PLANNING YOUR FUTURE: HOW TO CHOOSE A CONSULTANT
by Emily Huling
What are your specific challenges? Mergers? Acquisitions? Finding qualified personnel? Marketing strategies? Automation crisis? Business planning? Customer service? Sales training? Internal communication strife? Defecting clientele? Fierce competition? Carrier challenges? Personnel development? Expanding operations? Valuation?
No matter what your challenges are-and whether your agency is big or small, public or family owned, urban or rural-at some time you will need some outside guidance.
Why am I so sure you need guidance? Because as owners or managers, you're inside the organization. It's nearly impossible to have enough perspective to make consistently appropriate decisions-or to have the skills within your organization to implement them. Running a complex, profitable business is a skill in itself, and it's wise to know when to outsource and ask for an outside opinion.
'Right,' you say. 'Look who's talking-a consultant!' Yes, that's true. But I want to share with you what a consultant can do for you, what qualities to look for in a consultant, and some tips for making the consulting process work for your organization.
What a Consultant Can Do For You
'It's not such a big problem. I can solve it myself.'
'An outsider can't possibly understand my business issues.'
'My people will think I don't know what I'm doing.'
'Professional advisors cost too much.'
As an agency owner or manager, have you ever found yourself needing outside help, yet hesitating because of these thoughts? If so, you're not alone.
All successful business people contract with the professionals they feel are necessary for their firm to function: accountants, lawyers, bankers, and so on. They often overlook the enormous value of general 'soft-issue' advisors who challenge them and have the know-how to help drive their businesses to the next level.
Effective business advisors can help your business in four main areas:
- Identifying personal and business needs. A consultant works with you to understand your goals, challenges, and circumstances. He or she then helps you gain a deeper understanding of what needs to be done to move your people and organization toward those goals.
- Problem solving. 'What can I do about . . .?' 'Have you ever experienced . . .?' To be able to ask a question and learn from someone else's experience and knowledge is a wonderful resource.
- Accountability. You get out of life what you put into it. Knowing that you have a consultation scheduled will move busy business owners to action by getting them to think and prepare.
- Open, honest exchange of ideas. Each person in an advisor/advisee relationship comes to the table with ideas, experiences, and recommendations. To be able to put aside your preconceived thoughts and really hear the other person's point of view will greatly benefit the functioning of your business.
Business owners find that once a trusting, honest advisor/advisee relationship is established, they don't know what they ever did without it.
Qualities to Seek in a Consultant
1. A consultant should be trustworthy, approachable, and good at communication. To have the open, honest, free-flowing exchange essential to a client-consultant relationship, you must believe that the consultant can handle, understand, and empathize with any situation-and communicate this clearly, both verbally and in writing.
2. A consultant should be up to date in technical matters and process facilitation. The technical knowledge of your advisors should fit the size and expertise of your firm. Be sure that they're knowledgeable about industry developments, well-connected with supporting resources outside they're area of expertise, and current on new methods of moving people to action. A consultant does not implement, but assists, the organization to move forward with agreed-upon methods.
3. The consultant should clearly explain each of your responsibilities to facilitate the process and accomplish your goals. Some of my clients begin with the belief that to implement a successful CSA selling program, the process and training are all that's needed. Not so. Attitudes, perceptions, confidence, and effective management should all be addressed.
This requires a lot of information, time, and personal commitment from everyone in the agency. Before on-site visitation, the consultant should learn about the current situation. This fact-finding should include management and staff questionnaires and interviews. A review of agency-performance statistics, an exploration of the issues unique to your business, and so on should also be part of this preparation.
Both parties should agree upfront about responsibilities, the process to be used, the time frame for planning and implementation, and what kind of results are being sought.
4. The consultant should initiate periodic meetings with the client for update and review. It's easy for everyday work to get in the way of implementing what you and the consultant agreed on. A good consultant continually keeps in contact to follow up, answer questions, and help adjust the plan as needed. Most consultants consider this follow-up as part of the original engagement and don't charge additional fees for it.
5. The consultant should provide you with references from clients similar to yours.
As in a good selection process, be sure and contact several clients who have employed the services of the consultant you are considering. Call past clients to see how the recommendations and implementation process succeeded or failed over the long term.
Tips to Make the Consultation Successful
- Be positive, enthusiastic, and honest with your staff. Whether warranted or not, uncertainty about how the consultation will affect job security, work processes, office environment, and management roles increases an organization's anxiety. It's crucial to share-with all levels of the staff-information about the consultant, what you will accomplish together, and what time and participation will be asked of your employees so they can plan their work. Any anxiety you have, verbalized or not, will come through to your staff and affect the consultation's success.
- Be totally honest with yourself and the consultant, and expect honesty in return. I've had clients tell me that I didn't tell them anything they hadn't known deep inside; they just didn't have the courage to admit the truth before the consultation. A consultant can be effective only if all the facts uncovered are discussed in an open, defense-free environment.
- Know that tough decisions may have to be made. Personnel changes, operation adjustments, and future ownership decisions may result from what was intended to be a minor consultation. Consultants are brought in to help the client achieve results. Unfortunately, making tough decisions is a part of this process.
- Agree with yourself to follow through. I tell my clients up front that bringing consultants in and not acting on their recommendations, especially after involving the staff, can cause more damage than doing nothing at all. A consultant can follow up, but it takes personal commitment and effort by the leadership of an organization to see the process through.
Working collaboratively with a consultant promotes individual personal development and benefits the organization by offering clear communication, honesty, and teamwork. If you choose an advisor carefully, are specific about your expectations, and make a personal commitment to success, you will find this relationship rewarding and profitable.
Emily Huling, CIC, CMC, is president of Selling Strategies, Inc. and consults and teaches sales and customer techniques. She can be reached at (704) 478-5929, [email protected]. This article originally appeared in the National Underwriter, P/Edition and is reproduced with permission.