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Journal of Purchasing & Supply Management 27 (2021) 100673

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Journal of Purchasing and Supply Management


journal homepage: www.elsevier.com/locate/pursup

Assessment and selection of management consultants: A comparative


cognitive study between small- and large-scale companies
Annick Dominique Hortense Van Rossem *
KUL (Katholieke Universiteit Leuven), Campus Brussels, Warmoesberg 26, 1000, Brussel, Belgium

A R T I C L E I N F O A B S T R A C T

Keywords: This paper explores alternative ways of evaluating and ultimately hiring a generalist consultancy for short- and
Management consulting medium-term projects, and how this is shaped by the size of the clients’ company. What buying factors do
Supply managers of small and large firms have in mind when hiring consultants for their projects?
Purchasing
Instead of employing surveys incorporating predefined buying factors based on what the researchers think
Size of company
Repertory grid technique
would be important, a cognitive mapping methodology - the repertory grid technique - is applied to investigate
Behavioral supply management research the underlying phenomena. Using the repertory grid technique to draw mental models is a novel research
technique within the supply management field. Recent behavioral supply chain management research found the
behavior of managers to be critically influenced by mental models: the lenses through which managers perceive,
simplify and interpret the world.
Results show differences between the buying factors used in small- and large-scale companies: managers of
large companies are more ‘reputation and outcome-oriented’ and managers of small businesses are more con­
cerned with ‘how the services are rendered’. However, both constituents stressed the importance of expertise,
quality and the relationship between the client and the management consultancy, although the character of such
a relationship differed between small- and large-scale firms. Results also point out criteria that managers of small
and large companies employ to discriminate between good and poor performing consultancies and to judge
service delivery. The practical implications for both companies hiring consultancies and the consultancy com­
panies are discussed. For consultancies, our findings can help tailoring their efforts to a differing clientele when
marketing and selling their services. For companies hiring consultancies, fixating too much on particular buying
factors may lead to biased decisions.

1. Introduction management consulting services (e.g. Fincham, 2002; Orr and Orr,
2013; Sturdy et al., 2013), the client-supplier relation (e.g. Appelbaum
The purpose of this paper is to better understand what characterizes and Steed, 2005; Fullerton and West, 1996) and the opacity of the
clients’ decision-making when hiring a generalist consultancy for their consulting industry (e.g. Pemer and Werr, 2013) make purchasing
short- and medium-term projects by exploring the consultancy clients’ consulting services a difficult task. Nonetheless, buyers seem to ‘sense’
mental models when selecting/purchasing consultancy advice. In addi­ which consulting firm will be more effective and which not (Pemer et al.,
tion, the mental models of managers of small- and large-scale companies 2014b). Notwithstanding that considerable research has been devoted to
are compared. To illustrate this, a cognitive mapping methodology, examining how expertise and advice is sought, these studies generally
called the repertory grid technique is employed. employed surveys whereby buying criteria are predefined, based on
The fundamental drivers of the demand for management consultancy what researchers thought would be important factors. Kosmol et al.
(e.g. Abrahamson, 1996; Gill and Whittle, 1992; Kieser, 1997) have (2018, p.1) emphasized “the need to complement the traditional
received a lot of research attention. Likewise, it has been stressed that perspective on (purchasing) activities and practices with one on mana­
selecting and hiring the right consultant is crucial to achieving the gerial cognition – how managers think, make sense of contexts, and
desired outcomes and to creating advantages in terms of cost reduction make decisions”. Managerial behavior is influenced by managers’
and innovativeness (Pemer et al., 2014b). However, the very nature of mental models (also called cognitive maps) (Walsh, 1995) or “the lenses

* Corresponding author.
E-mail address: [email protected].

https://doi.org/10.1016/j.pursup.2021.100673
Received 20 October 2018; Received in revised form 1 February 2021; Accepted 11 February 2021
Available online 21 February 2021
1478-4092/© 2021 Elsevier Ltd. All rights reserved.
A.D.H. Van Rossem Journal of Purchasing and Supply Management 27 (2021) 100673

through which managers perceive, simplify and interpret the world” (Ernst and Kieser, 2002; Sturdy, 1997). Furthermore, consultants would
(Kosmol et al., 2018, p. 1). provide reassurance to managers and perform ‘unofficial side-functions’
In addition, we know little about how such expertise and advice is (Mohe, 2008). Examples of such side functions are legitimizing finalized
differently sought by small- and large-scale companies as research into managerial decisions (also called rubber stamping) (Kieser, 2002),
consultancy service purchasing generally takes a universalistic having managers’ projects accepted (Ernst and Kieser, 2002; Poulfelt
approach, implicitly assuming the generalizability of research findings and Paynee, 1994), transferring a part of managerial liability to the
to different contexts (Mohe, 2008; Pemer et al., 2014a). We will draw a consultant, and advancing managers’ personal careers (Czander and
comparison between the mental models of managers of small- and Eisold, 2003).
large-scale companies.
The present research adds to research about purchasing consultancy 2.2. Difficulties associated with selecting and hiring management
services by incorporating a cognitive approach. A cognitive approach consultants
draws attention to information processing limitations such as the use of
mental models when making decisions (Hodgkinson and Healey, 2008). Selecting and hiring the right consultant is crucial to achieving the
Hence, we supplement the growing body of behavioral supply man­ desired outcomes (Pemer et al., 2014b). However, many difficulties tied
agement research (e.g. Kaufmann et al., 2017; Kosmol et al., 2018). to characteristics of the nature of consultancy services and the
Behavioral supply management research rejects the assumption that client-consultant relationship arise. For example, a lack of ex ante and ex
humans are “hyper-rational beings” (Croson et al., 2013, p. 1). The post verification of the performance and coproduction (e.g. Czander and
present study also answers the call of Knight et al. (2016) to break away Eisold, 2003; Fincham, 2002; Orr and Orr, 2013; Pemer et al., 2018;
from conventional, questionnaire-generated responses and from Sturdy et al., 2013; van der Valk and Rozemeijer, 2009; Wynstra et al.,
case-based research in the field of purchasing and supply management. 2018) result in buyers of consultancy services witnessing high trans­
By introducing repertory grid technique for drawing mental models, we actional uncertainties (Fincham, 2002; Glückler and Armbrüster, 2003).
propose a research technique which has been applied rarely if at all There is the ‘principal-agent’ relationship meaning that the agent (i.e.,
within the supply management field. Our findings may have important the consultancy) may behave opportunistically (e.g. Höner and Mohe,
practical implications both for managers seeking advice and for con­ 2009; Tate et al., 2010). Information asymmetry occurs (Glückler and
sultancy companies rendering that advice. Armbrüster, 2003) and problems that sensitive information may be
The remainder of this article is structured as follows. The next section transferred to competitors arise (Glückler and Armbrüster, 2003). Per­
presents a brief overview of the existing literature on drivers of demand ceptions of the consulting relationship and values by both consultants
for management consultancies, the difficulties associated with select­ and their clients might differ (Fullerton and West, 1996; Larwood and
ing/hiring management consultants and past research about buying Gattiker, 1986). The latent side-functions may result in the selected
factors when selecting/hiring consultancies. Section 3 explains the consultant not suiting the company’s goals (Höner and Mohe, 2009).
method (repertory grid technique), procedures and sampling. Section 4 Pemer et al. (2018) argued that hiring consultancies may involve per­
presents the results; section 5 discusses the results and section 6 specifies sonal psychological risks such as the fear of critical reactions within the
some practical implications. Finally, we identify some research limita­ managers’ organization.
tions and avenues for further research. In the Appendix the underlying In addition, generalist consultancy is an unregulated market lacking
theory of repertory grid technique and its technicalities are more defined areas of expertise and clear professional boundaries with the
detailed. result that the generalist consulting industry is opaque (Bennett and
Smith, 2004; Pemer and Werr, 2013; Sturdy et al., 2013). Moreover,
2. Theoretical background consultancies are accused to act as ‘pragmatic merchants of manage­
ment knowledge’ in the hope of rapidly making business (Abrahamson,
2.1. Management consultancies and drivers of demand 1996; Carson et al., 2000; Gill and Whittle, 1992).
In view of these difficulties (not an exhaustive list), Pemer et al.
What constitutes a management consultancy is constantly trans­ (2014b) contended that many buyers perceive consultancy services as
forming and various forms of consultancies exist (for an overview see risky to purchase.
Sturdy, 2011). Notwithstanding this, one may state that management
consultancies generally offer business services of various kinds (e.g. 2.3. Buying factors, past research
Engwall, 2001; Fincham and Clark, 2002; Kipping, 2001). According to
the European Federation of Management Consultancy Associations Although the problems with selecting and hiring consultants have
(FEACO) management consulting can be considered “the rendering of been widely described, we know little as to what characterizes clients’
independent advice and assistance about management issues” (FEACO, mental models when evaluating and hiring a project-based generalist
2005). This typically includes “identifying and investigating problems management consultancy and as to how expertise and advice is differ­
and opportunities, recommending appropriate action and helping to entially sought by small and large enterprises. Table 1 shows an over­
implement those recommendations” (FEACO Constitutes, 2005, Article view of studies dealing explicitly with buying/choice criteria when
4). selecting consultancies. These studies are all very informative, but do
The fundamental drivers of the demand for management consultancy not provide a conclusive answer to the question of what buying factors
have been thoroughly researched. One important driver is the search for clients consider when seeking advice and support from external
knowledge and predictability. Consultants transform unstructured consultants.
problems and solutions into standardized problems and solutions
(Abrahamson, 1996; Ernst and Kieser, 2002; Sturdy and Wright, 2011). 3. Methods, procedure and sampling
Gattiker and Larwood (1985) underlined that clients especially seek
objective and new information and ideas. Legitimization is another 3.1. Uncovering mental models: repertory grid technique
motive for hiring management consultants (Sturdy, 1997). In particular,
consultancies with a high reputation signal to both internal and external As shown in Table 1, many studies researching buying factors when
constituencies that expert knowledge is being applied (Ernst and Kieser, hiring consultancies used predefined criteria that had to be scored or
2002). Consultants can also help clients to overcome problems of bot­ ranked by the participants. Though these criteria were often based on
tlenecks in management capacity and carry out tasks for which it is not literature studies and/or interviews with consultants and/or buyers of
efficient for the client organization to use its own management capacity consultancy services, it is altogether possible that these criteria reflect

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A.D.H. Van Rossem Journal of Purchasing and Supply Management 27 (2021) 100673

Table 1
Past research about selection of (generalist) consultants.
Theme Kind of service(s) Method Respondents/sample Key findings
bought

Dawes et al. Criteria for selecting Broad range of Survey: 17 predefined criteria based 253 Australian Most important choice criteria are:
(1992) management consultants consultancy services on literature and in-depth interviews organizations in various reputation of the consultant in
- Does client’s industry with consultants and users of industries (e.g. B2B, general and specific area’s, client
type affect choice consulting services (e.g. reputation, B2C, Government) knows the consultants, client has
criteria? experience with consulting firm, experience with the consulting
experience in clients industry, price, firm, experience in client’s
recommendation, etc.) - Rating: 7 industry. Industry type of client
point Likert scale does not affect choice criteria.
Assignment type of consultancy
does not affect choice criteria.
Users making less frequent
purchases rely more on referral and
prior experience.
Day and Criteria for selecting Architectural Interviews (open-ended questions) - 20 consultancies Most important choice criteria are:
Barksdale management consultants engineering services Thematic analysis (content analysis) rendering architectural reputation, competence,
(1992) and quality evaluation engineering services and understanding the client,
criteria 17 managers (buyers) chemistry, contractual
conformance. No important choice
criteria: price.
Quality evaluation: has worked
with consultant before, referral,
prestige of clients, willingness to
listen.
Day and Criteria for selecting Not specified Survey: Questionnaire with open- 147 US managers Most importan Most important
Barksdale management consultants ended questions - Thematic analysis (buyers) choice criteria are : Soft factors:
(2003) (content analysis) body language and chemistry .
What is chemistry? Confidence,
likeability, shared values, feeling
comfortable.
Hard factors: : prior experience,
presentation, competence and
capability such as knowledge of the
situation.
Poulfelt and Purchasing behavior: Broad range of Survey: Six predefined motives and Danish Consultancies Most important choice criteria are:
Paynee motives and criteria - consultancy services nine predefined buying factors (partners) selling firm’s professional competence in
(1994) Emphasis on Danish selected on the basis of interviews services and 90 Danish the field, previous experience, the
context with consultancy firms and their CEO’s (buyers) (private consultancy firm’s reputation, the
clients (N = 15) and literature - and public sector) quality of consultant’s formal
Rating (not clear) presentation and price. No
important choice criteria: specific
industry knowledge, the
consultant’s style and appearance,
and knowledge of specific people in
the firm.
Motives: seeking knowledge and
innovativeness, independent
advice, change catalyst, additional
external resources (for private
companies), side functions are not
important.
van der Valk Difficulties associated General management Survey (rating) predefined 71 Dutch participants Development of the purchasing
and with buying services consulting services difficulties and case study (buyers) at a seminar process incorporating the steps of
Rozemeijer about buying services preselecting suppliers and detailing
(2009) the initial specifications.
Sonmez and Criteria for selecting Sales skills training Survey: 37 predefined criteria based 571 UK managers Most important choice criteria are:
Moorhouse management consultants services on the analysis of requests for (buyers) (mainly competence, meeting clients’
(2010) proposal and interviews (further learning and needs, challenging clients’ ideas,
condensed in 6 high-level criteria) development managers) added value, presentation skills,
knowledge of the industry, and
flexibility.
Rating: 7 point Likert scale and rank No important choice criteria: price,
ordering size of the company.
The 37 predefined criteria were
reduced to 11 factors: product
features, reputation, international
capability, expertise, ability to
measure effectiveness,
relationship, organizational
capability, general references,
product value, reference from
trusted peers.
Pemer, Criteria for selecting General management Survey: questionnaire about motives, Cultures scoring high on
Sieweke, management consultants consulting services frequency of usage, selecting criteria, uncertainty avoidance and
(continued on next page)

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A.D.H. Van Rossem Journal of Purchasing and Supply Management 27 (2021) 100673

Table 1 (continued )
Theme Kind of service(s) Method Respondents/sample Key findings
bought

Werr et al. (and processes): contracting, order and expedite 104 Swedish managers masculinity (Germany) highly
(2014) comparison of cultural (buyer-supplier relation), evaluation and 61 German value experts, attach more value to
contexts (Germany and managers formal and non-relational selection
Sweden) criteria, use a more centralized
buying approach and perceive the
relations as riskier.
Cultures scoring low on uncertainty
avoidance and masculinity
(Sweden) use more trust-based
relational selection criteria, have a
more decentralized buying
approach and perceive relations as
less risky.
Bennett and Criteria for selecting Broad range of Survey: questionnaire with open- and UK small consultants Most important choice criteria are:
Smith management consultants consulting services multiple choice questions based on belonging to three previous use (increases with firm
(2014) in small companies (general, financial, HR, interviews with consultancies different professional age) and referrals from “trusted”
strategy, marketing & organizations of parties (sources of referral vary for
sales, and ICT) consultancies what kind of consultancies/
projects).
Control: by contract (except for low
cost assignments).

the researcher(s)’ assumptions. As a result, participants in these studies performing consultancies. The names of the consultancy firms were
could have been constrained to certain types of response categories written down on cards. Next, participants were asked to rank the cards
(Denscombe, 2014). in order to control whether good, average or poor performance was the
In line with the call of Kosmol et al. (2018), the present study applies correct label.
a cognitive approach to purchasing management consultancy. To
explore what characterizes the decision-making process when hiring a 3.2.2. Elicitation of bipolar constructs
generalist consultancy, we analyzed clients’ mental models when eval­ The cards were laid down with a blank side facing up. Bipolar con­
uating and hiring consultancies. Mental models can be considered a structs were elicited using the triad difference method (Kelly’s original
small scale model of reality, not necessarily wholly accurate nor a method) as this would generate higher cognitive complex constructs (for
complete match for what it models (Johnson-Laird, 1983). Mental other methods and their implications see: Neimeyer et al., 2002). In­
models arise as a result of personal experiences (Johnson-Laird, 1983; terviewees were asked to randomly select three cards (elements), to pair
Spicer, 1988; Swan, 1997), interactions, exposure to common environ­ up two of these elements that have something in common, distinguish­
ments, socialization and sharing similar sources of information (Coles ing them from the third element while answering the question: ‘When
and Hodgkinson, 2008; Reger and Huff, 1993). Further, innate traits hiring consultants, in what way are two of these consultancy firms
such as gender and personality may influence mental models (Swan, similar, and thereby differ from the third consultancy firm?’. For an
1997). The result then, is “a set of core beliefs that are shared by many example of bipolar construct elicitation, we refer to the Appendix. When
individuals in a group but around which individual variation exists” the interviewee could not come up with more constructs, (s)he was
(Porac et al., 1989, p. 405). Mental models are imposed upon the world asked to take three other cards. This exercise was repeated until the
and used to help processing information and ultimately to make de­ interviewee could not come up with new bipolar constructs (Wright,
cisions (Walsh, 1994). Hence, cognitive elements should be seen as an 2014). Bipolar constructs were noted down in a grid sheet (see Fig. A1 in
important constituent that should be considered if we want to better the Appendix). Also, interviewees’ comments were written down.
understand buying factors when purchasing consultancy services.
For investigating clients’ mental models, we used a cognitive map­ 3.2.3. Rating procedure
ping approach called the repertory grid technique, a structured inter­ The next step of the interview was a rating procedure. For each eli­
view whereby bipolar constructs (personal theories that people use to cited construct, the interviewee was asked to assign a rating, using a
make sense) are elicited and where participants are later asked to rate seven-point Likert scale (7 = ‘very much like the pair’, 1 = ‘very much
the relationships between the bipolar constructs and the elelements like the single’) to each of the elements. In the Appendix the notions of
representing the topic of reseach , often in a form of grid (Fig. A1 in “pair” and “single” are explained, and an example of the rating pro­
Appendix). For a fuller description of repertory grid technique, its un­ cedure is provided.
derlying theory and the key notion of bipolar constructs we refer to the In the last phase of the repertory grid-interview, another similar grid
Appendix. sheet (see Fig. A2 in the Appendix: Grid sheet for supplied constructs)
was provided. Here, the rows consisted of predefined bipolar constructs.
Interviewees were requested to rate the consultancy firms according to
3.2. Procedure these predefined bipolar constructs in the same way as noted above (7-
point Likert scale), assuming that interviewees had not mentioned these
3.2.1. Set-up of the repertory grid technique constructs during the elicitation exercise. We stress that these constructs
We undertook personal face-to-face repertory grid-interviews lasting were supplied only after the elicitation exercise in order to avoid cueing
on average one hour and a half during the first half of 2017. The main participants to particular traits. In the Appendix it is explained how the
purpose in a repertory grid-interview is eliciting bipolar constructs. For supplied constructs were chosen.
doing so, elements representing the topic of research are employed. For By eliciting and supplying bipolar constructs, we combined the ad­
this particular piece of research, the elements were consultancy firms. vantages of ideographic (revealing unique dimensions of participants’
Participants were asked to think of project-based generalist consultancy outlook) and nomothetic methods (seeking general patterns across
firms (excluding internal consulting units) they actually knew: two that people) of data collection (Hodgkinson, 2005).
performed well, two with average performance levels, and two poorly

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A.D.H. Van Rossem Journal of Purchasing and Supply Management 27 (2021) 100673

3.3. Sampling = 8.18) and small-scale firm participants (M = 7.35).


During the repertory grid-interviews, managers of large companies
We repertory grid-interviewed 28 CEO’s/owners and 6 senior man­ tended to mention international consultancies such as Bain, Ernst &
agers of small firms, and 9 CEO’s and 29 senior managers of large firms Young, PWC, KPMG, McKinsey and Deloitte. Managers of small com­
in Belgium. All companies were privately owned for-profit firms, since panies referred rather to small local consultancies or stand-alone
governmental agencies and not-for-profit firms often employ stringent consultants.
procedures for purchasing (Bennett and Smith, 2004; Pemer and Werr,
2013; Sturdy et al., 2013). The average age of the interviewees was 50 4.1. The content of mental models
years and the average years of work experience mounted up to 26.17
years. All interviewees indicated to be regularly involved in the pur­ First, an inventory of the elicited (spontaneously mentioned) bipolar
chase of general management consultancy services. Table 2 describes constructs was established by listing all these constructs. Then, these
the sample in more detail. were categorized following the procedure set out by Jankowicz (2003).1
This inductive process allowed the categories to emerge rather than
4. Results imposing categories a priori (Van Rossem, 2019a). This exercise was
first carried out by two researchers independently. After this exercise,
The rating process resulted in 72 (being the number of interviewees) both researchers negotiated their findings and reached a full consensus
two-dimensional matrices (elements and bipolar constructs) that were on the categorization of the bipolar constructs. It is from this final
subjected to a content analysis and calculation of explorative statistics. agreement that Table 3 (Content analysis) is drawn, reporting for each
In the Appendix we additionallly present graphical cognitive maps based group of participants the construct-categories mentioned, an example of
on Weighted Multidimensional Scaling. In total, the 72 interviewees an elicited construct within a construct-category, and the frequency of
mentioned spontaneously 561 bipolar constructs (MIN. 3; MAX. 16) mention. The number of constructs within a category and the number of
such as for example ‘To the point vs. not to the point’, ‘Committed vs. interviewees who mentioned at least one construct pertaining to a
less committed’, ‘Personal fit vs. no personal fit’, and ‘Value driven vs. category are considered indicators of its importance in the interviewees’
not value driven’. The independent samples test (t = 1.29; p = 0.20) mind (Jankowicz, 2003). Thus, high percentages indicate that these
showed that there was no significant difference between the number of buying factors are seen as important. Low percentages and no mention
spontaneously mentioned constructs by large-scale firm participants (M indicate that these buying factors are not seen as important or did not
come to mind. We report percentages to provide an overall sense of the
trends within our dataset. In Table 4 significant differences for the
Table 2 number of elicited constructs per construct-category between partici­
Sample details. pants of small- and of large-scale companies can be noted for the
Variable sample size Percentage construct-catgories mentioned by more than 15% of all participants.
(n)

Participants 72 4.2. Explorative statistics


Participants from small-scale companies (10–200 34 47
employees)
For each group of participants, the average scores of the construct
Participants from large-scale companies (250–11,000 38 53
employees in branches located in Belgium) ratings per construct-category was calculated based on the Likert scale
ratings for the two good performers, for the two average performers and
Function for the two poor performers among the named consultancies. To main­
Participants from small-scale companies 34 tain consistency, we adopted the same poles of the bipolar constructs on
CEO/owner 28 82 the left side by reversing poles and corresponding ratings. Thus, for
Senior Manager 8 24
Participants from large-scale companies 38
Table 5, a high average score indicates that the left (bold-printed) pole of
CEO/owner 9 24 the bipolar construct-category is applicable, and a low average score
Senior Manager 29 76 indicates that the right pole is applicable. We only report the construct-
categories mentioned by more than 15% of all participants and for the
Gender 72 supplied construct-categories.
Female 10 14
The explorative statistics also disclose which criteria strongly or
Male 62 83
weakly ‘discriminate’ between good and poor performing consultancies
Gender per company size as differences between average scores for good and poor performing
Participants from small-scale companies 34 consultancies can be high or low. High scores for ‘Discriminating buying
Female 8 24 factor’ in Table 5 point to buying criteria which are strong
Male 26 76
discriminators.
Participants from large-scale companies 38
Female 2 5
Male 36 95

Education 72
Higher education (Bachelor, Master, PhD) 67 93
Secondary school (were all interviewees from small- 5 7
scale companies)
1
Activity
Every construct from each grid was coded (initials of name of interviewee,
Small-scale companies 34 order of appearance of the construct, elicited or supplied construct). Next, the
Production 7 20 coded constructs were sorted to form categories of similar constructs: when a
Distribution 6 18 construct was in some way like the first, the two were placed together under a
Services 21 62 single category created at this moment. If a construct was different to the first
Large-scale companies 38 item, they were placed in separate categories. New categories were created, and
Production 20 53 created categories were combined or broken down when required. A category
Distribution 2 5
‘Miscellaneous’ was created for unclassifiable items. No limit on the number of
Services 16 42
categories was imposed (Jankowicz, 2003).

5
A.D.H. Van Rossem
Table 3
Content analysis of elicited constructs.
Construct-category Example of Large-scale companies (N = 38) Small-scale companies (N = 34) ALL participants (N
construct in this = 72)
construct-
Number of Percentage of Number of Percentage of Number of Percentage of Number of Percentage of Percentage of
category
constructs constructs participants who participants who constructs constructs participants who participants who participants who
within a within a spontaneous-ly spontaneous-ly within a within a spontaneous-ly spontaneous-ly spontaneous-ly
construct- construct- named at least one named at least one construct- construct- named at least one named at least one named at least one
category category b construct in this construct in this category category construct in this construct in this construct in this
construct-category construct-category c construct-category construct-category construct-category

Has good social Good open 19 6.11% 17 44.74% 36 6.42% 33 97.06% 69.44%
contacts vs. Not so social contact -
good social contacts Formal, distant
with clients (S) a **
Has expertise/ Knows my 36 11.58% 25 65.79% 26 4.63% 24 70.59% 68.06%
knowledge vs. Has industry - Does
no expertise/ not possess a
knowledge (S) good insight
Broad scope/matter Advises in many 29 9.32% 26 68.42% 22 3.92% 20 58.82% 63.89%
vs. Specific scope/ general cases -
matter (S) Is hired for a
specific domain
Offers quality vs. Services are 27 8.68% 27 71.05% 19 3.39% 18 52.94% 62.50%
Offers no quality (S) excellent - No
high quality
services
(Too) expensive vs. Very expensive - 17 5.47% 17 44.74% 15 2.67% 15 44.12% 44.44%
Affordable (S) Price is
6

acceptable
Personalized service Is really 3 0.96% 3 7.89% 33 5.88% 27 79.41% 41.67%
** involved in our
company - Is
focused on gain
Diagnosis oriented vs. Sees Problems - 16 5.14% 16 42.11% 9 1.60% 9 26.47% 34.72%
Solution oriented Sees solution
(S)
Delivery as promised Visible results 17 5.47% 16 42.11% 8 1.43% 7 20.59% 31.94%
vs. No good as agreed - No

Journal of Purchasing and Supply Management 27 (2021) 100673


delivery † visible results
Good reputation vs. Good name - 14 4.50% 14 36.84% 7 1.25% 5 14.71% 26.39%
Bad reputation (S) † Not really good
name
Miscellaneous 8 2.57% 8 21.05% 9 1.60% 9 26.47% 23.61%
Relevant for my Important for 5 1.61% 5 13.16% 11 1.96% 11 32.35% 22.22%
Company vs. Not my core
relevant for my business - Not
company (S) † important
Big size consultancy Big structure - 12 3.86% 12 31.58% 3 0.53% 2 5.88% 19.44%
vs. Small size * Small structure
Offers outcome/ Added value for 13 4.18% 13 34.21% 5 0.89% 0 0.00% 18.06%
results/added value the company -
vs. Offers no No real added
outcome/results/ value
added value (S) **
Interactive and 8 2.57% 8 21.05% 5 0.89% 5 14.71% 18.06%
direct
(continued on next page)
A.D.H. Van Rossem
Table 3 (continued )
Construct-category Example of Large-scale companies (N = 38) Small-scale companies (N = 34) ALL participants (N
construct in this = 72)
construct-
Number of Percentage of Number of Percentage of Number of Percentage of Number of Percentage of Percentage of
category
constructs constructs participants who participants who constructs constructs participants who participants who participants who
within a within a spontaneous-ly spontaneous-ly within a within a spontaneous-ly spontaneous-ly spontaneous-ly
construct- construct- named at least one named at least one construct- construct- named at least one named at least one named at least one
category category b construct in this construct in this category category construct in this construct in this construct in this
construct-category construct-category c construct-category construct-category construct-category

Direct/frequent communication
communication vs. - strict formal
Not communication
Cultural fit vs. Not Orange” (being 10 3.22% 10 26.32% 3 0.53% 3 8.82% 18.06%
colour of our
logo) fit - No
such fit
Intention to hire vs. I would engage - 8 2.57% 8 21.05% 4 0.71% 4 11.76% 16.67%
No intention to hire I would not
(S) engage
Creative (own ideas) Brings novel 7 2.25% 10 26.32% 2 0.36% 2 5.88% 16.67%
vs. Not * ideas - Is very
classic
International vs. Local International 11 3.54% 10 26.32% 2 0.36% 2 5.88% 16.67%
* firm - Local firm
I believe in this I believe in the 9 2.89% 9 23.68% 2 0.36% 2 5.88% 15.28%
consultancy vs. I do consultant’s
not believe in this ability I do not
consultancy (S) † believe the
7

consultant’s the
ability
Trustworthy vs. Not Can be trusted - 7 2.25% 7 18.42% 3 0.53% 3 8.82% 13.89%
Cannot be
trusted
Flexible vs. Not Is flexible - 6 1.93% 6 15.79% 2 0.36% 2 5.88% 11.11%
Rigid
Strict Way of working Adheres very 4 1.29% 3 7.89% 8 1.43% 8 23.53% 15.28%
vs. Less strict well to
methodology -

Journal of Purchasing and Supply Management 27 (2021) 100673


Not so strict
Strategic vs. Strategic 6 1.93% 6 15.79% 1 0.18% 1 2.94% 9.72%
Operational oriented - Not so
strategic
Have worked with Have 0 0.00% 0 0.00% 5 0.89% 5 14.71% 6.94%
this consultant vs. experience with
Not * this consultant -
Newly hired
Specialized in small Focus on small 0 0.00% 0 0.00% 5 0.89% 5 14.71% 6.94%
vs. Big firms * firms - Focus on
rather bigger
firms
Own consultants vs. Works with own 4 1.29% 4 10.53% 0 0.00% 0 0.00% 5.56%
Freelancers people - Works
with mainly
freelancers
Short vs. long contract Short term 0 0.00% 0 0.00% 3 0.53% 3 8.82% 4.17%
duration contract - Long
term contract
(continued on next page)
A.D.H. Van Rossem
Table 3 (continued )
Construct-category Example of Large-scale companies (N = 38) Small-scale companies (N = 34) ALL participants (N
construct in this = 72)
construct-
Number of Percentage of Number of Percentage of Number of Percentage of Number of Percentage of Percentage of
category
constructs constructs participants who participants who constructs constructs participants who participants who participants who
within a within a spontaneous-ly spontaneous-ly within a within a spontaneous-ly spontaneous-ly spontaneous-ly
construct- construct- named at least one named at least one construct- construct- named at least one named at least one named at least one
category category b construct in this construct in this category category construct in this construct in this construct in this
construct-category construct-category c construct-category construct-category construct-category

Animating vs. Not Act like 3 0.96% 3 7.89% 0 0.00% 0 0.00% 4.17%
animators -
More serious
Financially strong vs. Good solvability 3 0.96% 3 7.89% 0 0.00% 0 0.00% 4.17%
Not - Not so good
solvability
Large vs. Small Large 0 0.00% 0 0.00% 2 0.36% 2 5.88% 2.78%
assignment assignment -
Small
assignment
Speedy to deliver Speedy delivery 2 0.64% 2 5.26% 0 0.00% 0 0.00% 2.78%
consultants vs. Not of people -
Slowly delivery
of people
ST vs. LT vision Is rather short- 2 0.64% 2 5.26% 0 0.00% 0 0.00% 2.78%
8

term focused -
Long-term
focused
Use of junior Many young 2 0.64% 2 5.26% 0 0.00% 0 0.00% 2.78%
consultants vs. consultants -
Seniors Senior level
consultants
Pricing correct vs. Not Correct price 3 0.96% 2 5.26% 0 0.00% 0 0.00% 2.78%
tag - Charges
too much

Journal of Purchasing and Supply Management 27 (2021) 100673


TOTAL 311 250

Note:
Significant difference between the number of participants of large- and small-scale firms mentioning a construct in this construct-category based on Pearson’s chi-square test, corrected by Yates’ correction for continuity
for small data:
**p < 0.01.
*p < 0.05.
†p < 0.10.
a
(S) These constructs were supplied to the participants if not spontaneously mentioned. The present analysis pertains to the elicited constructs only.
b
Percentage of constructs within a construct-category: The number of constructs in a certain construct-category compared to the total number of elicited constructs.
c
Percentage of participants who spontaneously named at least one construct in this construct-category: the number of participants who named at least one construct in this construct-category divided by the total number of
participants in the (sub)sample.
A.D.H. Van Rossem Journal of Purchasing and Supply Management 27 (2021) 100673

c
Table 4 Significant difference between the number of participants of large- and small-
Significant differences for the number of elicited constructs per construct- scale firms mentioning a construct in this construct-category based on Pearson’s
category (mentioned by more than 15% of participants) between participants chi-square test, corrected by Yates’ correction for continuity for small data.
of small and of large companies.
Construct-category Percentage of participants who named at χ2 pc
least one construct in this construct-
5. Discussion
category b

Total Large Small


5.1. Important buying factors
sample companies companies
(N = 72) (N = 38) (N = 34)
The content analysis (Table 3) reveals what buying factors are
Has good social 69.44% 44.74% 97.06% 20.75 0.00
contacts vs. Not so
considered important, since the number of interviewees who mentioned
good social at least one construct pertaining to a construct -category are considered
contacts with indicators of its importance in the interviewee’s mind (Jankowicz,
clients (S) a ** 2003).
Has expertise/ 68.06% 65.79% 70.59% 0.03 1.00
‘Expertise/knowledge’ pertaining to both general expertise and
knowledge vs. Has
no expertise/ expertise in the industry was spontaneously mentioned by 68% of all
knowledge (S) participants. Knowledge/expertise is not only an important driver for
Broad scope/matter 63.89% 68.42% 58.82% 0.36 1.00 buying management consulting services (Pemer et al., 2014a), but also
vs. Specific scope/ constitutes an important buying factor as reported by previous research
matter (S)
Offers quality vs. 62.50% 71.05% 52.94% 1.8 0.18
(e.g. Dawes et al., 1992; Day and Barksdale, 1992; Sonmez and Moor­
Offers no quality house, 2010).
(S) 62.5% of all participants mentioned ‘Offers quality’. Curiously,
(Too) Expensive vs. 44.44% 44.74% 44.12% 0 1.00 quality as a buying factor of consultancy services has not been intensely
Affordable (S)
researched (see Table 1). Bennett and Smith (2004, p. 437) stated that
Personalized service 41.67% 7.89% 79.41% 34.88 0.00
vs. Not since it is difficult to evaluate the possible quality of the service to be
personalized** received, “the client is likely to use a range of other information to select
Diagnosis oriented 34.72% 42.11% 26.47% 1.31 0.25 the most suitable consultant”. Nevertheless, our data reveal that quality
vs. Solution is an important buying factor. Although some frameworks such as
oriented (S)
SERVQUAL for measuring service quality exist, no participant referred
Delivery as promised 31.94% 42.11% 20.59% 2.9 0.89
vs. No good to such a quality framework.
delivery† ‘Broad scope/matter vs. specific scope/matter’ was a frequently
Good reputation vs. 26.39% 36.84% 14.71% 3.46 0.06 mentioned construct-category as well (63.89%). ‘Diagnosis oriented vs.
Bad Reputation (S)
solution oriented’ (34.72%) and ‘Strategic vs. operational’ (9.72%) were

Relevant for my 22.22% 13.16% 32.35% 2.8 0.09 also mentioned, though to a lesser degree. Our results show that the
Company vs. Not range of services offered by the consultancy is an important consider­
relevant for my ation when hiring management consultancies. This finding is contrary to
company (S)† previous reseach (Dawes et al., 1992; Day and Barksdale, 1992).
Big size consultancy 19.44% 31.58% 5.88% 6.01 0.01
Participants of small firms came up with local consultancies when
vs. Small size *
Offers outcome/ 18.06% 34.21% 0.00% 11.98 0.00 they were asked to name good, average and poor performing consul­
results/added tancies during the repertory grid card game and were the only ones to
value vs. offers no mention ‘Specialized in small vs. big firms’ (14.71%), pointing to
outcome/results/
expertise in small companies. Participants of large firms named pri­
added value (S) **
Direct/frequent 18.06% 21.05% 14.71% 0.15 0.69
marily big international consultancy firms. The latter is in line with the
communication vs. findings of Engwall (2001) who contended that particularly large con­
Not sultancies are very visible, and this is what makes them attractive for
Cultural fit vs. Not 18.06% 26.32% 8.82% 2.62 0.10 large corporations, which may follow each other in hiring consultants.
Intention to hire vs. 16.67% 21.05% 11.76% 0.55 0.46
Contrary to the findings of Sonmez and Moorhouse (2010), our results
No intention to
hire (S) reveal that size matters to large companies since significantly more
Creative (own ideas) 16.67% 26.32% 5.88% 4.02 0.04 participants of large companies mentioned ‘Big size consultancy vs.
vs. Not * small size’.
International vs. 16.67% 26.32% 5.88% 4.02 0.04
Other important buying factors are related to the relationship be­
Local *
I believe in this 15.28% 23.68% 5.88% 3.13 0.07
tween the client and the consultancy firm and/or a particular consultant.
consultancy vs. I However, we discovered that for small firms the personal relationship is
do not believe in particularly important, since the participants of small firms made
this consultancy significantly more mention of the construct-category ‘Good social con­
(S) †
tacts’ including constructs like ‘personal fit with the consultancy’ and
**p < 0.01. ‘good chemistry’. Participants of larger companies, made more mention
*p < 0.05. of the construct category ‘I believe in this consultancy’ relating to
†p < 0.10. business-like relationships. Our findings correspond to the widely held
Note: view that personal chemistry is a decisive factor when hiring a consul­
a
(S) These constructs were supplied to the participants if not spontaneously
tant (e.g. Czander and Eisold, 2003; Glückler and Armbrüster, 2003).
mentioned. The present analysis pertains to the elicited constructs only.
b However, this seems to be more true for small firms. Small firms
Percentage of participants who named at least one construct in this construct-
category: the number of participants who named at least one construct in this
particularly depend for their survival on exchanges with their direct
construct-category divided by the total number of participants in the (sub) environments (Curran and Blackburn, 2001), which may cause them to
sample. look for good personal connections (Lepoutre and Heene, 2006). Large

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A.D.H. Van Rossem Journal of Purchasing and Supply Management 27 (2021) 100673

Table 5
Explorative statistics (average scores of the construct ratings per construct-category) and discriminating buying factors.
Percentage of Construct-category Large companies (N = 38) Small companies (N = 34) Large Small
participants in companies companies
total sample who
Good Average Poor Good Average Poor Discriminating Discriminating
spontaneously
performing performing performing performing performing performing buying factor b buying factor b
named at least
consultants consultants consultants consultants consultants consultants
one construct in
this construct-
category

69.44% Has good social 5.44 4.83 3.94 5.84 5.06 3.79 1.50 2.06
contacts vs. Not so
good social
contacts with
clients (S)a **
68.06% Has expertise/ 6.13 5.23 5.23 5.94 5.63 4.79 0.90 1.15
knowledge vs. Has
no expertise/
knowledge (S)
63.89% Broad scope/ 4.59 4.14 3.87 4.17 3.82 3.95 0.72 0.22
matter vs. Specific
scope/matter (S)
62.50% Offers quality vs. 5.95 5.36 5.36 5.82 5.18 3.91 0.59 1.91
Offers no quality
(S)
44.44% (Too) Expensive 4.99 4.51 4.77 3.93 3.92 4.64 0.22 − 0.71
vs. Affordable (S)
41.67% Personalized 5.50 4.83 3.33 5.83 4.45 2.98 2.17 2.85
service vs. Not
personalized**
34.72% Diagnosis 4.72 4.47 4.11 4.42 4.14 3.62 0.62 0.80
oriented vs.
Solution oriented
(S)
31.94% Delivery as 5.79 4.74 3.06 5.50 4.00 3.28 2.73 2.22
promised vs. No
good delivery†
26.39% Good reputation 6.10 5.46 4.29 5.63 4.90 4.18 1.81 1.46
vs. Bad Reputation
(S) †
22.22% Relevant for my 5.28 4.95 3.93 5.56 4.97 4.02 1.35 1.55
Company vs. Not
relevant for my
company (S)†
19.44% Big size 4.36 4.50 4.32 3.00 3.50 4.67 0.05 − 1.67
consultancy vs.
Small size*
18.06% Offers outcome/ 5.59 4.91 3.43 5.78 4.82 3.60 2.16 2.18
results/added
value vs. offers no
outcome/results/
added value (S) **
18.06% Direct/frequent 5.5 4.75 3.13 6.00 4.10 2.40 2.38 3.60
communication
vs. Not
18.06% Cultural fit vs. Not 5.45 5.15 3.15 6.17 6.00 4.67 2.30 1.50
16.67% Intention to hire 6.13 5.56 3.55 6.41 6.06 4.75 2.58 1.66
vs. No intention to
hire (S)
16.67% Creative (own 5.72 4.22 2.94 6.25 5.75 2.50 2.78 3.75
ideas) vs. Not *
16.67% International vs. 4.77 4.23 4.77 3.75 4.25 3.25 0.00 0.50
Local *
15.28% I believe in this 5.78 5.23 3.56 6.03 5.16 3.78 2.22 2.25
consultancy vs. I
do not believe in
this consultancy
(S)†

Significant difference between the number of respondents of large- and small-scale firms mentioning a construct in this construct-category based on Pearson’s chi-
square test, corrected by Yates’ correction for continuity for small data:
**p < 0.01.
*p < 0.05.
†p < 0.10.
Note:
a
(S) These constructs were supplied to the participants if not spontaneously mentioned. The analysis pertains to both elicited and supplied constructs.
b
Discriminating buying factors: the difference between good performing and poor performing consultants. High average scores indicate that the left (bold-printed)
pole is applicable. Low average scores indicate that the other pole is applicable.

10
A.D.H. Van Rossem Journal of Purchasing and Supply Management 27 (2021) 100673

companies have more rational considerations (Donaldson, 2001). more mention of constructs dealing with ‘Personalized service’ such as
However, this does not mean that personal relationships were not ‘consultant adapts to client’ and ‘consultant empathizes with the situa­
important for the group of large company managers, as during the in­ tion’. The same was true for ‘Relevance for my company’ containing
terviews some of the large company managers clearly pointed out that constructs such as ‘related to my core business’. Since small companies
“consultancy is a people business, nevertheless results are important”. have only a few key managers (mostly the owners) at their core and few
Our data also show that participants of large companies are rather hierarchical levels (Donaldson, 2001), these firms may be in real need of
fixated on the outcome of the project and less on how services are tailored expertise that they cannot find in house. In our sample, the
rendered when hiring consultants, since they mentioned significantly small firms were mainly active in the service sector, which may also
more the construct-categories ‘Offers outcome/results/added value’ and account for why participants of small firms in our sample valued
‘Delivery as promised’. In larger corporations executives may experience ‘Personalized service’, as being service-oriented too.
pressures to realize short-term results (Hoffman et al., 2006). Also, the In previous studies (e.g. Dawes et al., 1992; Poulfelt and Paynee,
fact that in our sample it was mostly large companies that were 1994; Sonmez and Moorhouse, 2010) the consultant’s reputation ap­
production-oriented and where efficiency is a major issue, can add to pears to be an important buying factor. We found that reputation (in the
this outcome-orientation. Participants of small firms made significantly sense of public reputation which circulates freely in the market arena cf.

Fig. 1. Important buying factors - similarities and differences between small and large companies.

11
A.D.H. Van Rossem Journal of Purchasing and Supply Management 27 (2021) 100673

Glückler and Armbrüster (2003)) especially mattered to participants of


large firms since they mentioned significantly more the
construct-category ‘Reputation is good’ than participants of small firms.
Participants of large firms were also the only ones to name
construct-categories like ‘Financially strong’ and ‘Short Term vs. long
term vision’ which can be considered reputational considerations.
Larger organizations have in general more evolved administrative pro­
cesses and hierarchy (Donaldson, 2001; Sonmez and Moorhouse, 2010)
and therefore the reputation of the consultancy firm is a legitimizer for
hiring the services of that particular firm (Mohe, 2008). Herein lays the
reason for managers of large companies coming up with names of big,
well-known consultancies. Contrary to the findings of Bennett and Smith
(2004), participants in our research did not spontaneously mentioned
referrals and reputation based word-of-mouth recommendations which
could allow the buyer to ascertain that the supplier can be trusted.
‘(Too) expensive vs. Affordable’ (price), mentioned by 44% of all
participants, plays a role when hiring consultants. But this criterion
seems not to be the most important buying factor. However, fees seem to
matter more to small firms. Smaller firms have less financial means Fig. 2. Criteria strongly discriminating between good and poor performing
(Sonmez and Moorhouse, 2010) while large firms have more discre­ consultancies - Factors used to judge service delivery.
tionary resources to allocate (Donaldson, 2001). Fig. 1 shows the most
important buying factors and differences between small and large
companies.
‘Diagnosis oriented vs. solution centered’, ‘International vs. local’ and
5.2. Less important buying factors ‘Relevancy for the company’. ‘Expertise/knowledge’ was for both con­
stituencies a very important buying factor, although it seemed not to be
Previous studies (Dawes et al., 1992; Day and Barksdale, 1992; a clear discriminator.
Poulfelt and Paynee, 1994) pointed out that former interaction and
experience with the consultancy firm is an important buying factor as 5.4. Rich mental models
this reduces the search costs of finding a good consultant (Edvardsson,
1990). In our research, the construct-category ‘Have worked with this Using the repertory grid technique, it was revealed that buying fac­
consultant’ was only mentioned by 6.94% of all participants. However, tors interviewees used to hire consultancies are much richer than the
during the interviews some participants revealed that once managers predefined attributes employed in earlier studies as shown in the liter­
had a good experience with a consultancy, they preferred to stick to that ature study (Table 1). In our study, interviewees came up with ‘buying
particular consultancy. Our research did not reveal many constructs factors’ such as cultural fit, the size of consultant company, creativity,
relating to the consultant’s formal presentation skills and style contrary way of working, working with own consultants or freelancers, contract
to the findings of Day and Barksdale (1992). duration, magnitude of assignments, the use of junior consultants or
Other buying factors mentioned by all participants, be it less seniors, international vs. local orientation of the consultancy firm, speed
frequently, relate to the way of working such as ‘Strict way of working’ of delivery. None of these attributes were employed by earlier research.
and ‘Direct/frequent communication’. This corresponds with the find­
ings of Day and Barksdale (1992) and Sonmez and Moorhouse (2010). 5.5. Buying criteria and bias
Also, for large firms the speed of delivery of consultants, their level of
seniority and whether consultants are playful are buying criteria, The content analysis (Table 3) shows that managers employ a mix of
although these criteria seem not to be that important. rational and emotional buying factors. This finding may question the
Mohe (2008) asserted that managers hire consultants in order to many studies that consider supplier selection being a rational process
pursue ‘unofficial side-functions’. Our data revealed that especially for (Kaufmann et al., 2017). Notwithstanding, too high a reliance on
large companies, reputation can be considered a legitimizer as noted rational buying may blind decision makersuse of emotional criteria and
above. Other side functions such as helping managers to advance their induce a false feeling of control over the judgement situation, which
personal careers or to gain power (Mohe, 2008) were not revealed. This seems specially to apply to managers of large companies.
might be explained by the fact that the topic of unofficial side-functions In addition, too high a focus on certain buying criteria may lead to
is difficult to research as social desirability bias may arise. Nonetheless, other biases. For example, our data reveal a high level of reliance on
as literature focuses on micro-politics as motives for buying consultancy personal beliefs, as demonstrated by the spontaneously elicited con­
(Mohe, 2008), such a bias may exist in the selection process of man­ structs categories such as “I believe in this consultancy” and “turst­
agement consultancies. Hence, “neutral” buying factors such as exper­ worthy”. This may lead to fact-value confusion and desire bias.
tise/knowledge and quality might in reality not be as important as our Managers of small companies in particular seem to fall victim to per­
results suggest. sonal beliefs, since personal relations/chemistry is an important buying
factor. This may direct failure to recognize disconfirming objective in­
5.3. Discriminators formation (confirmatory bias) and trigger over-optimistic evaluations.
Our data also show how managers of small firms fall victim to the
As mentioned in Heading 4.2., the descriptive statistics (Table 5) country-of-origin bias (an alternative is chosen only because it is near
reveal which criteria discriminate strongly or weakly between good and home) and the familiarity bias, since small firm participants mainly
poor performing consultants. These discriminating factors can be used referred to small and local consultancies. Large companies for their part
for judging services delivery and may influence a rebuy decision. Fig. 2 rely heavily on a consultancy’s reputation and may fall victim to wishful
illustrates the most important discriminators and some differences be­ thinking (a bias that attributes positive predictions to what is thought to
tween small and larger firms. The following were no strong discrimi­ be a reliable source), and anchoring- and reference point bias (evalu­
nators for both constituencies: ‘Price’, ‘Broad vs. specific scope/matter’, ating outcomes and expressing preferences relative to an existing

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A.D.H. Van Rossem Journal of Purchasing and Supply Management 27 (2021) 100673

reference point, or status quo). highest ‘objective’ score across the business-like outputs, may have an
Nonetheless the construct-category ‘have worked with this consul­ illusion of control and may fail to incorporate other decision criteria
tant’ was only mentioned by 6.94% of all participants, some participants which are relevant, such as personal fit (Carter et al., 2007; Kaufmann
revealed that once managers had a good experience with a consultant et al., 2010). Since many consultancy projects involve close collabora­
they preferred to stick to that particular consultant or consultancy. This tion between consultants and members of the hiring company, personal
may lead to persistence bias (an alternative is chosen simply because it chemistry is important as well (e.g. Appelbaum and Steed, 2005; Full­
has been chosen in the past), and to the hindsight bias (the fact that a erton and West, 1996; Sturdy, 1997; van der Valk and Rozemeijer,
project turned out well does not automatically involve that the decision 2009).
to hire that particular consultant was a good one), which limits
exploring new information (Carter et al., 2007). 7. Research limitations and avenues for further research

6. Practical implications It is important to recognize the limitations of the present research.


The most substantial limitation is the generalizability of the study.
Our findings are of practical relevance to consultants for whom it is Although the sample is sufficient for the purpose of repertory grid
essential to understand what buying criteria managers consider when technique (Ginsberg, 1989), this sample is not appropriate for drawing
hiring consultants, and how managers of small and large firms may vary wider inferences and pertains to a Belgian context. Since regional cul­
in their considerations when hiring consultants. The latter can have tural differences may influence the use of professional services (Pemer
notable implications for tailoring and framing consultants’ efforts to a et al., 2014a, 2018), buying factors may vary across regions. Another
potentially differing clientele when marketing and selling their services shortcoming of the sample is the reversed proportion of firms active in
(Sonmez and Moorhouse, 2010). Also, the strong discriminators production and services sectors in the small- and large–scale firms’
revealed in Fig. 2 may help to frame consultancies’ efforts towards thier samples.
clientele, especially in the case of rebuy decisions. ‘Good social con­ By using a cognitive approach and mapping techniques, general
tacts’, ‘offers quality’ and ‘the small size of the consultancy firm’ are critiques on cognitive theory and mapping are applicable (Eden, 1988).
important buying factors and discriminators for small companies alone. Another limitation is the choice of elements in our research. Also,
Conversely, ‘reputation’ and ‘cultural fit’ are important buying factors different forms of cognitive mapping to repertory grid technique should
and discriminators for large firms. Price was not a strong discriminator be introduced in future research.
nor an important buying factor for either constituency. Personal re­ In the present research we did not control for the phases in the
lationships seemed to be crucial to the buying decision-making process purchasing process (e.g. drawing up shortlists or the final decision cf.
for both small and large firms. However, for large firms it seems to be Day and Barksdale, 1992; Bennett and Smith, 2004), nor did we take
more distant business-like relations that are valued, while small firms various purchasing procedures (from laissez faire to more formalized
appreciate personal relations more. Particularly for large companies, policies) (Werr and Pemer, 2005) into account. Future research can
belief in the consultant’s potential is important. This belief can be support the development of a procurement approach to add business
nurtured by carefully listening to the client’s story and asking the right value to the consulting decision making process.
questions (Dawes et al., 1992). Different types of the consultancy buyer have been proposed
For managers of small-scale companies seeking advice, our results depending on the uncertainties buyers envisage when hiring consultants
warn that a too high emphasis might be put on the personal relationship (Pemer and Werr, 2013). In the present study we fell short of capturing
and personal chemistry. Relationships with the consultants might be how participants would fall into a certain category. However, since all
predominant to short and medium projects buys. Relationships that are participants had experience with hiring and working with consultants
too close prevent an objective view when hiring a consultancy company and were senior managers, we may assume that they did not experience
(Kaufmann et al., 2017); they lead to confirmatory bias and too many psychological risks pertaining to their colleagues’ reactions to
over-optimistic evaluations (Carter et al., 2007), and to increased op­ their choice of consultants (Pemer and Werr, 2013). Nor did we focus on
portunity costs (costs of making an inferior decision such as missing out the specific nature of the projects for which consultancy was sought. It is
better and lower cost consultants) (Pemer et al., 2014b). A close reasonable to believe that a project pertaining to client-specific sensitive
engagement model between buy-side managers and representatives of information may influence buying criteria such as the importance of
consultancies has also practical flaws such as misestimating consulting prior experience with the consultant (Sturdy et al., 2013). Criteria may
demands, reinterpretation of the scope, no verification of fees and no also vary across buying committee members (Day and Nedungadi,
evaluation criteria of the project (Ellram et al., 2004; Werr and Pemer, 1994), and may depend on whether buying decisions are taken indi­
2007). Therefore, measures to mitigate bias such as appointing a devil’s vidually or within a team (Pemer et al., 2018). Since our sample related
advocate (Kaufmann et al., 2010) and prompting a shift of perspectives only to experienced buyers and buying criteria in general, linking pur­
by involving procurement professionals (Lonsdale et al., 2017; Schiele, chasing processes, types of consultancy buyers, experience of buyers
2005; Werr and Pemer, 2007), are important. Procurement professionals with purchasing consultancy services, and types of projects (e.g.
may shape end-user preferences by defining a project scope, selection sourcing strategies) with buying factors, is an interesting avenue for
criteria, a (flexible) preferred suppliers list, objectives and deliverables, further research.
and controls and standards. Procurement professionals can prevent that We pointed to some biases that may arise from relying too much on
personal engagement becomes too close or embedded (Lonsdale et al., certain buying criteria. However, further research should explore what
2017) by encouraging and supporting managers to think through their buying criteria lead to what kind of biases and how the decision is
purchasing and use of consultants (Pemer et al., 2014b). Prejudices such affected.
as if involving professional procurement would lead to an ill-informed, We revealed perceptions about the importance of various buying
over-formalized and too cost-focused process disrupting co-creation criteria. However further research should explore whether the percep­
(O’Mahoney et al., 2013) should be discarded. tions of their importance differ from their actual choice.
Conversely, our study warns managers of large-scale companies not
to put too much emphasis on business-like output factors and on the 8. Conclusion
reputation of the consulting company for reasons of legitimation. The
latter may lead to the buyer relying too heavily on reputation and By exploring consultancy buyers’ mental models when selecting/
searching only for confirmatory evidence (Carter et al., 2007; Kaufmann purchasing consultancy advice, this paper aimed to better understand
et al., 2010). A buyer who chooses a consultancy which received the what characterizes clients’ decision-making when hiring a consultancy

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A.D.H. Van Rossem Journal of Purchasing and Supply Management 27 (2021) 100673

firm. However, since the participants also called upon rational buying factors
Employing repertory grid technique, we explored what buying fac­ when buying consultancy services, we may modify the view of the rather
tors shape the decisions of clients’ of large and small firms when eval­ passive and weak client that dominates early research into management
uating and ultimately hiring a consultancy firm. Hence, we answered the consulting (Kieser, 1997).
call of Knight et al. (2016) to break away from conventional,
questionnaire-generated responses and from case-based research in the Credit author statement
field of purchasing and supply management. Using repertory grid
technique, it was revealed that bipolar constructs or buying factors in­ This is a single authored paper. However, I am grateful to some
terviewees used to hire consultancies are much richer than was sug­ master thesis students for their help accessing interviewees. I am espe­
gested by the predefined attributes used in earlier studies. This indicates cially grateful to Siège Ronsmans for the contribution to the content
that repertory grid technique is a more ecologically valid way of analysis.
capturing information (Van Rossem, 2019a) about buying factors.
In line with previous research, we found that ‘Expertise/knowledge’ Funding
(e.g. Czander and Eisold, 2003; Dawes et al., 1992; Sonmez and Moor­
house, 2010) and ’perceived quality’ (cf. Bennett and Smith, 2004) Authors declare that this study has not been funded.
constitute important buying factors for both small and large companies.
Also, good personal relationships is an important criterion (e.g. Czander Ethical approval
and Eisold, 2003; Glückler and Armbrüster, 2003) though managers of
small firms particularly valued personal relationships, while managers This article does not contain any studies with animals performed by
of large companies preferred distant business-like relationships. This any of the authors.
might explain why reputational considerations that serve as legitimizers All procedures performed in studies involving human participants
were more important buying factors for managers of large firms (cf. were in accordance with the ethical standards of the institutional and/or
Mohe, 2008). The (perceived) way of working of the consultancy firm, national research committee and with the 1964 Helsinki declaration and
though to a lesser extent, seemed to matter as well to both managers of its later amendments or comparable ethical standards.
large and small firms (Czander and Eisold, 2003; Sonmez and Moor­ Informed consent was obtained from all individual participants
house, 2010). Price was not revealed to be an important buying factor included in the study.
(Sonmez and Moorhouse, 2010). However, the price tag was more The study is not under consideration for publication anywhere else.
pronounced in the mind of managers of small companies. A very early version of the paper has been presented at the Egos
Contrary to previous research (Dawes et al., 1992; Day and Barks­ Conference.
dale, 1992), our results showed that the range of services offered by the The paper has not been previously rejected or withdrawn after re­
consultant is an important consideration when hiring management view by the Journal of Purchasing and Supply management.
consultancies. Small-scale firms seemed especially interested in whether Its publication has been approved by all co-authors.
the consultancy firm specialized in services aimed at small firms, while Its publication has been approved by the responsible authorities –
large firms were more interested in the big size of the consultancy firm tacitly or explicitly – at the institute where the work has been carried
(cf. Engwall, 2001). out.
The present research also revealed that not all buying factors are Author(s) declare that they took scholarly integrity very seriously.
equally strong discriminators between good and poor performing con­ We confirm that our manuscript is not under review for publication
sultants influencing rebuy considerations, and that some strong dis­ elsewhere.
criminators are not necessarily important buying factors. No subset(s) of the data of this empirical study have been used for
The elicited constructs disclosed that both small and large organi­ other articles.
zations not solely rely on objective rational evaluations, but also on
personal emotional beliefs when selecting consultants. Buyers of con­ Declaration of competing interest
sultancy services should bear in mind that fixating too much on
particular buying factors may result in decision-making biases. None.

APPENDIX. REPERTORY GRID TECHNIQUE - BACKGROUND AND TECHNICALITIES

1. Repertory grid technique: underlying theory and the concept of “bipolar constructs”

Since its inceptioin, the repertory grid technique has been used to elicit and analyze the content of mental models through a structured interview
(Hodgkinson et al., 2016; Kelly, 1955; Wright, 2004, 2008; Wright et al., 2013). Originally, the repertory grid introduced by Kelly in 1955, was devised
as an ideographic tool for the use by psychologists to assess clients’ interpersonal belief systems. However, in the meantime the repertory grid has
enjoyed a proven track record in applied studies of individual and social cognition across a variety of domains.
The repertory grid technique is grounded in Kelly’s Personal Construct Theory. A central idea of Personal Construct Theory is that all human beings
are scientists with each of them having their own personal theories about the world. On the basis of their personal theories human beings develop
hypotheses which get tested and revised through a process of construal in order to make sense of these experiences (Kelly, 1955; Reger and Huff,
1993). Personal constructs then, are a set of these personal theories (Caldwell, 2002) allowing meaning and sense making (Van Rossem, 2019a).
Personal constructs are bipolar. The following example (Edwards et al., 2009, p. 786) illustrates this. Based on reports in newspapers, one might
construe Pit Bull terriers to be an aggressive breed of dog and anticipate an attack. However, a responsible Pit Bull owner might construe the breed as a
protective companion. Personal Construct Theory also suggests that individual personal constructs are similar to the construction systems of other
people to the extent that people share similar experiences (Kelly, 1955). This indicates that generalization from individual to common perceptions is
possible (Hodgkinson, 1997).
To enable elicitation of the bipolar constructs, Kelly elaborated the repertory grid technique. As constructs are abstract and often non-verbalized,
Kelly introduced ‘elements’ (such as concepts, activities, people, etc. representing the topic of research) as a part of the elicitation process to help

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A.D.H. Van Rossem Journal of Purchasing and Supply Management 27 (2021) 100673

individuals phrase bipolar constructs (Van Rossem, 2019a). The repertory grid technique elicits bipolar constructs through a structured interview
where people are later also asked to rate the relationships between the elements and the bipolar constructs, often in the form of a grid, where the
columns are the elements and the rows are the bipolar constructs (cf. Fig. A1: Grid sheet for elicited constructs) (Edwards et al., 2009). The tech­
nicalities of the repertory grid technique have evolved over time and methodological research has explored a variety of relevant issues (see Neimeyer
et al., 2002).
The repertory grid technique is a proven technique that minimizes researcher bias compared to other cognitive mapping techniques (Wright, 2004)
and is used in various fields of research (Fassin et al., 2011; Pavlica and Thorpe, 1998; Rogers and Ryals, 2007; Van Rossem, 2019b). The Repertory
Grid Technique tries “to reconcile a contextual rich interpretation with a pure mathematical elegance” (Fassin et al. 2011, p. 430). There are also
disadvantages to be noted such as the time-intensive and a potentially more intrusive nature of the interview (Hodgkinson, 1997).

2. Proceedings

2.1. Example of bipolar construct elicitation


As noted, in the present study bipolar constructs were elicited using the triad difference method (Kelly’s original method). Interviewees were asked
to randomly select three cards (the elements; in the present research these were two good, two mediocre and two poor performing consultancies that
participants had to name), to pair up two of these elements that have something in common, distinguishing them from the third element While
answering the question: ’When hiring consultants, how are tow of these consultancy firms similar, and thereby different from the third consultancy
firm’? For example, (see Fig. A1 showing a grid sheet for elicited constructs), the interviewee selects randomly three cards mentioning: ‘Sauley’,
‘Mercedes’ and ‘Cameleon’. (S)he pairs up ‘Sauley’ and ‘Mercedes’, and sets ‘Cameleon’ apart. The interviewee elucidates that both ‘Sauley’ and
‘Mercedes’ are well acquainted with the sector and ‘Cameleon’ is not: the elicited bipolar construct is then ‘Well acquainted with the sector vs. not
acquainted with the sector’. Through this process, constructs with two poles are elicited, namely the pole representing the similarity ‘pair’, and its
counterpart the ‘single’. These two poles were noted on the grid sheet.

Fig. A1. Example of a grid sheet for elicited constructs.

2.2. Example rating procedure

Participants were asked to rate the six consultancies based on their own generated bipolar constructs using a 7-point scale. A rating of ‘7’ meant
that elements were judged to be fully in agreement with ‘the pair’ of the bi-polar construct; a rating of ‘1’ meant that elements were best explained by
‘the single’. For example (see the grid sheet in Fig. A1), Sauley, Derard, Mercedes, Cesar and Martijns received high ratings implying that the pair is
applicable and hence are deemed to be well acquainted with the sector. Cameleon was given a low rating implying that the single is applicable and
thus is judged not to be acquainted with the sector. This procedure made it possible to capture buying factors based on the specifics of all the par­
ticipants’ own frames of reference (Edwards et al., 2009).

2.3. Choice of predefined constructs

Interviewees were also requested to rate the consultancy firms according to predefined bipolar constructs, assuming that interviewees had not
mentioned these constructs during the elicitation exercise. The predefined bipolar constructs were the following: ‘(Too) expensive vs. affordable’,
‘Good reputation vs. bad reputation’, ‘Relevant for my company vs. Not relevant for my company’, ‘Has good social contacts vs. Not so good social
contacts’, ‘Has expertise/knowledge vs. Has no expertise/knowledge’, ‘Diagnosis oriented vs. Solution oriented’, ‘Offers quality vs. Offers no quality’,
‘I believe in this consultancy vs. I do not believe in this consultancy’, ‘Offers outcome/results/added value vs. Offers no outcome/results/added value,
‘Intention to hire vs. No intention to hire’, ‘Broad scope/matter vs. specific scope/matter’. The choice of these supplied constructs was based on the
literature study mentioned above (Table 1). These supplied constructs were translated (with back translation) to Dutch, French and English, view the
Belgian context. If interviewees had spontaneously mentioned these supplied constructs during the construct-elicitation exercise, the bipolar con­
structs were inventoried on the grid sheet for elicited constructs (Fig. A1) and coded with E*. If the bipolar construct was really supplied, the bipolar
construct was rated on the grid sheet for supplied constructs (Fig. A2).

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A.D.H. Van Rossem Journal of Purchasing and Supply Management 27 (2021) 100673

Fig. A2. Example of a grid sheet for supplied constructs.

3. Graphical cognitive maps: Weighted Multidimensional Scaling

Besides executing a content analysis and performing explorative statistics, also graphical cognitive maps can be drawn. To draw graphical maps,
Weighted Multidimensional Scaling (WMDS) procedures can be employed. WMDS makes it possible to identify the effect of individuals on determining
a group’s cognitive space (Bijmolt and Wedel, 1995; Hodgkinson, 2005). In the present example, for each interviewee, the construct ratings (i.e.,
ratings noted down in the grid sheets) were converted to a series of proximity matrices (Euclidean distances). These individual proximity matrices
were grouped according to the size of the companies (small- and large-scale) in two separate files. Each file served as the input for the WMDS pro­
cedure. This procedure2 resulted in two graphical cognitive maps, one for participants of large companies (Fig. A3: Graphical map of participants of
large companies) and one for participants of small companies (Fig. A4: Graphical map of participants of small firms). The graphical cognitive maps
show how the elements (two good, two average and two poor performing consultancies) are positioned toward each other. Points are arranged in this
space so that pairs of elements that are more frequently judged similar appear closer together. Euclidean distances of the three-dimensional solutions
provide a deeper insight.
WMDS calculates stimulus coordinates which are similar to, but not the same, as factor loadings (Hair et al., 1998). In our study, the stimulus
coordinates pertain to what participants consider good, average, and poor performing consultancies. Thus, it is not possible to interpret and label the
dimensions.

2
Various levels or transformations were computed. The level showing best results based on stress and RSQ (variances accounted for) (Sturrock and Rocha, 2000)
was retained (in the present case: Ordinal untie).

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A.D.H. Van Rossem Journal of Purchasing and Supply Management 27 (2021) 100673

Fig. A3. Graphical map of participants of large companies.

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A.D.H. Van Rossem Journal of Purchasing and Supply Management 27 (2021) 100673

Fig. A4. Graphical map of participants of small companies.

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