So you want to be a consultant...?

[Marc]

This is from an IT focus, but is applicable across the board. So you want to be a consultant...?

 

[cncmarine]

Marc..great article

"A financially-struggling consultant does not give a customer The Warm Fuzzy Feeling™ "


That article was a bull’s eye. The above quote is absolutely true. The added pressure of not only of selling your services but because your dead broke = a shaky presentation.

 

[Wes Bucey]

Marc..great article

"A financially-struggling consultant does not give a customer The Warm Fuzzy Feeling™ "


That article was a bull’s eye. The above quote is absolutely true. The added pressure of not only of selling your services but because your dead broke = a shaky presentation.

Any kind of financially struggling supplier gives (or should give) customers pause. It speaks to capacity and may also have a major impact on capability. That's not to say that I haven't given business to startups and some others, but only with close monitoring and VERY CLOSE attention to project mileposts. I have sometimes even "fronted" for materials or tooling, but I ensure title to such stays in my name until the project is complete in the event I have to retrieve it and start over with another supplier if my first choice flops.

I once struggled and I know how difficult it can be in "early days" to achieve stability. I often looked beyond that at the talent and skill, but then I am the kind of guy who gives "Dutch Uncle" talks to folks. I would do my due diligence and then suggest some controls or changes which could help them on the road to stability.

The guys that worried me were Showboats who drove fancy cars and poured all their money into "front" versus real infrastructure.

One of my major cautions was not to give too large a percentage of capacity to any single customer. (I make a difference in my mind between capacity and "sales" - if I'm the only customer, I may have 100% of the sales, but I would hope not 100% of his capacity to take on other customers.)

 

[Sidney Vianna]

Any kind of financially struggling supplier gives (or should give) customers pause. It speaks to capacity and may also have a major impact on capability.

Right you are! Since the organization I work for is a Certification Body/Registrar, I have seen over the years, many questionnaires, surveys aimed at establishment of a criteria for registrar selection. I am yet to see one that delves in the issue of registrar financial soundness.

ISO Guide 62 paragraph 2.1.2i) states:

"...the certification/registration body shall have the financial stability and resources required for the operation of a certification/registration system...."

ISO 17021, which will succeed ISO Guides 62 and 66 state, in it's present draft version:

5.3 Liability and financing

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5.3.2 The certification body shall evaluate its finances and sources of income and demonstrate to the committee specified in clause 6.4 that commercial, financial or other pressures do not compromise its impartiality.

I am curious to know how the Accreditation Bodies check for that requirement, during their accreditation audits.
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[Wes Bucey]

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5.3.2 The certification body shall evaluate its finances and sources of income and demonstrate to the committee specified in clause 6.4 that commercial, financial or other pressures do not compromise its impartiality. I am curious to know how the Accreditation Bodies check for that requirement, during their accreditation audits.​

I share that curiosity. Anyone in the Cove have the answer?
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[qualitygoddess - 2010]

Marc:

Thanks for the article. Enjoyed it. Now I"m going to go give a warm fuzzy to a client. I was late on a procedure, so I am giving it to them for free.

--QG