You Don't Know What You Don't Know

Recently, I had a conversation with a potential client that got me thinking. I'm often asked, “Why do I need a consultant?” The reality is—it depends.

In my experience, the most effective leaders are those who recognize that there’s always room for improvement and greater efficiency. Ironically, the leaders who dismiss this idea are often the ones who need the most help. Personally, I’m a strong advocate for continuous learning and development. It empowers businesses, teams, and individuals to adapt to an ever-evolving landscape.

Most of my conversations center around data—where data-driven decisions build a case for expected outcomes and allow for measurement and reflection on what works and why. The same holds true for failures. Even unsuccessful outcomes can yield valuable insights. Informed decision-making isn't meant to replace experience and intuition but rather to complement them.

The key is using data and information to understand cause and effect. When I challenge (or am challenged by) a prospective client on their use of data or analytics, the discussion is often eye-opening. Most companies have teams—or at least one person—responsible for reporting data, but the real question is: how effectively is it being used?

For example, I once worked with a national company operating around 150 locations across Canada. They were confident in their ability to “use” data. However, when asked to demonstrate it, they couldn't establish clear correlations between sales, profit, units sold, pricing, and assortment. Their data was inaccurate, with both operational KPIs and financial metrics reported incorrectly. This led to purchasing decisions that resulted in thirteen times more inventory than their sales velocity warranted—creating a domino effect that severely impacted profitability. Worse, they spent eight hours every Monday compiling flawed data that was merely read line by line, without interpretation or insight. Under these circumstances, it’s difficult to meet customer expectations or deliver perceived value.

While this is a dramatic example of misusing available information, it reflects a broader issue faced by many organizations. I don’t fault them entirely—after all, "you don’t know what you don’t know."

So, back to the question: “Why do I need a consultant?” Simply put, a consultant offers an objective perspective on internal processes and expected outcomes. They bring a wealth of knowledge and experience from across industries, helping organizations implement best practices and leverage both internal and external tools and efficiencies.

Does that mean every company needs a consultant? No. But it does mean that every stakeholder should embrace continuous learning and growth—and understand that “good enough” is rarely optimal.

Mark Yates, Partner & Lead Facilitator Retail in Detail & MyAnalytics