What to Consider When You Face an Expensive Consultant

Consultants tend to be expensive. A coach instead, may charge the same price per hour, but coaches never dedicate all their time to a single job. In fact you could think of the same construction hiring a consultant. A flexible consultant would be able to deliver according to your requirements. Two to three days a month would be possible. The question remains; what will be delivered?

Before continue reading this article it might be interesting to take one minute of your time for a simple assessment; the title gives away most of the idea:

One Minute Assessment: Cost & Revenue
Another way therefore, is not (only) to focus on costs. But on revenues.

You could adapt the pricing mechanism for the consulting vacancy you are contemplating. One way would select a fixed price per hour or a fixed fee for a period of time, but on a (much) lower level, for example 60% of the normal price or fee. complementary, a variable part as a pay for performance. This could vary from 40% to 60% of the normal fee. In case the target is reached you will have to pay the consultant 20% more than average, in case the target is not met you pay the lower level of 60%.

In the last case however, you are still not satisfied, nor with the result, nor with the fact that you paid, although less. Because of the problem that is not solved.
Another step would be to focus completely on the result – no cure no pay. The inconvenience with this option – for large and complex projects – is the way to determine the impact of the individual consultant on the overall results.
But even more important is the way you want this consultant to match your requirements. Different challenges require different consulting roles. If you do agree a variable target, the consultant might be seduced to propose the most expensive solution.

Maybe some common sense would do to define the best answer to each specific situation. If you think a consultant is expensive, just make sure to keep focused on the benefits. Make sure these are communicated well.