Senior Management Consultants Migrate

4 Pages·1994·0.45 MB·English

INPUT
Research
Bulletin
A Publication from INPUT’S Business Integration Programme - Europe
Voi. V, No. 22 December 1994
Management
Senior Consultants
Migrate
Business Integrator’s increasing requirement profile personnel from Big Six management
for business consulting skills has lead to a consultancies to vendors of business
period of intensive recruitment from audit- integration (BI) services, as summarised in
based management consultants. Exhibit
1.
However, as Digital Equipment Corporation’s Business consulting skills have been highly
recent experience has demonstrated, this sought for some time by equipment
policy produces serious challenges in manufacturers, system integrators, and
attempting to forge a new enterprise-wide software houses.
culture from the disparate styles of
new However, these moves suggest that BI
aggressive, high-profile recruits.
vendors are pursuing a more strategic agenda
INPUT believe that those vendors who can than the occasional tactical hire of a suitable,
negotiate this period of change successfully available consultant.
will be subsequently well positioned to:
Perhaps the most high profile of these recent
• Clearly differentiate their reshaped and moves has been that of John Pendleburys to
enhanced service offering in the EDS. Pendlebury, a long-term executive
&
marketplace partner at Coopers Lybrand, has been
EDS
brought in by to run its European
• Gain leverage from their own experience consulting practice, which has grown over the
of change in future client engagements. last nine months to around 400 people.
industry Figures on the Move
Pendlebury has already been followed by a
number of less senior, but highly experienced,
Recent months have witnessed a noticeable
consultants from Coopers’ IT consulting
and significant trend in the movement of high
division.
©1994 by INPLfT. Reproduction prohibited. BIPR-E
Exhibit 1
Senior Management Consultant Migration Paths
9
Source: INPUT
These European developments are a part of a Coster has recently hired another senior
worldwide development. EDS have also made Coopers partner, Winston Muktarsingh, and
important hires from Andersen Consulting, has been active in making other senior hires
McKinsey, and Arthur D. Little (ADL). Bryam from PA Consulting, Ernst & Young, and
Johnston from Andersens has been recruited Price Waterhouse, to support the
to run EDS’s Asia Pacific interests; Andrew 'Customerize' initiative, which is now the
Power, ex-McKinsey, is establishing a market- foundation stone of the delivery of all
leading vertical presence in healthcare and business integration services.
ADL
insurance; two dozen aerospace industry
consultants have also recently been recruited. Other B1 vendors, such as ICL and SHL
Sytemhouse, are also examining opportunities
EDS’ change in management and business re- to undertake similar recruitment activity; ICL
engineering competencies are headed by ex- as part of an overall re-assessment of skills
Gemini Consulting partners. Communications requirements wdthin their professional
& SHL
is run by an ex-Deloitte Touche partner, services operations, and as part of a
and the consumer goods practice by a former strategic movement to substantially expand
senior Price Waterhouse partner. their European business.
These developments at EDS are echoed by The Resulting Culture Clash
those at Unisys where the ex-head of
DEC
Coopers’ consulting operations, Malcolm Recent developments at provide perhaps
Coster, is now running Unisys Europe and the clearest evidence that the strategic vision
SHL
Africa. EDS, Unisys, ICL, and are pursuing is
awash with potential tactical problems.
2
©1994 by INPUT. Reproduction prohibited.
INPUT Research
Bulletin
DEC
Gresh Brebach’s departure from in June The large management consultancies have
1994 illustrates that the complex and often themselves undergone much of the pain of
widely misunderstood issue of culture is of cultural change, driven by the pre-
crucial significance in the transformation of recessionary drive for market share, which
KPMG
organisations. Issues of culture are at the led to the merger that formed Peat
crux of all people businesses. Marwick, and the mega merger between
Coopers & Lybrand and Deloitte Haskins &
Brebach, who was hired in April 1993 (see Sells. KPMG’s experience and that at the now
Business Integration Programme - Europe, renamed Coopers & Lybrand (after a brief
Research Bulletin Volume W, Number 10) to time as Coopers & Lybrand Deloitte)
run dec’s worldwide systems integration and demonstrates that there are many casualties
professional services business, was an of often bitter and intense restructuring
DEC
extremely strong candidate to push attempts to derive a new culture from two
through the painful transition of becoming a existing ones.
predominately services orientated company.
Whether the moves made by EDS and Unisys
Ex-Andersen and McKinsey, Brebach’s are successful remains to be seen. EDS will
recruitment signalled DEC’s commitment to for some time be a melting pot of
the aim of helping their clients to utilise management consultancy cultures. Either a
technology for the sake of the business, hybrid EDS culture, distinct, robust, and
rather than for the sake of utilising marketable, will emerge, or the differences
technology.
will lead to a difficult period of internal
struggle in which focus on the marketplace
The fact that Brebach was unsuccessful in
will be undermined and the very advantages
fulfilling his remit is illustrative of the power of the exercise will be lost.
of ingrained culture, and the difficulty of
New
changing it, even where there is senior Cultures will Offer
executive commitment. Marketplace Opportunities
Change in any sphere, be it operational or Success in this period will offer BI vendors a
strategic, is a long-term exercise which brings clear differentiation opportunity in the
dislocation, pain and self-doubt. Changing marketplace, as shown in Exhibit 2.
culture increases these experiences by a
factor of ten.
3 ©1994 by INPUT. Reproduction prohibited.
Exhibit 2
Current and Future Positioning of Bl Vendors Skill Profiles
strong
A
Technical
Skills
?
Weak
Source: INPUT
Technical“based BI verxdors, with enhanced increasingly business-conscious environment,
and revamped business consulting skills, but an environment that is still technology
especially in the soft areas of change driven.
management, will be well positioned to help
their clients introduce and manage new The other key gain vendors will achieve is the
emerging technologies and management ability to leverage, from reference through to
approaches. delivery, their own experience of undergoing
and benefiting from change.
The market proposition of business enabling
technology will be a powerful message in the
This Research Bulletin is issued as part of INPUT'S Business Integration Programme. If you have any
questions or comments on this bulletin, please call your local INPUT organisation or Ben Pring at:
WIX
INPUT, 17 Hill Street, London, 7FB, [phone].
4
©1994 by INPUT. Reproduction prohibited.