a bold goal, the kind that shifts your career, your life, and your reputation, and then pursue it relentlessly.

We show you how to lead under pressure.
How to lead in a crisis.
How to lead when the spotlight is nowhere near you.
And how to lead when the stakes are sky-high, and no one is coming to save you.

Most people don’t fail because they lack intelligence.
They fail because they never start.
They wait.

They wait for clarity.
They wait for a manager to give them permission.
They wait for a roadmap.
They wait for someone to say, “Now it’s your time.”

And while they wait?

Someone else steps in, solves the problem, and owns the opportunity.

Don’t let that happen.

Not this year.

We’re building leaders for the next decade.
Leaders who don’t just understand strategy but live it.
Leaders who build their dreams with people they trust.
Leaders who act first and get recognized second.

If that’s who you want to be, The Annual is where you begin.

Module 1 (goal setting, 7th episode released today) and Module 2 (leadership, release commences with this email) are already live.

And the people moving through them are not ordinary.

Neither are their goals.

This is not a program for people who want another badge.

This is a program for those ready to go from being managed… to becoming the one others rely on.

Join us.

Don’t wait to be picked.

Watch the trailer for the module 2 here

→ [  Access The Annual Now ]

What is The Annual?

This year, we are doing something different for Insiders and Legacy members. Yes, we are releasing powerful programs for both Insider and Legacy levels. Major updates and exciting changes for both. We are also releasing very powerful materials as part of the Strategy Control Room Advanced. In addition, we are also doing something completely new for Insiders and Legacy members: a big one-year program together called "
The Annual."

The program is designed to help you achieve a goal you set at the beginning of the program. It's the one goal that can lead to a significant - trajectory-altering - improvement in your life/career.


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If you're an Insider or Legacy member, this program is now available in your account on StrategyTraining.com.

Not a member yet? Enroll here:
www.strategytraining.com (scroll to membership options).

We care about your success and are here to support you. Feel free to reach out with questions at
team@firmsconsulting.com.

Thank you for being part of the StrategyTraining community.

Access The Annual (Insider & Legacy Members)

  in  🔶 general
March 19

Building a Consulting Practice: From First Client Meeting to a Scalable Business

This week, we begin the release of the very first documents (wrap-up meeting of the engagement that led to the new engagement and five issues meetings).

***

This is for a significant and much-requested program: Building a Consulting Practice - from the first meeting to the methodology, proposals, books, and new revenue streams. Documents are being released to SCRA and video explanations will shortly be loaded to StrategyTraining.com.

By now, you should have thought through the questions from the program. You should have read the rough overview of the meetings that led to the pivotal sale. One of the key strategies we follow is to work for large companies and generate multiple revenue streams. In this step, we will show you the key slides from the initial engagement that led to the discussion that created the new practice. 

The initial engagement was an operations strategy engagement described in Succeeding as a Management Consultant. The process was modified into a standard operations strategy process, which we explained in The Operations Management Strategy Journal. Both books are only available within the SCRA. The standard operations strategy process is unique to FIRMSconsulting and StrategyTraining.com. Most firms, including large consulting firms, usually have no standard process to develop an operations strategy at the corporate-wide level. Instead, they focus on ad-hoc problems as they arise. This standard process allows you to conduct routine reviews of a client's operations every two to three years, which uncovers additional work.

While this email discusses selected pages/slides, the entire document can be found in the SCRA under Building a Consulting Practice. Partner commentary on the strategies and tactics will be uploaded to StrategyTraining.com.

As the partner leading this engagement, where would you focus on next? What is the next logical problem that the client would need help on? Why do you believe this to be true? What would need to happen for this to be true?

The client, Global Corp. Inc. (GCI), has been struggling to grow. The initial engagement was to make the operations as lean as possible (cutting costs) while generating as much cash as possible (moving to continuous operations) to fund new growth opportunities. The client believed its core business was dying. We are already working with the client on their operations strategy and expanding into new businesses.

Before we developed the highly effective and unique approach in The Operations Management Strategy Journal, we sent in dedicated teams of consultants to solve operations problems we identified in the top-down financial analyses (See The Strategy Journal for the process). This worked well at this particular client since they had issues arising rapidly and we needed to act quickly to contain them.

Now, we are going to discuss the problem with most strategy engagements. And it is a significant problem.

Not to keep this email too long, to continue reading this article and view the remaining exhibits, please go to the article page on FIRMSconsulting.com
 

[Read the full article and view the remaining exhibits]


Your Next Steps

We often receive emails from junior/non-equity partners asking how to become promoted or wondering why the firm is not rewarding them with a promotion. It's straightforward. If you build a sustainable book of business, which means you have the trust of clients, firms will make you an equity partner (all things being equal, of course, meaning provided compliance with ethical standards, etc). 

If you are an independent consultant, you know how important it is to bring in sales, and do so at larger and larger sizes to fund the growth of your business. Sales is critical. That foundational skill must be in place to allow hiring, growth, development, research, etc.

This is the best way to use the material:

  1. Read the full article on FIRMSconsulting.com and view the remaining exhibits.

  2. Go to "Building a Consulting Practice" in the SCRA.

  3. Review the document (here is the direct link if you are an SCRA member) on the operations strategy program.

  4. Review the five slides used to close the sale.

  5. You will find that our sales are significantly different from what you would expect to result from an operations study. We will explain how we did it, but think about how you would manage this before we explain things in the program to follow.

  6. Consider how to include balance sheet analyses in your work. This is difficult to do, but we will explain the right way to do it. Hint: It's not about analyses at all or understanding a lot of accounting.

You don't need to have read Succeeding as a Management Consultant or The Operations Management Strategy Journal to be a part of this sales program. Though you should if you want to conduct operations strategy engagements in a way that feeds more sales to you.

Three Options to Join + Add-On:

  1. Subscribe to Insider - gain access to a vast video/audio library and materials within Insider (thousands of training episodes that will change the way you think) plus all the training episodes we will be releasing related to this program. Note that you can select to enroll as a monthly Premium member and earn Insider status when your 7th consecutive month begins or immediately gain Insider status with an annual membership.

  2. Subscribe to Legacy - everything within Insider plus more advanced programs plus be able to submit an occasional question in writing and get an audio reply from us, which takes into account your particular situation.

  3. Subscribe to the Strategy Control Room Advanced membership/SCRA - see the full studies, proposals, premium books, centers of excellence and more. This is our full knowledge management system to which you can gain access.

  4. 1-on-1 executive coaching results clinics (most effective and powerful, to be used in combination with 1/2+3 above) - Apply to team@firmsconsulting.com. Please submit your resume (in any format you have it available).

Add-on - Article + Book - Published Author program to help you write your article/publish your book or chapter. 

  in  🔶 general
March 16

The Leaders Who Grasp This Will Own the Future.
The Rest Will Be Obsolete.

“Executives talk about ecosystems like they’ve discovered something new, but most don’t understand what they’re dealing with. It’s not a supply chain. It’s not a partnership. It’s a system. An evolving, self-reinforcing structure that dictates behavior, outcomes, and competition itself.

You don’t compete against companies anymore. You compete against the system they’ve built around themselves. And if you don’t see it, you’re not playing the game, you’re being played.

The firms that dominate (Netflix, Amazon, Apple) don’t just adapt to market shifts. They alter the underlying system so the market shifts in their favor. That’s the difference. And most leaders, even the ones at the best firms, don’t see it until it’s too late.”


Leaders and executives are expected to see around corners. To anticipate shifts before they happen. To position their teams and organizations ahead of change rather than react to it.

Yet, most don’t.

They rely on familiar frameworks, ones that have been useful, but no longer sufficient. They talk about ecosystems, transparency, and multi-stakeholder dynamics, but they rarely understand the forces shaping them.

The reality is this: 95% of leaders, even at major consulting firms and other elite organizations, couldn’t even define what a system is, let alone how to change one.

It’s not their fault. Business education doesn’t teach it. Consulting firms don’t prioritize it. And yet, the firms that dominate (Netflix, Amazon, Apple, etc.) are the ones that have moved beyond conventional strategy and into something more fundamental.

They understand that they are not merely competing against other firms. They are competing against the system itself.

Most executives do not think this way. But Bill Matassoni does. And Insiders and Legacy members who carefully worked through our library do.

Bill spent nearly 20 years as a senior partner at McKinsey, then led branding and marketing at BCG as a senior partner. He understands what most leaders miss, not because he studied business positioning and competitive advantage, but because he worked with a handful of people to orchestrate elite positioning. In fact, in season 1 of The Bill Matassoni Show, among many profound insights, Bill explains in detail how he and a few of his colleagues got McKinsey to a prestigious place it still enjoys today.

In the last season of The Bill Matassoni Show, season 3, Bill lays out what the next generation of leadership must grasp:

- Why is transparency often an illusion, and what actually builds trust in business?
- The difference between a supply chain and an ecosystem, and why most firms are using the wrong model.
- What Netflix understood about its business that its competitors didn’t.
- Why is traditional competitive advantage eroding, and what is replacing it.
- How the best leaders use systems thinking to restructure entire industries.

The companies that understand this have a much bigger chance to be in a position to define the next decade of business. The ones that don’t will be left adjusting to forces they failed to anticipate.

The next 5 episodes of the final season of The Bill Matassoni Show, season 3, is now available exclusively to
StrategyTraining.com Insiders and Legacy members. Overall 20 episodes were released so far for this final season.

More about The Bill Matassoni, Season 3:

In this latest and final season, Bill Matassoni goes beyond theory, doing a deep dive into the principles that have defined his career at McKinsey, BCG, etc.

He begins with a day of intensive introspection. Then, in a rare and candid series of discussions, Bill brings together 3 of his closest colleagues and confidants, leaders who have shaped strategy at the highest levels, to unpack the strategies they used to succeed at the highest levels. 

Bill’s approach is about fundamental repositioning. Drawing on decades of experience, from tackling some of the most complex healthcare compliance challenges to changing how the world’s top consulting firms market themselves (including during his time as a senior partner at both McKinsey and BCG), he reveals how market leaders create dominance.

If you do what everyone else is doing, you will not succeed. This program, like all Insider programs on StategyTraining.com, challenges conventional wisdom and rethinks its approach to value creation, growth, and strategic positioning.

Reading what everyone else is reading (HBR, books on Amazon, WSJ, Financial Times, etc) is not enough. To increase our chances to develop extraordinary skills, it's important to be exposed to the type of materials most people don't have access to. This is where Insider and Legacy membership on
StrategyTraining.com comes in (along with the SCRA membership featured above). 

We invite you to engage with this extraordinary season, as well as other powerful programs within Insider and Legacy.

Join us as Bill and his closest advisors share insights that can change the way you lead.


[Watch Now]