Why do we need others' expertise?
Why do we need others' expertise?
Nia Sarinastiti Atmojo, Contributor, Jakarta
Why do we need consultants? It is a question often brought to
the table at board meetings when deciding whether a consultant is
necessary for their business. The arguments are quite classic:
"We can do this on our own and save money" or "how do we get
returns for our money?"
To understand the process, let us compare restructuring a
business to renovating a house.
When renovating a house, we need expert advice on how best to
accommodate the needs of our household.
We can seek expertise from someone close, maybe family, to
save on costs. You may be lucky if your spouse or a close
relative is an architect or interior designer who understands
your needs. If no one around you has the capability redesign a
home, then you need to seek outside advice.
It is the same in a company -- if the board of directors sees
the need for a bit of fixing up, it is certainly wise to consider
an internal source to lead the project. But if no one is
available, or human resources are already occupied with current
tasks, then relying on outside help becomes necessary.
Once you've decided that you need someone outside your inner
circle to help, this means you've decided to bring in a
consultant. In doing so, you may want to know about their
capabilities and credentials. In the case of home renovations,
you will inquire as to their past experiences and their ideas
based on your requirements.
In a company, the process is similar -- a company provides
terms of reference for consultants to review and upon which they
will develop advice.
In such cases, whether home renovations or company
restructuring, a budget is usually set. Without a general
reference to the task at hand and a budget, it will be hard for
consultants to determine the scope of work. Of course, being a
consultant, they may have other factors to consider. But the
final call is in the hands of the owner, the head of the
household or company. Once again, it is crucial that you know
what you need -- not just want -- and that it is relative to your
specific situation, not merely for the sake of following the
current trend. This applies to both designing homes and
management systems.
Another important factor in deciding to employ a consultant is
the extent of involvement you require from them. In renovating a
house, would you like your consultant to provide only a blueprint
of the design and you will find the builders? Or would you also
want your consultant to handle all the builders, carpenters and
painters, as well as the purchase of materials? Again, this is
dependent on your available time and you and your household's
capacity to be part of the renovation team.
For companies, the same considerations apply, and a management
consultant usually provides varying levels of services.
The basic level of service is strictly in an advisory
capacity, providing a set of options on what to do and how to
generate results. Second is also assisting in implementation, in
which a team of experts will be assigned to work side by side
with you and your people to ensure success. Finally, the
consultant team is relied upon to run the management project --
perhaps an area that is not your main area of competence -- but a
necessary restructuring to sustain the business.
Before deciding to recruit a consultant, first see whether
your own people have the capability to attend to the task
internally -- do they only need directions or do they need
another party to handle the whole works? This way, it will be
easier to understand the overall investment a company must put in
to external expertise.
As a final note, it is worthwhile to understand that employing
consultants is a long-term investment. Consultants should not be
hired if your company seeks only window dressing, such as
painting the outside walls to look different. Relying on a
consultant takes a collaborative effort, which will certainly add
value to a company.
The writer is a marketing & communications advisor for Accenture.