What is Consulting?

April 29, 2008

“Good Morning”

“Do you have a need for Contract Programmers?”

Here at LUCRUM, Chuck has done a great job at filtering our email solicitations.  However, I still get the one above from some guy named Patrick Harris….it reminds me of how LUCRUM is positioned in the market as a consulting firm providing business and technology solutions.

There’s a real difference between “contract programmer” and “consultant.” The industry often mingles the definitions together and customers tend to negotiate for consulting services using “contract programmer” pricing.

LUCRUM has had a rich history of hiring IT professionals that thrive on “consulting” using their technology skills. With that statement, let’s ask ourselves “what is a consultant?” Consulting is bringing expertise of one’s experiences into a firm on a project or fee basis. One of the ironies of consulting is that the goal of the consultant must be to make him or herself obsolete.” All of us have been in the position of being frustrated (either as an internal or external consultant or even as a perm-placement worker) by management’s careful efforts to defeat any and all attempts on our part to transfer the knowledge we had to at least one (other) person in the organization. This puzzles me because I learned early on in my career that it is far more probable that a company will retain “intuitive knowledge” about their system/applications/data/whatever if more than one person has that knowledge.

To provide our technology expertise is simply not enough in today’s global economy. The disparity between India (and other Asian-based services) and the US will continue to have companies use “contract programmers” that are truly just “coders” and not consultants.

Why do I bring this up? It’s our livelihood! I also know that our mantra has been “85% social and 15% technical.” My ratio is skewed purposely to emphasize the requirement to “over-communicate” on every part of our daily assignment. The technology works; it doesn’t work if people are not communicating. As consultants, it’s up to us to take the lead responsibility with the customer on communications. That’s our largest challenge. You’ll see LUCRUM’s focus to grow our capabilities in this area with Customer Alignment Sessions, leveraging Whole Brain Organizational Development processes internally and with our customers, and a new larger emphasis on the consultant, and in developing unique professional skills. Jodie Heflin, as our Delivery Leader, has the proven track record of Customer-oriented 85/15 skills. It’s her goal to get all of our firm up to a higher level of capability; to “think” as a part of our customer’s business in addition to our technology capabilities.

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Business Intelligence, Country Music, Peter Drucker and You!

April 27, 2008

I get a lot of emails every day! I got this one that I didn’t delete and then felt strong enough to comment on it.
“In a recent survey by the Economist Intelligence Unit (EIU), nearly 80% of executives said that a Business Intelligence strategy would improve their company’s ability to enhance customer service and react quickly to market changes. However, fewer than 15% felt their organization has applied best practices to its use of business data.”
I love music. I love all types of music. I am not a Country Music fan though. I am a fan of Country Music Song Titles. There’s a title to a country music song (no music yet!) that I made up about the business problem that is one of the biggest problems in the entire economy. Here’s what it is: Companies go to great lengths to hire top notch people. Then they give them business responsibilities and the authority to act on the business responsibilities. Then, they don’t give them the complete tools to get the right analysis to get to the “right decision.” So, here’s my song title:

“You don’t know what you have done by the time you’ve already done it”

Is that right out of Nashville or what? Decision-makers and categorically speaking, Knowledge Workers” are nowadays tasked with making a lot of very timely and important decisions. After we have them on-board with what famous business professor, Dr. Peter Drucker, says is the 20% unique aspects of the business (he professed that 80% of all businesses are the same)…once they really gain expertise and experience in the business, we don’t necessarily give them the right tools to analyze their data and the general performance of the business. Perhaps another song title goes like this:

“I know she knows, but I can’t get it out of her”

Certainly, what we mean here is that the data is in the system. The person just doesn’t know how to get it out!” Conceptual thinking skills are not the norm in the Information technology world. Operating software systems, running networks, ensuring security, closing double-entry book keeping systems, and the normal “run the business” part of IT constitutes a majority of the activity. How’s this for another song:

“His left brain won’t talk to his right brain, so he won’t answer the door.”

OK, perhaps that one didn’t work….

The lack of relevant facts or real understanding in the decision making process is so apparent to person trying to sort through all of the data that surrounds them. Recently, I read 2 more statistics:

• More information has been produced in the last 30 years than in the previous 5,000
• Corporate data is doubling every 3 years

I am myself, “what happens to all of this data?” Another song title?

“I spent too much time looking for my data when the decision timeframe has come and gone”

Gartner calls it the “Fact Gap.” It’s kind of a “decision gridlock” which even with gas at $ 4.00 per gallon or higher is what we are going to see this summer on the construction-laden highways!

So, how do you figure out whether there is a Fact Gap in your organization or business? Perhaps there’s truly is a Fact Gap in your business? Here are some potential symptoms for this:

Excessive discounting
• Expensive marketing programs that do not result in revenue enhancement
• New product introductions are less successful than expected
• Low inventory turns per year

From a knowledge worker viewpoint, you can start to see symptoms where decision making that is unscientific resulting in …

• Inefficiency in production
• Missed opportunities
• Inability to react proactively
• Lost market share
• Excessive expense
• Lost revenue and profits
• Customer dissatisfaction

Perhaps one last song title will provide a summary of my topic:

“She turned data into information and he didn’t even know he had the answers!”

If we can turn data into information and empower business decision makers with the information they need to run the enterprise, there’s certainly a true opportunity to gain competitive advantage.

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We Win When We Talk About Them

April 17, 2008

I never thought I would pick up sales tips from James Carville, but sure enough it has happened. Over the past weekend I was watching one of the Sunday morning political shows, and Carville, joined by his wife Mary Matalin, was discussing the 2008 Presidential Campaign. Specifically he discussed one of the tenets of running a great campaign he learned from former President Clinton, who love him or hate him, was a great campaigner. The idea he put forth was so simple but so correct. “If we are talking about them, we are winning.” “If we are talking about us, we are losing.” Now, the idea behind his comment is perhaps a little different in the context of a political campaign as opposed to a sales call, but how incredibly insightful is that. The best sales calls often involve very little “selling.” If the person across the table from you is talking, and you are discussing them - not you - you are winning. I have experienced sales calls where you trot out every feature, function, advantage, benefit, company history, past clients, and on and on, only to walk away saying to myself, “I just don’t think we will win that one.” By the same token, many of the best calls I have ever made, involve asking questions, and then listening to someone else talk about themselves. Yes I can tell people LUCRUM is Cincinnati’s best provider of Data Warehousing, Business Intelligence, Collaboration, (all of which I believe) until I am blue in the face, but if I don’t understand them first, I am losing.

I observed this first hand today while on a sales call with two of my colleagues. We had a great meeting that lasted well over an hour, very little of which was spent discussing LUCRUM. In doing so, we identified numerous business problems LUCRUM can solve through our understanding of technology. More importantly we took the first steps toward building a new relationship with them based on understanding of their unique business needs. No pushy sales pitch. No dog and pony show. Just having a real and meaningful conversation about them When we are talking about them… we win.

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Blog Training at LUCRUM

March 25, 2008

Today, I was given the distinct privilege of presenting to my fellow LUCRUM employees on blogging. More specifically, I was tasked with teaching them how to blog. I was given 90 minutes, which is a long time to talk about something that is really quite easy to do. I spent some time discussing why it is important to blog.  I touched on the changing state of marketing from that of a dialog to an interactive monologue, and stressed that their voices matter.  I then went on to talk about ways to construct posts, do’s and don’ts of blogging, and then showed them just how simple it is to use WordPress.  We touched on tools like RSS, digital cameras, Google Blog Search, and plain old note cards as ways to develop content.  We even got into some emerging tools like Alltop and Snipshot.  Overall, I think that everyone was interested.  It is tough to present to such a diverse group - especially when many are far more versed in technology than I.  The true test of the presentation will be very easy to measure.  If you see more posts from more people, it worked.  If not, I will go back to the white board.  I am convinced that the people here at LUCRUM are some of the best and brightest in the world.  My challenge is convincing them to share that brilliance with the rest of the world.  If I can, what an amazing experiment this will turn out to be.  Hopefully today was the first step in making that happen.  Thanks to everyone who attended.  You were a great audience.

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Are People the Answer? Not Necessarily…

March 17, 2008

Happy St. Patty’s Day. We owe much of our country’s early infrastructure development to the large group of Irish immigrants that came over in the 1800’s. Masses of capable workers were the solution to getting the canals, railroads, and roads built in this country over a century ago. My wife’s family is Irish. She’s the 6th of 10 kids and has quite a nice family. In the 1800’s “people” were the answer to most economic growth initiatives. Nowadays, I’m not so sure that’s still the answer.
In a March 4th article in the Dayton Business Journal (Dayton, Ohio….the one team that should have made it into the NCAA March Madness and didn’t) there’s an article that quotes Robert Half, the Menlo Park, California-based IT Staffing firm, that shows Ohio has a robust hiring plan in IT for 2008. By polling CIO’s at Ohio-based Headquarters of large firms, they see a “fertile job market” where 10% of them are predicting adding staff in Cincinnati while 4% are predicting staff reductions. There’s other cities mentioned as well that show an increase in hiring people into IT. I have a problem with the very concept the article was written on. It’s really a “nothing article” since IT isn’t about “how many people are in your organization” but rather how are you increasing productivity of your end users, your vendors, your clients! We are in a race to add more computing power unleashing the power of DATA. Everyone defaults their focus on IT meaning Technology and thus, Technology is taken care of by PEOPLE. Then we talk about “how many people are in your organization?” as if one has an army of talent to lead into battle in the world economy…not so, from my viewpoint. The article didn’t say what the other 86% of the CIO’s are doing in the Cincinnati market??? The stronger companies are focusing on creating collaborative environments where the power of INFORMATION and not TECHNOLOGY is the key to their value proposition.Nick Carr in his recent book The Big Switch is espousing that the IT world is going to change significantly one more time. This metamorphosis is going to close down separate Data Centers just like the industrial revolution 100 years ago reallocated individual power generation dynamo’s into a centralized power generation model shared through the electric grid. In their case, the grid had to be built after the centralized power generation facilities went up. In our case, the grid is the Internet and all of that fiber that started to be laid 10 years ago and is now providing huge bandwidth. Centralized data centers needed centralized people to run the physical aspects of them. Frankly, the logical attributes are virtualized just in the same manner the centralized data centers’ hardware and processing infrastructure are being virtualized. Everything from developing logical architecture (SOA), application requirements, application development and testing, and even managing all of the databases once in production can be done “anywhere, anytime, by anyone.” People are certainly needed and yet, processes are even more important. For maximum productivity, the people shouldn’t be in Ohio. Let’s be frank. The people should be where the processes are most mature and their costs become the lowest common denominator (read: Asia although our falling dollar may make other places and even the US more competitive). By providing computing power “just in time” with managed services on a “just in time” basis as well, there isn’t much of a need for an IT organization. Perhaps we rename IT the “Processes and Measures Services Organization.” Even the word “Information” is not needed since Information is an assumed need every time!
Ironically, Robert Half does have a division called Provititi whose main services offerings are centered around “Processes and Measures!!!” Now that’s cool! So, next time, I hope the Dayton Business Journal writes a story about Productivity Improvement measures for the Ohio-based companies! (I would be happy to serve as a source.)

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More Birthday Fun

February 18, 2008

More birthday fun, courtesy of LUCRUM recruiter / amateur videographer Andy Erickson. Here is a clip from our birthday lunch last week. Note that the most popular response to “what do you love about LUCRUM?” was the people - with Andy’s mom coming in a distant second. All in good fun. It is a great place to work. I just surpassed 15 days (business days) with the company, and it is already clear to me why the company has been around for that same number of years. Great people. Thanks for the footage Andy.

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