1. Marketing of Professional Services
By:
CMA SUKRUT MEHTA
Kirit Mehta & COMPANY
Cost Accountants

2. Takeaways from this session
How to conduct assignment – Consulting & Audit
Preparation of Consultancy Report
Why Retainers Matter and How to get them
Fields for Practice – new avenues for practice
KIRIT MEHTA AND COMPANY - COST ACCOUNTANTS

3. Which do you aspire to be?
How to conduct assignment – Consulting
Types of Consultants: Which one are you? Management/ Corporate / Independent
Which do you aspire to be?
Strategy Consultants
Operations Consultants
Human Resources Consultants
Financial Advisory Consultants
Risk & Compliance Consultants
KIRIT MEHTA AND COMPANY - COST ACCOUNTANTS

4. Questions that require Quality Cost Information
How Much would I save if I outsourced this product?
How Cost Effective is this supplier?
How much does this customer cost?
How profitable is this customer?
How big of an incentive/concession can I give my customer/supplier to get them to hold inventory?
How much could I save if I invest in….?
How much could I save if I had fewer but longer runs of a product?
Am I better of taking more frequent deliveries or holding greater inventory?
How cost effective is this distribution channel? Am I better off outsourcing or insourcing logistics services?
KIRIT MEHTA AND COMPANY - COST ACCOUNTANTS

5. Step 1: Define the problem
Confirm what you know about the problem and distinguish assumptions from facts
Use the 5 Why Rule
Understand and map the data requirements
Write the problem in detail and identify all areas it affects
Define all key terms: definitions help in law and in process
Write the consequences of problem continuing and need for urgency of change
Identify controllable factors and focus on them
KIRIT MEHTA AND COMPANY - COST ACCOUNTANTS

6. Usual questions that help in defining the problem
Why do you think there is a problem? (Result, and pain point)
What is happening? (Cause)
When is it happening? (Urgency and frequency)
Where is it happening? (Areas Affected)
Who do you believe is involved? (Actionable Area)
Why is it happening? (Root Cause)
Note: Who do you believe is involved? Should focus on facts and refrain from pointing fingers
KIRIT MEHTA AND COMPANY - COST ACCOUNTANTS

7. The Other Steps
Gathering the relevant data is the second most important step
Assemble a team which can deliver the results
Identify stakeholders or data providers in the company
ALWAYS suggest reallocation of resources
Communicate the timelines frequently and to appropriate people in the organization
Prepare for the report not the presentation
KIRIT MEHTA AND COMPANY - COST ACCOUNTANTS

8. How to conduct assignment – Audit
Follow the Audit Checklist
Complete the Audit Notes
KIRIT MEHTA AND COMPANY - COST ACCOUNTANTS

9. How CMAs must prepare
Read or follow news related to your client’s industry
Begin by leading with questions and provide solutions or suggestions at end
Restrict to the questions whose answers can be linked back to price, costs and productivity
Get insights from across functions and industry forums (share practices and common issues)
Meet with clients when they are free not the other way round; best to talk strategy in pre-audit meetings
Management accountants must update themselves continuously, lead with questions, understand strategy and communicate recommendations
KIRIT MEHTA AND COMPANY - COST ACCOUNTANTS

10. Preparation of Consultancy Report
Executive Summary – entails details of the parties, period of assignment, report, scope of work (brief bullet points), stages of the report, and progress report
Discovery Stage – Define the Problem (What, when, why)
Review of Existing System - Current operational areas and lacunas in existing resource allocation (Where and who)
Explain the process followed
Name the contact points and acknowledge their roles
KIRIT MEHTA AND COMPANY - COST ACCOUNTANTS

11. Preparation of Consultancy Report
Explain the current environment – internal and external
Change, if any, or work undertaken with timelines to be specified
Key impact areas with KPIs to be measured for improvements due to the assignment
Future proof the assignment with additional assignment or frequent audits
Thank you note with disclaimer in small font size
KIRIT MEHTA AND COMPANY - COST ACCOUNTANTS

12. Why Retainers matter
A retained Consultant is always working on a client which increases his fees for adhoc assignments and demand too
Helps in creating business insight for both consultant and company
Allows consultant to become an expert and share best practices
The Client is always in control of his budget and has the ability to stop at any time without overhead
Familiarity leads to closer working relations with higher efficiency and continued support (in high turnover areas)
Can be made a responsible part of the internal process of the company
KIRIT MEHTA AND COMPANY - COST ACCOUNTANTS

13. Stages of Quoting Fees (Pricing)
Adhoc / estimated pricing
Competitor / Market based pricing
Cost Plus Pricing
Time based Pricing
Value based Pricing
KIRIT MEHTA AND COMPANY - COST ACCOUNTANTS

14. KIRIT Mehta & Company Cost Accountants
THANK YOU
KIRIT Mehta & Company
Cost Accountants
KIRIT MEHTA & ASSOCIATES
COST ACCOUNTANTS
KIRIT MEHTA AND COMPANY - COST ACCOUNTANTS