An overview of Management Consulting Industry

1. Management Consulting Carrier Perspective

2. What is Consulting? Product / Service: Ability to solve business problems. Team-based Work Clients: leaders of corporations, governments, and non-profit groups. www.deepakpareek.com

4. Boston Consulting Group

5. Bain & Company

6. Booz Allen Hamilton

7. Monitor Group

8. Mercer Oliver Wyman

9. Deloitte Consulting

10. Accenture

11. Kurt Salmon

12. Roland Bergerwww.deepakpareek.com

13. Why Hire Consultants? Lack of Knowledge or Skills Flexible Labor Pool Fresh Perspective Politics www.deepakpareek.com

14. Typical Week FRI THURS WED TUES MON 3-4-5 Rule Activities: Interviews, meetings, research, data analysis, building “decks”. Excel & Powerpoint www.deepakpareek.com

15. Lifestyle: the Bad and the Ugly Travel Hours Vs Banking “on the beach” Consulting: What is it again? Implementation www.deepakpareek.com

16. Lifestyle: the Good Challenging Work Smart people Career development Training & Variety Access to Management Jumping to Industry www.deepakpareek.com

17. Research Is Consulting for You? Which Firms? Sound like an Insider Consulting Lingo Trends and Current Topics www.deepakpareek.com

18. Getting a Job Your Story Why Consulting? Why Our Firm? Be Genuine Networking Case Interviews www.deepakpareek.com

19. Networking Corporate Presentations & MCA Events Alumni: SWAP & CAP Ask Smart Questions Dress & Etiquette www.deepakpareek.com

20. Case Interview Various Formats Casing Boot Camp Books: Case in Point by Marc P. Cosentino Crack the Case by David Ohrvall Mastering the Case Analysis by Alexander Chernev WetFeet Guides (Ace Your Case I to VI) The Vault Guide to the Case Interview www.deepakpareek.com

21. Introduction to Management Consulting www.deepakpareek.com

22. To give an overview of the course To know the definition, history and purpose of management consulting To understand the consultancy market: the main players, industry segmentation, clients and trends To gain an overview of the consulting life-cycle To understand the basics of approaching cases, guestimating and analysing. Today’s Learning Objectives www.deepakpareek.com

23. The Course What is Management Consulting? Who are Management Consultants? Clients Analysing Cases The Agenda www.deepakpareek.com

24. The Course Practical, Practical, Practical…… Case-based (Harvard) Develops skills Get jobs Highest retention rates To… Understand Consultancy Analyse businesses Develop solutions No... Books Theories Bullshit www.deepakpareek.com

25. The Course Pt. I Introduction to Consulting Overview of Consulting Designing your own firm Proposals and Planning Planning, Costing and Proposing Assignment: Speaker from StayMobile Ltd. Strategy Consulting & Market Analysis Analysing Trends Making Recommendations IT & e-Commerce Requirements Management E-business www.deepakpareek.com

26. The Course Pt. II Dark Sides of Consulting Stress, manipulation and exploitation Illegal trades: Enron, Parmalat, WorldCom Speaker Day 1: Consulting Work EDS & Deloitte Managing Delivery Speaker Day 2: Analysis with SSM Jeremy Hilton: Private Consultant Methodologies & Modelling Speaker Day 3: Consulting Careers and CVs IBM Getting a job & getting on www.deepakpareek.com

27. What is Management Consulting? www.deepakpareek.com

29. Accountability (Chinese Walls, Enron, Sarbanes-Oxley, Basel II)

30. Diversification (M&A, Internationalisation, Sectors)

31. Image (MBAs, Up selling, Over-charging, Facsimile Consulting)

32. Projects (outsourcing, e-business, protection vs. emergent markets)

34. So……Who’s doing what? ADL, BCG McKinsey Bain & Co ADL, BCG McKinsey Bain & Co ADL, BCG McKinsey Bain & Co KPMG / Deloitte PWC / EY PWC / EY KPMG / Deloitte Accenture / IBM Accenture / IBM Size Program Management Implementation Operation Strategy www.deepakpareek.com

35. Segmentation Industry Telcos - Health Digital Media - Manufacturing Finance & Banking - FMCG& Retail Utilities - Transportation Function Strategy - HRM Operations - IT (incl. e-business) Sector Non-profit Public Private www.deepakpareek.com

36. Strategy Consultants Diamond Sapient Oliver Wyman McKinsey Scient A.T. Kearney Software Providers Service providers / Utilities Deloitte EDS PwC CSC IBM Accenture Technology Providers A Consulting Typology www.deepakpareek.com

37. Sector Analysis Pt. I Strategy Direction, Long-term plans & High-level goals Lever to implementation Bain & Co. - BCG McKinseys - Monitor Operations Day-to day running of firm, Reaching, strategic goals Re-engineering, outsourcing, supply-chains Accenture - Deloitte Cap Gemini - CSC www.deepakpareek.com

38. Sector Analysis Pt. II IT Systems development, implementation Business focused requirements IBM - AMS (American Management Systems) Accenture - CSC HRM Strategic alignment of people function ERP, training, culture change, competence management Accenture - PWC Mercer - AT Kearney www.deepakpareek.com

39. Consulting Products Products have a name, a methodology, an application and great PR Consultants are charged with introducing ‘fashions’

40. Who are Management Consultants? www.deepakpareek.com

41. What is a Management Consultant? Not the brightest and the best Not all Harvard MBAs or even business students Not Magicians, Preachers or Witch-Doctors www.deepakpareek.com

43. Great Presenter

45. Methods & Frameworks

46. In-depth specific skillwww.deepakpareek.com

47. Basic Salaries (UK) Graduate £20 – 26k Junior Project Lead £30 – 35k Team Leader £40 – 60k Senior Consultant £60 – 80k Principle Consultant £70 – 100k Partner £100k + + 10 – 20% bonus + car + health care, share options Highest salaries earned at niche consultancies www.deepakpareek.com

48. Design your own Consultancy In pairs: you and 20 consultants wish to start your own medium-sized consultancy. You will consult on general strategic management issues such as mergers and acquisitions, outsourcing and new product development. Write 10 scenarios (5 each) that you think might be likely to occur whilst running this consultancy. What functions, departments and skills will you need in the consultancy. Sketch a brief organisational design and strategy outlining: Skills Required Structure & Function Major Costs Key problems www.deepakpareek.com

49. Clients www.deepakpareek.com

51. Mimicking others

52. Falling behind: benchmarks

54. Links to conferences, institutions,

56. ‘Solution’ stories

57. Referrals

58. ‘Jumpers’www.deepakpareek.com

59. Why Employ Consultants? Expertise Objectivity Someone to blame To save money External knowledge (e.g. best practice, benchmarking) www.deepakpareek.com

60. Types of project Providing Advice: should I launch this product? Project Design: how should I launch this product? Implementation: install a system that will pay suppliers Functional Management: run our department for us www.deepakpareek.com

61. Working With Clients Defining the project Open  Closed questions: Predicament > Definition > Solution Key Decision Makers Enticing the Client Free analysis Free juniors Corporate entertainment Successful Projects Contract, contract, contract Clear goals, roles & procedures Boilerplating & reuse Quick measurable wins Solid Conclusions The person not the project www.deepakpareek.com

62. Initial Contact Proposal & Contract Definition Data Collection Data Analysis Review Disengaging Decision-making, Planning Intervention The Consulting Life-cycle www.deepakpareek.com

63. Strategy: A Refresher www.deepakpareek.com

64. Vision what values drive this company? Objectives where do we want to be? Plan how will we get there? Goals how will we know when we’re there? Programs streams for delivery What is Strategy? www.deepakpareek.com

65. Porters Five Forces - Barriers, Buyer Power, Customer Power, Substitutes, Competition 4 Cs - Customers, Cost, Competition, Company 4 Ps - Product, Price, Promotion, Place Scenario Planning Strategy Tools www.deepakpareek.com

66. Key Concepts BCG – Experience curve BCG – Growth Share Matrix McKinsey & Company – Strategic Business Units (SBUs) McKinsey & Company – Business strength matrix Brandenburg and Nalebuff – Value Net www.deepakpareek.com

67. Analysing Cases www.deepakpareek.com

68. Case 1: LightBox Inc. I am the CEO of a light-bulb manufacturer. I have developed an ever-lasting light-bulb. How much should I sell it for? What will the increase in our share-price be? www.deepakpareek.com

69. Additional Information It cost £20 million to develop the product. It costs £5 to make the product Normal Lightbulbs Cost £0.5 to manufacture Are sold to distributers for £0.25 Who sell to retailers for £0.50 Who sell to the customer for £0.75 What about the markets? Cannibalisation? Government? www.deepakpareek.com

70. Case 2: Three The Company Hutchison Whampoa Owned by Li KaShing ($20bn) Family interests of $630bn Owns ports, telecoms, property (Hong Kong) The Context 3G Telecoms: video & music over the phone 1999: UK first gov. to sell 3G licences 2000 – 2005: Followed by most others www.deepakpareek.com

71. Case 2: Three The Decision Should Hutchison buy a 3G licence in the UK? How much should they pay for it? What strategic issues should they look out for? www.deepakpareek.com

72. Links http://www.vault.co.uk http://www.mca.org.uk http://www.mbajungle.com http://www.consultingcentral.com http://www.feaco.org http://www.mca.org.uk http://www.amcf.org www.deepakpareek.com

73. Contact Us www.deepakpareek.com deepak@deepakpareek.com www.deepakpareek.com +91 9898269489