Strategy: It’s the Thought that Counts

Strategy: It’s the Thought that Counts

I wrote a book on consulting. I am writing another book on leading change. This quote by Dwight D. Eisenhower is in both books.

“In planning for battle, I have always found that plans are useless, but planning is indispensable”

This quote is attributed to Eisenhower in Richard Nixon’s book Six Crises. It is also mentioned by General David Sarnoff’s published papers. (Sarnoff was a Brigadier General on Eisenhower’s communications staff during World War II and the CEO of RCA before and after the war.)

“In planning for battle, I have always found that plans are useless, but planning is indispensable”

“This makes no sense,” my primary editor, my wife, said to me in frustration. “First, he says plans are useless then he says they’re essential; which is it.”

This isn’t the first time I’ve heard this reaction. When I facilitated leadership teams at strategy off-sites, some leaders said “Huh?” Then, as now, I tried to explain.

“What Eisenhower is saying is that the plan itself isn’t what’s important. No battle ever went according to a plan. What’s important is the process of planning, the thought that goes into anticipating the enemies movements, and advantages and disadvantages. That thinking allows the general to act and react during the battle not slavishly follow a plan.”

This explanation didn’t work with those leaders either. I put it down to the strange way I think and therefore communicate. I take in information intuitively, filling in blanks, and making connections that aren’t apparent to seventy-five percent of the population. So I talk in a shorthand that assumes others make the same connections I do. I get the “Huh?” reaction a lot.

I tried the other similar Eisenhower quote:

“No battle was ever won following a plan, but no battle was ever won without one.”

Worse and more of it. “Which is it?”

To me, this concept is critical for business strategy. It ain’t about the report or the deck from the strategy consultant,. “It’s the thought that counts.”

Why is it that strategy consultants find that clients fail to implement the pristine strategies they design? It’s because the client didn’t do the thinking; the consultant did.

To be fair this complaint is old. These days many expert strategy consultants involve the client in data and framework analysis and conclusion formulation. Process consultants facilitate leadership teams in gathering the data, analyzing it, and formulating strategies. However, I’m sure somewhere there is still a client who makes the cringeworthy comment:

“Change? We don’t want to change; we just want a new strategy.”

Among business majors, MBAs, consultants, and some client managers, the word strategy has a golden aura, delivered in a flash of inspiration from some mystical place – the collective unconscious?- or wherever really smart people get their ideas.

A strategy is a plan. That’s it – just a plan. Sure, it’s “a plan to achieve an objective in the face of competition.” Still just a plan.

I’m told that the word strategy comes from the Greek word strategos, meaning generalship. We might ask why pick the language of war? Business leaders often use war words, conquest, slaughter, defeat, decimation. I don’t really get that. I mean, we are just talking about whether customers shell out shekels for your product or the other guy’s. But what do I know.

I know that a strategy is just a plan.

Cue the Eisenhower quote:

“In planning for battle, I have always found that plans are useless, but planning is indispensable”

Remember:

“It’s the thought that counts.”

Here is an outline of what I think the thought is:

Understand (collect data and analyze)

  • Understand the customer,
    • Who -demographics, psychographics, buying history, share of wallet
    • What they need, want, wish for
    • Where – location, preferred channels
    • When – buying seasons,
    • Why – purchase criteria
  • Understand the competition
    • Who – Major players and minor, alternative products
    • What – offers, business models, advantages and disadvantages
    • When – do competitors’ seasons vary?
    • Why- customers buy from them (and not you)
  • Understand other forces (suppliers, community standards, regulation, etc.) that shape consumption and competition
  • Understand ourselves
    • What are we good at, business model (how we get revenue, operate, make profit)
    • What are we traditionally not good at -why- can we innovate-improve or integrate ourselves out of this problem.

Look for trends rather than point in time conclusions. What is different? What trends that may not be recognized? What new technologies that may change the game? What new groups of customers, new needs, anything that presents opportunities? Is there something in the standard marketplace that you can change, improve, find another way of doing, stop doing because it adds no value?

Plan (There is really nothing mystical about a plan)

  • What are you going to do and why? (specific actions)
    • In product or service design ( How can you differentiate hardware or physical stuff, software – or use instruction, service – personalized connection to the customer).
    • In marketing (Price, place, promotion)
    • In operations (Make vs. Buy, Quantity, Quality, Timeliness)
  • How are you going to do that? (Detailed inputs, activities, outputs and metrics for each and contingency plans for when things get off track.)
  • Who is going to do what? (Actual people who will be held accountable for each action.)
  • When? (A lack of specificity or over-optimism in deadlines is one reason for strategy implementation failure.)

Yes, it is complicated and there are many unknowns and unknowables, but still doable.

Who plans?

Executives formulate strategy and operations managers execute it. Yeah, right. Or worse strategy consultants formulate strategy, present the deck to the C-suite executives and operations managers executes it.

What’s wrong with this picture?

People have been separating the planning function from implementation since Frederick Winslow Taylor wrote Scientific Management in 1911, despite numerous social science experiments that prove how inefficient this practice is. Understanding gets lost in the hand-off. Operators don’t get the “why” of the new strategy or they fixate on one output metric (quantity) and short circuit another (quality) with disastrous results.

But you can’t invite the whole company into the strategy offsite. No, but you can invite a cross-section of the firm and arrange for level and functional communications sessions using those who were there.

And remember

“Strategy is a gift: It’s the thought that counts.”

But. . .

It’s integrated action based upon that thought that gets results.

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Trivial and Non-trivial Consulting Skills

Trivial and Non-trivial Consulting Skills

“I forgot how to pack!”

My wife and I don’t travel as much as I imagined we would when I retired in 2018. Part of that is on me. I travelled for a living for almost forty years and the last thing I was interested in was another trip on an airplane or another night eating the Marriott grilled chicken salad at 10:00 p.m. Then came Covid.

But now we are starting to travel again, which caused me to notice that I had lost a core consulting skill – packing! I literally used to spend ten to fifteen minutes packing a suitcase for a week away. This time I was spending hours to pack for four days, yep hours.

I remember the movie depicted above, Up in the Air, Where consultant Ryan (George Clooney) schools newbie Natalie (Anna Kendrick) on how to pack – “small carry on suitcase, separates, suit jacket that doubles as a blazer, two pair of shoes that go with everything, one in your bag the other on your feet.“

I remember learning that my HUGE Tumi garment bag was completely impractical, too big for aircraft hanging closets (remember those?) and too loose for the luggage belt, straps got caught.

I remember telling newbies “buy the best rolling carry on you can afford and never check luggage.

  • Get your shirts laundered starched and folded so you can just throw them in your bag, The front will stay unwrinkled, which hanging shirts stuffed into any kind of bag will never do.
  • Have one clear travel toiletry bag that you never unpack except to refill shampoo, conditioner, deodorant, shaving cream, Tide stick, and emery boards.
  • Spare cufflinks, and collar stays. (If you wear a French cuff shirt, learn to make cufflinks out of big paper clips and carry some brass ones.)
  • Leave the three pound gold Rolex at home. It annoys teammates and clients and is a personal safety risk.

In your briefcase, in small clear plastic bags:

  • First aid kit (every size band aid, antibacterial ointment, butterflies, alcohol swabs and q-tips)
  • MacGyver repair kit (duct tape, paper clips, wire. twine, super glue,)
  • International electric plug converter.”
  • Organize your hard drive so you can find anything near instantly and carry as little paper as possible.

Where you live and where you stay

Some firms are local or do work regionally so where you live isn’t as important, but when you fly every week a two hour drive to and from the airport gets old very quickly. Likewise some firms have arrangements with a particular hotel chain, so teams stay where they are told, but if you have a choice:

  • Near the site is better than near downtown or the airport.
  • A hotel restaurant that opens at six and stays open till ten pays dividends.
  • A workout club that has no hours is preferable. Plan your workouts for early morning as the end of the day is often unpredictable.
  • Some consultants do cleaning and laundry at the hotel and leave their bag over the weekend. Don’t expect clients to pay for that and expect some comments if you keep wearing the same clothes.

Clubs and Miles

Airline clubs are worth the expense if you travel internationally a lot or fly on often delayed  routes or have meetings  or otherwise work at airports. Otherwise save your money.

Airline loyalty programs aren’t as good as they once were, but they still allow you some “free” personal travel. The key is not to obsess about miles by taking inconvenient stopovers or other promotions. Also periodically check your ego investment in ”status.” Yes, you are more likely to find overhead space for your carry-on if you board before group 1, but in the grand scheme of things, how important is that really?

Up in the Air again

I think everyone considering a job in consulting should watch this movie. OK, the kind of consulting they do is despicable, assisted downsizing i.e.,  hatchet men who fire people for managers without guts. However, the characters have some real epiphanies.

Ryan (Clooney) is a doofus whose life goal is to become an American Airlines Advantage ten million miler. He is good at firing people because he has enough empathy to help people through a difficult time. He expends all his emotional energy in his job and is completely disconnected from family, and anyone who might care about him. He considers himself self-sufficient even speaking to groups telling them eliminating emotional “baggage” is the way to be happy.

Natalie (Kendrick) is enamored with technology and thinks you can do this work by email and Zoom. She also struggles to maintain a relationship with her boyfriend.

Alex (Vera Farmiga) seems carefree and self-sufficient like Ryan, but she’s living a lie.

I won’t totally spoil the movie for you. Let’s just say the characters grow.

The reason I suggest every new consultant watch it is that consulting can be a lonely life. You must be comfortable spending large chunks of your time alone. Oh, yeah, you’ll have some work friends, but teams change when a project ends. And the last thing any of those people wants to do on a weekend is meet socially with the people they just worked fifty hours with over the last week.

So you need to cultivate friendships, relationships with neighbors, and plan time with family.

  • It may be surprising that many consultants are introverts. Schedule your decompress time, then make yourself see family and friends.
  • Do things with people, make memories. Don’t just “hang out” because you need to decompress.
  • Don’t make your spouse your social director. There is a reason most lifer consultants have been divorced at least once. I do know some consultant couples, usually second marriages. Some are happy.

Mostly don’t let the consulting lifestyle go to your head. Develop other interests, grow outside of work. Discover what things others are interested in. You’ll be more interesting, more able to help clients, and maybe even a better person.

 

 

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Going Independent Redux: Avoiding 5 Bone-Headed Mistakes

Going Independent Redux: Avoiding 5 Bone-Headed Mistakes

I chose to become an independent consultant twice in my lifetime consulting career. I must have liked it because I was independent in various forms for twenty-three of my thirty-seven years in the field.

The first time my boss gave me the opportunity to go on contract for a year, work about half-time, control my schedule and attempt to save my marriage. I did some of those things, but I didn’t work half-time and I didn’t save my marriage. I did control my schedule some and while I didn’t say “No” enough, I loved the autonomy. After the year was up I supplemented work with my former firm with new local clients so I could be close to my children as they grew up and stayed independent for eight years.

It was a magic time. My vision was to “change the world of work.” I look back now and smile at how preciously naïve I was. But I had fun, stayed home enough, sub-contracted to my old boss, who was then independent too, and found local clients courtesy of friends. This brings me to my first mistake.

Bone-Headed Mistake # 1: Not saying “No”

I mentioned that during my “save-my-marriage” contract year I worked more than the half-time I committed to and failed at the “save-my-marriage” objective. There were other reasons. I did work less than the hundred-hour weeks I had been working, but the work was interesting and the money more than I’d ever earned so I didn’t say “No” when I slid over half-time. I made the same bone-headed mistake several times in my independent career.

In the lead-up to the 1991-2 recession, I was preaching to my clients about recession-proofing their business, using the example of a trucking firm’s rule FBO 50, keeping at least fifty percent of their business in food, booze, and oil, recession-proof customers. My own client mix was 100% two clients, consulting and radio advertising. These two recession sensitive industries felt the pinch. My revenue went to zero.

Bone-Headed Mistake # 2:Taking your eye off the Revenue Cliff.

During this same period same period I had a rule “always save twenty percent of time for marketing.” I preached this rule to other aspiring independent consultants. But . . .” the money was good and the work was fun” . . .when projects ended and any follow-on fell prey to the recession, there I was starting from scratch with my two main referral sources suffering from a recession.

I dug my way out of that one, but I ended up taking a sub-contract project in Thailand that involved a very strenuous workload and no time available for marketing. The second “revenue-cliff” arrived about the time I was growing tired of independent consulting downsides, smaller projects, fewer colleagues, constant marketing and the loss of autonomy of subcontract work. I joined Gemini Consulting, which was a good path for me, but it  wasn’t until later that I understood the bone-headed mistake that lead me there.

Bone-Headed Mistake # 3: Are you a Gig-Economy Freelancer or a Consultant?

There is no judgement implied here, but you have to choose.

A freelancer does “pair of hands” work, often subcontracting to former employers or small consulting firms. Freelancers tend to be generalists doing whatever needs to be done, trading some autonomy, for the convenience of someone else finding the client.

An independent consultant typically specializes in some core methodologies. She has a process, that is a way of doing the work, including, but not limited to, expert content (industry and discipline -strategy, technology, etc.) or a process methodology (continuous improvement or organization development, etc.). The consultant may work alone or with other independents, but must be good at avoiding Bone-head Mistakes #s 1 &  2.

Truthfully, I struggled with this distinction till later in my career, but my life would have been easier if I’d made the choice earlier. It would have helped me avoid bone-headed mistake #4.

Bone-Headed Mistake # 4: Not Making the ‘Build vs. Buy” Decision Well

This is still a hard choice for me. I like to learn; I am motivated by autonomy. I tend to think I can do anything myself. So I learned to put up this website, rather than hire a web designer as I did previously. Yeah, it took me longer and I didn’t price my time because, well, I’m retired, but it fits a pattern.

As an independent, I did my own administration, billing and bookkeeping, three-finger-typed my own letters, made my own PowerPoint slides. And. . . and this is the important bit. . . When I was overloaded I just knuckled-down to do more work myself when I should have hired another consultant to help.

The second time I became an independent consultant I left a firm after a disagreement with a boss. I took two clients I brought to the firm. I found some subcontract work to supplement and ultimately I took on a partner. Actually Keith found me and we were quite naïve about our collective ability to find new work together. Our break-up was a little messy and a result of poor decision making on bone-headed mistakes #s 1 & 3.

What Keith taught me is the value of hiring help where we needed. Later, when I formed the Results-Alliance and partnered with the late Dr. Richard Taylor, I had learned the value of putting the most skilled resource available on the job.

Independent consultants get stuck, imprisoned by their generalist capabilities and need for personal autonomy and control. They knuckle-down when  overloaded and fail to hire help, You might survive that way, but  you certainly can’t build a firm that way.

Bone-Headed Mistake # 5: Ignoring Self-Development

The best consulting firms offer internships to undergraduates, hire undergraduates, hire the same people back after they go for an MBA, JD or other graduate degree. The firms train consultants in workshops and in planned deployment on client and firm research projects. These firms provide mentors to guide the up-or out-choice, and the direct client development or thought leader choice.

What does the average independent consultant do? “Uh, I read the Wall Street Journal”

Yeah, it’s like that for some who are scrambling to find and deliver work and riding the revenue rollercoaster off the cliff occasionally.

Someone once told me “You are the product. If the client didn’t buy today, maybe they’ll buy the new and improved edition tomorrow, but expecting anyone to buy the worn-down and wearing-out version isn’t very realistic.” Save time for self-development, reading books, taking courses, working with colleagues who are smart and most especially taking time to reflect on and document what you’re learning. That’s what you’ll be offering tomorrow’s client.

Here’s the good news. I made all these bone-headed mistakes,  survived, thrived, and retired to live happily ever after. Yes, really. You can even do better than me if you’re not learning about bone-headed mistakes by making them yourself – again.

 

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Five Things to Think About Before You Become Independent Consultant

Five Things to Think About Before You Become Independent Consultant

“I know. I’ll become an independent consultant.”

Consultants, corporate staff people, or executives came to this career epiphany before asking my advice. I gave them these five things to think about.

#1 Why?

The first question I asked was “Why?” because it helped me shape the advice.

Consultants felt limited at their firm. Maybe they missed a promotion and in “up or out” world, were headed OUT. Maybe they groused about compensation and said, “if I worked for myself  I could keep all the money.” Maybe they chafed at the power structure and wanted autonomy. These folks understood the work of consulting, but not sales, or how to consult without a team.

Staff people often wanted to be listened to like external consultants. These folks how to do a project, but not how to find one. They had few contacts outside of their firm.

Executives had reached a pension vesting plateau, or their firm downsized and they took a package “you’d have to be stupid not to take.” These folks were often the least realistic about the actual work of consulting, but they did have contacts.

When they articulated “Why” some realized they were being unrealistic; some didn’t.

#2 Who is your first client?

Almost no one wanted to start the conversation here. Very few had a client already. The worst had an eight-page website, six service offerings, had been “in business” for six months, and burned through their severance and called me weeks days before total desperation set in.

I broke through fog with the statement:

“Consulting is about serving clients. If you don’t have a client, no matter what your business card says, you are not a consultant; you are unemployed.”

We discussed how to find a client. Some staff and execs had work with their previous employer; some consultants had subcontract work with a small firm. Getting paid enough was a challenge. Subcontract consultants have even less autonomy than those on staff and when a company hires back ex-employees they often want more work without paying benefits.

I recommended everyone make a list of everyone they knew who might hire them and start making calls.

#3 What are you selling?

In my experience this question was either over or under thought. Consultants and some staff people crafted service offerings encompassing multiple issues. I encouraged these folks to focus. As an independent you’ll be remembered for one or two things.

Executives often expected to be “of counsel,” offering wise advice to other executives. I urged them to think of a business outcome where they have the greatest experience, i.e., new product development, new market entry, turnarounds, operations improvement, etc.

For some I expanded their definition of how they might work. I explained the difference between content consultants who sell advice and process consultants who sell help with a process like continuous improvement, or organization development.

#4 What is your business plan?

Too many didn’t have a business plan. Some told me “I’m not really starting a business. It’s just a way to earn big money with no investment or expenses.” My response wasn’t always kind.

Revenue?

I saw spreadsheets where revenue magically rose at three months.  I asked:

  • How will you generate revenue? – it takes three to twelve months to sell a new consulting project. Will you find clients through:
    • Direct sales? How are your sales skills and contact list?
    • Writing? You typically must have multiple publications (HBR articles, books) to make a dent.
    • Public speaking? You have to sell engagements and rigorously follow-up any interest.
    • Referrals? This is how I developed business. I was very disciplined about asking “Who else should I be talking with?”.

Expenses?

I encouraged people to think about:

  • Home office or rent – If you are you easily distracted spend the money on rent or shared space (Regus, Industrios, Spaces, LiquidSpac).
  • Structure – LLC, S-Corp, Inc, or sole proprietor?
  • Phones – I suggest a work mobile phone (separate from personal) and an answering service.
  • Printing – many don’t own a printer, and proposals aren’t all digital yet.
  • Administration – billing, accounting, documentation, etc. I did my own, but if you hate it or aren’t good, hire to alleviate headaches.
  • Travel and accommodations – executives used to traveling first class don’t understand that this is rare in consulting.

#5 Tactical stuff

This is often what aspiring independent consultants want to talk about. I save it for last because until you have designed your business (#s 1- 4) tactical stuff is a waste of energy. The most frequent questions were:

  • What should I charge? Consulting day-rates range from $500/day to $20,000 or more. Most independent consultants charge between $1000 -$5000, depending on their experience and client demand. Start with what you need to earn (including benefits, and expenses) and divide by 150 billed days a year to allow for marketing time, vacations, and administration. Then test that figure for competitiveness with some clients and other independents.
  •  How do I ensure I don’t just work all the time? Most people don’t ask this, but they should. Schedule downtime after crunches or you’ll burn out. Contract with the client to keep your weekends mostly free, schedule vacations and family time, and be disciplined about it.
  • How do I manage project flow so when one project ends another begins? This will never be seamless. If you save 25% of your time to market during delivery you can minimize revenue dropping to zero. Put marketing time on your schedule and (this is hard) don’t cancel it for paid work.
  • How do I make sure I get paid? In your initial interviews include accounts payable so you understand the process. Big corporations manage their cash flow on the backs of their suppliers, especially the little guys. Set terms and stick to them. Never let a client slide to two billing cycles without a face-to-face collection conversation.
  • Doesn’t it get lonely? It can. Make time for family, friends and neighbors. Build a network of other independents. Partner with some, sharing leads for a finder’s fee, discussing articles or attending courses or conferences.

Independent consulting is not for everyone and, despite what some books on Amazon say, few get investment banker or tech entrepreneur rich. I was an independent consultant for more than twenty years. I enjoyed the autonomy, constant learning, and challenge. Perhaps, with a little planning, you will too.

 

 

More about me

Consultant-osis and Change-itis

Consultant-osis and Change-itis

“Consultant, eh? Good money for old rope!”

It was my first day on-site, at my first consulting project. I was still in business school. Angus, this sixty-year-old Cheshire truck manufacturing manager was communicating his experience with consultants.

I wasn’t completely oblivious. I did know it wasn’t positive experience. I may have asked him to explain or maybe he just did. In his view consultants came up with solutions that had been thought of and tried before and that if management was serious about solving the problem they should ask the workforce. Now I agree with him. Then I probably said something like, “Well, let’s see.”

In the end our little team of London Business School students and two Harbridge House consultants recommended that ERF, a builder of heavy-duty tractor-trailer cabs, expand into eight-wheel 32 ton trucks (fire engines and big dump trucks), but not build 16 ton box vans, because box vans were used in distribution where the extra weight was a disadvantage. They successfully implemented our recommendations.

Going back to Angus’s experience, someone inside ERF shared our point of view. We just gave the CEO data to be sure of the decision. Could they have done that on their own?. Probably. We just had no ax to grind.

Did we change Angus’s point of view? I doubt it, but we carefully listened and accurately represented his expertise about manufacturing capacity, new assembly lines, lead times, and volumes. He signed onto our plan when asked.

So in this instance, Consultant-osis, disease of the consultant, was mitigated, if not cured.

One disease of the consultant is arrogance. Some consultants have lived their whole life being told how smart they are and lord over mid-level managers. Are they insecure and feel the need to act confident? Maybe, but whatever the reason, consultant-osis, can be fatal. Humility and pleasant behavior are the only known cure.

“Here comes the flavor of the month.”

This pathology may be consultant-osis or executive-osis. When you hear this, people are telling you the company over-uses consultants. Perhaps there is executive turnover and each new manager wants to leave his or her mark with a big initiative. Maybe the hiring client is susceptible to pitches for the latest management fad. Or maybe the company has failed at implementing a change framework (Lean or Agile) and rather than fix what they were working on, they hire another consultant and start over with a new methodology.

Find out what people mean by ‘flavor of the month” so you can help. Find out the reasons for previous failures from the people involved, but advocate for organizational learning, and focus on actually achieving results. Identify “quick wins,” but extra careful of the unintended consequences of intervening in a system before you truly understand it. Clearly delineate implementation obstacles, and how to overcome them. Be careful about rewarding milestones or declaring victory too soon. Confront initiative-itis or change-itis in projects with long timelines by breaking the project into a series pilots, to achieve quicker results and keep energy up. If the “best way” is unclear run pilots in pairs to try different approaches.

“Not again! How many times? I know . . . until we get it right.”

I’ve heard people describe continuous improvement initiatives as “continuous change.” I’ve started innovation projects and been greeted with, “So we’ll brainstorm a bunch of ideas we won’t do because they cost money?”

Change fatigue is real. Change is hard –  create the “why change” case, and a vision, and plan the how, measure progress, measure results and control backsliding. Jeesh! That’s a lot of work and management may change their minds about if the quarterly numbers tank.

When fatigue leads to inflammation, infection, and failure to thrive

Initiative-itis or change-itis is worse and more of it. The medical suffix “itis” means “inflammation” – change or initiative failure so severe that people are inflamed. Did a continuous improvement project increase efficiency, but people lost their jobs? Did innovation produce a new product, that failed and the people involved were labelled “unpromotable losers?”

Such chronic inflammation is tough to overcome. Who would sign up for a consultant project team? It causes good people to look for another job. Hostility to consultants is not uncommon, but it can get scary.

I wasn’t on the project of the most extreme case I heard about.  At a reengineering project someone fired a rifle through a window into the team room. Fortunately no one was hurt. The project was cancelled. I talked with the team manager later and she said, “There were warnings. People were assigned to our client team, but didn’t show up. We’d come into work and find notes that accused us of “genocide.” I just thought it was resistance, but It was worse than usual. Later we learned that the company had used what they called ‘rightsizing’ in an ugly, violent campaign to bust a union. We never should have taken the project.”

The plant was later sold to a competitor and closed down.

I did see other change-itis. My approach was to explain the severity to my client and work with as many “friendlies” as I could. I ensured that my work didn’t harm people and focused on achieving results. For the most part I succeeded.

I worked to avoid consultant-osis. I coached clients with client-osis to do one thing at a time, focus on results, and create processes to sustain those results. When I encountered change fatigue, or initiative-itis, I took it slow and empowered those who overcame inertia and cynicism. Cynics and sceptics make the best project teammates; they are often discouraged idealists, who achieve great things when reenergized and supported.

Someone once flattered me with the nickname “country doctor.” I don’t have a medical model of consulting, but I do believe consultants should adopt the first part of the Hippocratic oath:

“First, do no harm.”

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Finding Clients

Finding Clients

Sell is a four-letter word

Salespeople get a bad rap. The salesperson stereotype, is a gladhanding mental lightweight with a “smile and a shoeshine,” the “gift of gab” and questionable ethics, who can talk anyone into anything, “sell a cape to Superman, hay to a farmer, or snowballs in Alaska.” New consultants are often told, “never say sell.” Sales euphemisms are common in the industry, “client development,” “being called to serve,”  or “having problem-centered discussions.”

A consultant who is between engagements, might say “I’m on the beach,” but that isn’t literally true. Being too often “on-the-beach,” being under-utilized or under-applied,” portends a “performance concerns” discussion. The next step is to “get on with the value-added part of your career,” (somewhere else).

Consulting firms do short term work, studies, engagements, or projects. Sure, there are some firms on retainer with some clients, some who sell repeat-buy products like yearly surveys. Some firms are always on-site because senior partners seem like executive staff. However, most consulting work, has a beginning, middle and END. That means consultants continually acquire new projects or clients, i.e., sell.

Therefore, in my view, every consultant is a salesperson, not the negative stereotype above, who is only qualified for criminal activity. No, I mean a person, who listens to a client describe something that isn’t happening as expected or is happening unexpectedly, and helps the client solve that problem.

Consulting firms have different client acquisition strategies. They may sell analysis or studies that lead to strategy, or operational projects, or they go looking for clients facing specific issues -innovation, continuous improvement, systems integration, among others.

What about the independent consultant? I encourage all consultants to think of themselves as the firm of one, even if you are just starting out and work for a very large firm. Thinking of yourself as the sole consultant,  your “personal brand,” focuses the mind.

I didn’t do that. I waited till I became an independent consultant to think this way, but I wish I’d started sooner. That first year, I learned a lot – religiously tracking time not just to bill clients but to more accurately estimate future projects, saving time to sell, even mid-project, so when a project ended, another was teeing up. I also learned what worked for me finding clients.

Who can hire you?

When I sold celebrity speaking engagements on college campuses, I would telephone the college and ask who ran the outside lecture program. Was it the student activities department? Sometimes there was a student; sometimes it was staff or faculty. That person was authorized to buy what I was selling.

When I sold packaged training programs for the Forum Corporation (now Achieve Forum, part of Korn Ferry), I called the corporation looking for the Training Manager, usually part of Human Resources. I also called on sales managers to talk about sales training and occasionally I called on senior executives who wanted a custom training program to accompany some change initiative.

There was always a decision hierarchy of gatekeepers, influencers, and decision makers. Knowing the decision structure was always helpful, not always required for the sale, but when I lost a sale it was often because I wasn’t talking to the decision maker, the one person who could say “yes” when all others said “no.”

In consulting, first, a client is a person, not a company. He or she should be acting in the interests of the company, but one client hires a consultant. Yes, there may be a review committee and there is a “client system” of influencers, but one person is responsible for the problem, and benefits from the results achieved.

Who will hire you?

I resisted the idea of an “ideal client” for too long. Eventually I got around to recognizing that those who hired me were often people who understood the importance of the “people stuff,” but recognized they weren’t good at it. A colleague with a PhD in quantitative methods was hired by “people-people” whose flat-side was math. One “ ideal client criterion” is skills match.

There is also an affinity component. Another colleague works for others of the same ethnicity. I know consultants whose client base are members of the same fraternity, or share the same hobbies (mountain climbing or sailing). Some consultants have broader range than others, but most have an “ideal client.” It is worth thinking about who will hire you.

How do you attract a clients attention?

Cold calling

I sucked at cold calling. Others are better at calling executives out of the blue, and making a sale. One explained. “It’s a numbers game, make 10 calls a week, get three first meetings, convert one to a second meeting. One in four becomes a third; convert every third meeting to a project. You can improve by making more first calls, or with better targeting or by improving your ratios. Easy-peasy,” (for some). This is easier if you are selling one easily understood service offering, as when I sold training.

Thought leadership, writing, speaking, and public relations

I am often approached by firms like Forbes books, Advantage Press to write “the one-pound-business-card.” These firms have ghost writers for a book and articles from your ideas. They arrange speaking engagements, websites, podcasts, or TedTalk videos. You don’t make any money from any of these media, in fact you pay them a hefty sum, but “your business grows.” I know consultants who built a profitable practice using these services. Some consultants, do multi-media extravaganzas themselves. Does it work?  Maybe, but it is time consuming to do yourself and expensive if you hire someone.

 Firm thought leaders do research, write articles and books, supported by the firm. Some ultimately go independent. One told me that writing never produced any clients until he got “over fifteen Harvard Business Review articles and six books, but now it is my best source of over-the-transom clients.”

Conversations and referrals

This produced 85-90% of my business as an independent consultant. I would regularly “keep in touch” with people I worked with in the past. I sent an interesting article, suggested a book or a movie, recommended a customer or potential new hire. Then I’d telephone them and arrange a face-to-face meeting. These meetings were short, often thirty minutes or less, but I would always ask, “Is there anyone you know that I should be talking with? Sometimes, the person would say “let me think about that,” and I’d follow-up later. Sometimes they referred me to someone they knew. Sometimes they’d hire me.

Ageing out of consulting

I should have kept in touch more with younger members of the client system. Usually I worked with clients my age or older. At seventy, my entire contact list was retired or dead. I love being retired, but observing consultants who work into their eighties and nineties, two things are true:

  • They wrote several books and
  • They surrounded themselves with younger people and kept in touch with junior clients.

I suggested thinking as an independent consultant to focus the consultant’s mind on selling. Even if you are a new analyst, client focus is beneficial. I succeeded in consulting by focusing on helping clients achieve results from change. I might have done better inside a firm treating my managers like clients. 😉 Just sayin’.

 

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