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1、Management Consulting: An Introduction.AGENDAIntroduction/ExpectationsExample consultant companyConsulting: Nature, Trends, CareersAGENDAIntroduction/ExpectationsExample consultant companyConsulting: Nature, Trends, CareersSelected Methods (frameworks)Research (some basics)Graphics (from data to cha
2、rt)Our Mission: Helping our clients create their future.ACCENTURE: MISSION AND VISIONOur Vision: To become one of the worlds leading companies, bringing innovations to improve the way the world works and lives.One Global Firm Act to enhance the collective values of the global partnership, while sust
3、aining local culture.Stewardship Think future oriented; act and invest to build a stronger firm for tomorrow.Integrity Act with openness and honesty. Always.Respect for the Individual Treat each person as we would like to be treated.Quality Client Service Understand and meet client expectations 100
4、percent of the time. Best People Are highly competent and make a commitment to excellence, teamwork, and the success of our clients.ACCENTURE: CORE VALUES1989 Andersen Consulting becomes a separate business unit from Arthur Andersen$1.6 billion21,400 employees1991Horizon 2000 Initiative to develop m
5、ission and strategic plan$2.3 billion25,000 personnel1993Andersen Consulting issues its first annual report$2.9 billion27,000 employees1997Andersen Consulting creates a global network of communications-focused solution centers in an effort to set the standard for speed and quality of performance$6.6
6、. Billion 53,000 employees1998$8.3 billion65,000 employees2000Joe Forehand becomes Managing Partner and introduces the 100 Day PlanAndersen Consulting wins arbitration against Arthur Andersen01.01.01Accenture, formerly known as Andersen ConsultingACCENTURE: IMPORTANT MILESTONESACCENTURE GLOBALLYEmpl
7、oyees:over 65,000Countries: 48Revenue 99:8,9 Billion USD Clients: The vast majority of Fortune 30 most profitable global public companies Nearly 75% of Fortune 200 global companies100 of the most significant “Industry Standard Internet companies ACCENTURE: DEVELOPMENT OF REVENUES(U.S. Billions)1993$
8、2,8761994$3,4521995$4,2241996$5,3021997$6,6471998$8,3ACCENTURE: GLOBAL PERSONNEL GROWTH199753,426199644,801199538,027199432,711199865,134Global Competitive OverviewStrategyDigital EquipmentMcKinseyAndersen ConsultingOrganizationProcessesInformationTechnologyBusiness ProcessManagement(Outsourcing)Cap
9、 Gemini SogetiUNISYSIBMComputer SciencesEDSBoston ConsultingBooz AllenACCENTURE: MARKET UNITSFinancial ServicesBankingHealth ServicesInsuranceProductsAutomotive, Industrial Equipment, Travel & TransportationConsumer & Pharmaceutical ProductsRetailCommunications & High TechCommunicationsElectronics &
10、 High TechMedia & EntertainmentResourcesChemicals Energy & Natural ResourcesUtilitiesGovernmentAGENDAIntroduction/ExpectationsExample consultant companyConsulting: Nature, Trends, CareersNATURE, TRENDS, CAREERSNature and purpose of consultingRecent trends and current challengesStaff and career paths
11、 in consultingNATURE AND PURPOSE OF CONSULTINGNature and Purpose of ConsultingDefinition of Consulting“Brief look into historyDifferent types of consultingConsulting market overviewConsultant: Profession descriptionConsulting strategiesShort overview over the consulting processReasons for clients to
12、 hire external consultantsGuidelines for the client - consultant relationshipDEFINITION OF CONSULTINGDefinition of ConsultingTo give expert advice or provide expert counsel.“ (IKS)Consulting provides value by diagnosing, strategizing, designing, constructing, integrating, operating, or implementing
13、solutions. Consulting utilizes relevant knowledge, based on integrity and objectivity, in both expert and advisory roles.“ (Consulting Services Team)Consulting is whatever a consultant does. (Cambridge Computer Services)CONSULTING HISTORY (1/2)Brief look into history1532Macchiavellis Il Principe“188
14、6Foundation of the analytical testlab“ by Arthur D. Little1895A piece rate system“ by F. Taylor1909Foundation of Arthur D. Little, Inc.1911The principles of scientific management“ by F. Taylor1911Motion Study“ by F. Gilbreth1912Consulting Firms“ by F. Gilbreth1914E. Booz sets up Business Research Se
15、rvices1925J.O. McKinsey starts his Consulting firm1934Urwick, Orr & Partners: Management ist lehr- und lernbar1939Peter Drucker The end of economic man“1947Foundation of the Travistock InstituteCONSULTING HISTORY (2/2)Brief look into history1949Robert Wiener Cybernetics“1950Marvin Bower becomes CEO
16、of Mc Kinsey and starts with the expansion1951First Deming-Avard for Quality in Japan1954Foundation of the BDU1954Peter Drucker: The practise of management“1957Argyris: Personality and Organization“1959Herzberg, Mausner, Snyderman: The motivation to work“1960Mc Gregor: The human side of enterprise“,
17、 Maslow: Motivation and Personality“1963Foundation of Boston Consulting Group1965Foundation of the first two Business Universities in Great BritainEVOLUTION OF CONSULTING FOCUS198019851990199520002005 Quality ManagementLean ManagementRe-engineeringERP projectsWeb TechnologyE-CommerceCRMM-Commerce St
18、rategyTYPES OF CONSULTINGDifferent types of management consultingStrategyAdvice and counsel about corporate-level or business-unit strategiesOperations Management Figuring out how to improve the efficiency or productivity of how a business worksHuman Resources Compensation and benefits advice, attra
19、cting, motivating, and retaining high quality employeesInformation TechnologyDesign, implement, test and roll-out new IT or install and operate massive packaged software solutions“.Worldwide Professional Services Market$billionsSource: Dataquest$250$475$45$85$25$5$0$100$200$300$400$500$6001990199920
20、03STRATEGY VS. IT- CONSULTING18% annual growthPure StrategyIT-related ServiceGERMAN CONSULTING MARKET OVERVIEWGerman Consulting market overview1998:62.500 Management-, Personnel- and IT-Consultants (BDU e.V.)13.200 Consulting CompaniesTotal revenues: 18,8 bn. DM (BDU e.V.)1999:64.500 Management-, Pe
21、rsonnel- and IT- Consultants (BDU e.V.)14.300 Consulting CompaniesTotal revenues: 21,3 bn. DM (BDU e.V.)TOP 20 CONSULTING COMPANIES WORLDWIDEWHERE DO YOU WANT TO GO TODAY? A scene from Lewis Carrolls Alices Adventures In Wonderland, when Alice asks the Cheshire cat for directions, speaks volumes abo
22、ut planning where an organization wants to be in the future.Would you tell me, please, which way I ought to go from here? asks Alice. That depends a good deal on where you want to get to, said the Cat.I dont much care where. said Alice.Then, it doesnt matter which way you go. said the Cat.REASONS TO
23、 HIRE EXTERNAL CONSULTANTS (1/2)Reasons for clients to hire external consultants (1):Existing companies are not ready for the pace globalization and vanishing market barriers they face - need Consultants with broad market / industry knowledgeIncreasing M&A activities - High complexity of transaction
24、s and tasks related to Post Merger IntegrationChallenges of the high tech environment: employees are wholly occupied with daily work and dont have the time to think about innovationsChanging working environment necessitate creative and up-to-date HR ManagementDeregulation enabled new companies to en
25、ter the market. In order to position and compete against former monopolists they need industry related consulting experience (+other way round, ex-monopolists try to defend themselves against new market entries using the knowledge of external companies)REASONS TO HIRE EXTERNAL CONSULTANTS (2/2)Reaso
26、ns for clients to hire external consultants (2):Consultants have access to information on a truly global basis (Knowledge Exchange)Widespread acceptance of using consultants to gain outside expertise.Rapid technological change.Movement to enterprise wide solutions.Lack of in-house expertise in Proce
27、sses, technologies, industry best practices, and project management.BENEFITS OF USING CONSULTANTS Subject matter expert: A consultant will save time and money by arriving to a solution to the clients needs at a faster pace because of past extensive knowledge and experience in dealing with other busi
28、ness owners. Objective point of view: A consultant will bring a refreshing outside point of view to the clients company, which will pin-point existing problems or reach faster solutions. Educate, inform: A good consultant will educate and inform the client as the task is completed. Share information
29、 about industry and competition: This is essential to reaching company goals. Assist with strategic planning which will help reach company goals faster and easier. Offer innovative ideasWORK AND LIFESTYLE CHARACTERISTICSWork at client siteWork in team environmentWork with a variety of clients across
30、 industriesAssess client business and technical challengesDevelop solutions to move client forwardExtensive traveling Enriching learning experienceCyclical overtimeTravelVariety of responsibilitiesWork with technologyTOP 10 WAYS TO KNOW YOU ARE DATING AN CONSULTANT1. Refers to lovemaking as a win-wi
31、n.2. Valentines Day card has bullet points.3. Cant be trusted with the car - too accustomed to beating up rentals.4. Celebrates anniversary by conducting a performance review.5. Ends any argument by saying, lets talk about this off-line.6. Tries to call room-service from the bedroom.7. Congratulates
32、 your parents for successful value creation.8. Referred to the yield of the tomato plants in your home garden as deliverables9. Talks to the waiter about process flow when dinner arrives late.10. Referred to the first month of your relationship as a diagnostic period.NATURE, TRENDS, CAREERSNature an
33、d purpose of consultingRecent trends and current challengesStaff and career paths in consultingRECENT TRENDS AND CURRENT CHALLENGES Changing customer expectationsIncreasing market power of the TOP consulting companiesEffective usage of information technologySplit Tax/Auditing - ConsultingStrategic A
34、lliances and Start-up PartnershipsNew suppliers enter the consulting marketExpansion of the well known consulting companiesIT consulting by traditional consulting companiesGet & retain the right peopleHow to face the current challenges CTOs and other e-business strategists do not want to hear me tel
35、l them I can help Web-enable their business. That is not enough. They want to know how I can help them transform their business. - Chuck Burns, global senior vice president, services, KPMG CTOs have more choices than ever before when it comes to selecting a consultant. We go into bids now where we m
36、ay compete against one of the giant, Big Five firms . and even, in some cases, an advertising or marketing agency. - Scott Lochridge, principal, strategy solutions group, DiaLogos The days of black magic are over, Consultants can no longer get away with just writing a white paper for the client and
37、saying, OK, now you do what I say. - Jose Campos, president of RapidinnovationCHANGING CUSTOMER EXPECTATIONS SOME STATEMENTSCHANGING CUSTOMER EXPECTATIONS Customer expect real added valueStandard Implementations are decreasing while individual end-to-end solution become much more important Unsuccess
38、ful ERP implementations in the 90s made the customer more aware of risks and challenges - Customer are much more sensitive to what they get for their money Results in new payment schemes like: Fixed price (especially done by smaller / start-up companies) Risk and reward sharing Equity payment Paymen
39、t in terms of %-age of actual value added On time delivery clauses in contractINCREASING MARKET POWER OF THE TOP 20 CONSULTING COMPANIESFacts40 TOP Consulting Companies increased their market share in Germany from 42 to 45 % Average growth rate of the TOP Player: 19,5 %/p.a.Smaller Consulting compan
40、ies: 4,0 %/p.a.Acquisitions of smaller and mid-sized consulting firms by the larger companies in order to diversify their market offerPlanned partly IPO of KPMG, Arthur D. Little, Andersen Consulting also investigating Increasing market power and influence through ventures, e.g.- AC Venture - McKins
41、eys “New Venture - Roland Berger & bmpSPLIT TAX/AUDITING REASONS AND CONSEQUENCESReasonsU.S. Security and Exchange Commission:Critical if Consulting Companies advice clients that are audited by the same company Higher margins and growth rates in consultingInability for consulting part to raise money
42、 by going public as long as they are part of auditing companiesConsequencesConsulting companies can and will go public (e.g. KPMG)No more legal restrictions for consulting companies to advice other companiesDifferentiation process will accelerate (increasing marketing activities)Repositioning needs
43、SPLIT TAX/AUDITING - CONSULTING ExamplesAndersen Consulting vs. Arthur Andersen:Arbitration Decision in order to allow Andersen Consulting to split from Arthur AndersenKPMG:IPO of KPMG Consulting BusinessCisco took 20% stakeAnother 20% for the accounting partHewlett Packard interested to buy PriceWa
44、terhouseCoopers Management and IT Consulting partCap Gemini to buy consulting piece of Ernst & YoungA.T. Kearney and EDSALLIANCES AND PARTNERSHIPS: SOME EXAMPLES Cap Gemini:- Siebel Systems- IBM - Sun Microsystems- Microsoft KPMG:- Compaq - Cisco- Microsoft- JD Edwards CSC:- Peoplesoft - Broadvision
45、- IBM- Lucent - Nokia EDS:- Sun Microsystems - SAP- Oracle - CiscoNEW COMPETITORS ENTER THE CONSULTANT MARKETNew Suppliers enter the consulting marketHardware manufacturers - HP already increased their number of in-house consultants to 6.000 + potential PriceWaterhouseCoopers partInternet service pr
46、oviders, e.g. Pixelpark buying the Swedish Consulting firm “Cell Network / Mandator Building Inhouse-Consulting capabilities“ - Siemens (Siemens Business Services providing ERP, CRM implementations) - SAP System - Deutsche Telekom buying majority stake in Debis SystemhausFinancial Institutions and T
47、elecommunication companiesEXPANSION OF WELL KNOWN CONSULTING COMPANIES Expansion of the TOP consulting companies through M&A, alliances, ventures and strategic partnerships.Chance to expand business and opening new marketsAfter M&A, differentiation becomes critical, therefore high advertising budget
48、sIPO Strategies: Raise money for eCommerce strategy Venture Capital funds To attract people (competitive salaries and payment structures)Examples: Cap Gemini acquiring Ernst & Young Cap Gemini buying SD&M CSC Ploenzke to buy KPMG FranceIT CONSULTING AT THE ESTABLISHED CONSULTING COMPANIES As eCommer
49、ce is acknowledge to be one of the key business drivers, also the traditional consulting companies try to get into itStrategy companies like Booz Allen Hamilton etc. to launch eCommerce centers and venture capital firmsBy buying smaller companies and partnering they are able to provide a full implem
50、entation service, e.g. Bain alliance with i2 and OracleMcKinsey has been accused having overslept the e-Commerce age; now trying to work on that subject through increasing alliances & ventures in the eBusinessAfter split from Andersen Consulting, Arthur Andersen will get more into IT consultingIPO i
51、n order to attract personnelUntil backdrop of Dots and the stock market, tendency of leading personnel to leave traditional companies to join Start-ups:Cambridge Technology lost over the last year many top managers (i.e. Founder and CEO, CFO, General counsel, Head of its E-Business unit, Managing di
52、rector of the Cambridge Technology Capital venture fund) mostly to small high-tech companies.Dean Hawkins, former CFO of Adidas to become CFO booJoe Galli, Vice President Black & Decker to join Amazon as member of the board Heiner Rutt, chairman Boston Consulting Group to become president at Proxico
53、mIBM Germany has about 3.000 open IT positions for 2001, Hewlett-Packard to look for 500 IT specialists, PricewaterhouseCoopers 300 and Siemens 1.500, Andersen Consulting with 1.100 open positions in ASG.GET AND RETAIN THE RIGHT PEOPLEWINNING THE WAR FOR TALENTKey factors of successImage Interesting
54、 tasks Personal developmentBalanced life styleInternationalatmosphere 1.DaimlerChrysler2.Lufthansa3.McKinsey 4.BMW5.KPMG6.Boston Consulting7.Deutsche Bank8.Siemens9.SAP10.AccentureAttractive employeesFocus 30. August 1999HOW TO FACE THE CURRENT CHALLENGES New strategiesBranding Campaigns Personnel d
55、evelopment conceptsEfficient Knowledge ManagementAccurate Planning Change as ChanceSynchronize the key success factors:- people- process- strategy - technologyNATURE, TRENDS, CAREERSNature and purpose of consultingRecent trends and current challengesStaff and career paths in consultingSTAFF AND CARE
56、ER PATHSPartnerAssociate PartnerManagerConsultantAnalystDirectorPrincipleAssociate PrincipleProject ManagerConsultantAccentureMcKinseyLead work teamsFacilitate Team-MeetingsSystems designClient presentationsLead subprojectsConsultantAnalystProposalsForecastingDevelop and execute client trainingClien
57、t interviewsProgrammingSystems DocumentationParticipates in problem solvingRecommends and implements solutionsDefines user requirementsResearches new and existing technology Provides production supportTests softwareReviews work of peersROLES AND RESPONSIBILITIES: EXAMPLESPartnerManagerInterface with
58、 client senior managementLead client meetingsDevelop new businessDevelop management teamShape and impact the FirmAttain Ownership in the FirmROLES AND RESPONSIBILITIES (CTD.)Lead client meetingsManage projectsLead and develop project teamCONSULTING: ALWAYS STAY REALISTICALLY A consultant, manager an
59、d a partner from a Consulting company are walking through a park on their way to lunch when they find an antique oil lamp.They rub it and a Genie comes out in a puff of smoke. The Genie says, Iusually only grant three wishes, so Ill give each of you just one.Me first! Me first! says the consultant. I want to be in the Bahamas
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