Gaining recent recognition in business process and IT outsourcing advisory
Broad name recognition still not on par with long-established consultancies
"New but growing"
"Still too small to have an impact"
It’s aces for Archstone
Founded in 2003 as a management consulting services concern, Archstone Consulting might be relatively new to the game, but it’s been playing its consulting cards right. The Stamford-based company’s clients include more than 25 of the Fortune 100 companies and over 60 of the Fortune 500. A third of the firm’s clients are members of the Global Fortune 500, while roughly 75 percent generate annual revenue ranging from $3 billion to over $30 billion. The firm's 200-plus consultants operate out of offices in the United States and Europe, and offer services in the areas of branding, strategic planning, finance and accounting, CFO advisory services, organizational effectiveness, and merger and acquisition integration. The firm also offers advice on improving operations, from supply chain to procurement to IT.
In total, the firm has 10 targeted practice areas: strategy, operations, CFO advisory services, consumer products and retail, life sciences, manufacturing services, financial services, energy/utilities and IT and BPO outsourcing advisory services.
Time for something different
Bigger is never better; at least not when it comes to consulting, according to the folks at Archstone. The vision for the firm came from CEO and co-founder Todd Lavieri, as a response to a consulting industry he saw as bloated with big fees, big bureaucracy and big payrolls. In response, Lavieri founded Archstone in 2003 as an independent strategy and operations management consulting firm. By staying small, the reasoning goes, the company is able to deliver its services faster and more accurately than its bigger competitors. Not that the firm is completely against the bigger consulting outfits however; many of Archstone’s first hires came from Deloitte and A.T. Kearney.
Jacks and Jills of all trades
Part of the challenge or benefit of being part of a small firm, depending on your perspective, is the need to be capable of doing many things well. As such, Archstone emphasizes flexibility among its pared-down roster of consultants; analysts, senior analysts and associates can expect a "solid generalist experience," and the opportunity to work on various services offerings and within several different industries. More senior analysts and consultants are able to specialize in one service or industry, but must remain available to work on engagements in any of the firm’s practice areas. For managers, directors and principals, however, Archstone only wants the best, and insists that these individuals come with a specific area or areas of specialization.
THE LATEST ON ARCHSTONE CONSULTING
Hatchett steps in
Archstone Consulting was acquired by The Hatchett Group, Inc., a global strategic advisory firm specializing in best practice advisory, benchmarking and transformation consulting services. Through the acquisition, Hatchett is hoping to tap into Archstone's industry-focused supply chain and procurement consulting capabilities, as well as its CFO, IT strategy and BPO advisory practices. Archstone CEO Todd Lavieri will lead Hackett's new global industries and strategic account management practice.
Taking silver in the Black Book
For the third year in a row, Archstone Consulting was named in the top-10 firms in several consulting rankings for the 2009 edition of The Black Book of Outsourcing. In a survey administered by research firm Brown-Wilson Group, Archstone came in second place in the overall boutique outsourcing advisors category, seventh among IT outsourcing advisors and No. 1 for both client outcomes and improvements and marginal value adds.
Providing for PE
Archstone launched a new advisory practice aimed at serving private equity firms. Services offered will help clients reduce costs, receive better pricing from outside vendors and achieve greater cash flow.
Breaking the news
The ethical and economical benefits of environmental programs were explored in an article for Industry Week, authored by Archstone Consulting practice leader Eric Schlumpf. The piece analyzed the actions necessary to both achieve regulatory compliance and to maintain cost benefit. Major manufacturers such as IBM and Dow Chemical were cited as examples of energy initiatives that produced bottom-line savings, while Schlumpf recommends that every company take steps, such as aligning with Archstone's "active carbon management" methodology and anticipating stronger carbon emission regulations, in order to stay ahead of competitors.
Archstone was named in The 2009 Global Outsourcing 100, an annual list of the top global outsourcing providers compiled by the International Association of Outsourcing Professionals. Archstone was also selected by the IAOP as one of the top-20 among its World’s Best Outsourcing Advisors.
An example of the firm's willingness to think outside the accepted orthodoxy arrived in the form of an article penned by Archstone's John Ferreira and Len Propkopets in Supply Chain Management Review. Together, Ferreira and Propkopets debunk the notion that outsourcing always saves money. "You may want to hit the hold button before moving more of your supply operations off-shore," the authors warn, pointing out that more and more manufacturing executives are realizing that problems with quality, longer supply chains, lack of visibility and piracy are cutting into the savings outsourcing was supposed to add to their bottom lines. Additionally, significant increases in commodity costs, transportation charges for ocean freights and currency fluctuations have added to the overall cost of outsourcing in recent years. The solution, according to the authors, is for companies to take a second look at the concept of producing their products at home, or close to home.
Four Stamford Plaza
107 Elm Street, 6th Floor
Stamford, CT 06902
Phone: (203) 940-8200
Employer Type: Private
President & CEO: Todd D. Lavieri
2008 Employees (All Locations): 200