VOLUME 23
THE STRATEGY WALL
THE STRATEGY AND CONSULTING CLUB OF IIM ROHTAK
Business Models in Consulting Industry
“Strategy is about making choices, tradeoffs; it’s about deliberately choosing to be different.” - Michael Porter
Content 01
Business Models in Consulting Industry
03
WIPRO’S SHOPPING SPREE
05
Metaverse To Life
07
Deloitte and Relativity in India – A new chapter in post-COVID Consulting
09
STRATEGIES DEPLOYED… THE 21ST CENTURY SUCCESSFUL CORPORATES
BUSINESS MODELS IN CONSULTING INDUSTRY GREAT LAKES INSTITUTE OF MANAGEMENT (GLIM), GURGAON
Although consulting remains a traditional industry, three new
The traditional picture of consultants is strikingly absent
business models are gaining traction across the board.
from our findings. According to the research, the classic
Collaborative consulting, continuous consulting, and instant
leverage
consulting — or a combination of the three – are becoming
consultants, charging hourly fees, and focusing solely on
increasingly popular among consultancies.
advice – is still the most widely used. Only 15% of
model
consultancies
for
still
consulting
use
a
-
classic
employing
one-sided
young
strategy,
Navigating a fast changing world is difficult for consultants.
indicating that even traditionalists have included other
As a result, it's critical to stay up to date on industry trends.
parts into their business models.
We hope that by providing consultants with this large-scale, in-depth look at business model innovation, we will be able
According to a recent survey, rapid customer impact,
to assist them in developing their strategy in this area and
cooperation, and service specialisation have all become
provide them with some insight into the most recent trends
essential components of many consulting business models.
in the sector.
As a result, we discovered that collaborative consulting, continuous consulting, and instant consulting – or a combination
of
the
three
–
were
the
dominating
forthcoming models at most consulting firms when we looked at how they were hiring, delivering, and billing for their services.
PAGE 1
Collaborative consulting
Continuous consulting
By obtaining information from other firms, regular engagement amongst consultancies in a network on
The study's second model revolves around data analytics
different projects can help corporations build new
and subscriptions. Continuous consulting relies on the
proposals at a faster rate. This type of consulting business
utilisation of new tools or processes to speed up project
has low fixed costs since members can access talent not
delivery, with firms supplying these new services and
on their payroll as and when a suitable project arises —
processes to a group of current clients — resulting in
but it also has significant variable expenses, making long-
recurring revenue. This means that consulting firms that
term financial planning more challenging.
adopt a continuous model can expect a steady stream of revenue from their customers, almost like a consulting
Within collaborative consulting, there are two sub-
subscription, resulting in a high level of online contact
models. First, some consultancies use closed networks,
between the client and the firm.
which consist of a predetermined group of organisations
Continuous consultants' tools and processes entice
that collaborate on client assignments on a regular basis,
clients for recurring use since they make delivery easier
with others having to go through stringent selection
because they may help traverse frequently occurring
processes before being accepted into the network.
challenges and may be more up to date. Clients are more
Closed networks have the advantage that long-term and
likely to invest their long-term trust in established
more intense contacts lead to more intensive knowledge
companies, therefore it can be a tough sell for new
sharing and, as a result, improved value offers.
businesses. McKinsey Solutions, for example, comes within this group.
The Terra Numerata network, which Roland Berger is establishing to support the creation of digital business
Instant consulting
models, is an example of this. Finally, when consultants use an immediate model for Open networks, on the other hand, see consultancies and
their services, they look for ways to demonstrate their
other businesses work on projects in a variety of ways,
worth to clients as soon as possible. Instant consulting's
with various partners for different projects. During the
major asset is its speed, which is best suited to a
course of a project, partners may enter and exit at any
disruptive corporate climate where agility is critical to
time. This technique is preferred by consultancies
keep up with competitors. With consultants working
because it allows them to get a broader set of knowledge
with a client over a short period of time, businesses who
and improves their agility in responding to changing
use this type of service can see rapid and measurable
demand. OpenIdeo, a network that uses the Ideo design
results from day one of a project, helping them to gain
approach to solve significant societal problems through
ground on competitors or maintain their lead over new
collaborations, is an example of this.
market entrants. Because of its usage of gaming, this type of counselling requires less investigation before giving advice. People can witness for themselves how powerful gaming techniques can be in business by dissecting what games are and applying such a mind-set to real-life difficulties. The instant consulting model can teach employees in a client
organisation
the
fundamentals
of
financial
principles by organising short running games, then applying what they've learned to achieve quick gains.
PAGE 2
WIPRO’S SHOPPING SPREE RAMJAS COLLEGE (RC), UNIVERSITY OF DELHI (DU), DELHI
“Wipro is a global company delivering innovation led
Even though Wipro might seem to be on an
strategy, technology and business consulting services.”
uncontrollable shopping spree the strategic decisions
Wipro to acquire cybersecurity provider Edgile for 230
it undertakes is putting it on the forefront of the
million
cybersecurity
market. Wipro was behind its competitors for more
consulting provider that focuses on risk and compliance,
than a decade now it’s starting to gain prominence in
information and cloud security and digital identity.
the consultancy field. It is making a mark in the global
Edgile clocked 44 million dollars in revenue in the year
horizon
2020. Now this acquisition can add roughly according to
shopping spree was undertaken by Theirry Delaporte
analysts about 0.4% to Wipro’s consolidated revenue in
and Wipro has been acquiring emerging cybersecurity
fy23. Delaporte’s aggressive doubling down on winning
startups since the year started. Wipro has done 8
large deals is slowly putting the company on an
acquisitions since Theirry Delaporte took over as CEO.
undisputed throne of IT companies. Wipro and Edgile
Wipro Ventures went from a portfolio of 250 million by
will develop an integrated suite that will enable
investing in 25 companies in July 2021 to a portfolio of
organisation to accelerate their digital transformation.
nearly 2 billion. Cybersecurity is one of the areas of
dollars.
Edgile
is
US
based
Earlier this year Wipro secured its cybersecurity business by acquiring Ampion, a leading provider of cybersecurity services in Australia and the cybersecurity practice of Capco, a leading consultancy in the BFSI Sector in Europe and the US. Additionally, through its Wipro ventures arm it continues to invest in innovative cybersecurity new age startups. The firm invest in early to mid stage startup companies which enhances the portfolio. The biggest purchase of Wipro was Capco which cost it 1.45 billion dollars.
through
these
various
acquisitions.
The
investment mentioned by Theirry Delaporte. The Fortune India 500 ranks Wipro as the 29th largest Indian company. The company continues to strengthen its cybersecurity services aiming to be unchallenged in this sphere. Wipro
will
develop
Wipro
Cyber
Transform
an
integrated suite that will help enterprises enhance boardroom
governance
of
cybersecurity
risk,
in
collaboration with Edgile. This will attract new age enterprises to Wipro. Wipro is committed in providing state of the art cybersecurity services in the coming time. India’s IT firms are leaving its mark in the international domain.
PAGE 3
Wipro’s share price had jumped over 1% after the
We can safely say that Delaporte’s “New Wipro”
acquisition of Australian cybersecurity firm Ampion.
growth strategy which focuses on winning large deals
Shares of Wipro gained 3% in the early trades on
is
Tuesday 22 hours after the acquisition deal was signed
witnessed a drastic rise in the share prices after each
with Edgile. This is a great indicator of the imminent
acquisition with international companies. This new
success of Wipro. Shares of Wipro are selling now for
strategy aims to outpace the ever-growing market by
699INR a week later it announced the acquisition deal
being more agile and problem solving for its clients.
with Edgile which is a whopping 5.1% increase in its
Wipro being a trusted brand name and a staple
share prices in such a short amount of time. It is evident
household name can safely double down on it “New
that this move strengthened the IT firm’s position in the
Wipro” growth strategy to establish its monopoly in
cybersecurity services play. This strategic move by Wipro
the global sphere. Wipro’s strategic choice of partner
has earned it a respected position and also has boosted
is also evident from the fact that its shares went down
the financial foothold of the company. Before going on a
only once after signing multiple an acquisition deals
shopping spree Wipro had started buyback way back in
this year. Wipro has faced a spurt of growth in the last
January and had completed 9500 crore INR share in its
year which according to Delaporte is the result of
buyback programme. This was undertaken by the
focussing on relationships with strategic clients.
company to return surplus shares to the equity
Wipro Ltd is one of India’s top IT consultancy
shareholders. Wipro after a decade of lagging behind its
companies boasting a total market cap of 3.8 million
peers is finally catching up and taking steps to leave
INR coming third to only TCS and Infosys. Wipro truly
behind its legacy and mark in the international spheres.
is leading India to global domination in the IT sector
Not only is Wipro investing in international companies it
near future.
a
huge
success
because
the
company
has
is also taking an interest in the companies springing in India. Interestingly, it can be observed that Wipro only invests in early age startup instead of acquiring the company. This calculated move helps uphold the good name of their portfolio while keeping them involved and up to date with the market. The acquisitions are strategic either in terms of adding new capabilities, capacities or geographic expansion for the company. Wipro is reaching
global
heights
under
the
leadership
of
Chairman Rishad Premji, the company started the year with the share price of a meagre INR417 in January and is ending the year with the share price of INR699 which is an increase of 67%.
PAGE 4
METAVERSE TO LIFE KESHAV MAHAVIDYALAYA
Metaverse is a combination of various elements of
CHANGES TO TAKE PLACE
technology, including virtual reality(VR), augmented reality(AI) and video where users "live" within a
Facebook, Instagram, WhatsApp, Messenger will stay.
digital universe.
The corporate structure is not changing, however, starting December 1, the shares will trade under the new
What's new, META?
stock ticker “MVRS”.
At Connect 2021, CEO Mark announced that their
FUTURISTIC FUTURE QUITE FAR TO SEE!
apps and technologies shall now come under the brand META going for a futuristic move, represented
The company says the shift from 2-D screens to 3-D
by METAVERSE, the name for a shared online 3-D
reality to most of its components will only be fully
virtual space. Meta comes from a Greek word
realised in the next 10-15 years. They shall partner with
meaning “beyond” i.e. there is always a room to build
"industry civil-right groups, governments, nonprofits and
beyond. Meta’s focus will be to bring the metaverse
academic institutions to determine the way forward.
to life and help people connect, find communities and grow businesses.
USP (Unique Selling Proposition) The defining quality of the metaverse will be a feeling of presence — like you are right there with another person or in another place. Feeling truly present with another person is the ultimate dream of social technology.Meta is working to create advanced virtual reality headsets, augmented reality devices for this digital universe where in the 3-D space we can get together with friends and family, work, shop, create, do business etc.
PAGE 5
OTHER INDUSTRY GIANTS WHO ARE BETTING THEIR FUTURE IN METAVERSE Microsoft Epic Games Roblox Minecraft
PAGE 6
DELOITTE AND RELATIVITY IN INDIA – A NEW CHAPTER IN POST-COVID CONSULTING SHAHEED SUKHDEV COLLEGE OF BUSINESS STUDIES (SSCBS), UNIVERSITY OF DELHI (DU), DELHI Deloitte India, one of India’s leading consulting firms
RelativityOne is a software that can manage large
has recently announced that they have brought their
volumes
global alliance with Relativity, a US-based SaaS
identification of key issues during litigation and
company to their Indian operations. The expanded
internal investigations. As a consulting behemoth
alliance comes after a healthy partnership of 13 years
in the concerned areas, Deloitte can certainly be
in different markets across the globe, and now
benefitted from this partnership expansion in the
Deloitte aims to deliver solutions with greater control
subcontinent
over data security in the thriving Indian market with
RelativityOne is used by Large Corporations, Law
the
Firms,
support
RelativityOne.
of
Relativity’s
flagship
software,
of
and
data
in
the
and
helps
post-COVID
Government
in
prompt
world.
Agencies
As and
interestingly, Deloitte contains the features of all 3 in a single organization, the partnership can help them grow in different sectors and impact most of their clients.
PAGE 7
In
the
post-COVID
world,
RelativityOne
has
With RelativityOne’s increasing popularity (and
witnessed a massive spike in its userbase and
utility) resulting in its brisk expansion across the
areas of operation as its technology has been
globe, it is the need of the hour that the Indian
proved useful against more advanced threats of
consulting industry also safeguards the interests of
financial frauds and cyberattacks to organizations.
its clients and opt for advanced platforms like this
With traditional modes of business disrupted and
one. Deloitte’s recent act not only puts them in an
the prevalence of global economic uncertainty
advantageous competitive position in the market
because of the COVID pandemic, organizations are
but also envisions the picture of the industry in the
facing a catastrophe with novel threats more than
coming decade (post-COVID).
ever. Only in India, the Reserve Bank of India (RBI), reported bank frauds of INR 1.38 trillion in year
Therefore, taking into consideration both the short-
2021. With the world closed and the swift and
term and long-term possibilities for Deloitte India
sudden shift to the online mode, dealing with such
along
threats is one of the tasks with paramount
circumstances, the alliance by all angles seems to be
importance.
beneficial for the Indian operations. In the shorter
With Relativity’s extra layer of protection, Deloitte
vision, it can help Deloitte to have a check on the
India can now provide greater security to its
increasing
clients against these sophisticated malpractices. In
organizations, deal with complex data sets and
addition to that, this move also helps Deloitte
problems with greater accuracy and lesser time, and
India to stay in the same league as some of its
meet the increased demand post-COVID in an
rivals who have already shifted to RelativityOne in
organized manner. Similarly, in the long run, this act
the subcontinent, like FTI Consulting which makes
can help in the expansion of operations, greater
this
client satisfaction and can help Deloitte outnumber
decision
well-needed
and
amplifies
its
with
its
past
experiences
in
cyber-malpractices
similar
affecting
significance.
its rival firms by acquiring more clients. On the flip
In the past, similar alliances of Deloitte with
side, the increased cost aspect for Deloitte India
organizations like Anaplan have been proved to be
would be worth watching in the coming years, they
successful and had helped Deloitte cater to its
will have to keep an eye on the increased cost and
clients with an updated portfolio of supports
have to prove it a profitable tie-up in the years to
across industries. And with the fruitful partnership
come.
of Deloitte and Relativity in the last 13 years
It would be interesting to see how the tie-up would
combined with the expected boost in consulting
work in India, would it continue the fruitful
and fraudulent activities especially in the Indian
partnership
market makes this move much needed and a
subcontinent will add different chapters to this
strategic one.
story?
of
Deloitte
and
Relativity
or
the
.
PAGE 8
STRATEGIES DEPLOYED… THE 21ST CENTURY SUCCESSFUL CORPORATES
SACRED HEART CONVENT SCHOOL (SHCS)
As technology and globalization are expanding, it is
Today, the whole global economy is facing the
formulating a way for new markets to enter and
competition
prosper in the consumption economy, beyond rich,
companies. As technology is upgrading and
industrialized nations. The global economy in the
replacing almost all the fields of business, non
21st Century is fluctuating extensively, thus bringing
tech companies are facing a hard time and an
new challenges for current and upcoming CEOs.
uncertain future. Since the covid pandemic, the
With the introduction of covid pandemic and
competition between both these industries has
change
increased
in
globalization
and
economy,
the
between
significantly.
tech
and
The
non
industry
tech
most
strategies used by most of the businesses earlier for
affected is the non tech industry. It is therefore,
successful
critical
operations
have
proved
to
be
for
businesses
to
improvise
certain
complicated and failed in the modern world. It is
strategies in order to function flexibly and
now important for all businesses to adapt to
improve strategies that don’t work.
changes taking place in their environment and take
There
steps accordingly. "To succeed in the long term,
corporates are taking up for longer sustainability
companies
of their business. Some of the strategies are listed
must
compete
effectively
and
are
many
strategies
that
successful
outperform their rivals in a dynamic, and often
below:
turbulent environment" (Thompson, 1995, p. 1).
Internationalization of Business: Just with a click on mobile, we’re able to communicate with people living far away, we’re able to share our ideas and spread our talents worldwide through social media and various other platforms. So, why cant we use such profitable platforms for expansion of our business? In the modern world, it is very important for businesses to trade their products
internationally
for
successful
operations.
PAGE 9
1.Good quality products with low prices are quite
1Ecosystem operating vs ruinous competition: The 21st
attractive for American consumers. If you are a
Century
company, which is looking to increase its profits and
collaboration
lower your cost of production, you can buy materials at
destructive competitive environment. The lingua franca
cheap prices from international markets and also have
of a 21CE is non-homogenous “ecosystems”. These are
cheap labour from other countries like china. You can
complex
also set up manufacturing units in countries which
suppliers, providers and consumers collaborate to
provide
Thus,
extend the ecosystem beyond the enterprise with one
internationalisation of business will not only assist you
common motive – to weave together a positive
in competing with other businesses but will also help
customer experience.
low
cost
of
production.
encourages rather
specialized
businesses than
working
businesses
networks
where
on
entering
employees,
you to maximise your profits and enjoy long term
Personal Strategies: The last but not the least, it is very
benefits.
important for all the CEOs and business students to .Technological
Impact
on
Businesses:
Its
quite
apply personal strategies in order to raise themselves in
astonishing to note the adverse changes in technology.
productive
business
environment.
Here
are
some
We are living in a technology based society where we
personal strategies that can help you to take your
need the latest technology for almost everything be it
business to a next level: Increasing the speed of your
buying or selling. So, business world needs to be
business, embracing new technologies, adopting global
updated with latest technology in order to ensure
thinking and investing in your business for a longer
innovation in their businesses so as to sustain and
term.
flourish. It is very important for all the CEO’s and deep
In addition to this, it is very important for all the
understanding of technology and adopt the technology
businesses to operate in such a way that it does not
which is effective and gives you economic benefits. In
harm any of the species living on this planet or our
the end, the business which gives high level of
environment and also have good CSR activities. People
satisfaction
So,
always get attracted and encourage those businesses
businesses need to keep upgrading their technology for
which are contributing for the betterment of the society
giving satisfaction to their consumers.
and the country as a whole.
business
students
to
its
to
demonstrate
consumers,
is
a
successful.
There are many changes occurring in our society and Outcome and Input based Businesses: The 21st century
our global economy. From all the predictions of great
does not focus much on input based businesses.
economists, the pace of these changes is likely to
Successful businesses in 21st century are mostly
increase further. This article highlights five strategies
outcome based. It is very important for businesses who
that can help you grow your business further and help
want to survive in 21st century to revolutionize their
in
business models and to supply outcomes in such a way
environment.
sustaining
your
business
in
this
dynamic
that it cuts across value chains.
PAGE 10
THE STRATEGY AND CONSULTING CLUB OF IIM ROHTAK
snc@iimrohtak.ac.in
ANKIT PALIWAL GARGI GARIMA KUMARI KRITI SETHI MADHU PRIYA MACHADI PARNIKA SHARMA POOJA CHAUDHARY RASTRA KUNWAR MAURYA RUDRAJIT BANERJEE
ABHAY JAIN FATHIMA HEERA F SAPTADWEEPA BANJI SHIPRA AGRAWAL SWAPNIL GUPTA YASH BANSAL
FOLLOW US ON: DISCLAIMER: THE VIEWS AND OPINIONS EXPRESSED IN THIS MAGAZINE ARE THOSE OF THE AUTHOR AND DO NOT NECESSARILY REFLECT THE OPINION OF THE STAKE HOLDERS OF IIM ROHTAK