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Eden McCallum: Consulting Redefined
Eden McCallum is a Management Consulting firm founded by two ex-McKinsey partners. It has offices in London, Amsterdam and Zurich, and is planning further expansion. The company is founded using a distinctive new business model, based on operating a pool of experienced, freelance consultants. Hence, it operates as a double-sided market. Eden McCallum’s 15 partners secure client projects and then assemble teams of consultants to work on these projects. They screen consultants extensively before admitting them into their pool. Furthermore, the company provides office space, a team of analysts, and operational assistance (in terms of IT, legal, billing, etcetera). The case stimulates discussion in terms of how the company might grow, whether its value proposition can remain distinctive as it expands, and how it can attract and retain the people in the various markets – independent consultants, partners and staff – needed to make further growth a success. In particular, the case explores business model innovation by creating a novel value proposition for employees, i.e., by giving management consultants more control over their time and lives.
- Understand the concept of double-sided markets and how firms can create value by offering options on both the demand and the supply side.
- Understand business model innovation, particularly in the strategy consulting market.
- Gain insight into how to identify opportunities for disruption.
- Understand how business model innovation does not have to come solely from differentiation in the end-user side of the market, but can also come from innovation in the market for employees.
- Gain new understanding of how a company evolves when it grows, transitioning from a start-up to an established firm, including issues of change in internal organisation and value propositions.
- Obtain additional insight into the challenges of growth through geographic expansion.
|Publication Date:||January 2016|
|LBS Case Code:||CS-18-007|
|Subjects:||Business model innovation, Double-sided markets, Market disruption|