The "Cousin Herb" Syndrome in Small Business Information Strategy
Reprinted by permission of Business First. Initially appeared on May 2, 1994, as Regarding Consultants: Get what you pay for. By: John Farhat

Managing a small business, or a large one for that matter, is often hampered by technology. Yet, managers find out rapidly that an abundance of advice on technological matters is often available.

Your great aunts' cousin "Herb" is getting a two-year degree and loves video games; a real computer whiz. He comes in over the weekend and works on your "stuff". By Monday, your business systems are so good that nobody in the office can get any work done. It takes a month and a half to get back to "pre-Herb" operation. (You could swear that before "Herb" fixed the screen, it never went blank every time you hit that grey key, but you are not sure, and decide to live with it).

Next, your friends get in on the act. They give you the acronyms of all the latest and greatest technologies that you must buy. You call your office supply store, speak like a pro, and ask for all the "scuzzy's", "V32 bis's", the client-server accounting package, the spreadsheet package, the word processing package, the contact and time management package, the CD drive, and of course "network-ready boxes" with all the Mega bytes you'll need. Six weeks later the spreadsheet is the only software working (part of the time) and it seems that you have a lot of manuals to read.

In the mean time, business is suffering because of all the attention being directed to the irrelevant problems of technology, not your business.

This scenario is far too common. It is like hiring a brain surgeon to do your taxes or represent you in a court of law. The brain surgeon may be intelligent, knowledgeable, and smart, but, let's face it, he's no H&R Block. The same is true in information technology. Only information professionals can give professional advice!

In a city like Columbus, many organizations provide computer consulting services. There are a number of criteria to keep in mind when searching for professional computer consultants to help with a small business' information needs. Here is my top-5 list of the major concerns. Unlike Letterman, I am going to give the list in the right order, with the most important concern first.

The company's long term market outlook: Working with computers is, unfortunately, not an exact science. A lot is based on the opinions and perception of the professionals being consulted. When entrusting a company's information or computer operations to an outside firm, the backing of a solid organization that will survive in the highly competitive market of computer consulting is a must. This helps ensure continuity and consistency of the service. Changing providers constantly can make an organization's information strategy go in too many directions at once; a strategy to avoid at all cost.

Type of services offered: Different firms offer either different services or variants of the same general type of service. These can include analysis of needs, training, management consulting, network management, custom software implementation, and systems administration. Small businesses often need systems administration services where the consulting company acts like the business MIS department for a periodic fee. When the needs exceed that, the goal is to buy no more than the business requires! It is a good idea to contract a short term analysis team to look into the situation and recommend a course of action. Getting a second opinion may be useful, as well. Different explanations from different vendors are not uncommon, and it is up the business managers to decide which of these explanations best fits the organizational context.

Type of client: A small business does not run like a Fortune 500 company. Differences in information strategies exist between the two extremes. Some consulting firms offer services that are geared mainly towards large organizations. These groups may not have the necessary expertise to help a small business. What a small business needs is a consulting firm that has mixed clients or one which exclusively specializes in small companies.

Cost of services: The old edict holds true: "You get what you pay for". Yet, cost must be weighed against the tangible savings brought about by the enhancements being considered, the potential for additional revenue, and employee satisfaction and reduced turn-over. There are other intangibles to consider where mistakes can be very costly. These include the quality of the service (reputation is a good indicator), responsiveness of the firm to your needs, and the overall ease of dealing with these professionals.

Expertise in your field of business: A lot of the technology knowledge, such as network administration, is transferrable between different types of businesses. A firm's expertise in a specific vertical market may, however, be important if the contracted services deal with facets that are specific to the industry or a business. It is up to management to decide if expertise in these unique factors is primordial in the provision of the services the business needs.

While this is not an exhaustive list of all the factors to consider, following these guidelines can save a small business a lot of headaches. Most important of all, though, "when it comes to your information strategy, don't rely on cousin Herb - get professional advice!"



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