Very often you will need to identify a consulting firm and hire it for whatever project you need to get done.  Here are a few reasons that we have found hiring a consulting firm (or even a consultant) makes a lot of sense:

• Lack of expertise internally and/or a huge cost to develop it internally

• Only occasionally needed

• Existing staff too busy to accomplish a specific project in the desired time frame

Identification of a consulting firm

• First approach consulting firms that you have worked with in the past.  Ask them if they have the capabilities, and if not, who else can they partner with to do the project for you.  Since these firms already know your business, they can work more efficiently even if they have to partner with another consulting firm.

• Talk to your network of customers, suppliers, business associates, etc. and ask for recommendations.

• Call the industry association and ask for recommendations.

What to look for in a consulting firm?

• Do they have adequate experience in the area that you want to hire them for or they would use your project to learn as they go?  There is nothing necessarily wrong with the second approach but you should get a heavy discount for that approach.

• Insist on knowing the team structure, background of each professional, and how much time each will devote to the project.  The smartest consultants spend more time in business development (which they consider as high value) than actually doing the work (which is low value for them).  

• Are they willing to promise results?  If yes, offer to provide an incentive (e.g. a certain percentage of the savings generated).