Consultant may help to avoid wrong decision

Press, 2 March 1982, Page 23

Consultant may help to avoid wrong decision

Choosing a Computer

Of all the tools that a modern businessman'uses it is doubtful that any is surrounded by so much mystique as the computer. To a large extent this is understandable and many of us will have to accept' our lack of knowledge in this area and look for outside help. But many .businessmen have not known where to turn for help and have made wrong decisions.

“More than half of all decisions made on the purchase. of small computers end up being quite inappropriate,” says Mr George Gregg, a Christchurch computer consultant. “The decision on the purchase of a computer system is much more vital to the continuing health of the business than people realise. The computer soon becomes a major factor in the way the business operates,” he said, . No-one would dispute Mr Gregg’s generalisations. Horror stories abound about computer systems. Mr Gregg says that he has spoken to a number of computer users who, when looking back at the purchase of their 1 first system, had no idea how' significant the decision was to be. There are a number of reasons why the installation of a new computer may not be successful: the computer may not be capable of handling the workload; the equipment may be unreliable or badly supported; or the software may not suit the company's operation.

A decision is often made on the basis of computer salesmen’s claims, with the customer swamped with a flood of technical jargon that he does not understand.

Mr Gregg believes that it is not satisfactory for a new user to listen only to salesmen's claims if he is inexperienced on the subject of computers. “Salesmen encourage the buyer to concentrate on hardware aspects when the major part of the solution depends on the software,” he says.

Faced with .choosing a computer ah inexperienced businessman has only two choices: to learn enough about computers to make an intelligent decision or to engage a consultant.

A businessman should not be reluctant to call for help when choosing a computer in the view of the manager of the Computing Resource Centre at Christchurch Polytechnic, Mr Derham McAven. “In general people in small business are experts at their own business but do not have the time to become experts on computers,” says Mr McAven.

In an excellent analogy Mr Gregg and Mr McAven ask why there should be any difference between a business engaging a lawyer to help with the legal affairs of the company and a business engaging a consultant to help with choosing and implementing a computer. To illustrate the pitfalls that await the inexperienced buyer, Mr McAven described the case of a local businessman who spent over $BOOO in purchasing a new machine. Eleven months after taking delivery the businessman’ still did not have any working programs on the computer, so the machine had been useless in that period.

In his innocence the, businessman had not appreciated

the part that software plays in .an installation. In an effort to finally get some use out of the computer he attended a programming course at the Polytechnic. He quickly realised that he could not spare the time to develop the necessary software to make the machine useful. He is now faced with spending at least another $4OOO in acquiring application software.

Engaging the right consultant will ensure that a company goes into a purchase with its eyes wide open. As well as providing technical expertise a consultant will usually be able to offer other benefits to an organisation. A consultant will shorten the time taken to make the decision through knowing what to look for and what suppliers to contact.

A consultant will save the company money by using his experience to avoid pitfalls and take advantage of opportunities known only by someone working in the computer industry. He should also be experienced in work study techniques that will optimise the company’s operations when implemented on a computer. Usually the consultant will be engaged by the company to help choose the computer and then assist with implementing and tailoring the application software on the new machine. According to Mr McAven it would not be possible for a consultant in the South Island to earn a living solely by acting as an adviser on computer purchase.

Mr Gregg believes that., it is acceptable and often useful to engage one consultant for both the decision-making and software activities as long as the consultant’s objectivity is not distorted by a desire to have the client make a decision that favours software known or available to the consultant. The consultant must be completely independent in his recom•mendations.

Independence is a word that crops up often when discussing the subject of consultants. Many consultants have associations with hardware and software suppliers that make it impossible for their recommendations to be objective. This bias should be

taken into consideration if expertise is being provided by one of these consultants. Consultants may be selfemployed or may work for an organisation such as a firm of accountants, a management consulting organisation, or a company in the computer industry. In either case the background of the person should be investigated before engaging him on a project. Questions that should be asked include: • What computer equipment experience does the consultant have? • For what companies has the person provided consulting? /■ • What references does the consultant have from satisfied clients? O Is the consultant truly business oriented? • Does the consultant show an awareness of your company’s problems and needs? • Is the consultant reliable? ® Does he .have good communications skills? • Can the consultant work the hours that suit your company? • Is the consultant truly independent? A consultancy firm should be made to nominate the person or people who will carry out the work so that the appropriate questions can be asked. This technical knowledge, independence and devotion to your company's interests will not come cheaply. A consultant will cost from $2O to $lOO an hour, with a fee from $3O to $5O being typical. To protect this investment you will want to define the exact responsibilities of the consultant and arrange for a contract to be drawn up. The consultant should be able to give you a reasonable idea of how much work is involved. In a subsequent article we will detail the contractural arrangements necessary when the consultant is providing and writing application software for the client. To save costs you may wish to conduct a preliminary study yourself. This may involve carrying out a feasibility study, preparing a specification and inviting proposals from potential suppliers. This information can then be presented to a consultant who will assist with the final decision. Later articles will help you to prepare a specification and request for proposals. At the Polytechnic there has been an excellent response to seminars for businessmen aimed at giving them a base from which to make an informed decision and to help them work closely with a consultant. The seminars are entitled “Microcomputer Systems for Small Businesses.” This year three will be held in Christchurch and one in Ashburton. Special seminars are also being arranged for General Practitioners and Chemists. The question that you will inevitably want us to answer at this stage is “where do I start to look for a consultant?” At present we are not aware of the availability of a list of consultants and consulting organisations. You should start by asking around your business circle (for example, your accountants and business acquaintances). The New Zealand Computer Society is assembling a list of Members of the Society who are prepared to offer their services as consultants, counsellors, expert witnesses or arbitrators. By virtue of having been promoted to Member status in the Society these people will be computer professionals who subscribe to the Society’s code of ethics. Mr John Good, a National Councillor of the Society, told “The Press” that it is hoped that this list will be available for publication later in the year.