In one of the biggest deals in the space, PwC today announced the completion of its global acquisition of US based management consulting firm Booz and Company.
Through this merger, PwC hopes to strengthen its consulting vertical. Consulting has been the main growth driver, across the board for the Big 4, with PwC's consulting arm registering a growth of 7.6% as compared to 1.3% growth rate of the auditing arm.
This global deal also has implications for PwC India. PwC is known to have lagged behind the other members of the Big 4, especially with respect to the consulting vertical. Acquisition of Booz & Co, as per PwC leadership, will create synergies to help boost the consulting vertical and to offer comprehensive services, across the spectrum, to clients.
Also read: PwC is sued for $1 billion over MF Global collapse
Booz and Co, which now has been rebranded under PwC as "Strategy&", is a management consulting firm based out of the US. Globally, it struggled to compete with the likes of McKinsey due to the handicap of scale of operations. In India, it has been in operation for close to 5 years and boasts of a portfolio of the clients with the biggest names.
The deal hit various hurdles in getting clearances in the US, with the Sarbanes-Oxley Act disallowing any audit firm to provide consulting services, due to the potential conflict of interest. PwC India dismissed fears of similar clearance issues in India.
However, experts warn that with corporates keen to follow best global practices to avoid regulatory scrutiny, PwC-Booz combine could lose clients with the India Inc attempting to distinguish their consultants from the auditors.
PwC India's advisory Head – Michael Surface – rejected such fears. He argued that no statute in India bars such practice. He also argued that very few clients being audited by PwC have sought advisory services, implying that the potential of loss of clients was limited.
The PwC-Booz leadership conceded to eyeing opportunities in certain areas. The leadership has identified Pharma, Energy, Consumer Goods and Financial Services as the key areas expected to drive growth.
This merger will take PwC India's head count to 4000, with 80 partners. This would be second only to PwC US. PwC also assured that despite the merger, no exercise for rationalizing of resources or downsizing was in the pipeline.
Anda sedang membaca artikel tentang
PwC completes global acquisition of Booz Co
Dengan url
https://mimumanbersoda.blogspot.com/2014/04/pwc-completes-global-acquisition-of.html
Anda boleh menyebar luaskannya atau mengcopy paste-nya
PwC completes global acquisition of Booz Co
namun jangan lupa untuk meletakkan link
PwC completes global acquisition of Booz Co
sebagai sumbernya
0 komentar:
Posting Komentar