【正文】 and Privatization consulting Audit and legal services IT consulting High value added consulting Start of the economic transformation Overview of management consulting 12 . Kearney / Szko?a Biznesu im. Kozminskiego / May 28, 20xx / shj The development stages in Poland were significantly different than in Western Europe Source : . Kearney 1998 20xx 1994 1997 1990 1993 External trends ? Start of economic transformation ? Privatization of state own enterprises ? Fast growth of the economy ? Development of the free market institutions (. stock exchange) ? Acquisitions by foreign investors ? Consolidation of the economy ? Increased petitive preasure ? Acquisitions and post merger integrations ? Big ticket privatizations Consultants’ value proposition ? Privatization ? Financial valuation ? Privatization/Due Dilligence ? IT consulting ? Restructuring ? Efficiency improvement ? Reanization/Reengineering ? Strategy ? IT consulting Key players ? Small Polish panies ? Smaller foreign panies specialized in financial / privatization consulting ? Big five ? Specialized Polish panies ? Big five ? . Kearney ? McKinsey ? BCG, ... Key factors for success ? Relationships ? Prices ? Local knowledge ? Quality standards ? Value added ? Global work ? Relationship Major client group ? State administration ? Largest Polish stateowned enterprises ? Foreign investors ? Foreign investors ? Largest Polish, privately owned corporations Overview of management consulting 13 . Kearney / Szko?a Biznesu im. Kozminskiego / May 28, 20xx / shj The consulting market in Poland is still significantly different than in other countries Differences Drivers ? Low sophistication of the market. Many potential clients do not recognize the need for consulting services ? Brand names of global players not known ? Consulting fees relatively higher in relation to personal costs ? Two groups of clients: ? International panies entering Poland ? Largest Polish panies of which many are state owned ? Local shortage of consulting and industry knowledge and experience ? Market dominated by financial and tax advisory ? Local consultancies enjoy important market position in Poland ? Different product offerings and selling strategies for domestic and for international clients ? Need to transfer knowledge and experience from developed markets Overview of management consulting 14 . Kearney / Szko?a Biznesu im. Kozminskiego / May 28, 20xx / shj Consulting market in Poland is still dominated by financial and tax advisory services 20%22%3%4%11%12%34%Percentage of panies using different consulting services Source : BOSSGospodarka Financial and tax advisory Quality management Business strategy Human resources Public relations Other Do not use consulting services Overview of management consulting 15 . Kearney / Szko?a Biznesu im. Kozminskiego / May 28, 20xx / shj In parallel to worldwide brands, local consultancies enjoy important market position in Poland Polish subsidiaries of global consultancies ? Dominant strategies: ? Focus on longterm relationship with client ? Focus on several key products / industries ? Key success factors ? Global work ? Combination of industry and local knowledge ? Tangible results ? Targeted client segment ? International panies ? Largest Polish corporations from strategic industries ? Products ? Value added projects ? Dominant strategies ? Niche players ? Specialization in one product / industry ? Key success factors ? Price ? Personal relationships ? Targeted client segment ? Small and medium enterprises ? State and local governments ? Products ? Offtheshelf reports ? Company valuations ? Issuing prospectuses ? Feasibility studies Local panies Overview of management consulting 16 . Kearney / Szko?a Biznesu im. Kozminskiego / May 28, 20xx / shj Clients can be split into two groups having different expectations regarding consulting services International clients Local clients ? Products ? Market entry strategies ? Distribution strategies ? Post merger integration of acquired local panies ? Efficiency improvement in acquired panies ? Projects sold mostly outside Poland (at the HQ level) ? Cooperation characteristics ? Used to work with consultants ? Used to consulting fees ? Expect involvement of own staff ? Value added driven ? Products ? Strategy development ? Marketing strategies ? Restructuring ? Cost reduction ? IT systems ? Projects sold in Poland ? Cooperation characteristics ? Used to work with consultants ? Used to consulting fees ? Expect consultants to do ―everything‖ ? Price driven Overview of management consulting 17 . Kearney / Szko?a Biznesu im. Kozminskiego / May 28, 20xx / shj Global highvalueadded consulting panies will have an advantage over local consulting panies because global panies Can leverage worldwide intellectual capital and experience Still have necessary local capabilities Global capabilities and support Online access to intellectual capital, data bases, benchmarks Training and global project experience for local consultants Overview of management consulting 18 . Kearney / Szko?a Biznesu im. Kozminskiego / May 28, 20xx / shj . Kearney as a strategic management consulting firm 19 . Kearney / Szko?a Biznesu im. Kozminskiego / May 28, 20xx / shj ? Founded in 1926 ? International scope ? 65 offices in 34 countries ? Over 3000 consultants ? Since 1996, . Kearney is the second largest strategic management consulting firm in the world ? Over 3000 projects engagements per year ? 1,4 bln USD turnover in 20xx ? Since 19