Choosing The Right Consultant
My last post outlined some of the reasons that business operators benefit from using a third party consultant. While the advantages are numerous, what it boils down to is the best piece of advice I can give to any operator- be smart enough to know what you do not know. Third party experts bring knowledge and expertise in their field, which eliminates the need to continue to revisit a problem while searching for a successful resolution.
When choosing a third party consultant, there are factors to consider beyond an attractive ad in the phone book. The ultimate decision of choosing a consultant with which to partner belongs solely to the operation, but what things should be considered when making that decision? Defining the objective and desired result is a logical place to start. Being able to communicate what exactly you hope to achieve is paramount to the decision process. Be it a payroll service, a marketing group, or any other type of specialist, the idea is that you will be able to identify how they can help you, and the consultant can better fit a solution unique to the organization. If an operator is uncertain what the end looks like, how will they then know when they are there?
Testimonials are very helpful, and operators would be well served to gather the opinion of other business owners. By simply asking other associates if they might recommend someone, an operator might be saved a great deal of time and effort in their search. In addition to potentially shortening the source process, operators may also get advice as to who to avoid. While some other business owners may be reluctant to share details of their success stories, they will usually be more than willing to share an unpleasant experience. Similarly, an operator should ask for references from a potential outside consultant. All reputable consultants are willing to provide previous companies and managers for whom they have performed work.
An operator should also insist on a face-to-face meeting with a potential consultant prior to entering into an agreement with them. While this may sound like an obvious step, there are plenty of managers that attempt to save time and money by compiling a search solely through Internet searches, website visits, and e-mail correspondence. Similarly, a common mistake is the reliance on Internet resources, thinking that reading something online (or in a book) suddenly makes an operator an expert. A frequent example is the use of QuickBooks for payroll and accounts payable services, with the lure of not paying a professional to perform the job. While appearing to be simple enough, there is a myriad of other functions provided by consultants not provided by these quick fixes readily available. Operators, while cost conscious, are often guilty of attempting to save money in the wrong areas. Cheaper is rarely better, and looking to save (or eliminate) costs on consultants eliminates the consideration and value of an operator’s most important asset, their time.
Finally, the issue of trust is the foundation on which an operator/consultant relationship is built. Operators have gone to great lengths to secure the right consultant for their business. The biggest pitfall of operators is when they start to listen to non-experts. Remember that any consultant has the best interests of the operation at heart- because what they are saying is not what you want to hear does not make a consultant any less of an expert.