While most consultants are external to the organisation they work in, this is not always the case. As a consultant, you can be external or internal. Whether you are an external consultant bringing technical expertise, or internal bringing company knowledge, you still aim to deliver independent advice for the benefit of your client.

External Consultants

You are external to the organisation in which you deliver services and typically take defined, short-term roles with a defined target outcome. You bring skills and experience that are not internally available to the client, and it is these credentials that make you attractive.

Your outsider status means that significant work has to be put into building relationships and developing trust, as well as establishing frameworks for the engagement, even though these frameworks are temporary. Whilst you have experience as an external consultant, you have little or no direct power to make changes. Instead, you rely on your communication and influencing skills, and on tactics developed from your experience of successful change management. The engagement process can be quite lengthy and complex, with the full consultant lifecycle from the start of the sales activities to the end of the delivery engagement, all wrapped up with what could be extensive commercial and legal activities.

Internal Consultants

In this situation, you are directly employed by the organisation in which you work, to advise and consult, usually on a specific and focused area. You may be part of a small team of internal consultants, and unless your team has budget to expand, your resources are finite because of this size. You will likely have a deeper understanding of the internal organisation and its strategy and culture than an external consultant will. However, you are not truly independent and are potentially more vulnerable to the internal politics and pressures that exist.

Your internal status means less work is required to engage with the internal client (no contracts or legal documents, though there may be terms of references that define the engagement), and because you are there for the long term, you will likely need to spend less time developing trust or demonstrating your credentials as these are already established.

Using both Internal and External Consultants

Engaging the services of both internal and external consultants can be hugely beneficial for any organisation. Drawing on the expertise of in-house staff who are familiar with company dynamics and goals, as well as utilising the fresh perspective of an experienced consultant from outside can create a powerful combination that leads to innovative solutions. Furthermore, such partnerships may also open up new opportunities for growth and development within organisations by providing them with access to new ideas and resources that they would not have been able to acquire alone. It may also provide pathways for both the internal and external consultants, if both companies are agreeable.