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The River Partnership Executive Search, 67-68 Long Acre, London. WC2E 9JD 1
+44 (0) 20 096 8888 | [email protected] | www.riverpartnership.com
Author:
Anthony Allodi, Head of Strategy – Consumer & Retail Practice, River Partnership
The Transition to Industry
The River Partnership Executive Search, 67-68 Long Acre, London. WC2E 9JD 2
+44 (0) 20 096 8888 | [email protected] | www.riverpartnership.com
Contents
Introduction.............................................................................................................................................................. 3
Participants Overview .............................................................................................................................................. 3
Part One: Deciding to transition............................................................................................................................... 4
Part Two: Making the transition ............................................................................................................................... 6
Part Three: Post-transition shock syndrome............................................................................................................ 9
Recommendations ................................................................................................................................................ 12
River Partnership – Strategy Consumer & Retail Practice .................................................................................... 13
About River Partnership ........................................................................................................................................ 14
The River Partnership Executive Search, 67-68 Long Acre, London. WC2E 9JD 3
+44 (0) 20 096 8888 | [email protected] | www.riverpartnership.com
Introduction
River Partnership’s search division has combined expertise of over 35 years in the Strategy market, having
managed hundreds of placements from Consulting into Industry.
This report analyses the motivations, decision-making and post-transition perspectives behind this
particular career trajectory.
We surveyed nearly 250 Strategy professionals from the top-tier firms who have transitioned out of
Consulting, to ask about their experiences.
We hope the results provide valuable insights for Consultants considering a transition, Hiring Managers
who seek this sort of talent, and Human Resources teams who want to ensure they can attract and retain
the best people for their organisations.
Participants Overview
Firstly, some words on our demographic. All survey participants were interviewed in confidence, and we do
not expose their current companies here due to the sensitivity of the data and the opinions they provided.
100% of our participants worked with McKinsey & Company, The Boston Consulting Group, Bain &
Company, Oliver Wyman, Roland Berger or Booz & Company (now Strategy&) and transitioned directly
from those firms. We focused on global responses,
with all 5 continents represented in our data across
the majority of the largest commercial and financial
centres.
In total we interviewed 249 participants, out of
which:
• 126 transitioned into Corporates
• 88 transitioned into Start-ups / SMEs
• 30 transitioned into Private Equity
• 5 became self-employed / other
“Finding the ‘perfect’ opportunity post-Consulting is a myth”
CCO, Apparel; ex-Bain & Company
Figure 1: Where the 249 interviewed participants transitioned to
The River Partnership Executive Search, 67-68 Long Acre, London. WC2E 9JD 4
+44 (0) 20 096 8888 | [email protected] | www.riverpartnership.com
In addition, 35% had industry experience prior to joining Consulting, which is the approximate average
across the six Consulting firms we had taken participants from.
In terms of commercial experience overall, we
aimed deliberately for a fairly equal split.
19% had between 1 – 3 years, 27% had between
4 – 6 years, 22% had between 5 – 8 years, 20%
had between 9 – 12 years and 12% had 13+
years.
My thanks to the ex-Consultants in my network
who took the time to take part.
Part One: Deciding to transition
Motivations for leaving Consulting almost exclusively fit into one of five
categories: Salary, Working Hours, Travel Demands, Personal
Circumstances and Professional Challenge (i.e. wanting a different role). Of
course, there are plenty of individual situations which prioritise these factors
differently, and personal developments which can change all the time and
influence this (relationships, buying property, etc…), but these will always be
the base “ingredients”.
Within this, there are trends worth noticing. For example, individuals with between 1-3 years’ Consulting
experience were 72% less likely to be
turned off by travel demands. This makes
sense; the demands made by business
travel become more tiresome over time.
Airport lounges are less exciting after the
10th weekly visit. Families start to grow,
and the desire to spend more time at
home increases.
Of the 35% of the participants in our
survey who had industry experience prior
to joining Consulting, 83% considered
Leaving
the party
Figure 3: How important were the following factors for you when making the decision to leave Consulting?
Figure 2: Years of commercial experence from the 249 interviewed participants
The River Partnership Executive Search, 67-68 Long Acre, London. WC2E 9JD 5
+44 (0) 20 096 8888 | [email protected] | www.riverpartnership.com
working hours at least “fairly important” when deciding to leave (compared to 45% of the rest of the group),
highlighting a significant difference in priorities. This is because line roles in industry typically demand fewer
working hours than Consulting. These individuals will likely receive a shock if they expect a Strategy team
in industry to make less demands on their time – barely 20% found much difference after transitioning (see
Part Three). This will inevitably impact job satisfaction, so whether you are a job-seeker or an employer, be
honest about your expectations, and apply them to the hiring process.
Wanting a new professional challenge may seem like an obvious reason to look for another job, but the
Strategy talent market is unusual because many job-seekers within it are not only looking for a different
short-term challenge, but in most cases would seek a different role altogether, at least in the mid-term. The
strongest motivations for leaving Consulting are to be able to execute and implement initiatives, and to take
ownership of a functional area, P&L or team. None of these responsibilities are easy to get in Strategy
Consulting, and in any case most individuals approaching Partner are disinterested in the addition of
revenue-generation to their job description. As one ex-McKinsey Associate Principal mentioned, “if you
want to be well-paid, stay in Consulting; if you want to be well-rounded, leave.”
By extension, we can advise Consultants to start considering their transition before they tire of the nature
of the work they are doing; applying their project experience to a single “client” should be an exciting
prospect. Spending a couple of years in a central Strategy team to build important internal relationships
with key stakeholders and develop an understanding of how to execute an initiative or how to implement a
solution operationally should sound
challenging and exciting.
There is also pressure on employers.
Trends suggest that Consultants are
increasingly interested in Start-up or SME
environments, believing that they are
more capable of making a substantial impact there. This generalisation is not accurate (of the 88 individuals
we surveyed who transitioned to Start-ups or SMEs, 76% said that they felt they made an impact, compared
with 72% of the 126 participants who joined a Corporate), but that perception causes issues in attracting
talent in some cases.
Smaller companies also need to be competitive. Whilst they are lucky to appeal (at least on paper) to the
“entrepreneurial spirit” of many Strategy professionals, the scope of their strategic drive, and the resources
available to deliver it, are usually more limited.
It is therefore clear that all companies need to consider how to be convincing as a potential employer to the
Strategy marketplace.
“I was beginning to get bored of external project
work, which was a surprise after several years of
being nothing but excited by it.”
Head of Product Development, Consumer Goods,
ex-McKinsey
The River Partnership Executive Search, 67-68 Long Acre, London. WC2E 9JD 6
+44 (0) 20 096 8888 | [email protected] | www.riverpartnership.com
Money talks (or rather, whispers…)
This paper does not seek to exhaustively review Consultant salaries, but of course it’s a topic we are very
familiar with. These results expose salary as the least important factor in deciding to transition to industry
(5.2 overall), which is unsurprising given the generous packages offered at the top firms. We noticed a
trend that the package matters more to individuals with between 4 – 8 years’ experience (69% more than
the other demographics), so if you are looking to hire within this bracket, be prepared to pay accordingly.
The data in Part Three of this report shows that salary was the second-least impacted factor in the transition
to industry, following working hours. The fact is that industry salaries remain largely competitive (particularly
in Central Strategy functions) and most employers know what they need to offer. For Consultants, we offer
the simple advice to be open to how your new package is structured.
*River Partnership has over 7 years’ of collected salary data for its core markets and regularly conducts
surveys to measure market trends on this topic. We have also been retained by clients who have asked us
to produce reports on salary data as part of wider Competitor Analyses.
Part Two: Making the transition
In this part we will analyse the job search itself.
Strategy professionals are paid to be inquisitive, to look at a situation from
every perceivable angle and to provide analysis on the information they
gather. Yet strangely, applying this intense level of scrutiny to their job
search was not represented in the findings of our survey. Less than 30% of
participants looked at 3 or more options, and this figure is biased towards more senior individuals. 37%
only looked at a single opportunity before deciding. These figures seem surprising in a traditionally busy
job marketplace.
The reason for this is mostly due
to time pressure. The first years in
Consulting are arguably the most
intense, where the workload is
new and the challenge of
managing the pressure is at its
steepest. Few people reading this
Making
sense of
the market
Figure 4: How many options did you look at before accepting your initial
industry role after Consulting (by % of participants)?
The River Partnership Executive Search, 67-68 Long Acre, London. WC2E 9JD 7
+44 (0) 20 096 8888 | [email protected] | www.riverpartnership.com
will be unfamiliar with 70-hour weeks and 80% travel. The fact is, Strategy Consultants rarely have the time
to consider their next career step, let alone manage an extensive job search directly.
It is then not surprising that search specialists account for 64% of the transitions represented in our survey,
with professional referrals and introductions from the alumni community jointly accounting for a further 26%.
These are the best channels for hiring Strategy professionals, and this remains a talent market where third-
party partners can add significant value.
What is interesting is the correlation between participants who applied directly and who also looked at more
than 3 opportunities (92%). There is a lesson here for Hiring Managers and HR (and recruiters): posting an
advertisement and relying on
applications will harvest you “active
candidates”, and it will be more
competitive to secure them. Utilising a
specialist search agent or direct
networks provides more exclusivity, and
you have a better chance of completing
the placement. Job-seekers, in tandem,
should build relationships with a small handful of recruitment professionals who they trust, can offer good
market insights and are deeply-rooted in this space, alongside some alumni or Partners who can provide
further perspective. Start this dialogue early to maximise your chance of receiving levelled, unbiased career
advice. The reward will be a more efficient job search.
We saw strong and logical correlations in our collected data between levels of Consulting experience and
certain factors which motivate the acceptance of specific job offers.
Figure 6: How important were the following factors for you when making the decision to accept a job offer post-Consulting?
Figure 5: How did you find your initial role in industry post-consulting?
The River Partnership Executive Search, 67-68 Long Acre, London. WC2E 9JD 8
+44 (0) 20 096 8888 | [email protected] | www.riverpartnership.com
Whilst in all cases the role offered was deemed highly important, when pushed for further detail certain
differences were exposed. Participants with fewer than 5 years’ experience were 78% more likely to be
attracted by a position in a central Strategy / Corporate Development team than the rest of the group. This
figure rises to 86% if we remove the 5 – 7 year participants. Why? Simply, Strategy professionals with more
experience feel more readiness to adopt
the responsibilities outlined in Part One.
Added to this the emotional factors of
leaving an employer after a longer tenure,
and the message to Hiring Managers
becomes clear – it will be more difficult to
attract senior Strategy talent if your job opportunity looks like the role of an external Consultant.
They may be more open to the type of job role, but participants with less than 5 years’ experience were
certainly more selective about their potential colleagues, placing heavier emphasis (68% overall) on the
team they would be joining – worth considering if you are Hiring Manager looking to recruit in this bracket.
83% of Strategy job-seekers will perform some due
diligence on the culture of a potential employer using their
professional networks. Culture counts.
Conversely, some factors harvested similar responses
regardless of the number of previous years in Consulting.
Understanding and seeing evidence of the potential for
career development is critical in capturing the interest of prospective hires, whatever their level of
experience.
We talked before about the importance of “Professional Challenge” as a factor for leaving Consulting,
therefore the speed at which someone can start to adopt additional commercial responsibilities is a critical
part of the decision-making process when choosing a new employer.
Larger Strategy teams in industry often cause alarm bells to ring for the applicant for this precise reason
(the perception is that it will be more difficult to
progress with multiple people wanting the same
development). If your business requires a sizeable
Strategy team, consider splitting it by function so that
individuals can gain more access to specific business
areas, or provide a job title with a less generalist
overtone (e.g. Strategy Manager – IT
“I was certain that I wanted operational
responsibility immediately. I had advised dozens of
clients on the same topic.”
Pricing Expert, Telco; ex-McKinsey
“I looked at every alumni from the team I
was interviewing with to see where they
were in the business today.”
Corporate Development Manager,
FMCG; ex-McKinsey
The River Partnership Executive Search, 67-68 Long Acre, London. WC2E 9JD 9
+44 (0) 20 096 8888 | [email protected] | www.riverpartnership.com
Transformation). We have seen this implemented in a few clients and the message it sends to the talent
market is a positive one.
In all cases, hiring companies need to work hard to demonstrate that a career path for a Consultant can be
timely and achievable. Strategy Consultants work in environments where the next step on the career ladder
is highly visible, and the expectations to get there it are clear. Transitioning to industry most often removes
this clarity, since career paths are more
varied, and companies are not as obviously
hierarchical outside of Professional
Services. Ironically, of course, this variation
is one key factor for Consultants looking to
leave, so any reading this should equally be
prepared to have their expectations
challenged, and keep an open mind.
The good news for companies based in the middle of nowhere? Location was deemed only “fairly
important”, scoring an average of 5.2. It will certainly be more challenging to find a top Strategy talent in
Zanzibar than Zurich, but you can be sure to attract people if the opportunity offers a high degree of the
other factors discussed here. Lower emphasis still was placed on companies with a questionable market
reputation (3.6 average). Why? “When a company is facing difficulties in the marketplace, and there is still
an appetite to hire Strategy professionals, this means there are changes to affect and results to own”, was
one comment from an ex-Project Leader from BCG. “This should be seen as a positive opportunity”.
Part Three: Post-transition shock syndrome
In many ways this is the most difficult part of our report to analyse. Our survey
represents 249 employees with different personalities from an equal number
of working environments. Some environments will suit certain characters
more than others. What is clear, however, is that most of our participants
benefitted from having some parallels between their new job and the one they
just left.
Joining the
“Real
world”
“I am in my current job not because of what I did
in Consulting, but because of what I did
afterwards. It is critical to have this view,
otherwise you are not preparing yourself for a
successful transition.”
Global Head of Strategy & Transformation,
Travel & Tourism; ex-BCG
‘“I thought Project Management was something I had done.”
Global Head of Business Development, Apparel, ex-BCG
The River Partnership Executive Search, 67-68 Long Acre, London. WC2E 9JD 10
+44 (0) 20 096 8888 | [email protected] | www.riverpartnership.com
Interestingly, it seems more important for Consultants to have good senior leadership once they are in the
job compared to how much they prioritised management during their job searches (nearly 2 points higher
overall). The reality for
most Consultants is that
industry - whether
Corporate, SME or
Start-up - demands
very different soft-skills
and relationship-
building capabilities.
Most need help to
adjust culturally, and in
some cases some
become frustrated with
the slower pace
associated with longer-term “internal” projects. This explains why so many placed high importance on
having a clearly-defined role; this is what they have been used to in their project work. And, for all the
intention of moving into Line Management, some regretted pushing this too quickly. An ex-Bain & Co.
Manager, now managing a sizeable salesforce, put it this way: “I became very bored very quickly when I
joined a functional team directly after Consulting. I missed the diversity of project work. My brain was not
used to thinking about the same problem all the time.”
When our survey asked how different certain elements of their working life were in comparison to
Consulting, quite clearly there are significant adjustments the average Consultant needs to make.
Figure 7: In your own experience, how important were the following factors in determining a successful transition to industry?
Figure 8: In industry, how did you find the following when compared to Consulting?
The River Partnership Executive Search, 67-68 Long Acre, London. WC2E 9JD 11
+44 (0) 20 096 8888 | [email protected] | www.riverpartnership.com
But to consider the full picture – the answers above are in reference to only the initial transition, and actually
only a handful of these differences were perceived negatively (decision-making and available resources).
For others, these differences are a critical, and largely positive, part of the learning process. Several
participants told us they were pleased to find that they learnt a lot from new colleagues with longer tenures
in the organisation, who could provide insight and advice on process, share thoughts on previous external
Consulting impact, how to position yourself as an influencer, and what the best day of the week was to eat
in the staff canteen. More surprising was that having less clarity over tasks and career progression had less
of a negative perception – the reality many ex-Consultants found, was that whilst these were indeed
different post-transition, they also had the
opportunity to influence them over time.
This represents a learning curve many felt
had disappeared during their later years in
Consulting. Developing new skills and ways
of working, no matter how difficult, is clearly
a core motivator for this type of career
move. Employers should nurture a culture which allows for this, and Strategy Consultants should remember
that this is more achievable with a “softer landing”, so seeking an initial role entirely different from Strategy
Consulting could turn out to be counter-intuitive to their wider career objectives.
The transition to Industry is a major consideration for most Consultants – arguably one of the most important
moves in their career, regardless of seniority, and usually a significant investment (financial and political)
for employers. Having greater awareness of what to look for and expect on the part of the job-seeker, and
how to help the transition be rewarding on the part of the employer, should benefit all sides in this high-
impact, highly-competitive recruitment market.
“I joined Consulting to be around smart,
motivated people. I appreciated having the same
culture immediately around me as I moved
towards operational management.”
Head of Group Retail Excellence, Retail, ex-
Oliver Wyman
The River Partnership Executive Search, 67-68 Long Acre, London. WC2E 9JD 12
+44 (0) 20 096 8888 | [email protected] | www.riverpartnership.com
Recommendations Further to the suggestions outlined throughout this report, I would highlight the following.
• If you are interviewing Strategy professionals for a role in Central Strategy, consider including one
or two meetings with senior stakeholders / Line Managers into the assessment process.
Understanding the relationship between a Strategy team and the business is clearly a critical
consideration and providing visibility of it will strengthen your opportunity in the eyes of your
applicants
• When hiring talent into central Strategy functions, incorporate a formal (possibly even contractual),
bi-annual HR review to discuss internal career progression. This sends a strong message to
potential employees that their development is important
• Job-seekers in this market should know how to ask questions relating to their mid-term goals during
the recruitment process. Focusing on direct comparisons between external Consulting and industry
will cloud the picture, and our data tells us that other criteria were more important in determining a
successful transition
• As a company, if you are struggling to attract the best Strategy talent, think about how you can
change what you can offer them. The findings in this paper suggest that Strategy professionals
would more likely take a position with personnel or P&L responsibility with a lesser-known company
in a second-tier city, than they would a standard Strategy role in a more “conventional” company
• From an HR perspective, consider having junior team members in your Strategy team (perhaps
high-potentials from within the organisation) who can be directly managed by mid-level
Consultants. Moving high-potential talent around is never a bad idea in any organisation; giving
direct management responsibility to Strategy hires will develop their soft-skills more quickly
• As a Hiring Manager, be fully alert to succession-planning. A quick transition into Line Management
by someone in your team will become a big problem if there is a headcount gap as a result. The
recruitment of Strategy professionals can take time; be prepared for it
• Having regular touch-points to the wider job market is a good way for Strategy Consultants to
develop a stronger awareness of what skills industry demands, and how career development looks
post-Consulting. Take time to form relationships with search firms and alumni, and be in touch with
them every few months, even if you are not looking to change yet
The River Partnership Executive Search, 67-68 Long Acre, London. WC2E 9JD 13
+44 (0) 20 096 8888 | [email protected] | www.riverpartnership.com
River Partnership – Strategy Consumer &
Retail Practice
Anthony oversees mandates across multiple categories within the Consumer / Retail landscape into the
following pillars:
• Placements into industry Start-ups, SMEs and Corporates in central global Strategy teams
(Corporate Development, Business Development, In-House Consulting, etc…)
• Senior Management / Director-level search projects for clients seeking a Strategy skillset with added
industry or functional expertise (Business Operations, Sales & Marketing, Regional Leadership,
Managing Directors, etc…)
• Assignments for specialist Private Equity / Venture Capital firms needing Acting C-Level or
commercial support within the portfolio or Operating Partners in a central Value Creation function
• Senior-level searches for leading Management Consulting firms within the Practice areas of
Consumer & Retail
Anthony Allodi
Head of Strategy – Consumer & Retail
T: +44 (0) 20 3096 8869
M: +44 (0) 7508 407 875
Recently completed mandates:
• Senior Manager, Sales & Marketing, UK (Food &
Beverage)
• Manager, Strategy & Organisation, Paris (Luxury
Goods)
• Director, Corporate Strategy, Basel (Consumer
Healthcare)
• Regional Director, Sales, Hong Kong (Retail)
• Market Development Director, Dubai (FMCG)
• International Director, Business Operations &
Excellence, Amsterdam (Consumer Electronics)
The River Partnership Executive Search, 67-68 Long Acre, London. WC2E 9JD 14
+44 (0) 20 096 8888 | [email protected] | www.riverpartnership.com
About River Partnership
A multi-disciplinary human capital firm headquartered in London specialising in executive search,
competitor insight, succession planning and market mapping across the Financial Services,
Professional Services, Technology and Energy sectors.
We work on global mandates with the aim of being the search and staffing partner of choice to a small
group of industry-leading companies across Europe, Asia and the Americas.
In short, River Partnership helps you build winning teams.
We know that is only possible if our own team is equally talented. That is why the River Partnership
line-up is a roll call of experts who are, to a person, passionate about delivering excellence and
enjoying their work. Our consultants are specialists with decades of combined experience in our chosen
fields and functions.
All regularly handle high-profile mandates from one-below-public-board level, through heads of
department and function, to specialists or subject matter experts. By combining deep knowledge of the
key issues and drivers in your sector and by employing a clear methodology, utilising extensive
personal networks, good judgement and a passionate approach, we help you to swiftly identify,
benchmark and acquire top talent.