CMC Consulting Methodologies 2

Question 1

Which consulting framework is best suited for analyzing the competitive dynamics of an industry before entering a new market?

Accepted Answer

Porter's Five Forces

Answer

Porter's Five Forces evaluates competitive rivalry, supplier power, buyer power, threat of substitutes, and threat of new entrants to assess industry attractiveness.

Question 2

In hypothesis-driven consulting, what is the primary purpose of building an 'issue tree'?

Accepted Answer

To decompose a problem into mutually exclusive, collectively exhaustive sub-issues

Answer

An issue tree (logic tree) breaks a central problem into MECE branches so every driver can be investigated without overlap or gaps.

Question 3

A consultant uses a 'pyramid principle' when structuring a client deliverable. What does this mean?

Accepted Answer

Begin with the key message and support it with grouped arguments and evidence

Answer

The pyramid principle (Barbara Minto) places the main recommendation first, followed by supporting arguments and data, matching executive communication preferences.

Question 4

When conducting a gap analysis, what are consultants comparing?

Accepted Answer

Current state versus desired future state to identify differences

Answer

Gap analysis identifies the difference between where an organization is today and where it wants to be, guiding the development of improvement initiatives.

Question 5

Which phase of the classic consulting engagement lifecycle involves validating hypotheses with data collection and analysis?

Accepted Answer

Diagnostic/analysis phase

Answer

The diagnostic phase is where consultants gather and analyze data to test their initial hypotheses and refine their understanding of the problem.

(CMC) Chartered Management Consultant Practice Test

(CMC) Chartered Management Consultant Practice Test

CMC Consulting Methodologies 2