How to hire a specialized consultant or a strategic advisor
Paying for hours creates a commitment to presence. Value is obtained when remuneration is linked to results !
When flexibility and the quality of the consultant assisting the manager facing his or her challenges are a priority over cost, by-agreements (direct contracts) and calls for tender are the main approaches to be favored.
Direct contracting is an alternative solution to framework agreements, enabling companies and consultants to negotiate the terms of a contract directly. This approach offers great flexibility and speed, ideal when specific skills are required, and is particularly effective when a relationship of trust has already been established with the consultant. However, it does present risks, particularly in terms of regulatory compliance and perceived favoritism, and may not always be aligned with corporate purchasing policies. A mutual and transparent understanding of constraints, expectations and needs is essential to ensure compliance and the success of this type of collaboration.
Calls for tender have the advantage of ensuring transparency and fairness in the selection process, while enabling cost optimization through competition. However, this method can also entail significant delays, be inflexible, and emphasize price to the detriment of quality or specialization. What’s more, it can generate considerable administrative costs and complexity. To overcome these drawbacks, companies can opt for simplified “invitation-only” tendering, or allow bidders to propose their own innovative alternatives to optimize quality, efficiency and flexibility for all parties, while preserving transparency and fairness.
Prepaid time banks and coaching agreements are also good alternatives to get access to seasoned practitioners expertise while controlling cost. Although their base fees is higher than the traditional hourly-full-time model, you will only pay for the time and valued advice you can only get from them.
The wise manager will, however, do well to avoid resorting to placement agencies and framework agreements to obtain specialized or strategic services. These approaches, often rigid and bureaucratized, are optimized to fill general skills needs and accomplish specific tasks. Their hourly cost is lower than that of a specialized consultant, as they are less accountable for specific outcomes and are generally paid on a full-time, multi-month basis. However, their daily occupation and the supervision of their work are the responsibility of the client company, and the manager may perceive a lack of control and autonomy in the choice of consultants, which can lead to sub-optimal choices depending on needs and personalities.
The choice of means is yours, but not following these recommendations increases your risk of not obtaining satisfaction.
© Eric Magnan, Pragmatik Advisory Services Inc, 2023
About the author:
Eric Magnan is a career consultant who founded Pragmatik Advisory Services in 2005. Since the late ’80s, he has assisted some 30 private and public companies through more than 70 missions aimed at adopting new technological solutions or new ways of working based on digital technology advances. He holds several professional certifications, which he puts down to good use for his customers through mission-driven commitments tailored to their context, constraints and needs.