Management Analysts

Although some management analysts work for the company that they are analyzing, most work as consultants on a contractual basis.

Management analysts, often called management consultants, recommend ways to improve an organization’s efficiency. They advise managers on how to make organizations more profitable through reduced costs and increased revenues.

Duties

Management analysts typically do the following:

• Gather and organize information about the problems to be solved or the procedures to be improved
• Interview personnel and conduct onsite observations to determine the methods, equipment, and personnel that will be needed
• Analyze financial and other data, including revenue, expenditure, and employment reports
• Develop solutions or alternative practices
• Recommend new systems, procedures, or organizational changes
• Make recommendations to management through presentations or written reports
• Confer with managers to ensure changes are working

Although some management analysts work for the organization that they analyze, many work as consultants on a contractual basis.

The work of management analysts may vary from project to project. Some projects require a team of analysts, each specializing in one area. On other projects, analysts work independently with the client organization’s managers.

Management analysts often specialize in certain areas, such as inventory control or reorganizing corporate structures for efficiency. Some focus on a specific industry, such as healthcare or telecommunications. In government, management analysts usually specialize by type of agency.

Organizations hire management analysts to develop strategies for entering and remaining competitive in the market.

Management analysts who work on contract may write proposals and bid for jobs. Typically, an organization that needs the help of a management analyst requests proposals from a number of consultants and consulting companies that specialize in the needed work. Interested companies then submit a proposal that explains details such as how the work will be completed, what the schedule will be, and how much it will cost. The organization selects the proposal that best meets its needs and budget.

Because they must spend a significant portion of their time with clients, analysts travel frequently.

Management analysts held about 907,600 jobs in 2020. The largest employers of management analysts were as follows:

Management analysts usually divide their time between their offices and the client’s site. Because they must spend a significant amount of time with clients, analysts travel frequently. Analysts may experience stress, especially when trying to meet a client’s demands on a tight schedule.

Work Schedules

Analysts often work many hours under tight deadlines. Some work more than 40 hours per week.

A bachelor’s degree is the typical entry-level requirement for obtaining a management analyst position.

Management analysts typically need at least a bachelor’s degree and several years of related work experience.

Education

A bachelor’s degree is the typical entry-level requirement for management analysts. However, some employers prefer to hire candidates who have a master’s degree in business administration (MBA).

Management analysts address a range of topics, and many fields of study provide a suitable educational background. Fields of bachelor's degree study may include business, social science, and engineering.

Licenses, Certifications, and Registrations

The Institute of Management Consultants USA (IMC USA) offers the Certified Management Consultant (CMC) designation to those who meet minimum levels of education and experience and who complete other requirements. Management analysts are not required to get certification, but having the credential may give jobseekers a competitive advantage.

Work Experience in a Related Occupation

Many analysts enter the occupation with several years of work experience. Organizations that specialize in certain fields typically try to hire candidates who have experience in those areas. For example, tax preparation firms may prefer candidates who have worked as an accountant or auditor, and software companies might seek those with experience as a computer systems analyst.

Advancement

As management analysts gain experience, they often take on more responsibility. Senior-level analysts may supervise teams working on complex projects and may become involved in seeking out new business. Those with exceptional skills may eventually become partners in their organization and focus on attracting new clients and bringing in revenue. Senior analysts may leave consulting and move to management positions at non-consulting organizations.

Important Qualities

Analytical skills. Management analysts must be able to interpret information and use their findings to make proposals.

Communication skills. Management analysts must be able to convey information clearly in both writing and speaking. Analysts also need good listening skills to understand an organization’s problems and recommend appropriate solutions.

Interpersonal skills. Management analysts work with managers and other employees of the organizations for which they provide consulting services. They should be able to work as a team toward achieving the organization’s goals.

Problem-solving skills. Management analysts must be able to think creatively to solve clients’ problems. Although some aspects of clients’ problems may be similar, each situation is likely to present unique challenges for the analyst to solve.

Time-management skills. Management analysts often work under tight deadlines and must use their time efficiently to complete projects on schedule.

The median annual wage for management analysts was $87,660 in May 2020. The median wage is the wage at which half the workers in an occupation earned more than that amount and half earned less. The lowest 10 percent earned less than $50,990, and the highest 10 percent earned more than $156,840.

In May 2020, the median annual wages for management analysts in the top industries in which they worked were as follows:

Management analysts working for consulting firms are usually paid a base salary in addition to a year-end bonus. Self-employed analysts are paid directly by their clients, typically by either the hour or the project.

Analysts often work many hours under tight deadlines. Some work more than 40 hours per week.

Employment of management analysts is projected to grow 14 percent from 2020 to 2030, faster than the average for all occupations.

About 99,400 openings for management analysts are projected each year, on average, over the decade. Many of those openings are expected to result from the need to replace workers who transfer to different occupations or exit the labor force, such as to retire.

Employment

Demand for consulting services is expected to increase as organizations seek ways to improve efficiency and control costs. As markets become more competitive, firms will need to use resources more efficiently.

Demand for management analysts is expected to be strong in healthcare. This industry segment is experiencing higher costs in part because of an aging population. In addition, more management analysts may be needed to help navigate the regulatory environment within health insurance.

Information technology (IT) consultants are also expected to see high demand. Businesses will seek out consulting firms to help them attain a high level of cybersecurity and make sure their IT systems are efficient and up to date.

Growth is expected to be particularly strong in smaller consulting companies that specialize in specific industries or types of business function, such as information technology or human resources. Government agencies also are expected to seek the services of management analysts as they look for ways to reduce spending and improve efficiency.

For more information about the Certified Management Consultant designation, visit

Institute of Management Consultants USA

For more information about other certifications in management consulting, visit

Global Academy of Finance and Management

O*NET

Management Analysts