Contract negotiation FAQs for development consultants

Consulting is a key part of most projects in international development. That means ample opportunities – and competition – for consultants to position themselves and win fascinating and fulfilling assignments around the globe. To learn more about how to succeed as a development consultant, watch this Devex webinar, exclusively for Devex members. The webinar features Daniel Head, senior international recruiter at DAI’s economic growth division, and his colleagues from DAI Europe, Recruitment Manager Katie Levy and Associate Recruiter Sophie Montmey. After the webinar, we asked these expert recruiters to address several questions submitted directly by webinar participants. Here are some of their answers: Compensation What can a consultant specify as daily fee for the U.N. Development Program – or other donors who in the request for proposal say they will consider “value for money” when evaluating proposals – without pricing themselves out of the market when compared with consultants from countries with generally lower pay expectations? Is $490 too high? I’m not familiar with UNDP, but they generally pay higher salaries than most bilateral donors, and the salary is tax-free in most places. Depending on the candidates qualifications, $490 does not seem too high. Donors will ensure your daily rate is in line with the market rate and maybe even your salary history. You can also feel free to indicate that your rate is negotiable, if it is, so they don’t toss you out of the mix when they see your rate. How do you think consultants should approach the question of fee rates? How can a consultant know where to pitch themselves? This will depend on the donor, client, or organization for which you are working. On projects funded by the U.S. Agency for International Development, for example, it will depend not only on what the market support, but also on what your salary history has been. For some contract types (cost plus fixed fee), your rate is largely not an issue for an implementing partner, as they bill this directly. However, other contract types like Time & Materials contracts, depend on your number of years experience and education level. The higher it is, the higher the ceiling will be for your type of labor, so the higher the organization could pay you. Contract negotiation What is best way to handle a recruiter who is trying to rush a decision about deployment to a country not originally contemplated by the applicant because not explicit in the job ad? When we find a great candidate, this can happen, as opportunities are ever-shifting and (in DAI’s case, for example, as a consulting firm) priorities can change depending on client deadlines and procurement timelines. I suggest asking for as much detailed information about the presence of the organization in that country, ask them to put you in touch with others who have lived there, and do all the research you can. If you still don’t feel comfortable making a decision, let them know you would need more time. If that’s not possible, I’d suggest turning down the assignment, as you don’t want to throw yourself into a place where you won’t feel productive and ultimately losing face with your new employer. What’s your advice on signing letters of commitment, while not being guaranteed an assignment? Often, for consultants, it seems to be first come first signed, or consultants must “gamble” and sign with whom they think has the best shot at winning a projects. If you are being courted by a number of bidders (or would like to be), I recommend not signing an exclusive letter of commitment with anyone until the RFP comes out. If you’re their top choice, and you’re honest about wanting to assess logically who the winning bidder will be, they might wait for you. You should be sure to ask as much as they are allowed to share about their chances of winning – and do your own competitive analysis too! If you do sign an ELOC, yes, you are required to gamble since you will only be bid on one proposal. If the position does not require an ELOC, I suggest asking the organization to sign a non-exclusive LOC instead, as this does not bind you to working only for one bidder, and then you can sign as many as you like. If they require an ELOC, and you do sign, I would make sure you have it in writing that the agency is committing to you no matter what the RFP looks like in the end. ELOCs are normally non-legal binding documents, so it can be a gamble, unfortunately. Citizenship and work permits As an U.S. citizen, am I limited applying to European Commission projects? Every role with the EC is different and has different requirements. The EU does not discriminate on nationality. EU programs have a mix of local and international consultants working on their programs. Does one have to be a U.S. citizen to apply for jobs with USAID or with DAI?­ Not in all cases, no. Here are some parameters which might more fullyanswer your question: - DAI jobs based in Washington, D.C., require prior permission to legally work in the United States. - DAI jobs based in London require prior permission to legally work in the EU. - DAI jobs on USAID-funded projects are on a case-by-case basis. It depends on what the contract says, and also what that mission’s preference is in having either Americans or local staff in place for each position. The job ad should say which nationality is required or preferred. Might the U.S. ever waive an “eligibility to work in the U.S.” requirement eg. for candidates with solid experience with, say, USAID Iraq? Not if it is mandated in an implementer’s contract, no. Oftentimes, though, DAI will seek waivers for this. One justification can be because of lack of other viable candidates. If the question is about a waiver for you to work in the United States, as opposed to an overseas posting, this would be more difficult. Read more: - Consulting opportunities with DAI: FAQs (followup Q&A) - How to snatch a senior consulting post (followup Q&A) - How to Succeed as a Development Consultant (full webinar recording) - Individual consulting: Where the jobs are (webinar excerpt) - Individual consultant CVs: Tips and tricks (webinar excerpt) - How to get a senior consulting post - How to transition to development consulting - Global development consulting: How to gain the right experience - CV writing for foreign aid consultants: Your FAQs On consulting: - Individual Consulting: A Primer - A Survival Guide to Consulting - UN to Introduce Online Application Tool for Consultants - A Global Consultant’s Daily Routine - Independent Consulting = Freedom + Flexibility - Administrative Expenses for Contractors - Basic Skills of Independent Consultants - Coping with Frequent Travel - How to Get Away from the Home Office Other career coverage: - Salary Negotiation Strategies for Aid Workers and Consultants: A Primer - Career Transitions: How to Figure Out if an Aid Job is Right for You - Secrets to a Successful Phone Interview for Development Aid Job Seekers - Resume Formats for International Development Professionals Read more international development career advice.