By the Numbers: An AT Kearney Update

Ovum, a European industry analyst firm, just published the results of an interview with Mark Page, Vice-President and board member of AT Kearney. You can read Ovum's analysis and some of the discussion notes by clicking here. According to Ovum, AT Kearney currently has "has 176 partners worldwide, with another 1,300 to 1,400 consultants and around 700 support staff ... [the firm] is now a net recruiter, after being raided for staff last year during the period of uncertainty when EDS was finalising the sell-off." I might add to that last statement that AT Kearney also completed at least one material round of layoffs during the past year as well.

The article also reveals Kearney's revenue numbers throughout Europe, noting that the firm is "especially active in France, the UK and Germany, with annual revenues of roughly $50m, $50m and $140m, respectively." According to Page, Kearney is ahead of plan for this year, and hopes to grow in the "high single digits or maybe 10%" in 2006. There's no significant mention about the role of AT Kearney Procurement Solutions -- the firm's sourcing and supply managment arm -- in the article, but I've heard through the Spend Matters grapevine that the firm is attempting to emphasize strategy and process over category sourcing in client acquisition (though they'll still happily take your money to conduct auctions and implement category sourcing strategies). Perhaps the firm conducted a profitability analysis on its own practice and realized that basic strategic sourcing has become a lower-cost commodity that does not justify Kearney's famously high day rates.

Jason Busch

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