Consultants Galore

One of the lesser publicized aspects of these recessionary times is the number of downsized managers and executives who have hung out their shingles as consultants. Some of these folks are viewing their layoff as an opportunity to escape corporate America and do something different. For them, this move is the beginning of a new career.

For others, it is pure desperation. Unable to find a new position, they are looking for stopgap means to earn an income. They are going to their former employer, former customers or vendors and offering their services as contractors.

There is nothing wrong with either. The result is that the marketplace is flooded with all of these new consultants. They add to the background noise with which prospective clients must deal. The decision to hire a consultant is hard enough for many people. They are torn between the belief that they can solve their problems by themselves and the desire for help; between spending the money or being penny wise.

Now there is a new consideration to add to the mix. Do I choose someone new as a consultant who might be cheaper than a more experienced person? How important is actual consulting experience?

We are all the sum of our experience in life. My mix of experiences may be 100% relevant to sum clients and totally unimpressive to others. Someone with zero consulting experience but years of practical experience in a certain area may bring more value to a particular situation than anyone else could.

Company owners must evaluate carefully who can best help them. Consultants can frame situations in terms of their skills to solve them. A marketing consultant may view a company's problems only through marketing eyes. A process engineer may see everything in terms of operating efficiencies.

Entrepreneurs need to feel comfortable with the diagnosis before they get the treatment. A $25,000 marketing plan will not necessarily solve employee engagement issues. Nor will an employee motivation plan be the answer for poor product quality or wrong pricing.

Entrepreneurs need to use their experience to gauge the experience of their consultant candidates and decide what is right for them. The choices are many and varied. The right choice can mean a substantial improvement in business results. The wrong choice can lead to the opposite. Choose well.

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[Swarovski Rings]

They are going to their former employer, former customers or vendors and offering their services as contractors.