Consultants have become increasingly popular in recent years. For those considering a career change to consulting, or thinking about pursuing it, you might wonder what kind of person is actually suited to be a consultant.
“No matter how high the salary is, I can’t keep going unless the work is rewarding…”
“What if the actual job is different from what I imagined and I give up right after switching jobs?”
Many people likely share these concerns.
In this article, we will cover not only the types of people suited to be consultants and the necessary skills, but also the job content and salary.
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People Suited to Be Consultants [5 Characteristics]
First, we’ll introduce the characteristics and personality types of people suited to be consultants.
- People with strong listening skills
- People who focus on delivering results
- People who are strong with numbers
- People who think positively
- People with a drive to improve
Those who match the above traits may actually be suited to be consultants, even without realizing it.
1. People with strong listening skills
People who can listen carefully to others and openly accept different positions and opinions are well suited to be consultants.
When working as a consultant, you meet a wide range of people, from executives to specialists. There are also many opportunities to exchange opinions with frontline employees, part-timers, and contract workers.
At such times, someone with strong listening skills can gather information accurately, allowing work to proceed smoothly.
2. People who focus on delivering results
Consulting involves taking on assignments from external companies, which requires a high level of professionalism at all times. Therefore, people who can focus on delivering results are well suited to consulting work.
If you can produce clearly strong business performance numbers that anyone can recognize, you will be valued as a capable consultant.
Passion and motivation are important, but to become a higher-caliber consultant, you need the ability to act with numbers and results in mind.
3. People who are strong with numbers
Being strong with numbers is another important quality for a consultant.
In consulting work, you often face vast amounts of numbers and data. From finding commonalities in seemingly unrelated figures to identifying issues through data analysis, handling numbers plays a major role in the job.
You’ll also frequently review financial statements and other number-heavy management materials, so being too weak with numbers can make the role stressful.
If you’re good with numbers, you can accelerate your consulting work significantly.
4. People who think positively
In consulting work, there is no single “right answer,” and methods that worked before may not work this time. Because you often need to find clues through trial and error, people who can think positively are better suited to be consultants.
Even when the right answer doesn’t appear, they can keep searching for the optimal solution without giving up, which makes them resilient against client pressure and mentally stable.
5. People with a drive to improve
Because the level of knowledge required of consultants is extremely high, having a constant drive to learn and improve is essential.
Beyond gathering information about the client’s industry, you need to keep up with the latest laws and regulations, financial statement reading, market trends, and much more. You also need the know-how to apply this knowledge in practice, so self-directed learning is indispensable.
For this reason, people with a strong hunger and a love of learning are well suited to be consultants.
What Is a Consultant?
A consultant is someone whose job is to identify management issues that companies face and propose and implement solutions.
They use a wide range of measures—from new business development, financial soundness, operational efficiency improvement, to fundraising support—to drive corporate growth.
Basically, consultants explore solutions while listening to the company’s concerns, but they are also sometimes required to dig into fundamental issues that even the company itself hasn’t noticed.
A Consultant’s Job
A consultant’s job is to devise solutions tailored to their area of expertise and the issues at hand. The main tasks include the following.
- Identifying management issues
- Planning measures to address those issues
- Executing those measures
- Feedback and performance improvement
- Gathering information on market trends and competitors
- Collecting and analyzing customer information
The specific measures vary widely depending on the type and field of the consulting firm. As a result, the work content also differs depending on which firm you join.
Consultants Work on Project-Based Teams
When consultants work, teams are typically formed for each project. The length of projects also varies, from as short as one month to as long as several years.
In addition, since project teams are formed based on career background and track record, your supervisors and team members change each time. The following sections explain the members who make up a project team.
Years 0–3: Analyst
Analysts primarily handle information gathering. New graduates, second-job seekers, and consultants who transitioned from other fields without prior experience are often placed in this role. They may also be called “Associates,” “Research Analysts,” or “Business Analysts.”
The scope of information gathering is broad and includes industry trends, competitor analysis, and consumer needs analysis. During this analyst stage, consultants learn the minimum required information-gathering methods.
Years 3–5: Consultant
At the consultant level, work shifts to supporting strategy development and creating proposal materials, with a heavy focus on output. After 3 to 5 years with the company, opportunities to join team formation also increase.
Because basic information-gathering ability is assumed, the level of knowledge required goes up a notch. Consultants often join the client side and frequently attend meetings and presentations.
Years 5–10: Manager
After 5 to 10 years with the company, if you are recognized as having sufficient track record, you’ll often be promoted to manager. You will increasingly act as a mid-level player on the client side and serve as the main point of contact for clients.
You’ll also take on management responsibilities, which often includes managing analysts and consultants.
At the manager level, many consultants gradually build specialized expertise, making this stage a good opportunity to pursue a high-career job change.
10+ Years: Partner
A partner is the top position on a project and carries great responsibility for overall management. Partners often lead discussions with client executives and handle overall team management—you can think of them as the people at the helm.
After about 10 years with the company, if your consulting skills and management skills are recognized as sufficient, you can advance to partner.
While the pressure also grows, the job comes with significant benefits such as high compensation.
The Appeal and Rewards of Being a Consultant, According to Active Consultants
Although consulting is a demanding job, it offers the following rewards and appeal.
- Abundant opportunities for growth
- Stimulating challenges that bring insight and a sense of achievement
- The fulfillment of advancing projects as a team
- A clear separation between work and personal time
The following sections incorporate views from active consultants—please use them as a reference.
Abundant opportunities for growth
Consultants have many opportunities to meet highly skilled, accomplished people, including executives and specialists.
You’ll sometimes gain knowledge from them or learn new perspectives you didn’t have, which provides plenty of chances for self-growth. You can also experience major successes—such as guiding difficult projects to success or being thanked by clients.
The high-speed self-growth not found in other professions becomes a major source of motivation.
Stimulating challenges that bring insight and a sense of achievement
Consultants can be involved in the essence of corporate management and operations from their 20s and 30s, giving them direct exposure to stimulating challenges.
Normally, unless you are an executive or director, you rarely get to be part of management policy decisions or strategy formulation. However, as a consultant, you can be present at management improvement settings for startups and even well-known major corporations.
The pressure is greater, but so is the joy of achieving goals and the reward of being thanked. If you are the type who gets fired up by difficult challenges, you’ll find consulting highly appealing.
The fulfillment of advancing projects as a team
Because consultants often work in small teams, you get to learn teamwork. When you’re in trouble, other consultants will help you, and conversely, you’ll sometimes help newer consultants.
In addition to the reward of supporting clients, you can feel the satisfaction of contributing to the team. In an open workplace culture, communication flows easily and fulfillment comes naturally.
A clear separation between work and personal time
Consultants are often seen as overworked and busy, but it’s common to take consolidated time off once a project ends.
You can travel during off-peak seasons or attend your children’s school events on weekdays, so being able to feel the on/off rhythm is also a big draw. By choosing a consulting firm with many annual holidays and high paid-leave usage rates, you can also take plenty of time off in everyday life.
Skills Needed to Become a Consultant
Without the following skills, even after joining a consulting firm, you may continue to feel out of place or fail to build the career path you envisioned, so be careful.
We’ll explain each in detail below.
Logical thinking
Logical thinking is indispensable when working as a consultant.
Even when you get stuck and can’t come up with effective measures, if you can re-examine the issue logically rather than relying on intuition, you can grow into a consultant whose recommendations carry weight. You’ll also be able to give validity to the measures you propose and the way you implement them, making you a highly trusted consultant.
Communication skills
Because consultants work with many different roles, communication skills are essential. The people you work with vary widely, including executives of different generations, specialists with different levels of knowledge, and fellow consultants in different positions.
You sometimes need the “speaking ability” to navigate difficult negotiations toward your ideal outcome, but having the listening ability to take in others’ opinions and openly accept them also makes communication smoother.
If you can pick up on subtle cues from others, you’ll be able to move projects forward more easily.
Questioning skills
Rather than simply taking what clients say at face value, you also need questioning skills to uncover the underlying issues. One of the difficulties of being a consultant is that simply executing what you’re told—as an “order taker”—won’t meet client needs.
Sometimes you’ll dig deep with questions to uncover issues the client themselves hasn’t noticed. So always stay curious and questioning in your work.
Insight
Like questioning skills, insight is also essential for consultants. If you can detect subtle changes that aren’t put into words, or read the state of executives themselves, identifying issues becomes easier.
Insight also helps you visualize the strengths and weaknesses of client companies through data analysis and competitor research. Sharpen your ability to read each individual action and flow, and train yourself to see the essence of things.
Physical and mental stamina
In consulting work, where you tend to be extremely busy during projects, physical stamina is most important. If you have the vitality to communicate cheerfully with clients even through repeated overtime and weekend work, you can keep your performance consistent.
On the other hand, if you’re mentally weak, you risk feeling overwhelmed by pressure and becoming overly stressed, so strong mental resilience to make proposals with confidence is also required.
The work can also be physically demanding at times, requiring you to visit relevant locations in person, so managing your physical condition is also important.
6 Qualifications Worth Obtaining to Become a Consultant
Consultants can be hired without specific academic credentials or qualifications, but it’s true that having professional qualifications often gives you an advantage. Recommended qualifications include the following.
- MBA
- Certified Public Accountant (CPA)
- Certified Tax Accountant
- SME Management Consultant (Chusho Kigyo Shindanshi)
- Certified Social Insurance and Labor Consultant
- Information processing certifications
Let’s look at the knowledge and applications each qualification provides.
1. MBA
MBA stands for Master of Business Administration. It’s a degree granted upon completing a graduate-level master’s program in business, so obtaining one requires graduating from a graduate school.
There is no qualification exam, but you must of course pass the graduate school entrance exam and conduct enough research to meet graduation requirements. Because consultants work closely with management, an MBA proves valuable after you start your career.
2. Certified Public Accountant (CPA)
A CPA is a qualification granted to professionals specializing in auditing. It requires specialized knowledge mainly in accounting and tax matters, and allows you to perform the exclusive task of auditing a company’s financial statements for accuracy and appropriateness.
It has a strong image as a qualification held by accounting firm staff, but it’s also useful for consultants, who often read financial statements. It’s particularly effective when improving financial soundness, planning fundraising measures, or considering tax-saving strategies.
3. Certified Tax Accountant
Certified tax accountants are tax specialists who provide tax-related advice and prepare filing documents. Preparing tax documents, acting on behalf of clients for tax matters, and tax consultations are exclusive services of certified tax accountants—consultants without the license cannot perform them.
Consultants rarely take on tax consultations directly, but they often consider tax-saving measures as part of solving management issues, so obtaining the license is worthwhile.
It also offers the appeal of being able to provide beneficial advice to companies, such as using period-specific tax incentives.
4. SME Management Consultant (Chusho Kigyo Shindanshi)
The SME Management Consultant is a title granted to those with the knowledge to diagnose and advise on small and medium enterprises’ management issues. As the name suggests, it provides specialized knowledge in supporting SMEs, so if you aim to be an SME consultant, this is a good qualification to obtain.
The exam covers a wide range of topics including management, financial accounting, operations management, business law, and management information systems—covering the knowledge consultants should ideally have. It is also the only national qualification among the typical consultant qualifications, so obtaining it adds prestige to your career.
5. Certified Social Insurance and Labor Consultant
Certified Social Insurance and Labor Consultants are experts in social insurance, including public pensions, health insurance, long-term care insurance, and employment insurance. They are also experts on labor issues, which means they can handle work rules and salary regulation revisions as well as labor tribunals.
Many people aspiring to become HR consultants obtain this license, as it makes it easier to advise on recruitment and training of existing employees.
6. Information processing technology certifications
Information processing technology certifications include the following.
- Information Security Management Examination
- IT Passport Examination
- IT Strategist Examination
- Systems Architect Examination
- Project Manager Examination
- Network Specialist Examination
- Database Specialist Examination
- Embedded Systems Specialist Examination
- IT Service Manager Examination
- Systems Auditor Examination
- Registered Information Security Specialist Examination
- Fundamental Information Technology Engineer Examination
- Applied Information Technology Engineer Examination
These are mainly engineer exams, but the IT Passport and Information Security Management Examination are open to anyone who uses IT.
IT consultants often provide specialized advice on security architecture and tool usage, so obtaining these makes it easier to earn client trust.
Consultant Career Path
The typical career path for consultants is to accumulate experience and track record while aiming for Manager or Partner.
If you build up years of experience at the same firm, your internal evaluation improves, making it easier to take on roles overseeing project management and progress. With greater responsibility come role-based pay increases, raising your base salary.
Consultants can receive incentive pay on top of base salary based on results and contribution. If you want to keep working on the front lines rather than going into management, you can continue as a consultant or manager for many years and boost your income through incentives. Depending on the situation, you can sometimes earn as much as a manager or partner, making this a career path option for those who want to stay on the front lines while building specialized knowledge.
You can also launch your own consulting firm or go independent as a freelance consultant. Some people, after reaching their 40s or 50s, build outsourcing companies or professional service firms based on their consulting experience.
Annual Salary in the Consulting Industry Is Often High
Annual salary in the consulting industry typically ranges from about 5 million yen to 7 million yen, with significant variation by individual. However, compared to the average annual salary of 4.43 million yen for Japanese workers in the National Tax Agency’s “FY2021 Survey on Private Sector Salaries”, you can see it is at a high level. At foreign-affiliated consulting firms and similar workplaces that require strong careers and academic credentials, it’s not uncommon to earn between 9 million and 13 million yen.
Because evaluation is based on merit rather than seniority, even people in their 20s can earn over 10 million yen per year. If you find this appeal—earning a high salary based on ability—give consulting a try.
Types of Consulting Firms
Although they are all called “consulting firms,” they are divided into different types based on their areas of expertise. The main types include the following.
- Strategy consulting firms
- Total/general consulting firms
- IT consulting firms
- Think-tank consulting firms
- Medical/healthcare consulting firms
- Organization & HR consulting firms
- Financial advisory consulting firms
- Japanese independent consulting firms
- Audit firm-affiliated consulting firms
- Industry/function-specialized consulting firms
- Corporate/business turnaround consulting firms
Here we explain the representative types of consulting firms, so let’s take a look.
Strategy consulting firms
Strategy consulting firms advise companies on operational direction-setting and company-wide management strategy.
They mainly communicate with leadership such as executives and directors, so the consultants themselves are typically people with management experience. They typically handle only upstream work, and if downstream operational improvements are needed, they may outsource to related providers.
Total/general consulting firms
Total consulting firms can move on a wide range of management issues without being limited to specific solutions.
They handle everything from the basic strategy planning and operations improvement expected of consultants to security setup and recruitment overhauls. As a result, they tend to have many consultants with diverse specialized knowledge and are often large in scale.
They also have strong networks with external specialists such as CPAs and Social Insurance and Labor Consultants.
IT consulting firms
IT consulting firms help with selecting and implementing tools and software that improve operational efficiency. Some IT consulting firms even handle software development end-to-end, including building custom systems.
In recent years, demand has grown for solving management issues with IT—such as AI and big data analytics—expanding the demand for consultants in this area.
Think-tank consulting firms
Think-tank consulting firms specialize in market research and industry analysis. They have expertise in economic research and market surveys, and gather information through diverse means such as consumer surveys and interviews.
Some companies rely on think-tank consulting firms for preliminary research before international expansion to visualize the culture and consumer behavior unique to a region.
Unlike market research firms, they can also handle subsequent strategy development, so many clients seeking broad support choose them.
Medical/healthcare consulting firms
Medical/healthcare consulting firms work primarily with hospitals and clinics, jointly devising measures toward sound management. Because the medical industry has unique cultures and dedicated systems for each clinical department, it is one of the most specialized areas in consulting.
For the proper management of medical corporations, advice ranges from staffing reorganization to equipment introduction. There are also consultants who specialize in elderly care facilities and the pharmaceutical industry.
Organization & HR consulting firms
Organization & HR consulting firms focus on the “people” working at the company, advising on recruitment, education, and training. When necessary, they may also be asked to handle the revision of work rules and salary regulations, so the knowledge of a Certified Social Insurance and Labor Consultant can prove valuable.
They often act as a working unit—conducting engagement surveys and stress checks, both of which have become important in recent years. Companies mainly providing intangible products tend to embrace the human capital mindset and rely heavily on HR consulting, so demand is high.
Financial advisory consulting firms
Financial advisory consulting firms provide advice on improving financial health.
They support all aspects of management numbers—from client financial strategy to investment portfolio planning, accounting/closing in the finance department, and preparation for shareholder meetings. They also sometimes handle M&A projects.
Negotiation skills are required, so some people build experience in other consulting fields first before transitioning into financial advisory consulting.
Japanese independent consulting firms
Japanese independent consulting firms achieve overall performance gains through operational-level improvements such as productivity and quality management.
Their clients are often SMEs, and they get involved in critical decisions that set the company’s strategic direction. Many were founded during Japan’s postwar high-growth era, so domestically you’ll find longstanding, established firms in this category.
Audit firm-affiliated consulting firms
Audit firm-affiliated consulting firms advise on improvements in finance, tax, and accounting—essentially on improving management conditions.
The work overlaps with financial advisory consulting. However, because “auditing” is a service exclusive to Certified Public Accountants, these firms employ many CPAs.
Holding a CPA license makes it easier to join one, so they’re also a common career path for consultants.
Industry/function-specialized consulting firms
Industry/function-specialized consulting firms focus on a specific function or industry. Examples include “construction-industry-specialized consulting firms” and “manufacturing-industry-specialized consulting firms”—each operating independently with its own specialized knowledge and experience.
Their clients are often companies considering entry into globally competitive markets. Because you can make full use of your area of expertise, this type is recommended for those with a specialist mindset.
Corporate/business turnaround consulting firms
Corporate/business turnaround consulting firms primarily work on debt restructuring. They support smoother relationships with financial creditors, business partners, and customers, and help set direction toward sound management.
They may also shift business toward more profitable lines, cut unprofitable divisions, or undertake major internal reforms.
Consulting Is an Industry with Strong Future Prospects
Consulting is an industry with strong future prospects, and it remains a seller’s market for job seekers.
One reason is the diversification of consumer needs. As consumer needs diversify and the need to deliver individually customized products grows, many companies find themselves unsure of which direction to take. In addition, with environmental issues, diversity initiatives, and globalization changing the corporate environment year by year, the bar for well-balanced management activities is also rising.
It’s because of times like these that consultants who provide advice based on specialized expertise have come to be highly valued. The high incomes of consultants reflect not only their advanced specialized knowledge but also rising market demand.
Frequently Asked Questions
We’ve selected questions that those aspiring to be consultants or interested in consulting work often have.
- Who is suited to be a consultant?
- Who is not suited to be a consultant?
- What skills and abilities does a consultant need?
- Can someone with no experience become a consultant?
If any of these topics interest you, take a look.
Who is suited to be a consultant?
The personality types suited to be consultants are as follows.
- People with a strong hunger
- People with intellectual curiosity and a thirst for knowledge
- People who can put in self-driven effort
- People who can fully commit to results
- People with physical and mental stamina
With the right aptitude for consulting, you’ll be able to thrive quickly after joining.
Who is not suited to be a consultant?
Conversely, the types of people not suited to be consultants are as follows.
- People who prefer routine work
- People who prefer working steadily on their own
- People who place a strong emphasis on manuals
- People who want to take time off on fixed days and at fixed hours
Consulting is client work that requires flexible thinking, and it can lead to irregular work patterns, so be careful.
What skills and abilities does a consultant need?
The skills and abilities consultants need are as follows.
- The listening ability to hear out people in different positions
- The communication skills to demonstrate teamwork
- The presentation skills to convey opinions to a large audience
- The numerical-analysis ability to perform detailed data analysis
Specialized knowledge is also useful, but if you’re starting as a beginner or with no experience, you can build that knowledge later. So having communication skills and listening ability—which are harder to train—is more important for being a consultant.
Can someone with no experience become a consultant?
Yes, it’s possible to become a consultant with no prior experience. Some consulting firms also recruit new graduates, so age and experience are not strict barriers.
However, for inexperienced applicants, the typical cutoff is around the early 30s. For consulting roles aimed at people in their 40s and 50s, some level of experience and track record is usually expected, so keep this in mind.
Summary
A consultant’s work covers a wide range, from information gathering to strategy planning. Understanding the general scope of the work and the kinds of people who excel at it will help you decide whether the job is a good fit for you.
People suited to be consultants are as follows.
- People with strong listening skills
- People who focus on delivering results
- People who are strong with numbers
- People who think positively
- People with a drive to improve
With the diversification of consumer needs in recent years, the market for consultants who can provide appropriate, knowledge-based advice is growing. According to the consulting firm average annual salary ranking by “Nensyu Labo”, which conducts annual salary surveys by industry, the top four firms all show average salaries exceeding 10 million yen. By becoming a consultant and building experience and track record, an annual salary over 10 million yen is well within reach.
In addition, since consultants learn a wide range of knowledge, they can transition advantageously to other types of consulting or start their own business—giving them a broad range of career options.
If you are interested in the consulting industry and feel you have the aptitude, give it a try. Even if you don’t have the aptitude, the skills can still be developed from now on.
