Becoming A Trusted Advisor: Core Consulting Skills

© Copyright 2004 Alexander Consulting, LLP

Becoming A Trusted Advisor: Core Consulting

Skills

For:AIMC Conference

By:Mark Hordes

Alexander Consulting, LLP


Education:• MBA and MS Aurora University• Graduate of the American Graduate School of

International Management• BS, University of HoustonPersonal experience:• Partner, Alexander Consulting• Instructor, Shell Core Consulting Workshop• Global experience in creating strategies for

transformational s-business change• Success in designing and delivering professional

services selling training and creating services markets

• Hands-on experience designing and implementing services readiness assessments and best practice applications for services organizations

• Former Big Five partner• Former faculty member The University of Houston• Vice President Quality Consulting, The American

Productivity & Quality Center• Former Malcom Baldrige Quality Examiner

Background: Mark Hordes


OPERATIONS EXCELLENCE

TALENT PRODUCTIVITY

ServicesStrategyCreation

SalesEffectiveness

DeliveryPerformance

Marketing Direction

Alexander Consulting, LLP“A management consultancy that creates and implements

strategies for professional services organizations”


Concepts presented today are taken from our new

book:


Workshop Goal:

To help you and your organization build consulting skills, capability and

confidence.


Today’s Topics• Consulting Foundations• Client Development• Consulting Relationship Skills• Contracting• Assessment• Services Delivery• Managing the Change• Leverage• The Professional Services Champion


Introductions

Please say hello to the person to the right or left of you and state a bookbook or movie movie titletitle that best describes your consulting

work at yourcompany.


Consulting Foundations


“IT Consultants Score Lowest in Client Satisfaction”

(Average Score, 1-5 scale)3.85

3.683.60

3.40

HR Strategy OperationsManagement IT

The Dangerous Trend:

(Source: The Management Consulting Client Report, KIRG)


Station Break: Client Expectations of

Consultants• Working in small groups, discuss

and agree upon a list of 6 to 10 of clients’ most important expectations of consultants.

• Be prepared to share your list with the large group.


Client Expectations of Consultants

1. Competence2. Credibility3. Trustworthiness4. Likeability5. Business Savvy6. Responsiveness7. Empathy8. Communicate


Client Expectations of Consultants

Clients Said… Consultants Thought…

1. Competence 1. Results2. Credibility 2. Reliability3. Trustworthiness 3. Confidence4. Likeability 4. Credibility5. Business Savvy 5. Empathy6. Responsiveness 6. Responsiveness7. Empathy 7. Hired Help8. Communicate


The Five Fatal Flaws of Consulting

1. The project is defined in terms of the consultant’s expertise or products, not in terms of the specific client results to be achieved.

2. The project’s scope is determined solely by the subject to be studied or the problem to be solved, ignoring the client’s readiness for change.

3. The project aims for one big solution rather than incremental successes.

4. The project entails a sharp division of responsibility between client and consultant; there is no partnership between them.

5. The project makes labor-intensive use of consultants instead of leveraged use.

(Source: High Impact Consulting)


The 10 Commandments of Professional Consulting1. Concentrate continually on delivering client

value. 2. Commit all stakeholders to action.3. Clarify complex client issues.4. Communicate authentically.5. Collaborate with the client.6. Conduct a “willing and able” assessment.7. Control scope creep.8. Compress the cycle time of delivery.9. Customize each solution.10.Continually learn and grow.


Individual Exercise: 10 Commandment

AssessmentTime Allotment: 15 minutes• Please candidly complete the 10

Commandment Assessment.• After everyone has completed the

assessment, we will discuss it in the large group.

• Please note, however, that this assessment is confidential and strictly for your own use. Share only what you want.


All Consultants Must Have These

Four Capabilities

CONSULTINGPERFORMANCE

RELATIONSHIPSKILLS

ENGAGEMENTMANAGEMENT

BUSINESSACUMEN

TECHNICALEXPERTISE


Individual Exercise: Four Capabilities Assessment

Time Allotment: 15 minutes• Please candidly complete the Four

Capabilities Assessment.• After everyone has completed the

assessment, we will discuss it in the large group.

• Please note, however, that this assessment is confidential and strictly for your own use. Share only what you want.


Train Consultants in Consulting Skills to Build

Capability and Confidence


Client Core Consulting Training Example

Unit One: The Consultant’s Reality 2 hoursUnit Two: Relationship Skills 4 hoursUnit Three: Business Acumen Capabilities 2 hourUnit Four: Engagement Management 4 hoursUnit Five: Technical Expertise 2 hoursUnit Six: Marketing and Selling 2 hoursUnit Seven: Contracting 4 hoursUnit Eight: Data Gathering 2 hoursUnit Nine: Diagnosis The Consulting 3 hoursUnit Ten: Feedback Process 3 hoursUnit Eleven: Solution and Design 3 hoursUnit Twelve: Implementation 3 hoursUnit Thirteen: Closure and Renewal 2 hoursUnit Fourteen: The High-Performance Practice 2 hoursUnit Fifteen: Continuous Learning 2 hours

40 hours


Contracting

Getting, Growing, and Keeping Clients

The Consulting Process

Relationship

Skills

Assess Delivery

FeedbackSolution

andDesign

Integration

Closureand

Renewal


Business Acumen Success Elements

Effective Business Consultants Always: • See the bigger strategic issues facing the client.• Are able to define business solutions.• Possess process knowledge of the functional area of

the business and industry sector.• Can define change management issues.• Understand the competitive landscape.• Provide relevant skills, strategies, tools, and ideas to

the client.• Use their knowledge and experience to build strong

rapport and sustainable relationships with the client.


Client Development


DeliveringQualifyingPromoting

The Consultant Zone of Influence

Committing

LEADS SUSPECTS PROSPECTS CUSTOMERS CLIENTS

Getting, Growing, and Keeping Clients


Making the C-Level Call

1. Earn the right to be there--do your homework.

2. Be ready to share something of value first (industry information, best practices, etc.) before probing.

3. Bring supportive data to backup your claims.

4. Think and talk big picture.5. Link your conversation to

how your solutions address his or her critical business issues.


Consulting Relationship Skills


Trust

Value

Credibility

Commonality

Empathy

Six Elements in Building Strong Consulting

Relationships

Decorum


Small Group Exercise

For each assigned element, add three more important actions that you can take to be more effective in building client relationships.


Building Rapport

• Building rapport is the first step in establishing strong relationships.

• Everyone can learn to build rapport more effectively.


Individual Exercise

Pretend you are going to meet a client for the FIRST TIME.

List both the verbal and non-verbal clues that you need to be aware of in building rapport.


Listening and Probing

1. Do I actually know the client’s issues?2. Does the client know that I know his or

her issues?

Before you can solve client problems, you have to answer two questions:

Listening and probing are the tools needed to answer these questions.


Exercise: Barriers to Listening

1. Individually think of a recent situation (business or personal) where your lack of listening caused a problem.

2. Come up with the barriers that contributed to the problem.

3. Discuss your findings with your group and come up with a list of five common barriers to listening.


Tips to Active Listening

• Imagine that you will be asked to provide a detailed description of the conversation.

• Act as though this is a “mission critical” conversation.

• Listen with your eyes as well as your ears.• Write out the probes you will ask ahead of

time so that you concentrate on what is being said and not what you will say.


ProbingOpen Probe• When you want to allow the client to

respond freely to gain general information.Or…• When you want to encourage expansion.

Closed Probe• When you want to limit the client’s response

to uncover specific information.Or…• When you want to confirm your

understanding.


Open Probes

Usually begin with: • What? When? Where? Why? or

How?Or…• Oh? Tell me, Show me, Say more

about that.


Closed Probes

• Is• Are• Do• Does• Has

• Have• Can • Could• Which• Who

Key words that help you identify closed probes include:


Skill Practice: Probing

A client statement will be read aloud. If the ball is thrown to you:

1. Tell if you will use an open or closed probe.

2. Ask the probe.


The Four I’s Probing Strategy

Issues Importance Impact Investigate

• What are the main issues you and your department are facing?

• Let’s take a look at ___ for a moment. Is this a nice-to-do, or something important to your organization?

• Sounds critical. Tell me, what is the impact of not addressing this problem?

• I see. Together, can we investigate how my organization might be able to help?


Contracting


Roadblocks to Success Contracting Exercise

List below all the possible things that can go wrong when you do not have a contract with a client.1.2.3.4.56.7.8.9.10.


The Six Elements of Good Contracting

1. Explore potential traps and misunderstandings with clients without appearing negative.

2. Strike a balance between the client’s responsibilities and commitments in the early stage of the relationship.

3. Give true assumptions about the amount of work that will be expected by the consultant and the client.

4. Rehearse the contracting meeting by playing both sides of the exchange: the client and the consultant.

5. Provide information related to your available time.6. Move forward with clarity on measures, results

expected, and accountabilities.


Case Study ExerciseA Case of Disappointment

Team Discussion Questions• Were the expectations realistic?• Was the system ready? Were they committed?• Who was the consultant?• Who was the sponsor?• Who was the client?• Who should have signed the contract?• What groups or people were involved? Were the

roles/relationships clear?• What were the client’s real objectives/hoped-for

outcomes?• What criteria should be used to evaluate the consulting

effectiveness?• Who should evaluate the consulting?• What were the other contracting issues?


Consulting Proposal Format

1. Situation Summary: Restates issues, importance, and impact.

2. Business Objectives: Describes expected results in client terms.

3. Progress Tracking: Establishes how headway will be measured.

4. Timing: Anticipated durations with recommended timelines.

5. Accountabilities: Agreed upon consultant and client actions.

6. Credentials: A brief citation of why you are the best choice.

7. Methodology: An outline of required steps.

8. Options: A choice of options that can meet business objectives.

9. Terms and Conditions: Fees, expenses, and terms for each option.

10.Acceptance: Place for appropriate person to sign the proposal.

(Source: How to Write a Proposal That’s Accepted Every Time. Alan Weiss. Kennedy Publications. December, 1998.)


Assessment


Successful Interviewing

• Establish and maintain rapport.• Gather personal perceptions

supported by facts and/or stories.• Test the findings from other

inputs.

Use the relationship skills (listening, probing, and acknowledging) to:


Interviewing Exercise

Practice gathering data through interviewing.


Services DeliveryResearch shows that clients don't care what your engagement delivery methodology is; however, they do expect you to have one.

Example: A Methodology to Integrate Service Lines

BUILD OPERATIONS MODELBUILD OPERATIONS MODEL

INTERVIEWAND EXTEND OFFERSINTERVIEWAND EXTEND OFFERS

COURT TARGETS AND STRUCTURETERMSCOURT TARGETS AND STRUCTURETERMS

SUSTAINPRACTICESUSTAIN

PRACTICE

CONTACT AND SCREENTARGET

COMPANIES


COMPANIES

DETERMINE GO TO MARK ET MODEL


DESIGNOPERATIONS

MODEL

DESIGNOPERATIONS

MODEL

BUILDRECRUITING

ENGINE

BUILDRECRUITING

ENGINE

BUILDGO TO MARK ET MODEL

RUN PRACTICE

CLOSE TRANSACTIONS

HIRE AND TRANSITION

M&A

Consulting

Search

Competitive

Intelligence

BUILD OPERATIONS MODELBUILD OPERATIONS MODEL

INTERVIEWAND EXTEND OFFERSINTERVIEWAND EXTEND OFFERS

COURT TARGETS AND STRUCTURETERMSCOURT TARGETS AND STRUCTURETERMS

SUSTAINPRACTICESUSTAIN

PRACTICE


COMPANIES


COMPANIES



DESIGNOPERATIONS

MODEL

DESIGNOPERATIONS

MODEL

BUILDRECRUITING

ENGINE

BUILDRECRUITING

ENGINE

BUILDGO TO MARK ET MODEL

RUN PRACTICE

CLOSE TRANSACTIONS

HIRE AND TRANSITION

M&A

Consulting

Search

M&A

Consulting

Search

Competitive

Intelligence


Delivery: Best Practices

• Project managers know how to manage project scope.**

Service providers:• Utilize a common methodology.**• Demonstrate appropriate selling skills.**• Possess adequate account management skills.**• Have access to real-time customer information.**• Understand the services industry.*• Understand process consulting.*• Know the critical business issues of their

customers.*

Legend: *Statistically proven s-business differentiator from product-centered company.**Statistically proven practice of top-performing s-businesses.

(Source: The State of S-Business: An International Report of Progress, Performance and Best Practices. James A. Alexander. AFSMI. 2002.)


Planning for Implementation Checklist

1. Acceptance: How can we gain acceptance from others? What advantages can we show for the suggested solution? How might we demonstrate these advantages?

2. Anticipation: What objections to our solution can we anticipate? How should I/we respond?

3. Assistance: How can other people or groups help us to apply our solution?

4. Location: What places or locations are best suited for putting our solutions into practice?

5. Timing: How can we take advantage of special times, days, dates, etc. for implementing our solutions?

6. Precautions: How can we pretest our solution to ensure its effectiveness?

This checklist has been designed to help you to develop a plan of action for the solution you plan to implement.


Scope Creep Exercise

“We can’t figure when this project is going to end?”

“Can you give Marketing a hand for about a week? They are in trouble.”

“What do you mean the audit project was not included?”

“When we meet on Fridays with your team, it’s a circus! Who is in charge?”

What have you heard from your clients?


Scope Creep Checklist

1. Client expectations are clear. 1 2 3 4 5

2. Ranges of performance are defined. 1 2 3 4 5

3. Frequent communications on scope. 1 2 3 4 5

4. We have grouped the issues by priority and scope levels, H/M/L. 1 2 3 4 5

5. Issues are included in feedback meetings. 1 2 3 4 5

6. We have established objectives and results. 1 2 3 4 5

7. We have anticipated new players’ objectives, goals, and priorities. 1 2 3 4

58. We have set aside funds for scope creep. 1

2 3 4 59. We have analyzed scope alternatives. 1 2 3 4

510. We feel comfortable saying no. 1 2 3 4

5

SUCCESS FACTORS RATING low high

TOTAL SCORE =


Service Recovery

1. Being called back when promised.2. Receiving an explanation of how a problem happened.3. Providing information as to what numbers to call.4. Being contacted properly when a problem is resolved.5. Being allowed to speak to your boss.6. Being told how long it will take to solve the problem.7. Being given useful alternatives if a problem can’t be

solved.8. Being treated like a person.9. Being told about ways to prevent a future problem.10. Being given progress reports if a problem can’t be

solved immediately.

“Top 10 Service Attributes of Importance to Clients”


Service Recovery ExerciseI. You are engaged in an Overhead Cost

Reduction Assignment, and it looks like you will not meet the time deadlines established.

II. You are engaged in a Change Management Project, and you cannot get the cooperation of key sponsors to provide you with the support you need to do the project.

III. You are installing SAP and, despite your best efforts, the system is still not integrated in areas such as purchasing, financials, and supply chain inventories from around the world.


Managing the Change


“Making Change Work"

The faster people accept change the faster results can be achieved.can be achieved.

Negative Resistance Positive Acceptance

Source: ODR, Inc. and Andersen Consulting


The Cost of Resistance

Thecompetitiongains anadvantage.

People loseenthusiasm.

Management’scredibilitysuffers.

Market opportunitiesare missed.

The cost is high.


The Cost of Resistance

Goodpeopleleave.

Productivitygoes down(20-40percent).

Benefitstake longerto achieve.

Time

$

Resourcesare wasted.


Dealing with Resistance: One Block at a Time

ResistorsResistors

Make ItHappen!Make ItHappen!

Let It

HappenLet It

Happen

Help ItHappenHelp ItHappen


MARCH

Change Plan Approach

Job Design Strategy

WorkplanWorkplan

Design and Development Estimate

Organizational Impact Analysis

Business Process Analysis

Sponsorship Strategy

Ownership & Involvement Strategy

Change Navigation Strategy

Training Strategy

Documentation Strategy

Communication Strategy

Implementation Support Strategy

Rollout Timeline and Approach Estimate

NEWSFLASH !Type name here

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Communication Activities: Client ExampleCreate Informed Workforce Establish Project Credibility

Develop Sponsorship Commitment Create Workforce Buy-in Provide Forum for Feedback

Project Newsletter

Printed Documents

Bulletin Board Displays

Reengineering Hotline

Division Management Meeting

Messages from theSteering Committee

Brown Bag Lunches

Broadcast cc:Mail messages

Meeting Presentations

“Road Shows”Formal Survey

Suggestion Box

Communication Team Meetings

Town Meetings

Promotions/Incentives

Walk Arounds

Steering Committee Meeting

Dialog Sessions/Focus Groups

Flash

Core Integration Meetings

Change Management Meetings


Leverage


Ideas to Leverage Success

Leverage

Publish a Case Study

Present Project Results with

the Client at a Conference

Conduct Post-Review Interviews

or FocusGroups

Mid-Pointof the First

Project, DiscussNext Project

Steps


Ensuring Client Follow-Up: Initiative Criteria Screen

1 Size of Potential Impact. 1 2 3 4 52 Speed of Impact. 1 2 3 4 53. Probability of Success. 1 2 3 4 54. Availability of Resources. 1 2 3 4 55. Time Requirement. 1 2 3 4 56. Money Requirement. 1 2 3 4 57. Hassle Factor. 1 2 3 4 58. Sexiness. 1 2 3 4 5

CRITERIA RATING low high

TOTAL SCORE =


The Professional Services Champion

• Genius of Einstein• Vision of Jefferson• Strength of Superman• Patience of Gandhi• Communications skills of

Roosevelt• Creativity of da Vinci• Magnanimity of Sister Teresa• Ambition of the Clintons• The conviction of Churchill--never,

never give up!

Ideal Attributes


Thank You for Your Participation and Attention

Contact Information:Alexander Consulting, LLPMark Hordes(713) 781-0251 [email protected]

mwww.alexanderconsultingsbiz.com