Daily Archives: November 4, 2023

Do you want to get analytics and AI right? Don’t hire a F6ckW@d from a Big X!

Note the Sourcing Innovation Editorial Disclaimers and note this is a very opinionated rant!  Your mileage will vary!  (And not about any firm in particular.)

Now, I’m going to upset a lot of people with this, but I don’t care because the linked article below is literally the best article I ever read on why you should NOT hire F6ckW@ds from Big X (or any other) Consulting Firms who claim to be analytics and AI experts when they don’t actually know

  • the difference between a mathematical formula to calculate the center of gravity of a falling object and to calculate the median spend in a category
  • proper software architecture
  • proper compute resource allocation
  • your business
  • the difference between real ML technology, RPA and a few formulas, and the current Gen-“AI” where the “AI” stands for artificial idiocy

because

  • you’ll spend 3 years and millions of dollars to implement something that should take 3 to 6 months
  • you’ll spend hundreds of thousands on big vendor software licenses you don’t need
  • you’ll spend hundreds of thousands on compute power you don’t need

After all, these guys and gals get paid by the hour and the commission on the resell license is a percentage of the total price they convince you to pay for it. So, the longer the project takes and the more licenses and compute power they sell …

Read the linked article. Twice. And then tape it up to your fridge. The situation described in the article is NOT the exception. As a former CTO and 25 year consultant/analyst, I know this is the norm!


I Accidentally Saved Half A Million Dollars
 

Now, if you’re wondering how to tell who is a F6ckW@d and who’s not when it comes to analytics and AI at the Big X, I’m sorry to say that it’s not so easy (especially when it only takes a few bad apples to spoil the bunch, and while the good firms will do mandatory pruning of the consulting tree annually to weed those bad apples out, you don’t want to be the unlucky client who gets one on your project) .

It used to be if they were there for more than a year or two, their was a possibility that they were, or at least not as good as they claimed to be,  that especially if they were junior, right out off school, no real experience. This was because, first of all, tech talent wants to go either to the big glorious tech firms (Alphabet, Meta, etc.) or the wild-west startup frontier, and big consultancies were the backup until they got enough talent to move on.

Thus, the real talent in tech and analytics, who didn’t get promoted quickly in the Big X, usually didn’t stay long before they moved on to specialist firms where they felt they were more respected, higher up, could control the projects, and, more importantly, being higher up, were higher paid.

(Tech/Analytics people take pride in their work [and not their title], and seek the job that gives them the most pride.  Also, even though good tech/analytics people won’t contradict managers because they want to be important, and will only contradict managers because they want the job done right, the reality is that junior people or new hires in big firms often have the impression that this is discouraged in a larger firm [even if it’s not] where you are supposed to learn from and follow your manager’s lead because you don’t see the big picture and may not speak up on the way a project is being approached when they are unsure.  They might be wrong, and should stay quiet, but they don’t learn if they don’t ask.)

However, now that all the big firms are acquiring mid-market experts, with some of the Big X acquiring 3 or 4 specialist plays in analytics and AI over the past couple of years, it’s much harder to differentiate if you are getting the best talent or not.  You have to vet every candidate.  Not the Big X.  YOU!

And you need to remember that some of this AI and analytics stuff is literally so complicated that you need degrees in mathematics and computer science and sometimes a decade of experience to get it right! (It took the doctor two advanced degrees and building advanced analytics and optimization systems for multiple leading companies in the 2000s before he really understood the art of the possible and, more importantly, what was relevant for an industry and what was not.)

In other words, it’s okay if you don’t really get it as a manager. Just find those one or two people who do who you can trust, pay them well, and let them do what they need to make your department look good (be it hire internally, choose a consulting firm you never heard of, hire former colleagues on short-term contracts, use their contacts to get the right person at the Big X, etc.).

They’ll get the job done right and be quite happy to let you take all the credit IF you give them regular raises and a bonus any time they do particularly well. Just put your ego aside and let the people who get it make the tech/analytics decisions, and everyone will win!

But, whatever you do, don’t throw a poorly formed project description over the wall in advanced analytics and AI to a Big X (or any other vendor) and expect good results.

If you don’t know what you need, why, and how you expect to get it, instead focus on what you understand and Use the Big X firm for all of the things you know it is good at, understands implicitly, and has the history and experience to figure out simply based on the type of company you are.   Used appropriately, like any service provider, a Big X can deliver amazing value.   See the linked article on when you should use Big X in our opinion.