kennedy operations management consulting
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Research Summary
Operations Management Consulting Marketplace 2010-2013:Key Trends, Profiles and Forecasts
Part of Kennedy’s Management Consulting Research
Ashley M. Newton, Associate Director, Research
Erick Burchfield, Senior Director, Research Management
Operations Management Consulting Marketplace 2010-2013
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Operations Management (OM) consulting is one of the most vibrant areas of
consulting and is experiencing renewed attention from clients and consultants
— after all, it is strategic plans and broad business objectives that are translated
into action. OM consulting is at the heart of sound business management and
performance. Whether clients are looking to cut costs or grow revenues, OM
consulting is a key tool for achieving these goals.
And while the maturation of the global consulting industry may have slowed the
growth of many other service lines, particularly strategy, client maturation has only
served to improve the effectiveness of OM consulting. Mature clients demand
tangible results from their consulting investments — and the more accurately these
results can be measured, the better. In addition, client maturation improves the
effectiveness of OM engagements because clients better understand how to use OM
consultants; however,
it places considerable
pressure on OM
consulting practices
to evolve their
approach, prompting
them to hire more
consultants with
direct industry
experience and
develop a more
robust support
infrastructure.
Operations Management Consulting Marketplace 2010-2013 is Kennedy Consulting Research & Advisory’s comprehensive analysis of the full
spectrum of Operations consulting across services sub-segments, geographic regions, and
client industries. The research examines key drivers shaping client demand for operations
consulting services, the current market trends, and provides exclusive market size and
growth estimates. In further analysis of the consulting landscape, Kennedy identifies the
leading providers of operations consulting services.
The following summary provides some high level findings from within the market
coverage provided. For detailed findings, please refer to the complete study.
1 OM Consulting Market Size and Growth Forecast, 2009-2013
Source: Operations Management Consulting Marketplace 2010-2013; Kennedy Consulting Research & Advisory abridged estimates
“We believe the OM segment of consulting continues to be the most valued piece of the consulting industry from strategy to IT implementation – it’s where the rubber meets the road and where value is delivered. Executives know that business strategies fail without appropriate operational strategy and implementation. While all the other consulting markets, like strategy, BPO, and IT, are valuable and generate significant firm revenue, the OM space is just white hot.”
Scott Hefter –Global Managing Director
PRTM
Operations Management Consulting Marketplace 2010-2013
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Key MarKet trends
As corporate profits slowly return to pre-crisis levels, many client organizations report they have wrung as much cost from their operations as possible through quick-hit cost-reduction efforts. Attention is starting to turn to cost-effective revenue growth and broader transformation cost-reduction initiatives.
Kennedy analysts find that clients are looking to leverage existing assets and business infrastructure – which in many instances were altered by the cost-cutting that took place during the downturn – to gain market share from competitors. Covering the spectrum of complexity, these initiatives range from targeted to broad. Targeted projects, in the view of the client community, are exemplified by inventory management engagements to determine whether to further invest in inventory or to adequately optimize existing inventory across a range of demand scenarios. In contrast, a typical broader project revolves around an analysis of the overarching operating structure, proceeding through the development and implementation of a new operating model.
The financial crisis and global economic recession have changed the competitive dynamics that clients face as well. Above all, clients overwhelmingly perceive the business environment as more volatile. Past experience has created awareness of the costs associated with volatility, the repercussions of which are ever more widespread due to the increasingly global nature of operations and the speed at which information is transferred. As the research details, these client influences have increased the level of visibility of, and improved their approaches toward, managing risk within the business.
Overall, market uncertainty is pervasive and growth is widely variable within different geographic regions; product lifecycles are shortening and customer demand faces rapid turnover; global political dynamics are unstable, especially as some emerging markets, such as China and India, seek to evolve their participation in global markets; and the potential for new regulations that may require substantive changes to operations hangs over everything.
Operations Management Consulting Marketplace quantifies the anticipated impact of these and other influences in the full report, and further examines the major internal and external drivers of consulting spend.
Capabilities Summary for Noteworthy OM Practices, 2010
“One of the most interesting developments in OM is the need and ability for clients to transform beyond the corporate frontiers. It’s a fascinating challenge. What a company can deliver to its clients is dependent on its Tier 1 and Tier 2 suppliers, which have a huge impact on the value proposition of delivery. Companies are working with us to help them transform all stages of a company’s global supply chain, with a focus on supplier engagement.”
Bruce Simpson –Partner and Global
Knowledge Development Leader, Operations practice
McKinsey & Company
Source: Operations Management Consulting Marketplace 2010-2013; Kennedy Consulting Research & Advisory
Practice Performance Improvement
Operations Risk
Financial Operations
Organizational Operations
Customer Interaction Management
R&D, Product, and Service Development Operations
A.T. KearneyABeamAccentureAlexanderProudfootAlixPartnersAlvarez & MarsalArthur D. LittleAtos OriginBain & CompanyBCGBooz &CompanyBooz AllenHamiltonCapgeminiCelerantConsultingCSCDeloitteErnst & YoungHighland WorldwideHitachiConsultingHuron ConsultingIBMIneumInfosysKPMGInternationalKurt SalmonAssociatesMarsh RiskConsultingMcKinsey &CompanyNavigantOliver WymanPA Consulting GroupPRTM
See research for ratings on over 30
Operations Management Consultin
g practices
2
Operations Management Consulting Marketplace 2010-2013
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How Operations Can Fuel Growth: Revisiting the Operating Model
Source: Operations Management Consulting Marketplace 2010-2013; Kennedy Consulting Research & Advisory
Client spending, MarKet size, and growth ForeCasts
Kennedy’s exclusive research on OM consulting markets provides in-depth data and comprehensive assessments on the current size and forecasted demand from the global market for specific OM consulting services.
Analysis sizes the current market and provides growth forecasts across the following taxonomy:
Operations Management Sub- Segments Analyzed in the Research
Key Geographic Regions Analyzed in the Research
Financial Operations •
Operational Risk•
Organizational Operations•
Performance Improvement •
Customer Interaction Management•
R&D and PSD Operations•
North America•
Europe, Middle East and Africa • (EMEA)
Asia Pacific•
Latin America•
Client Vertical Industries Analyzed in the Research
Communications and Media •
Consumer Packaged Goods (CPG)•
Energy •
Financial Services•
Healthcare•
Manufacturing •
Public Sector•
Retail •
Utilities•
Other Industries•
For in-depth analysis of all OM consulting trends, drivers and inhibitors, including details on the specific trends affecting each OM consulting industry segment and key geography, please refer to complete research.
“Clients are sensitive to operational efficiency. They’ve had a difficult time in the past making strategy and operations meet. Over the next three to five years, clients are really focused on bringing their strategic direction down to the tactical operations. So it’s very important to clients for consultants to be able to translate strategy into execution. Clients are working very hard now to figure out how that translates down into the organization.”
Andy Mayfield –Vice President
of Business Performance Services
The North Highland Company3
Operations Management Consulting Marketplace 2010-2013
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the operations ManageMent Consulting landsCape
The OM consulting market consists of a highly diversified set of providers and types of consulting services aimed at improving clients’ business performance. This is in part a reflection of how operations consulting work benefits from impressive synergies with the strategy, financial consulting (FC), IT consulting, and, to a more limited extent, HR consulting service lines. In fact, few firms approach OM consulting from a purely operations standpoint, but even those that do are expanding that approach to include components from other service lines.
Larger firms that serve the OM market have been the leaders in developing services and practice orientations that leverage complementary capabilities from other practice areas to provide and take advantage of unique offerings. Firms with a heritage in FC exemplify this as they bring skills either in deep financial analysis, tax advisory or business restructuring to bear on operational challenges for clients.
Research indicates that, overall, the OM consulting market is fiercely competitive, particularly in terms of fee pressure and because of the sheer number of providers which keeps rates relatively lower than that of other service lines. This competitive environment is visible to client organizations as OM practices continually improve and innovate their services, capabilities, and thought leadership as a way to differentiate.
This high level of competition in the OM consulting market continues to drive convergence among the types of providers and the types of services they deliver. Firms with heritages in the major service lines are all seeking to expand their OM consulting services, and to do so through leveraging their historical consulting strengths.
Operations Management Consulting Marketplace offers a variety of additional critical insights into the OM consulting market landscape. Among them are: rankings of the largest OM consulting practices by revenue, and an assessment of notable mergers and acquisitions.
“Many of our clients, not surprisingly, have prioritized surviving the financial crisis and focusing on cost reduction, etc. Now there is a much higher focus on the growth agenda, especially in the mature markets, where it’s harder to grow than in emerging markets. It’s about selling better to existing customers, taking share, cross-selling, etc. – so there is huge client interest in areas around pricing and customer economics and analytical capabilities.”
Lars Weigl –Global Head
of Performance Improvement practice
Ernst & YoungService Line Convergence in Operations Management Consulting Landscape
Source: Operations Management Consulting Marketplace 2010-2013; Kennedy Consulting Research & Advisory
4
Operations Management Consulting Marketplace 2010-2013
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Low High
Hig
hLo
w
7 Practices Advancing
31 Practices Assessed - in Total
Breadth of Consulting Capabilities
Dep
th o
f C
onsu
lting
Cap
abili
ties
Advancing Service Breadth or Depth Neutral Diminishing Service Breadth or Depth
7 Practices inthe Vanguard
The Kennedy Vanguard for oM ConsulTing PraCTiCes, 2010The research features exclusive rankings of the most powerful consultancies in the OM consulting market. In determining each Kennedy Vanguard for OM Consulting Practices, 2010, Kennedy analysts assessed firms on the relative breadth and depth of their respective capabilities within the OM consulting marketplace.
The Kennedy Vanguard provides clients with expert perspective on the relative strengths and weaknesses of the leading providers, as well as the cumulative impact that specific dynamics in the OM market — and each industry segment — have on competitive positioning. For example, only seven of the 31 firms Kennedy assessed rated strong enough to be in the Kennedy Vanguard for OM Consulting Practices.
For more details, including a summary of placement and projection of momentum for each, see complete research.
“Regardless of the economic situation, ‘Operational Performance Excellence’ is always on the minds of executives, especially where significant gains and improvements can be achieved across the organization. It is a topic that is high on the CEO’s agenda and one that provides a “sharp lens” on the business– what is working and not working. Even the role of the consultant is changing from one who gives advice to one who shares the risk and guarantees the success of the project.”
Carsten Vollrath –Operations Management
Global Practice Leader Arthur D. Little
6 The Kennedy Vanguard of OM Consulting Practices, 2010
Source: Operations Management Consulting Marketplace 2010-2013; Kennedy Consulting Research & Advisory
Operations Management Consulting Marketplace 2010-2013
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Capabilities ratings & details on seleCt oM Consulting praCtiCes
Operations Management Consulting Marketplace profiles and rates the service capabilities of a select group of leading consulting practices, including:
Accenture •
A.T. Kearney •
Bain & Company •
Booz & Company •
Booz Allen Hamilton •
The Boston Consulting Group •
Celerant Consulting•
Deloitte •
Ernst & Young •
Highland Worldwide, including • The North Highland Company
IBM•
KPMG International •
Kurt Salmon Associates•
McKinsey & Company •
PRTM •
PwC•
Roland Berger Strategy • Consultants
Each firm profiled details OM consulting practice revenue, growth rate, service capabilities (by geography, practice and staffing), service emphasis (consulting and outsourcing), and Kennedy analysts’ exclusive “Insights and Strategy” on each firm.
ranKings oF the largest oM Consulting praCtiCes by revenue
OM Consulting Marketplace features exclusive rankings of the largest consultancies in the OM consulting market. With annual revenues and year-over-year changes in revenues, the analysis gives extensive clarity into the current trajectory of the most significant OM practitioners.
OM Consulting Marketplace is organized as follows:
MARKET TRENDS looks at the market trends and factors affecting growth for services in the OM consulting marketplace.
MARKET SIZE AND GROWTH FORECASTS details the size of the OM consulting market and its projected growth. This section slices the market by consulting service line, region and client industry.
THE OM CONSULTING LANDSCAPE presents in-depth analysis of recent actions by leading players in the market and discusses the implications these moves have on the future of the market.
PROFILES OF SELECT OM CONSULTING PRACTICES profiles OM consulting firms featured in this report.
METHODOLOGY includes more information about Kennedy’s research process.
ABOUT KENNEDY CONSULTING RESEARCH & ADVISORY illustrates the vast array of marketing intelligence Kennedy has to offer consultants, consulting firms and their clients.
THE AUTHORS offers a brief bio on each of the contributors to this research.
“In the past, when the economy was stronger, there was room for everyone to grow, so competition was not so intense compared to recent times. Now clients have to compete more effectively with their competitors, which means that the issues become more complex along with the solutions to these issues. It is harder to determine what clients need to do to be more competitive. In the past, it was easy to find the solutions because the market was growing. This is the main change in the OM market from the past.”
Ichiro Hara –Business Transformation
Practice Leader ABeam Japan
Operations Management Consulting Marketplace 2010-2013
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Operations Management Consulting Marketplace 2010-2013
Notice: No part of this publication may be reproduced, stored in a retrieval system or transmitted by any means, electronic or
mechanical, without the prior written permission of Kennedy Information, a BNA business, Peterborough, NH USA
© 2010 BNA Subsidiaries, LLC
iii
Table of Contents
Executive Summary ......................................................................................................................... 9�Market Trends ........................................................................................................................................................... 11�Consulting Market Size and Growth ..................................................................................................................... 14�The Operations Management Consulting Landscape ......................................................................................... 19�Market Trends ................................................................................................................................ 29�Overview .................................................................................................................................................................... 29�
The OM Market: Then and Now .................................................................................................................. 29�Client Focus Turning From Short-Term Cost Reduction to Revenue Growth and Long-Term
Cost Reduction ................................................................................................................................................. 31
Using Operations as a Platform for Growth ............................................................................................... 33�The Need to Ensure Global Operations Alignment and Flexibility ........................................................ 35�Better Managing Partnerships ........................................................................................................................ 36�Improving the Customer Experience ........................................................................................................... 37�Supply Chain as Growth Lever ..................................................................................................................... 41�Improving Innovation Efforts: R&D and Product/Service Development ............................................ 41�International and Local Market Client Challenges in Emerging Markets ............................................... 41�International Clients ........................................................................................................................................ 42
Local Market Clients ....................................................................................................................................... 43
Client Concern Over Sustainability Mounts, Though Investment Remains Muted ............................. 43
Drivers of Sustainability Operations Consulting ........................................................................................ 44�Operational Risk Remains a Concern ........................................................................................................... 48
M&A, Post-Merger Integration, and Operational Restructuring ............................................................. 49
Market Size and Growth Forecasts ................................................................................................ 55�Overall Growth Projections .................................................................................................................................... 55�Forecast by Service Line .......................................................................................................................................... 59�
Financial Operations ....................................................................................................................................... 60
Organizational Operations ............................................................................................................................. 62
Performance Improvement ............................................................................................................................ 63
Customer Interaction Management .............................................................................................................. 66
R&D and PSD Operations ............................................................................................................................ 68
Forecast by Geography ............................................................................................................................................ 69�North America ................................................................................................................................................. 69�Europe, Middle East, and Africa (EMEA) .................................................................................................. 73�Asia Pacific ........................................................................................................................................................ 77�Latin America ................................................................................................................................................... 82�
Operations Management Consulting Marketplace 2010-2013
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Operations Management Consulting Marketplace 2010-2013
© 2010 BNA Subsidiaries, LLC
iv
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mechanical, without the prior written permission of Kennedy Information, a BNA business, Peterborough, NH USA
Forecast by Client Industry ..................................................................................................................................... 85�Communications and Media ........................................................................................................................... 87�Consumer Packaged Goods ........................................................................................................................... 88�Energy ................................................................................................................................................................ 90�Financial Services ............................................................................................................................................. 91�Healthcare .......................................................................................................................................................... 92�Manufacturing ................................................................................................................................................... 93�Public Sector ..................................................................................................................................................... 94�Retail ................................................................................................................................................................... 95�Utilities ............................................................................................................................................................... 96�Other Industries ............................................................................................................................................... 97�
The Operations Management Consulting Landscape ................................................................... 99�Overview of Firms Serving the Market ................................................................................................................. 99�
OM Market Dynamics ................................................................................................................................... 102�Strategy Consultants Expanding Into OM ................................................................................................. 103
OM Consultants Expanding Into Strategy and IT Consulting ............................................................... 105
Financial Consultants Expanding Into OM ............................................................................................... 105
IT Consulting Expanding into OM ............................................................................................................. 108
Multi-Service IT-Focused Consultancies .................................................................................................... 108
Indian-Heritage IT Services Firms .............................................................................................................. 109
OM Consulting and Partnerships ................................................................................................................ 111�Firm Networks and Partnerships Between Niche Firms ......................................................................... 113
Partnerships With Tax Advisors .................................................................................................................. 116
Largest OM Consulting Practices ................................................................................................................ 117�Midsize OM Consulting Practices ............................................................................................................... 119�Capabilities Summary for Leading and Select OM Practices .................................................................. 120�
Qualitative Evaluation of Operations Management Consulting Capabilities ................................................ 123�Qualitative Assessments of Consulting Practices: Overall Assessment ................................................. 123�Performance Improvement .......................................................................................................................... 131�Operations Risk Management ...................................................................................................................... 133�Financial Operations ...................................................................................................................................... 134�Organizational Operations ............................................................................................................................ 135�Customer Interaction Management ............................................................................................................. 136�R&D, Product, and Service Development Operations ............................................................................ 137�
Trends in the Landscape ........................................................................................................................................ 139�Increasing Need to Specialize Consulting Services ................................................................................... 139
Operations Management Consulting Marketplace 2010-2013
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Operations Management Consulting Marketplace 2010-2013
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mechanical, without the prior written permission of Kennedy Information, a BNA business, Peterborough, NH USA
© 2010 BNA Subsidiaries, LLC
v
Bifurcation in Project Size and Delivery .................................................................................................... 140
Client Focus on Project Outcomes and Collaboration ............................................................................ 142
Ensuring the Right Consultant Is Selected ................................................................................................ 143
Ensuring the Consultant Is Invested in the Project (and the Relationship) ......................................... 144
Ensuring Internal Engagement .................................................................................................................... 148
Importance of OM Consulting Assets ....................................................................................................... 151
Profiles of Select Consulting Practices ......................................................................................... 155�Accenture ........................................................................................................................................................ 156
A.T. Kearney .................................................................................................................................................. 160
Bain & Company ........................................................................................................................................... 165
Booz & Company .......................................................................................................................................... 169
Booz Allen Hamilton .................................................................................................................................... 174
The Boston Consulting Group .................................................................................................................... 178
Celerant Consulting ....................................................................................................................................... 183
Deloitte ............................................................................................................................................................ 188
Ernst & Young ............................................................................................................................................... 193
Highland Worldwide, including The North Highland Company ........................................................... 198
IBM .................................................................................................................................................................. 204
KPMG International ..................................................................................................................................... 209
Kurt Salmon Associates ................................................................................................................................ 214
McKinsey & Company ................................................................................................................................. 218
PRTM .............................................................................................................................................................. 226
PwC .................................................................................................................................................................. 230
Roland Berger Strategy Consultants ........................................................................................................... 235
Methodology ................................................................................................................................. 241�Definition of Operations Management Consulting ................................................................................. 241�Further Note on Exclusions From OM ..................................................................................................... 244
About Kennedy Consulting Research & Advisory ........................................................................ 245�Consulting Research Usage Inquiry Guidelines .......................................................................... 246�The Analysts .................................................................................................................................. 247�
Operations Management Consulting Marketplace 2010-2013
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Operations Management Consulting Marketplace 2010-2013
Notice: No part of this publication may be reproduced, stored in a retrieval system or transmitted by any means, electronic or
mechanical, without the prior written permission of Kennedy Information, a BNA business, Peterborough, NH USA
© 2010 BNA Subsidiaries, LLC
vii
Table of Figures
Figure 1. Trends Shaping Demand for OM Consulting Services, 2009 through 2013 .................................. 11�Figure 2. OM Consulting Market Size and Growth Forecast, 2009-2013 ....................................................... 15�Figure 3. OM Consulting Market Size and Growth Forecast by OM Segment, 2009-2013 ......................... 17�Figure 4. OM Consulting Market Size and Growth Forecast by Geographic Region, 2009-2013 .............. 19�Figure 5. Overview of Firms Serving OM Market and Service Emphasis/Differentiation .......................... 20�Figure 6. Largest Operations Management Consulting Practices by Revenue ............................................... 22�Figure 7. Examples of Firms With OM Consulting Revenue Between $100M and $325M, 2009 .............. 24�Figure 8. Capabilities Summary for Noteworthy OM Practices, 2010 ............................................................. 25�Figure 9. OM Consulting Value Chain Areas of Emphasis: 2006 to 2013 ...................................................... 29�Figure 10. Global GDP Growth at Real Market Exchange Rates by Major Region: 2004 to 2013 ............ 31�Figure 11. S&P 500 Corporate Profits: 2006 to 2010 ......................................................................................... 32�Figure 12. How Operations Can Fuel Growth: Revisiting the Operating Model .......................................... 34�Figure 13. Annual US Business Bankruptcies, 1994-2010 ................................................................................. 37�Figure 14. Historical Market Performance of Customer Experience Innovators: 2006 to 2010 ................. 38�Figure 15. Trends Shaping Demand for Sustainability Operations Consulting Services, 2010-2013 .......... 45�Figure 16. Historical M&A Deal Value and Volume, 2006-2010 ..................................................................... 50�Figure 17. OM Consulting Market Size and Growth Forecast, 2009-2013 ..................................................... 56�Figure 18. OM Consulting Market Share by OM Segment, 2009 ..................................................................... 57�Figure 19. OM Consulting Market Size and Growth Forecast by Geographic Region, 2009-2013 ............ 58�Figure 20. OM Consulting Market Size and Growth Forecast by OM Segment, 2009-2013 ....................... 59�Figure 21. OM Consulting Market Size and Growth Forecast by OM Segment, 2009-2013 ....................... 60�Figure 22. Drivers and Inhibitors of Financial Operations Consulting, 2009-2013 ...................................... 61�Figure 23. Drivers and Inhibitors of Organizational Operations Consulting, 2009-2013 ............................ 62�Figure 24. Drivers and Inhibitors of Performance Improvement Consulting, 2009-2013 ........................... 63�Figure 25. Drivers and Inhibitors of Customer Interaction Management Consulting, 2009-2013 ............. 67�Figure 26. Drivers and Inhibitors of R&D and PSD Operations Consulting, 2009-2013 ............................ 68�Figure 27. North America OM Consulting Market Size and Growth Forecast, 2009-2013 ......................... 70�Figure 28. North America Operations Management Consulting Market Overview ...................................... 71�Figure 29. EMEA Operations Management Consulting Market Size and Growth Forecast, 2009-2013 .. 74�Figure 30. Trends Affecting Operations Management Consulting Market Growth in EMEA ................... 74�Figure 31. Asia Pacific OM Consulting Market Size and Growth Forecast, 2009-2013 ............................... 77�Figure 32. Trends Affecting Operations Management Consulting Market Growth in Asia Pacific ........... 79�
Operations Management Consulting Marketplace 2010-2013
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Operations Management Consulting Marketplace 2010-2013
© 2010 BNA Subsidiaries, LLC
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mechanical, without the prior written permission of Kennedy Information, a BNA business, Peterborough, NH USA
Figure 33. Latin America Operations Management Consulting Market Size and Growth Forecast,
2009-2013 ................................................................................................................................................ 82�Figure 34. Trends Affecting Operations Management Consulting Market Growth in Latin America ....... 83�Figure 35. OM Consulting Market Share by Industry, 2009 .............................................................................. 85�Figure 36. OM Consulting Market Growth by Client Industry, 2009-2013 .................................................... 86�Figure 37. Communications & Media OM Consulting Drivers and Inhibitors, 2009-2013 .......................... 87�Figure 38. CPG OM Consulting Drivers and Inhibitors, 2009-2013 ............................................................... 88�Figure 39. Energy OM Consulting Drivers and Inhibitors, 2009-2013 ............................................................ 90�Figure 40. Financial Services OM Consulting Drivers and Inhibitors, 2009-2013 ......................................... 91�Figure 41. Healthcare OM Consulting Drivers and Inhibitors, 2009-2013 ..................................................... 93�Figure 42. Manufacturing OM Consulting Drivers and Inhibitors, 2009-2013 .............................................. 94�Figure 43. Public Sector OM Consulting Drivers and Inhibitors, 2009-2013 ................................................. 95�Figure 44. Retail OM Consulting Drivers and Inhibitors, 2009-2013 .............................................................. 96�Figure 45. Utilities OM Consulting Drivers and Inhibitors, 2009-2013 ........................................................... 96�Figure 46. Select Other Industries OM Consulting Drivers and Inhibitors, 2009-2013 ................................ 97�Figure 47. Overview of Firms Serving OM Market and Service Emphasis/Differentiation ........................ 99�Figure 48. Service Line Convergence in Operations Management Consulting Landscape ......................... 102�Figure 49. AlixPartners Consulting Approach .................................................................................................... 107�Figure 50. India-Heritage IT Firms’ OM Services and Expansion Approach, 2010 .................................... 110�Figure 51. Overview of Highland Worldwide .................................................................................................... 114�Figure 52. OM Market Concentration Levels, 2009 .......................................................................................... 117�Figure 53. Largest Operations Management Consulting Practices by Revenue ............................................ 118�Figure 54. Select Firms With OM Consulting Revenue Between $100M and $325M, 2009 ...................... 119�Figure 55. Capabilities Summary for Noteworthy OM Practices, 2010 ......................................................... 122�Figure 56. The Kennedy Vanguard of OM Consulting Practices, 2010 ......................................................... 125�Figure 57. Example Consulting Firm Investments in Expert Consultants .................................................... 139�Figure 58. OM Project Trends: Market Bifurcates as Number of Midsize Projects Declines .................... 141�Figure 59. Rising Client Sophistication Means Better Use of OM Consultants ............................................ 142�Figure 60. Suitability of OM Consulting Segment to Gain-Sharing or Fee-at-Risk Contracts ................... 147�Figure 61. Select Leading OM Practices and Their OM Assets ....................................................................... 152�Figure 62. Example of Capabilities Map ............................................................................................................. 155�Figure 63. Segments of Operations Management Consulting Market Defined ............................................ 242�
Operations Management Consulting Marketplace 2010-2013
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AbOuT KeNNedy CONSuLTING ReSeARCH & AdVISORy
Kennedy delivers a portfolio of business intelligence to help clients maximize the value of their consulting investments and to support consulting firms in improving performance. Kennedy’s research, analyst services, and advisory provide performance ratings and rankings of leading firms; client spending trends and insights; market forecasts; and actionable strategic insights across a comprehensive set of consulting service markets, including:
For details please contact your Kennedy Client Service Leader or e-mail [email protected].
Management ConsultingStrategy Consulting•
Corporate Financial Strategy •
Customer Strategy Consulting•
R&D Strategy Consulting•
Risk Management Consulting•
Operations Management Consulting•
Supply Chain Management Consulting•
Product & Service Development Consulting•
HR Consulting•
Human Capital Management Consulting•
HR Technology and Transformation Consulting•
Benefits Consulting•
Financial ConsultingTransaction Advisory Services •
Finance Management•
Forensics and Dispute Advisory•
Crisis Management and Recovery Consulting•
Financial Risk and Controls Advisory•
Tax Advisory•
IT ConsultingIT Strategy and Planning Consulting•
Information Management and Analytics •Consulting
Enterprise and Systems Architecture Consulting•
Industry PracticesConsumer Packaged Goods •
Communications and Media •
Energy •
Financial Services•
Healthcare •
High Tech •
Public Sector •
Utilities •
Consulting Firm ManagementFees & Utilization•
Compensation, Data, Trends, and Strategies•
Financial & Operational Benchmarks •
Strategic Alternatives •
Organizational Design and Performance•
Go to Market Strategy•
Competitive Differentiation•
Human Capital Strategy •
Client Satisfaction •
Geographic/Regional MarketsGlobal Consulting•
Asia Pacific Consulting•
Europe Consulting•
EMEA Consulting•
Middle East & Africa Consulting•
Latin America Consulting•
North America Consulting•