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MarketSphere
Consulting
WHEN STEVE SESTAK SET OUT to launch a different
kind of consulting firm in 2002, he knew he wanted a name
that said something about the business. So Sestak, along with
the three other ex-Arthur Andersen co-founders of the firm,
settled on the name MarketSphere Consulting. “The firm was
founded on a market-centric business philosophy,” says Sestak, who is president and CEO of MarketSphere Consulting.
“That market orientation is the key dimension of our business.
That approach really keeps us anchored on the local companies. We’re investing the time to be knowledgeable to their
business, their issues and their challenges.”
“The firm was founded on a market-centric business philosophy. That
approach keeps us anchored on the local
companies. We’re investing the time to
be knowledgeable to their business, their
issues and their challenges. Steve Sestak, president and CEO of MarketSph”ere Consulting
Sestak says that MarketSphere has found that a blend of national expertise and local support “is the best way to serve those
clients,” he says. “And because we are committed to local companies and communities, we are able to develop deeper relationships and be more responsive to our clients as needs arise.”
The market-centric approach focuses on 10 offices clustered in the three areas—the Midwest (Kansas City, Omaha,
Neb., Indianapolis and St. Louis), the Southwest (Dallas and
Houston) and North Central (Chicago, Pittsburgh and West Orange, N.J. MarketSphere also has an Atlanta office and will be
looking to open more locations in the Southeast and Northeast,
“depending on where clients want us to be,” Sestak says. Some
90 percent of MarketSphere’s revenue is generated from companies in local markets.
MarketSphere goes to market around two main strategic
areas—enterprise technology and business advisory services, two
fast-growing niches in the industry. Sestak says MarketSphere
tries to keep about a 50/50 balance between those two practice
areas. The positive growth has helped fuel revenue growth to the
tune of 36 percent and 20 percent the last two years.
“Growth isn’t our primary strategy, it was more of a good outcome for doing the right things,” Sestak says. “Growth is certainly a good thing. Our industry is one where you have to grow
or you don’t provide opportunities for your people.”
So, what’s the sweet spot for MarketSphere? “ We believe if
we stay the course on our strategy, we’ll probably be in the $75
million to $100 million range in three years or so,” Sestak says.
“But, I’d rather be a $75
m illion firm staying true to
o ur principles than a $100
m illion firm that got there
t he wrong way.”
The wrong way, he
says, is by rapid expansion
t hrough mergers and acquisitions. “Certainly, there is
an M&A strategy, and
w e’ll continue to look for
t he right opportunities, but
t he organic track we’re on
should take care of most of
Steve Sestak, president and CEO t he growth,” Sestak says.
“When you take acquisi-
tions, there’s some risk there as well around culture. And that’s
something we take very seriously.”
Preserving the culture at a firm that’s rapidly expanding is
no easy task. One big plus, Sestak says, is the local focus
means fewer days on the road for the consultants. “Our people
certainly appreciate that,” he says. “And our new hires tend to
be excited by the opportunity to be more relevant to the community in which they live.”
Another attractive feature of the firm, Sestak says, is the work that
it does. “We’re a very well-rounded firm in terms of the work we do,
while a lot of firms our size tend to specialize in just one or
two areas,” Sestak says. “But we
introduce a broad
enough platform
of solutions to attract good people
to the firm.”
Headquarters: Kansas City
Offices: 10
Billable Consultants 2007: 192
Revenue 2006: $32.2 million
Revenue 2007: $43.6 million
Projected revenue for 2008: $52.3 million
—Joseph Kornik
