| "Are you getting what you pay for?" is the right | | | | It provides a safe income base for the consultant |
| question to ask. | | | | but it could out-balance the generated results and |
| It is very obvious that nobody is willing to work for | | | | might drive tasks to be "lengthy" in time. |
| free unless for charity purposes. | | | | Others work on a "no cure no pay "basis and |
| Securing the best process starts by determining the | | | | calculate their earnings based upon generated savings. |
| requirements, specific experiences and expectations | | | | Aligning the way to measure these is of course an |
| to be addressed. | | | | absolute must! |
| It will allow to judge if you are looking for a true | | | | This method minimizes the risks for the temporary |
| supply chain expert or a supply chain consultant who | | | | employer and drives consultants to "go for it" in a |
| is "just good enough" for the job. The interview and | | | | stronger way compared to the first scenario. The |
| recruitment cycle will make these fundamental | | | | more time is lost, the less the external party is paid. |
| differences transparent anyway. | | | | Consultancy costs versus savings do range between |
| Personally I do not like to word "expensive" for | | | | 10 % and 35 % under normal circumstances. |
| various reasons: | | | | Both parties however need to understand that not all |
| • It does not provide a true | | | | results can be translated into "hard money". |
| comparison | | | | Quite often, supply chain consultants, use "hybrid |
| • It is only about directs costs | | | | systems" of both for payment. |
| • It does not reflect the total | | | | This means, working at a reduced daily rate that will |
| positive impact and value | | | | be deducted from the "result oriented" fee once |
| • It potentially undermines | | | | materialized. It allows the service provider to earn |
| quality aspects. | | | | some money in between while it gives the employer |
| Supply chain consultants are not typically low-cost | | | | a stronger guarantee for success. |
| although it depends strongly on the chosen model. | | | | Like for any business, the various parties involved will |
| Some work on a fixed daily rate that varies in | | | | need to be aligned on the commercial terms, timeline |
| function of the need, content and context. Classical | | | | and expectations to be fulfilled. |
| Western-European ranges can go from 450 up till | | | | Getting the most out of it is a mutual thing! |
| 3500 €/day. | | | | |