A: Similar to 2013, we are looking for
double-digit revenue growth in 2014,
with strong contributions from many
practices—including aerospace and
defense, automotive, consumer products, energy, financial services, financial advisory services, and IT & applied analytics, as well as a growing
stream of restructuring work, both in
interim management and advisory.
Q: What specific signs are you
seeing that suggest an increase in
A: The challenge for our clients
is creating value in a low-growth
world. We are well positioned to do
that, with our global reach, our small
senior teams, our industry expertise,
and our capabilities in growth, performance improvement, information
management, and both operational
and financial restructuring.
Q: How do you see the consulting
profession evolving in 2014?
A: There has been a great deal of con-
solidation going on, with several signif-
icant firms being acquired. And there
was also a recent piece in the Harvard
Business Review suggesting that the
consulting industry itself is now getting
a taste of what its industry clients have
gone thorough in recent years in terms
of business model innovation. We are
seeing that in all of our segments.
Q: Where is your firm today?
A: 2013 was a strong year for AlixPartners. Total headcount grew to about 7
percent. A lot of our growth this year
was in financial services and applied
analytics, where clients appreciate our
laser-like focus on results. In general,
the consulting, information management, and financial advisory segments
of our business—which together account for about 75 percent of our revenues—have been quite strong. It’s well
known that the restructuring industry as
a whole has been down ever since the
Great Recession—mostly because of
“amend-and-extend” policies by banks
underpinned by the liquidity that governments created to avert what might
have been a worldwide depression.
However, we had our share of big engagements this year, including Kodak.
We’ve also moved deeper into restructuring advisory work to complement
our work in interim management.
Q: What are the biggest challenges?
A: There is still a “war for talent” in
consulting. We are constantly looking
for great people who believe in our
distinct and unique model to do the
important work that our clients value.
furloughs as a result of the shutdown. In our most recent
financial quarter, ending Sept. 30, 2013, revenue was stable, while we grew our margins, operating income, net income and earnings. The difficult and uncertain market in
2013 was one that we’d seen coming and had planned for.
We set aside resources and managed our spending, knowing that there could be government funding challenges of
some kind in the fall, and when the government did shut
down in October, we were prepared and were able to support our staff strongly.
Q: How would you describe your firm’s outlook for 2014?
A: We are confident in the strength and quality of our
business, and our ability to manage well in what will be
continuing times of uncertainty in the government servic-
es sector in 2014. We will continue to evaluate potential
acquisitions that align with our growth objectives and are
a strong cultural fit. Our commercial business is growing,
and we hope to see continued progress, particularly in our
core verticals of financial services, energy and health. In
the area of innovation, big challenges call for big solu-
tions, and Booz Allen’s wide range of innovative, power-
ful and reconfigurable capabilities meet this challenge by
being assembled into integrated solution platforms spe-
cifically designed to address large scale complex client
issues. We have brought together 150 leaders and 1,500
staff from across our firm to focus on these big problems
in a way that’s never been done before.
greener PASTURES,sunnier SKIES