73
Chapter 4
Applying a Client-Centered
Value Strategy
◾ Are you creating the value dialogue with your client?
◾ Are you increasing your consulting market share?
In applying a client-centered value strategy, we examine how new tech-
niques of consultative selling have radically altered the relationship between
the client and the consultant. We also explore eight practical strategies for
increasing revenues in your consulting business, discuss the consulting prac-
tice as a professional services firm, and take a look at the life and times of
400 consultants. We also examine six different consulting perspectives and
explore ten options for intervening in the client organization.
Thoughts on Selling
In our work with consultants in our MasterClass, one of the key conversa-
tions we have is about selling.
“The word ‘sell’ bothers me,” said one consultant. “As a professional, I
really have difficulty with the idea of ‘selling’ my services. I like to say that I
‘offer’ my services.”
It was a comment that pointed to a primary choke point for consultants
who often believe that the client will automatically engage because the con-
sultant has expertise, or a great process, a powerful change methodology or
74 ◾ Odyssey—The Business of Consulting
a unique engagement tool. Early conversations between a prospective client
and a consultant tend to focus on Level 1 and Level 2 selling.
In life, most of our buying experience, good and bad, is conditioned in
the realm of transaction selling. This experience creates a thought process
we like to call “the mythology of selling.” This mythology infects consultant
thinking and manifests itself in many ways: short-term selling, fear of selling,
selling on price, feelings of insecurity and failure. In the end, it may create
a self-defeating prophecy where the consultant limits their opportunity to
increase market share and to earn enough to create a profitable business.
Selling is part of the business of consulting. Selling at Levels 3 and 4
requires a process approach based on client needs and a mind-set shift on
the part of the consultant.
Consultative Selling
Consultative selling is an indispensable discipline and strategy for success
as an Odyssey consultant. It is a combination of persuasion skills, advanced
communication, powerful influencing, and strategic insight. It is also a skill
set that can be easily learned. Consultative selling, coupled with specialized
knowledge and a code of ethics, is a Level 3 and a Level 4 methodology.
At the heart of the process is the imperative to always act in the client’s
best interest. Consultative selling is relationship excellence in action.
It is primarily focused on the potential client’s experience during their
interactions withyou.
It is based on a win–win philosophy, where both client and consultant
achieve value in equal measure. Consultative selling transcends the basic
sales transaction and looks beyond it to nurture a long-term relationship.
Consultants using consultative selling techniques ask more questions, lis-
ten actively, provide customized as opposed to generic solutions, interact
through dialogue, and provide insights and education to potential clients.
Traditional Consulting Model versus Value Creation Model
The old model of generating revenues in a consulting business has changed
dramatically during the last two decades (Figure 4.1). Clients have become
more sophisticated, more knowledgeable, more equal to, and more scepti-
cal of their professional advisors. That transformation has meant that the old
Applying a Client-Centered Value Strategy ◾ 75
ways of selling consultancy services are no longer fit for purpose. Traditional
consulting was about an introduction (10% of time/effort), a needs analy-
sis (20% of time/effort), a presentation on “what we will do for you” (30%
of time/effort), and, finally, closing the sale with the benefits (40% of time/
effort).
The new model of consultative selling as embodied in the Odyssey
Arrow is an inverted pyramid, with value creation as its core emphasis. It
starts with developing and building peer-level respect. This incremental sys-
tematic process, outlined in earlier chapters, cannot be rushed.
The consultant must plan to move beyond Levels 1 and 2 transaction
selling to become a Trusted Advisor to the client. Establishing a trusted
relationship takes precedence over all other activities. It is about achieving a
meeting of minds (and hearts) on fundamental business (and life) issues and
root causes affecting the client’s organization. This critical mind-set connec-
tion is confirmed as you collaborate on establishing objectives, metrics, and
value outcomes.
Observe that these two steps (peer-level respect and trust + critical mind-
set) occupy fully 70% of the consultative process. Getting this right is fun-
damental to the model and to consultant–client success. Once a trust-based
relationship is established and collaboration on metrics and value has begun,
the process will fall into place naturally. The proposal is often a formality
(20% of time/effort), and the close (10% of time/effort) is a logical conclusion
to all that has gone before.
In summary, the trusting client engages you and your expertise first,
your solutions second, and your company third. On the flip side, as an
Intro
P
Needs
analysis
Persuasion, closing the sale
Traditional consultingValue creation
A value-based relationship
Fundamental philosophies
and business principles
Close
Critical mind-set
Collaboration on objectives,
metrics, and value
Propositions
Formalities, fees
10
20
20
30
30
40
40
10
Peer-level respect and trust
Presenting
the proposal
Selling the benefits
Figure 4.1 Value creation versus traditional consulting model.
76 ◾ Odyssey—The Business of Consulting
Odyssey consultant, you must put the client first, your company second, and
yourselfthird.
Our Story
When you are operating as a Level 3 Trusted Advisor, it is no longer about
what you know or what you can do, it is about what the client wants. What
are their objectives, dreams, and visions? You are not there to sell your prod-
ucts to the client; you are there to build a relationship based on trust and
peer-level respect.
The great thing about the work that we do is we have a helicopter view
into many businesses. We are not smarter than our clients; we just see more.
When you are down in the engine room, utterly immersed in your busi-
ness, it can be difficult to see the big picture and to see your business from
a macro position to get the overall perspective. It is your role as a consul-
tant to help your client take a step back and view the bigger picture and the
overall business.
I took a call from a board member of a large hospitality industry com-
pany, a person with whom I had a long-standing relationship as a Trusted
Advisor. He told me that the company had a problem with the senior man-
agement of their European division, and asked if I would travel to Europe to
facilitate a workshop with the aim of resolving their problem.
In the traditional model of consultative selling, this would have prompted
what I call “bag diving.” The client gives you a line, “Oh, we’re really bad at
time management here,” and this becomes your cue to sell a time manage-
ment program. You dive into your bag and pull out the generic solution.
However, when you are using the value creation model of consultative sell-
ing, you stop and ask the question, “Is this time management issue a symp-
tom of something else?” You hold back and ask, “What’s the full picture?”
When the client asked for a workshop to solve the issue with their
European executive, rather than simply getting on a plane with my work-
shop materials in my bag, I sought more information.
I met with the board member, who told me about the problem execu-
tive in the European division. When he had finished talking, I said, “Here
is a zero-based question: Knowing what you now know about that person,
would you still hire him for that role?”
He said, “Yes, I think he’s a good guy … We just have a breakdown in
communication.”
Applying a Client-Centered Value Strategy ◾ 77
I then needed to talk to the chief executive of the organization to under-
stand the picture he had in his head and what he wanted to achieve. So I set
up a meeting with him and talked with him for an hour and a half.
During that M1 meeting, I asked him the same question, “Knowing what you
now know about this problem executive, would you still hire him for that role?”
He replied, “Absolutely not!”
I asked, “Would you hire this person for any role in the organization?”
He replied, “Absolutely not!”
So I asked him a few additional clarifying questions.
“What does the board say?”
“The board says get on with running the company.”
“So what are you going to do?”
Having clarified his thinking and made his decision, he smiled and said,
“You realize you’re talking yourself out of a trip to Europe?”
“What’s the point in me going over to Europe to run a workshop for
someone who really shouldn’t be in the organization?” I said. We both knew
the answer.
The chief executive bit the bullet and put an exit package in place for the
problem executive. When I met with him at the end of the year, he was in a
much better place. There was a huge weight off his mind, and he was run-
ning a happier, more effective organization.
I was a Trusted Advisor to that CEO and his company. I had established
peer-level respect and trust. In client engagements, I always ask myself,
“What is the right thing to do here?” That was my question in this case. It
is not about me getting a day’s training; it is about what is right for the cli-
ent. Your bag with its various solutions can be like a comfort blanket, to be
wrapped around every issue the client presents. Moving to Level 3 Trusted
Advisor and adopting the value creation consultative selling model approach
means dropping the bag of solutions and going in naked—metaphorically
speaking—without any preconceived solutions.
Ultimately, we were retained to conduct a senior management devel-
opment process with the European division. The problem executive had
already accepted his package and was working out his notice, but he asked
if he could attend and participate in the program. During that program, he
was one of the happiest people in the room. He had been miserable in his
role. Taking that decision had relieved everyone of major stress and freed
the person and the organization up to move forward.
I told this client my dentist story, which I like to recall when I sense pro-
crastination in the decision-making process.
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