Print Page  |  Contact Us  |  Your Cart  |  Sign In  |  Join IMC USA
Daily Tips for Consultants
Blog Home All Blogs
Search all posts for:   

 

View all (805) posts »
 

#498: How to Measure the Impact of Your Consulting Advice

Posted By Mark Haas CMC FIMC, Wednesday, February 9, 2011
Updated: Wednesday, February 9, 2011
My client wants me to measure the impact of my consulting intervention on her operations. The company is currently so loosely run that I am not sure how I can even measure any impact. How should I respond?

This kind of request has become increasingly common over the past few years as clients are looking for more tangible results from their use of intangible services. They recognize that they evaluate some sort of ROI on other investments they make, so why not something similar on consulting services?

The problem is that many organizations are in no position to measure change because they have no baseline. They don't know, for example, what their investment per employee is across a particular division or marketing costs per client type. Especially for smaller companies, performance data just aren't collected or evaluated this way. What the company looking for performance improvement needs is a baseline.

Before you developed a weight loss plan, you would need to know how much you weighed, how much you wanted to lose and over what time period. Without any one of those metrics, it would be hard to evaluate the effectiveness of any plan.

Tip: Propose to your client that their (or your) first task is to develop baseline measures against which to measure progress. This should be a basic part of their performance management strategy anyway and a key indicator of whether they even need to improve performance. Help them establish a set of performance measures appropriate for their market and industry. Then work with your client to develop a plan to improve specific measures and define what a specific performance improvement is worth to their bottom line. This helps them more clearly identify what they want to accomplish and also establishes the basis for your fees.

© 2011 Institute of Management Consultants USA

Tags:  assessment  client relations  presentations  recommendations 

Share |
Permalink | Comments (0)
 
Community Search
Sign In


Forgot your password?

Haven't joined yet?

IMC USA Calendar

1/28/2017
SoCal Chapter 1/28/17 Half-Day Session

2/3/2017
Building Your Consulting Practice: Marketing With a Book and Speech Portland

2/9/2017
IMC Orange County Business Forum Breakfast

Message from the Chair
Loraine A. Huchler CMC FIMC2016 IMC Fellow Award Recipient
Gayle Carson CMC CSP FIMC2016 IMC Fellow Award Recipient