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Readers Write: Bench, Bonus and Bondage: The Sorry Side of IT Consulting

July 23, 2014 Readers Write 3 Comments

Bench, Bonus and Bondage: The Sorry Side of IT Consulting
By Mike Lucey

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If I could lose 20 pounds, I would be ready to model swimwear. That’s a nasty image for those who know me, but if I were serious, hiring a personal trainer would make sense. Or better yet, a personal exerciser!

Why not both? One person to tell me what to do and another to go and do it. I might not get the results I want, but much less effort. Think of what I would save in sneakers and tee shirts!

This wacky logic seems to be in play in our industry when it comes to hiring consultants. When I moved into consulting, it was because I figured I had some unique smarts and skills that a hospital would need. Once my smarts became their smarts or my skills were no longer needed, off I would go to the next guy. For this I would get a nice rate and the fun of doing new projects.

But what I am finding is hospitals have some consultants who offer guidance, and then other “consultants” who do the work, work that hospitals really need to be doing themselves. Part of why this happens can be found in the way consulting companies can market their services.

Bench: To start a consulting company, scrape up a pile of resumes, format them nicely, and throw them at every hospital problem you hear about until some of them stick. Now you have consultants working. As these consultants roll off projects, they go to the Bench. Yikes! Good news: you now have consultants ready for the next project. Bad news: every hour they sit on the bench they cost money (until you pull the bench out from under them). A way companies can lighten the bench is to give bonuses to the consultants that are still working to find work for the benchwarmers.

Bonus: Let your working consultants know that they will get a bonus for every benchwarmer they place. This is where the worm turns. Now those consultants you hired to solve a problem are to some degree degraded or distracted by the incentive to be a sales guy. The inclination to teach a hospital employee how to solve the next problem conflicts with an inclination to pull in a colleague from the company. Good for these companies, maybe not so good for the hospital.

Bondage: With each additional placement, each incremental bump in the billable hours (and bump in that bonus income), the idea of ending the engagement becomes more ugly and the motivation to extend more attractive. It is stressful to see a project end and face the uncertainty of the next job, stress that is magnified with the addition of each colleague and the bonus income they represent. Suddenly maintaining my value as a smart guy may depend on maintaining a certain amount of client ignorance and so client dependence – knowledge bondage.

This is how you end up with a consultant who is not just the captain of your hospital softball team, but the batting champ three years running.

We consultants have a great part to play as our industry continues to change. We bring real value helping hospitals make decisions, helping them act on those decisions, and providing resources when big projects need extra hands. That value is based on smarts, skills, and experience that hospitals don’t yet have, but can gain with our input. 

When that value wanes, not to worry — I’m off to the next project. Or I always have the modeling gig to fall back on. (note to self: find my Ab-Master.)

Mike Lucey is president of Community Hospital Advisors of Reading, MA.

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Currently there are "3 comments" on this Article:

  1. This is a nice article! It’s very funny and poignant. “Ti salute.” I have been running implementations and consulting for quite some time and have seen your observations to be true. They should resonate with all of us in the industry; clients, software vendors, and consultants alike. There is a tug-of-war in this dynamic, and finding the right balance for sustainability is often a very difficult proposition, indeed. However, it sounds like you have a strong sense of proportion. Good luck!

  2. Good point. I see many more resumes coming my way and when I have conversations it sounds as though benches are becoming much shorter and the compensation while on the bench has dropped as well.







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