SomeRadioGuy I think PTBoardOp94 is going back to the days before you were in the business. Also, respectfully, just because the few stations you've worked at in the particular markets where you were located in didn't use them, doesn't mean "none" anywhere ever have.
2 stations I worked at a number of years ago brought in programming consultants and both those particular facilities were in smaller markets. It wasn't uncommon back then to open the trades and see at least a few pages of ads for various consultant services. While many were good and known in the industry, many others were crap..Either they were failed PDs or MDs who decided to become consultants as a 'fall back' business, or they worked with a consultant at one or a few stations they'd worked at, and suddenly thought that gave them enough working knowledge to become one themselves.
In one of the cases I was involved in, it was helpful. The guy came to the area and spent at least a few days listening to the station, going out to various gathering spots and informally chatting with residents/listeners, then came in and met with the staff before making tweaks. At that station, jocks were live 24/7 and all music selections were dictated to them via computer generated paper logs. The PD and MD set the programming schedule with few deviations. Both the PD and MD there were doing OK and both were eager to do well and maintain our station at the top of the ratings in that market, but both were also young and green and needed some mentoring by someone knowledgeable. The consultant did help and we did see a bump in the numbers. If I'm not mistaken, the cost of the consultant at that station was paid for by one of our record reps. At another station the consultant came in and tossed out the paper logs completely, put together a more traditional "clock" and had the guys working via index cards that listed all the current hits, gold, recurrents, etc. This worked OK and generally the jocks liked it better as it gave them a bit of flexibility. Unfortunately that station was sold within a few months and began simulcasting another station owned by the same company so we never really got to see how well the changes did.
I also know several small town station owners.. and none use consultants.