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Industry: Executive Outplacement

Challenge: Expand existing services to include programs in a fast-growing, related market segment.

Relevant facts

  • Firm enjoys excellent national reputation in core services.
  • Current customers demanding supplemental and related programs and services.
  • Firm has successfully partnered with outside resources to satisfy new demands; considering adding capabilities in-house.
  • Competitive pressure on core services threatens a commodity environment.
  • New services offer opportunity for customization, extended contracts, higher margins.
  • Commitment to new service offerings would require adjustments within the firm—new talent, new pricing schedules, new administrative support.

What We Did

  • Documented all aspects of core services to understand reasons for profitability.
  • Outlined new service offerings to identify additional revenue opportunity, strength of customer demand, additional resource needs.
  • Identified and evaluated competitors.

Results

  • Firm gained deeper understanding of marketplace and internal capabilities.
  • Expansion postponed because of:
    Leadership changes within the firm.
    Significant expansion of resources required.
    Uncertainty of impact on core service sales and delivery.
    Insufficient projected earnings.

Executives gained confidence in critical thinking, decisiveness skills.