Tips to be a good business consultant

What Makes a Good Business Consultant?

I have been a Business Consultant for a while now, and I have had some successes and failures, some challenges and obstacles to overcome, along the way. But in the end, the measuring stick of my success as a consultant is completely about whether I am helping my customers to succeed. Contrary to all that is said about what a Business Consultant does, the measure to gauge whether the consultant is any good, is the direct success a company has experienced as a result of the consultant’s advice. I am writing this blog because business consultants are a dime a dozen in the marketplace, and it is dubious whether a majority of them are actually getting companies real results. There are some great business consultants out there, and I am privileged to work with some of them. Unfortunately all the unaccountable, inexperienced consultants contribute to giving the industry somewhat of a mixed report card. Here is some wisdom on what makes an effective business consultant, providing a measuring stick to determine if your business consultant is up to snuff.

Number One Determinant - Is the Business Consultant Highly Experienced in Business?

Business Success can’t be learned in school. It comes from years of business learning experiences and from mentoring with more experienced business people. Same for the business consulting profession- really more so. A Business Consultant is only as good as the accumulated experience the consultant possesses. It takes a minimum of 20 years business experience to make a consultant really effective. If your business consultant does not have a business track record, then I suggest one of two things: 1) Run away, quickly or 2) If you see potential and worth, put in place a consulting contract that is based on results and has major accountability built in (from both sides).

Number Two Determinant - Does the Business Consultant Listen?

Does your business consultant listen intently to what you as the business owner and business as a whole has to say? Does the business consultant have a tried, tested and proven Business Consulting process to effectively engage company principals and personnel in order to obtain the needed information to make assessments, analysis and recommendations? A business consultant is only as good as how well the consultant listens and communicates. Without these two key skills, the effectiveness of the consultant’s work will be highly minimized.

Third Determinant - Is the Business Consultant Accountable to Results?

I see so many Business Consultants that do nebulous work, have no structure to gauge results of the advice and recommendations, and are completely unaccountable to their work. A good business consultant works in the reverse. A good business consulting contract is results and goal based, with milestones established to gauge the effectiveness of the recommended and agreed upon strategies. Such a structure is helpful for both the business owner and the consultant. At the end of the day, I want to see the results of my advice and if things are going as anticipated. Therefore, I have a system in place to identify any issues that arise so I can go to work on making adjustments and changes in strategy to obtain the desired outcome. Transparency and accountability are huge factors in a successful and trusted relationship between consultant and business owner.

Lastly, I know that I know not…

I am open to learning from others (whether from a business owner, another consultant, a business mentor or the like) on a daily basis so that I can be an even better business consultant for my customers tomorrow.