The True Cost of Getting Sh*t Done

The True Cost of Getting Sh*t Done

In business, getting sh*t done is paramount.

  • Materials need procuring...
  • Sales need to happen…
  • Forecasts updated and variances analyzed…
  • Vendors paid...
  • Receivables collected…

But the true cost of getting sh*t done is heavily dependent on two things:

  1. Labor Cost
  2. The Cover Your Ass (CYA) Factor

Much like Roger Skaer’s infamous “Find Out” TikTok video where we learned “The more you f*ck around, the more you are going to find out,” our Cost of Getting Sh*t Done graph follows a similar gradient line.

Simply stated, the more you need to cover your ass, the more it’s going to cost to get sh*t done:

To better understand the CYA variable for a situation, we need to evaluate its two major risk components:

  • Personal Reputation Risk (PRR) – If I make this decision and mess up, how screwed am I?
  • Company Reputation Risk (CRR) – If we mess this up as a company, how screwed are we?

Using a real-world example, if you are a CEO or CFO and your company is planning to make a major acquisition, you likely have high PRR + CRR, resulting in a high CYA and cost of getting sh*t done:

In this case you are engaging $1,500/hr attorneys from top law firms, $750/hr top accounting firms for due diligence, and sending a six-plus-figure check to the investment bank.

Post deal success will have an equally high CYA factor, resulting in exorbitant fees to top management consulting firms.

In short, it’s going to cost a SH*T ton!!!

And it should...

On the other end of the spectrum, let’s say you run a lean org chart and are in need of an interim Director while you find the permanent solution, or you need a Project Manager for a system upgrade.

In this scenario there is some PRR and CRR, but not nearly the level requiring an “advisory / consulting firm” to come in with heavy rates to CYA:

As a champion of independent talent, it pains me to see companies and investors spend too much to get sh*t done when the CYA factor is relatively low.

There is no need to pay 2-3x the hourly market rate for an “Interim Director of XYZ” or “Interim CXO” by bringing in an up-and-comer consultant with pedigree from an advisory / consulting firm when you could bring in an independent contractor who has sat in the seat in similar scenarios multiple times during their careers at the market rate.

In these situations, companies / investors are burning cashflow in the short-run and losing enterprise value in the long-run, all while the advisory/consulting firms are taking excess profit:

Ain’t that some sh*t…

Next time you are faced with a project or resourcing gap, I encourage you to use the Cost of Getting Sh*t Done graph to map out your options.

When the CYA factor justifies bringing in the big firms, make the call.

If you find yourself saying “Does it really cost this much to cover my ass?” I encourage you to explore bringing in an independent consultant.

My firm Gravity Talent Solutions was founded to empower the independent workforce who are ready and waiting to help you get sh*t done.

And they have battle scars to prove it.

--

Give me a shout if you are interested in discussing further: [email protected]

Also, would love to hear your questions or thoughts in the comments below.

Good stuff. Does this mean you've pivoted from golf advice. I still need help there.

Alen Mesic

Servant Leadership | Finance Transformation | Process Improvement | Customer Experience Optimization | Coaching | Training | Project Sourcing | Project Management | Enterprise Systems

1 个月

Very well articulated, Roger! Thank you for sharing and teaching me what a CYA factor is ??

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