1. Know Your Company is, at minimum, a $2500 service. The amount of time you can spend with a given customer is huge, in that respect, because the customer support you're doing for that one customer is proportionally much more valuable. If I have a SaaS offering billing out at $20/mo., how much time can I feasibly spend with a customer (of which there are multitudes) before I have to think of ways to avoid timesinks?
2. The "manually adding people to a database" thing seems contrived. It's valuable because you learn the departments and the employees: so what's wrong with automating the excel/email uploads and having the script spit out an org chart and dossier to the printer? (That isn't a rhetorical question -- wouldn't a birds-eye view of an organization be more helpful?)
(Overall, I absolutely agree with Jason's point! But I think the argument is a bit more nuanced than the way he presents it.)