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Research Summary

Operations Management Consulting Marketplace 2010-2013:


Key Trends, Profiles and Forecasts

Part of Kennedys Management Consulting Research

Ashley M. Newton, Associate Director, Research


Erick Burchfield, Senior Director, Research Management

Operations Management Consulting Marketplace 2010-2013

Operations Management Consulting Marketplace 2010-2013


is Kennedy Consulting Research & Advisorys 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.
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,
OM Consulting Market Size and Growth
1 Forecast, 2009-2013
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.
Source: Operations Management Consulting Marketplace 2010-2013;

We believe the OM
segment of consulting
continues to be the
most valued piece of
the consulting industry
from strategy to IT
implementation its
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

Kennedy Consulting Research & Advisory abridged estimates

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Operations Management Consulting Marketplace 2010-2013

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
Capabilities Summary for Noteworthy
hangs over everything.
2

One of the most


interesting developments
in OM is the need and
ability for clients to
transform beyond the
corporate frontiers. Its
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
companys global supply
chain, with a focus on
supplier engagement.
Bruce Simpson
Partner and Global
Knowledge Development
Leader, Operations practice
McKinsey & Company

OM Practices, 2010

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.

Practice
A.T. Kearney
ABeam
Accenture
Alexander
Proudfoot
AlixPartners
Alvarez &
Marsal
Arthur D. Little
Atos Origin
Bain & Company
BCG
Booz &
Company
Booz Allen
Hamilton
Capgemini
Celerant
Consulting
CSC
Deloitte
Ernst & Young
Highland
Worldwide
Hitachi
Consulting
Huron Consulting
IBM
Ineum
Infosys
KPMG
International
Kurt Salmon
Associates
Marsh Risk
Consulting
McKinsey &
Company
Navigant
Oliver Wyman
PA Consulting
Group

Performance
Improvement

Operations
Risk

Financial
Operations

Organizational
Operations

Customer
Interaction
Management

R&D, Product,
and Service
Development
Operations

ces

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e
v
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o
ti
on nsul
ngs nt Co
i
t
a
r r eme
g
h fo
arc Mana
e
s
e
s
r
n
See eratio
Op

Source: Operations Management Consulting Marketplace 2010-2013;


Kennedy Consulting Research & Advisory

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 BNA Subsidiaries, LLC, a BNA business, Peterborough, NH USA.

2011 BNA Subsidiaries, LLC

Operations Management Consulting Marketplace 2010-2013

Client Spending, Market Size,

and

Growth Forecasts

Kennedys 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 SubSegments Analyzed in the Research

Key Geographic Regions Analyzed


in the Research

Financial Operations

North America

Operational Risk
Organizational Operations

Europe, Middle East and Africa


(EMEA)

Performance Improvement

Asia Pacific

Customer Interaction Management

Latin America

R&D and PSD Operations


Client Vertical Industries Analyzed in the Research
Communications and Media

Manufacturing

Consumer Packaged Goods (CPG)

Public Sector

Energy

Retail

Financial Services

Utilities

Healthcare

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.

How Operations Can Fuel Growth:


Revisiting the Operating Model

Clients are sensitive to


operational efficiency.
Theyve 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 its 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 Company

Source: Operations Management Consulting Marketplace 2010-2013;


Kennedy Consulting Research & Advisory

Notice: No part of this publication may be reproduced, stored in a retrieval system or transmitted by any means, electronic
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Operations Management Consulting Marketplace 2010-2013

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.

Many of our clients,


not surprisingly, have
prioritized surviving
the financial crisis
and focusing on cost
reduction, etc. Now
there is a much higher
Larger firms that serve the OM market have been the leaders in developing services
focus on the growth
and practice orientations that leverage complementary capabilities from other
agenda, especially in the
practice areas to provide and take advantage of unique offerings. Firms with a
mature markets, where
heritage in FC exemplify this as they bring skills either in deep financial analysis, tax its harder to grow than
advisory or business restructuring to bear on operational challenges for clients.
in emerging markets.
Its about selling better
Research indicates that, overall, the OM consulting market is fiercely competitive,
to existing customers,
particularly in terms of fee pressure and because of the sheer number of providers
taking share, crosswhich keeps rates relatively lower than that of other service lines. This competitive
selling, etc. so there
environment is visible to client organizations as OM practices continually improve and
is huge client interest in
innovate their services, capabilities, and thought leadership as a way to differentiate.
areas around pricing
and customer economics
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 and analytical
with heritages in the major service lines are all seeking to expand their OM consulting capabilities.

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
Service Line Convergence in Operations
consulting
4
Management Consulting Landscape
practices by
revenue, and an
assessment of
notable mergers
and acquisitions.

Lars Weigl
Global Head
of Performance
Improvement practice
Ernst & Young

Source: Operations Management Consulting Marketplace 2010-2013;


Kennedy Consulting Research & Advisory

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The Kennedy Vanguard

for

OM Consulting Practices, 2010

The 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.

The Kennedy Vanguard of OM Consulting Practices, 2010


Neutral

Diminishing Service Breadth or Depth

High

Advancing Service Breadth or Depth

Depth of Consulting Capabilities

7 Practices in
the Vanguard

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
CEOs 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

31 Practices
Assessed - in Total

Low

7 Practices Advancing

Low

Breadth of Consulting Capabilities

High

Source: Operations Management Consulting Marketplace 2010-2013;


Kennedy Consulting Research & Advisory

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 BNA Subsidiaries, LLC, a BNA business, Peterborough, NH USA.

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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

Deloitte

Kurt Salmon Associates

A.T. Kearney

Ernst & Young

McKinsey & Company

Bain & Company

PRTM

Booz & Company

Highland Worldwide, including


The North Highland Company

Booz Allen Hamilton

IBM

The Boston Consulting Group

KPMG International

Roland Berger Strategy


Consultants

PwC

Celerant Consulting

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 Kennedys research process.
ABOUT KENNEDY CONSULTING RESEARCH & ADVISORY illustrates the
vast array of marketing intelligence Kennedy has to offer consultants, consulting
firms and their clients.

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

THE AUTHORS offers a brief bio on each of the contributors to this research.

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Operations Management Consulting Marketplace 2010-2013


Operations Management Consulting Marketplace 2010-2013

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

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Operations Management Consulting Marketplace 2010-2013


Operations Management Consulting Marketplace 2010-2013
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

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or mechanical, without the prior written permission of BNA Subsidiaries, LLC, a BNA business, Peterborough, NH USA.

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Operations Management Consulting Marketplace 2010-2013


Operations Management Consulting Marketplace 2010-2013
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

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Operations Management Consulting Marketplace 2010-2013


Operations Management Consulting Marketplace 2010-2013

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

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Operations Management Consulting Marketplace 2010-2013


Operations Management Consulting Marketplace 2010-2013
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

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mechanical, without the prior written permission of Kennedy Information, a BNA business, Peterborough, NH USA

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 BNA Subsidiaries, LLC, a BNA business, Peterborough, NH USA.

2011 BNA Subsidiaries, LLC

12

Operations Management Consulting Marketplace 2010-2013

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. Kennedys
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:

Management Consulting

Industry Practices

Strategy Consulting

Consumer Packaged Goods

Corporate Financial Strategy

Communications and Media

Customer Strategy Consulting

Energy

R&D Strategy Consulting

Financial Services

Risk Management Consulting

Healthcare

Operations Management Consulting

High Tech

Supply Chain Management Consulting

Public Sector

Product & Service Development Consulting

Utilities

HR Consulting

Consulting Firm Management

Human Capital Management Consulting

Fees & Utilization

HR Technology and Transformation Consulting

Compensation, Data, Trends, and Strategies

Benefits Consulting

Financial & Operational Benchmarks

Financial Consulting

Strategic Alternatives

Transaction Advisory Services

Organizational Design and Performance

Finance Management

Go to Market Strategy

Forensics and Dispute Advisory

Competitive Differentiation

Crisis Management and Recovery Consulting

Human Capital Strategy

Financial Risk and Controls Advisory

Client Satisfaction

Tax Advisory

Geographic/Regional Markets

IT Consulting

Global Consulting

IT Strategy and Planning Consulting

Asia Pacific Consulting

Information Management and Analytics


Consulting

Europe Consulting

Enterprise and Systems Architecture Consulting

Middle East & Africa Consulting

EMEA Consulting
Latin America Consulting
North America Consulting

For details please contact your Kennedy Client Service Leader or e-mail research@kennedyinfo.com.

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 BNA Subsidiaries, LLC, a BNA business, Peterborough, NH USA.

2011 BNA Subsidiaries, LLC

13