An advisory board member may appear similar to the role of a consultant. Both are experts in their fields, and both work with an organization in a part-time or temporary capacity.
There are specific instances when you should use a consultant over an advisory board and vice versa. Consultants provide operational execution and governance assessment, while advisory boards typically take on much broader objectives.
Consultants usually come on board with a straightforward question or issue they need to resolve. They have a set period to take a deep dive into that specific problem and provide their recommendation on how to execute a solution. In contrast, an advisory board’s research is sustained alongside the organization for more extended time periods.
The defining difference between an advisory board and a board of directors — in addition to the voting rights mentioned above — is fiscal responsibility. A board of directors can make financial decisions on behalf of an organization. Advisory board positions exist strictly to share guidance and feedback.