At a Glance
Strong evaluation system
Limited brand name in the U.S.
About Droege & Comp.
Straight to the bottom (line)
Founded in 1988, Droege & Comp. is a global consulting firm headquartered in DÃ¼sseldorf, boasting operations in the U.S., Europe, Middle East and Asia. A subsidiary of the Droege Group (Advisory & Capital), the firm is the second-largest German consulting firm. Created as a â€œconsultancy of entrepreneurs serving entrepreneurs,â€ Droege prides itself on its skills in the area of restructuring and growth programs. Its approach is best summed up as practical, with a focus on achieving bottom-line results and tangible benefits for clients, such as cost savings, increased revenue and corporate growth. As such, services focus on portfolio alignment, top line optimization, optimization of process and cost, organization/governance, reducing assets and optimization of investments. Clients represent a range of industries, including automotive, chemicals/life science, retail and consumer goods, green energies, financial services, manufacturing and engineering, high tech/telecommunication and transportation.
Consistent with that approach, the firm employs a results-based billing approachâ€”a fee structure that links payment to the completion of previously agreed-upon goals. Droegeâ€™s client list is an indication that the approach works: 85 percent of the clients come to Droege through recommendation, and 70 percent remain with the company for more than three years.
Droege Group has 17 offices worldwide, most of them in Western Europe, but enjoys a burgeoning presence in Central and Eastern Europe (through locations in Budapest, Moscow and Warsaw), the Middle East (Dubai) and Asia (Mumbai, Shanghai and Singapore). The firmâ€™s U.S. office is in New York City, where a group of 15 professionals serve an international array of clients, many of whom are subsidiaries of European companies.
Droege generally focuses on midsized companies looking to enhance their international presence either through expansion from Europe to the U.S. or the reverse. It is able to provide expertise and resources, plus raw manpower, well beyond what its clients could marshal internally. International expansion engagements involve an evaluation of growth strategies and potential acquisitions, coupled with operational improvements. For clients who need to accelerate or facilitate overseas expansion or sourcing, the firm can act as a general contractor of sorts, adding local knowledge to the project design and ensuring integrated business services.
Droege also has a growing footprint in Asia. Its most recent expansion in the region came in 2007, when it opened an office in Mumbai, its first in India. Elsewhere in the region, the firm maintains a headquarters in Singapore, and covers a broad swath of the region, including Malaysia, Indonesia, Vietnam, China and India. In addition to providing a bridge between Europe and Asia, these offices also allow Droegeâ€™s American clients to take advantage of on-the-ground expertise, for example in the area of low-cost-country sourcing.
Droege also has a specialized M&A practice that serves global buyout firms, early-stage venture capitalists, midmarket private equity firms and hedge funds investing either in private equity or distressed debt. The company assists in raising funds from limited partners, performs due diligence and industry screenings, and advises on portfolio improvement. In addition, it consults on acquisitions and exit strategy when it comes time to sell.