【正文】 s they need industry related consulting experience (+other way round, exmonopolists try to defend themselves against new market entries using the knowledge of external panies)2023/3/2127REASONS TO HIRE EXTERNAL CONSULTANTS (2/2)Reasons 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 inhouse expertise in Processes, technologies, industry best practices, and project management.2023/3/2128BENEFITS OF USING CONSULTANTS ? Subject matter expert: A consultant will save time and money by arriving to a solution to the client‘s needs at a faster pace because of past extensive knowledge and experience in dealing with other business owners. ? Objective point of view: A consultant will bring a refreshing outside point of view to the client‘s pany, which will pinpoint existing problems or reach faster solutions. ? Educate, inform: A good consultant will educate and inform the client as the task is pleted. ? Share information about industry and petition: This is essential to reaching pany goals. ? Assist with strategic planning which will help reach pany goals faster and easier. ? Offer innovative ideas2023/3/2129WORK AND LIFESTYLE CHARACTERISTICS? Work at client site? Work in team environment? Work with a variety of clients across industries? Assess client business and technical challenges? Develop solutions to move client forward? Extensive traveling ? Enriching learning experience? Cyclical overtime? Travel? Variety of responsibilities? Work with technology2023/3/2130TOP 10 WAYS TO KNOW YOU ARE DATING AN CONSULTANT1. Refers to lovemaking as a winwin.2. Valentine39。 Strategy? Advice and counsel about corporatelevel or businessunit strategies167。sseldorfBerlinWienZ252。 Graphics (from data to chart)2023/3/213Our Mission: Helping our clients create their future.zccy: MISSION AND VISIONOur Vision: To bee one of the world39。 Selected Methods (frameworks)216。 Introduction/Expectations216。 Consulting: Nature, Trends, Careers216。 Revenue ‘99: 8,9 Billion USD 167。 Selected Methods (frameworks)216。s Alice39。 ” Jose Campos, president of RapidinnovationCHANGING CUSTOMER EXPECTATIONS – SOME STATEMENTS2023/3/2134CHANGING CUSTOMER EXPECTATIONS ? Customer expect real added value? Standard Implementations are decreasing while individual endtoend solution bee much more important ? Unsuccessful 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 / startup panies)? Risk and reward sharing ? Equity payment? Payment in terms of %age of actual value added? On time delivery clauses in contract2023/3/2135INCREASING MARKET POWER OF THE TOP 20 CONSULTING COMPANIESFacts? 40 TOP Consulting Companies increased their market share in Germany from 42 to 45 % ? Average growth rate of the TOP Player: ~ 19,5 %/.? Smaller Consulting panies: ~ 4,0 %/.? Acquisitions of smaller and midsized consulting firms by the larger panies in order to diversify their market offer? Planned partly IPO of KPMG, Arthur D. Little, Andersen Consulting also investigating ? Increasing market power and influence through ventures, . AC Venture McKinsey’s “New Venture” Roland Berger bmp2023/3/2136SPLIT TAX/AUDITING – REASONS AND CONSEQUENCESReasons? . Security and Exchange Commission:Critical if Consulting Companies advice clients that are audited by the same pany ? Higher margins and growth rates in consulting? Inability for consulting part to raise money by going public as long as they are part of auditing paniesConsequences? Consulting panies can and will go public (. KPMG)? No more legal restrictions for consulting panies to advice other panies? Differentiation process will accelerate (increasing marketing activities)? Repositioning needs 2023/3/2137SPLIT TAX/AUDITING CONSULTING Examples? Andersen Consulting vs. Arthur Andersen:Arbitration Decision in order to allow Andersen Consulting to split from Arthur Andersen? KPMG:? IPO of KPMG Consulting Business? Cisco took 20% stake? Another 20% for the accounting part? Hewlett Packard interested to buy PriceWaterhouseCoopers’ Management and IT Consulting part? Cap Gemini to buy consulting piece of Ernst Young? . Kearney and EDS2023/3/2138STRATEGIC ALLIANCES OF zccy2023/3/2139ALLIANCES AND PARTNERSHIPS: SOME EXAMPLES ? Cap Gemini: Siebel Systems IBM Sun Microsystems Microsoft? KPMG: Compaq Cisco Microsoft JD Edwards? CSC: Peoplesoft Broadvision IBM Lucent