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2020 4 5 1 Lecture ManagementConsulting AnIntroduction 2020 4 5 2 AGENDA Introduction ExpectationsExampleconsultantcompanyConsulting Nature Trends CareersSelectedMethods frameworks Research somebasics Graphics fromdatatochart 2020 4 5 3 AGENDA Introduction ExpectationsExampleconsultantcompanyConsulting Nature Trends CareersSelectedMethods frameworks Research somebasics Graphics fromdatatochart 2020 4 5 4 OurMission Helpingourclientscreatetheirfuture ACCENTURE MISSIONANDVISION OurVision Tobecomeoneoftheworld sleadingcompanies bringinginnovationstoimprovethewaytheworldworksandlives 2020 4 5 5 OneGlobalFirm Acttoenhancethecollectivevaluesoftheglobalpartnership whilesustaininglocalculture Stewardship Thinkfutureoriented actandinvesttobuildastrongerfirmfortomorrow Integrity Actwithopennessandhonesty Always RespectfortheIndividual Treateachpersonaswewouldliketobetreated QualityClientService Understandandmeetclientexpectations100percentofthetime BestPeople Arehighlycompetentandmakeacommitmenttoexcellence teamwork andthesuccessofourclients ACCENTURE COREVALUES 2020 4 5 6 1989AndersenConsultingbecomesaseparatebusinessunitfromArthurAndersen 1 6billion21 400employees1991Horizon2000Initiativetodevelopmissionandstrategicplan 2 3billion25 000personnel1993AndersenConsultingissuesitsfirstannualreport 2 9billion27 000employees 1997AndersenConsultingcreatesaglobalnetworkofcommunications focusedsolutioncentersinanefforttosetthestandardforspeedandqualityofperformance 6 6 Billion53 000employees1998 8 3billion65 000employees2000JoeForehandbecomesManagingPartnerandintroducesthe100DayPlanAndersenConsultingwinsarbitrationagainstArthurAndersen01 01 01Accenture formerlyknownasAndersenConsulting ACCENTURE IMPORTANTMILESTONES 2020 4 5 7 ACCENTUREGLOBALLY Employees over65 000Countries 48Revenue 99 8 9BillionUSDClients ThevastmajorityofFortune30mostprofitableglobalpubliccompaniesNearly75 ofFortune200globalcompanies100ofthemostsignificant IndustryStandard Internetcompanies 2020 4 5 8 ACCENTURE DEVELOPMENTOFREVENUES U S Billions 2020 4 5 9 ACCENTURE GLOBALPERSONNELGROWTH 1997 53 426 1996 44 801 1995 38 027 1994 32 711 1998 65 134 2020 4 5 10 Americas EMEAI Asia Pacific Hamburg Frankfurt M nchen D sseldorf Berlin Wien Z rich ASG Austria Switzerland Germany ACCENTUREINASG 2 750Employees7OfficesRevenues 1 24Mrd DM 2020 4 5 11 GlobalCompetitiveOverview Strategy DigitalEquipment McKinsey AndersenConsulting Organization Processes InformationTechnology BusinessProcessManagement Outsourcing CapGeminiSogeti UNISYS IBM ComputerSciences EDS BostonConsulting BoozAllen 2020 4 5 12 ACCENTURE MARKETUNITS FinancialServicesBankingHealthServicesInsuranceProductsAutomotive IndustrialEquipment Travel TransportationConsumer PharmaceuticalProductsRetailCommunications HighTechCommunicationsElectronics HighTechMedia EntertainmentResourcesChemicalsEnergy NaturalResourcesUtilitiesGovernment 2020 4 5 13 ACCENTURE SAMPLECLIENTLIST 2020 4 5 14 AGENDA Introduction ExpectationsExampleconsultantcompanyConsulting Nature Trends CareersSelectedMethods frameworks Research somebasics Graphics fromdatatochart 2020 4 5 15 NATURE TRENDS CAREERS Natureandpurposeofconsulting Recenttrendsandcurrentchallenges Staffandcareerpathsinconsulting 2020 4 5 16 NATUREANDPURPOSEOFCONSULTING NatureandPurposeofConsultingDefinitionof Consulting BrieflookintohistoryDifferenttypesofconsultingConsultingmarketoverviewConsultant ProfessiondescriptionConsultingstrategiesShortoverviewovertheconsultingprocessReasonsforclientstohireexternalconsultantsGuidelinesfortheclient consultantrelationship 2020 4 5 17 DEFINITIONOFCONSULTING DefinitionofConsulting Togiveexpertadviceorprovideexpertcounsel IKS Consultingprovidesvaluebydiagnosing strategizing designing constructing integrating operating orimplementingsolutions Consultingutilizesrelevantknowledge basedonintegrityandobjectivity inbothexpertandadvisoryroles ConsultingServicesTeam Consultingiswhateveraconsultantdoes CambridgeComputerServices 2020 4 5 18 CONSULTINGHISTORY 1 2 Brieflookintohistory1532Macchiavelli s IlPrincipe 1886Foundationofthe analyticaltestlab byArthurD Little1895 Apieceratesystem byF Taylor1909FoundationofArthurD Little Inc 1911 Theprinciplesofscientificmanagement byF Taylor1911 MotionStudy byF Gilbreth1912 ConsultingFirms byF Gilbreth1914E BoozsetsupBusinessResearchServices1925J O McKinseystartshisConsultingfirm1934Urwick Orr Partners Managementistlehr undlernbar1939PeterDrucker Theendofeconomicman 1947FoundationoftheTravistockInstitute 2020 4 5 19 CONSULTINGHISTORY 2 2 Brieflookintohistory1949RobertWiener Cybernetics 1950MarvinBowerbecomesCEOofMcKinseyandstartswiththeexpansion1951FirstDeming AvardforQualityinJapan1954FoundationoftheBDU1954PeterDrucker Thepractiseofmanagement 1957Argyris PersonalityandOrganization 1959Herzberg Mausner Snyderman Themotivationtowork 1960McGregor Thehumansideofenterprise Maslow MotivationandPersonality 1963FoundationofBostonConsultingGroup1965FoundationofthefirsttwoBusinessUniversitiesinGreatBritain 2020 4 5 20 EVOLUTIONOFCONSULTINGFOCUS 198019851990199520002005 QualityManagementLeanManagementRe engineeringERPprojectsWebTechnologyE CommerceCRMM CommerceStrategy 2020 4 5 21 TYPESOFCONSULTING DifferenttypesofmanagementconsultingStrategyAdviceandcounselaboutcorporate levelorbusiness unitstrategiesOperationsManagementFiguringouthowtoimprovetheefficiencyorproductivityofhowabusinessworksHumanResourcesCompensationandbenefitsadvice attracting motivating andretaininghighqualityemployeesInformationTechnologyDesign implement testandroll outnewITorinstallandoperatemassivepackagedsoftware solutions 2020 4 5 22 WorldwideProfessionalServicesMarket billions Source Dataquest 250 475 45 85 25 5 0 100 200 300 400 500 600 1990 1999 2003 STRATEGYVS IT CONSULTING 18 annualgrowth PureStrategy IT relatedService 2020 4 5 23 GERMANCONSULTINGMARKETOVERVIEW GermanConsultingmarketoverview1998 62 500Management Personnel andIT Consultants BDUe V 13 200ConsultingCompaniesTotalrevenues 18 8bn DM BDUe V 1999 64 500Management Personnel andIT Consultants BDUe V 14 300ConsultingCompaniesTotalrevenues 21 3bn DM BDUe V 2020 4 5 24 TOP20CONSULTINGCOMPANIESWORLDWIDE 2020 4 5 25 TOP30CONSULTINGCOMPANIESINGERMANY Source L nendonkConsultancy ResearchGbR Hamburg 2020 4 5 26 WHEREDOYOUWANTTOGOTODAY AscenefromLewisCarroll s Alice sAdventuresInWonderland whenAliceaskstheCheshirecatfordirections speaksvolumesaboutplanningwhereanorganizationwantstobeinthefuture Wouldyoutellme please whichwayIoughttogofromhere asksAlice Thatdependsagooddealonwhereyouwanttogetto saidtheCat Idon tmuchcarewhere saidAlice Then itdoesn tmatterwhichwayyougo saidtheCat 2020 4 5 27 REASONSTOHIREEXTERNALCONSULTANTS 1 2 Reasonsforclientstohireexternalconsultants 1 Existingcompaniesarenotreadyforthepaceglobalizationandvanishingmarketbarrierstheyface needConsultantswithbroadmarket industryknowledgeIncreasingM Aactivities HighcomplexityoftransactionsandtasksrelatedtoPostMergerIntegrationChallengesofthehightechenvironment employeesarewhollyoccupiedwithdailyworkanddon thavethetimetothinkaboutinnovationsChangingworkingenvironmentnecessitatecreativeandup to dateHRManagementDeregulationenablednewcompaniestoenterthemarket Inordertopositionandcompeteagainstformermonopoliststheyneedindustryrelatedconsultingexperience otherwayround ex monopoliststrytodefendthemselvesagainstnewmarketentriesusingtheknowledgeofexternalcompanies 2020 4 5 28 REASONSTOHIREEXTERNALCONSULTANTS 2 2 Reasonsforclientstohireexternalconsultants 2 Consultantshaveaccesstoinformationonatrulyglobalbasis KnowledgeExchange Widespreadacceptanceofusingconsultantstogainoutsideexpertise Rapidtechnologicalchange Movementtoenterprisewidesolutions Lackofin houseexpertiseinProcesses technologies industrybestpractices andprojectmanagement 2020 4 5 29 BENEFITSOFUSINGCONSULTANTS Subjectmatterexpert Aconsultantwillsavetimeandmoneybyarrivingtoasolutiontotheclient sneedsatafasterpacebecauseofpastextensiveknowledgeandexperienceindealingwithotherbusinessowners Objectivepointofview Aconsultantwillbringarefreshingoutsidepointofviewtotheclient scompany whichwillpin pointexistingproblemsorreachfastersolutions Educate inform Agoodconsultantwilleducateandinformtheclientasthetaskiscompleted Shareinformationaboutindustryandcompetition Thisisessentialtoreachingcompanygoals Assistwithstrategicplanningwhichwillhelpreachcompanygoalsfasterandeasier Offerinnovativeideas 2020 4 5 30 WORKANDLIFESTYLECHARACTERISTICS WorkatclientsiteWorkinteamenvironmentWorkwithavarietyofclientsacrossindustriesAssessclientbusinessandtechnicalchallengesDevelopsolutionstomoveclientforwardExtensivetravelingEnrichinglearningexperienceCyclicalovertimeTravelVarietyofresponsibilitiesWorkwithtechnology 2020 4 5 31 TOP10WAYSTOKNOWYOUAREDATINGANCONSULTANT 1 Referstolovemakingasa win win 2 Valentine sDaycardhasbulletpoints 3 Can tbetrustedwiththecar tooaccustomedtobeatinguprentals 4 Celebratesanniversarybyconductingaperformancereview 5 Endsanyargumentbysaying let stalkaboutthisoff line 6 Triestocallroom servicefromthebedroom 7 Congratulatesyourparentsforsuccessfulvaluecreation 8 Referredtotheyieldofthetomatoplantsinyourhomegardenas deliverables 9 Talkstothewaiteraboutprocessflowwhendinnerarriveslate 10 Referredtothefirstmonthofyourrelationshipasa diagnosticperiod 2020 4 5 32 NATURE TRENDS CAREERS Natureandpurposeofconsulting Recenttrendsandcurrentchallenges Staffandcareerpathsinconsulting 2020 4 5 33 RECENTTRENDSANDCURRENTCHALLENGES ChangingcustomerexpectationsIncreasingmarketpoweroftheTOPconsultingcompaniesEffectiveusageofinformationtechnologySplitTax Auditing ConsultingStrategicAlliancesandStart upPartnershipsNewsuppliersentertheconsultingmarketExpansionofthewellknownconsultingcompaniesITconsultingbytraditionalconsultingcompaniesGet retaintherightpeopleHowtofacethecurrentchallenges 2020 4 5 34 CTOsandothere businessstrategistsdonotwanttohearmetellthemIcanhelpWeb enabletheirbusiness Thatisnotenough TheywanttoknowhowIcanhelpthemtransformtheirbusiness ChuckBurns globalseniorvicepresident services KPMG CTOshavemorechoicesthaneverbeforewhenitcomestoselectingaconsultant Wegointobidsnowwherewemaycompeteagainstoneofthegiant BigFivefirms andeven insomecases anadvertisingormarketingagency ScottLochridge principal strategysolutionsgroup DiaLogos Thedaysofblackmagicareover Consultantscannolongergetawaywithjustwritingawhitepaperfortheclientandsaying OK nowyoudowhatIsay JoseCampos presidentofRapidinnovation CHANGINGCUSTOMEREXPECTATIONS SOMESTATEMENTS 2020 4 5 35 CHANGINGCUSTOMEREXPECTATIONS CustomerexpectrealaddedvalueStandardImplementationsaredecreasingwhileindividualend to endsolutionbecomemuchmoreimportantUnsuccessfulERPimplementationsinthe90smadethecustomermoreawareofrisksandchallenges CustomeraremuchmoresensitivetowhattheygetfortheirmoneyResultsinnewpaymentschemeslike Fixedprice especiallydonebysmaller start upcompanies RiskandrewardsharingEquitypaymentPaymentintermsof ageofactualvalueaddedOntimedeliveryclausesincontract 2020 4 5 36 INCREASINGMARKETPOWEROFTHETOP20CONSULTINGCOMPANIES Facts40TOPConsultingCompaniesincreasedtheirmarketshareinGermanyfrom42to45 AveragegrowthrateoftheTOPPlayer 19 5 p a SmallerConsultingcompanies 4 0 p a Acquisitionsofsmallerandmid sizedconsultingfirmsbythelargercompaniesinordertodiversifytheirmarketofferPlannedpartlyIPOofKPMG ArthurD Little AndersenConsultingalsoinvestigatingIncreasingmarketpowerandinfluencethroughventures e g ACVenture McKinsey s NewVenture RolandBerger bmp 2020 4 5 37 SPLITTAX AUDITING REASONSANDCONSEQUENCES ReasonsU S SecurityandExchangeCommission CriticalifConsultingCompaniesadviceclientsthatareauditedbythesamecompanyHighermarginsandgrowthratesinconsultingInabilityforconsultingparttoraisemoneybygoingpublicaslongastheyarepartofauditingcompaniesConsequencesConsultingcompaniescanandwillgopublic e g KPMG NomorelegalrestrictionsforconsultingcompaniestoadviceothercompaniesDifferentiationprocesswillaccelerate increasingmarketingactivities Repositioningneeds 2020 4 5 38 SPLITTAX AUDITING CONSULTING ExamplesAndersenConsultingvs ArthurAndersen ArbitrationDecisioninordertoallowAndersenConsultingtosplitfromArthurAndersenKPMG IPOofKPMGConsultingBusinessCiscotook20 stakeAnother20 fortheaccountingpartHewlettPackardinterestedtobuyPriceWaterhouseCoopers ManagementandITConsultingpartCapGeminitobuyconsultingpieceofErnst YoungA T KearneyandEDS 2020 4 5 39 STRATEGICALLIANCESOFACCENTURE 2020 4 5 40 ALLIANCESANDPARTNERSHIPS SOMEEXAMPLES CapGemini SiebelSystems IBM SunMicrosystems MicrosoftKPMG Compaq Cisco Microsoft JDEdwardsCSC Peoplesoft Broadvision IBM Lucent NokiaEDS SunMicrosystems SAP Oracle Cisco 2020 4 5 41 NEWCOMPETITORSENTERTHECONSULTANTMARKET NewSuppliersentertheconsultingmarketHardwaremanufacturers HPalreadyincreasedtheirnumberofin houseconsultantsto6 000 potentialPriceWaterhouseCooperspartInternetserviceproviders e g PixelparkbuyingtheSwedishConsultingfirm CellNetwork Mandator Building Inhouse Consultingcapabilities Siemens SiemensBusinessServicesprovidingERP CRMimplementations SAPSystem DeutscheTelekombuyingmajoritystakeinDebisSystemhausFinancialInstitutionsandTelecommunicationcompanies 2020 4 5 42 EXPANSIONOFWELLKNOWNCONSULTINGCOMPANIES ExpansionoftheTOPconsultingcompaniesthroughM A alliances venturesandstrategicpartnerships ChancetoexpandbusinessandopeningnewmarketsAfterM A differentiationbecomescritical thereforehighadvertisingbudgetsIPOStrategies RaisemoneyforeCommercestrategyVentureCapitalfundsToattractpeople competitivesalariesandpaymentstructures Examples CapGeminiacquiringErnst YoungCapGeminibuyingSD MCSCPloenzketobuyKPMGFrance 2020 4 5 43 ITCONSULTINGATTHEESTABLISHEDCONSULTINGCOMPANIES AseCommerceisacknowledgetobeoneofthekeybusinessdrivers alsothetraditionalconsultingcompaniestrytogetintoitStrategycompanieslikeBoozAllenHamiltonetc tolauncheCommercecentersandventurecapitalfirmsBybuyingsmallercompaniesandpartneringtheyareabletoprovideafullimplementationservice e g Bainalliancewithi2andOracleMcKinseyhasbeenaccusedhavingoversleptthee Commerceage nowtryingtoworkonthatsubjectthroughincreasingalliances venturesintheeBusinessAftersplitfromAndersenConsulting ArthurAndersenwillgetmoreintoITconsulting 2020 4 5 44 IPOinordertoattractpersonnelUntilbackdropofDot Comsandthestockmarket tendencyofleadingpersonneltoleavetraditionalcompaniestojoinStart ups CambridgeTechnologylostoverthelastyearmanytopmanagers i e FounderandCEO CFO Generalcounsel HeadofitsE Businessunit ManagingdirectoroftheCambridgeTechnologyCapitalventurefund mostlytosmallhigh techcompanies DeanHawkins formerCFOofAdidastobecomeCFO JoeGalli VicePresidentBlack DeckertojoinAasmemberoftheboardHeinerRutt chairman BostonConsultingGrouptobecomepresidentatProxicomIBMGermanyhasabout3 000openITpositionsfor2001 Hewlett Packardtolookfor500ITspecialists PricewaterhouseCoopers300andSiemens1 500 AndersenConsultingwith1 100openpositionsinASG GETANDRETAINTHERIGHTPEOPLE 2020 4 5 45 WINNINGTHEWARFORTALENT Keyfactorsofsuccess ImageInterestingtasksPersonaldevelopmentBalancedlifestyleInternationalatmosphere 1 DaimlerChrysler 2 Lufthansa 3 McKinsey 4 BMW 5 KPMG 6 BostonConsulting 7 DeutscheBank 8 Siemens 9 SAP 10 Accenture Attractiveemployees Focus30 August1999 2020 4 5 46 HOWTOFACETHECURRENTCHALLENGES NewstrategiesBrandingCampaignsPersonneldevelopmentconceptsEfficientKnowledgeManagementAccuratePlanningChangeasChanceSynchronizethekeysuccessfactors people process strategy technology 2020 4 5 47 NATURE TRENDS CAREERS Natureandpurposeofconsulting Recenttrendsandcurrentchallenges Staffandcareerpathsinconsulting 2020 4 5 48 STAFFANDCAREERPATHS Accenture McKinsey 2020 4 5 49 LeadworkteamsFacilitateTeam MeetingsSystemsdesignClientpresentationsLeadsubprojects Consultant Analyst ProposalsForecastingDevelopandexecuteclienttrainingClientinterviewsProgrammingSystemsDocumentationParticipatesinproblemsolvingRecommendsandimplementssolutionsDefinesuserrequirementsResearchesnewandexistingtechnologyProvidesproductionsupportTestssoftwareReviewsworkofpeers ROLESANDRESPONSIBILITIES EXAMPLES 2020 4 5 50 Partner Manager InterfacewithclientseniormanagementLeadclientmeetingsDevelopnewbusinessDevelopmanagementteamShapeandimpacttheFirmAttainOwnershipintheFirm ROLESANDRESPONSIBILITIES CTD LeadclientmeetingsManageprojectsLeadanddevelopprojectteam 2020 4 5 51 CONSULTING ALWAYSSTAYREALISTICALLY Aconsultant managerandapartnerfromaConsultingcompanyarewalkingthroughaparkontheirwaytolunchwhentheyfindanantiqueoillamp TheyrubitandaGeniecomesoutinapuffofsmoke TheGeniesays Iusuallyonlygrantthreewishes soI llgiveeachofyoujustone Mefirst Mefirst saystheconsultant IwanttobeintheBahamas drivingaspeedboat withoutacareintheworld Poof she sgone Inastonishment Menext Menext saysthemanager IwanttobeinHawaii relaxingonthebeachwithmypersonalmasseuse anendlesssupplyofpinacoladasandtheloveofmylife Poof He sgone You renext theGeniesaystothepartner Thepartnersays Iwantthosetwobackintheofficeafterlunch 2020 4 5 52 PERSONSTOSUPPORTYOURPERSONALCAREER PersonalMentorPeerGroupAnnualReviews upward dow

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