| Topic Name: |
Partner Compensation |
| Message Name: |
vague answers |
| Date Posted: |
05/06/2003 |
| In Reply To: |
Anyone here has knowledge of what a partner at one of the big consulting companies earns pa?
Unfortunately Vault's "consulting salaries" section only offers some crappy 1st years stats. That they even label that as SalaryCentral and describe it as a big research resource is an insult.
So if anyone has any insight into what the medium and long term compensation at a top consulting firm is please share..
-j |
| Message: |
Doesn't seem there is a straight forward answer posted here.
Basically, the range for a Partner depends on a few factors:
1. Seniority of Partner (eg. equity vs non-equity Partner - Sr. or Jr Partner, etc.)
2. Location of Partnership
3. Type of Consultancy (ie. Big 4 or Big B's &M's)
As an example:
a non-equity 1 yr partner in a Big 4 strategy firm based in Asia Pacific may earn roughly USD$250K - however, the trick is that, typically the payout assumes you hit a certain utilization / overall budget #. Thus, in our example, the "annual salary" may be calculated at 70% of USD$250K, with the remaining out paid as a bonus of sorts.
Obviously this position is jr...the average partner of 4-6 years in the same geography may be baking USD400K - potentially the Managing Partner for the Region making up to USD1M + given the current market conditions.
Of course there is a range, since everything is negotiable and dependent ont the #s you can bring in. The exact comp range may be difficult to estimate because you also need to factor in other negotiables such as housing, tax equalization, schooling, shares, etc.
Location & Type of Consultancy is a factor since this will affect the overall P&L - thus affecting the compensation. As an illustrative example, in all of Asia, perhaps a reasonable target Strategy Consulting P&L for a vertical industry is let's say USD16M; however, 1 large strat w/ bundled IT services in a NYC project would already exceed the total #s in Asia.
As for the B&M's the Partnership salaries are roughly about 30% higher with the same equivalent titles as Partners (or VP). At the top end, a Managing Partner in NYC of Mck as an example would make more than the CEO's they are advising.
However, the catch is that typically, you will be working 100hr shifts (at least at the jr partner level)as opposed to 80 hrs in the Big 4 and also the "Partner" label equivalent is more conservatively used, hinting that this person already has a more extensive network than perhaps a "Partner" at a Big 4.
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