1. MANAGING Tough Times Don Hofstrand Agricultural Economist Co-director Agricultural Marketing Resource Center Iowa State University Extension

2. MANAGING Tough Times Selecting a Consultant Why do I Need a Consultant

3. MANAGING Tough Times Selecting a Consultant Why do I Need a Consultant What is the Role of the Consultant

4. MANAGING Tough Times What is the Role of the Consultant “ Consult -- to seek the opinion or advise of another person for making a decision.” “The consultant said it would work, so it must be a good idea.”

5. MANAGING Tough Times Selecting a Consultant Why do I Need a Consultant What is the Role of the Consultant What is the Consultants Expertise

6. MANAGING Tough Times Expertise What is the Consultant’s Special Area of Expertise? What is the Consultant’s Knowledge of the Industry? Will the Consultant Provide an Independent Perspective? What are the Research Capabilities of the Consultant?

7. MANAGING Tough Times Selecting a Consultant Why do I Need a Consultant What is the Role of the Consultant What is the Consultants Expertise Interviewing Consultants

8. MANAGING Tough Times Interview  Personally Interview the Consultant  Pick a Consultant with whom you feel Comfortable  Choose a Consultant with whom you can Communicate

9. MANAGING Tough Times Selecting a Consultant Why do I Need a Consultant What is the Role of the Consultant What is the Consultants Expertise Interviewing Consultants Consultant References

10. MANAGING Tough Times References  Ask for References  Ask the Reference if They Were Satisfied With the Consultant’s Work  Ask the Reference In-Depth Questions About the Consultant’s Work  Check More Than One or Two References  What is the Consultant’s “Track Record”?

11. MANAGING Tough Times Selecting a Consultant Why do I Need a Consultant What is the Role of the Consultant What is the Consultants Expertise Interviewing Consultants Consultant References The Contract

12. MANAGING Tough Times The Contract  Ask Specifically for Everything You Want From the Consultant  Ask for Transparency  Develop a Specific Action Plan and Timeline

13. MANAGING Tough Times Selecting a Consultant Why do I Need a Consultant What is the Role of the Consultant What is the Consultants Expertise Interviewing Consultants Consultant References The Contract Cost

14. MANAGING Tough Times Cost  Negotiate Price  Consider the Consultant’s Value to You  Initial Deposit

15. MANAGING Tough Times Selecting a Consultant Why do I Need a Consultant What is the Role of the Consultant What is the Consultants Expertise Interviewing Consultants Consultant References The Contract Cost Request for Proposals

16. MANAGING Tough Times Issue a Request for Proposals (RFP)  Request a Proposal From at Least Three Consultants.  Be Specific About What You Want the Consultant to Do.  Establish Criteria of How You Will Select the Consultant.  Provide a Timeline.  Request a Specific Price

17. MANAGING Tough Times Selecting a Consultant Why do I Need a Consultant What is the Role of the Consultant What is the Consultants Expertise Interviewing Consultants Consultant References The Contract Cost Request for Proposals Other Considerations

18. MANAGING Tough Times Other Considerations  How Can You Develop a Long-Term Relationship with Your Consultant?  Does the Consultant Understand Farmer- owned Projects?  Will the Consultant Work Closely with the Group?  Be Careful of Side-Referrals.  Watch for Conflict of Interest

19. MANAGING Tough Times Thank You Questions??? Don Hofstrand dhof@iastate.edu