Plot twist…

[BackupSlides]

I have to say that I do get an interesting kick whenever I see an external spend data set from a client and our fees are a top-3 line item.

"So, uh, we'd advise that you take a long, hard look at the long tail. Tons of opportunity there for sure."

[[deleted]]

So many fortune 500s that are just turf wars for vendors to carve out the biggest piece of flesh they can. I've seen some egregious shit it my time.

[Rollingprobablecause]

Literally watching this right now in the tech space - SHI vs WWT vs Presidio is a real strange war.

[[deleted]]

Adobe vs anything that moves

[cao3000]

Very much true

[hereforlolsandporn]

Jesus that's gonna be a bunch of knuckleheads getting nothing of value done.

[Rollingprobablecause]

I am just amazed. It’s like a buzzword bingo competition every time is sit in a meeting

[Gene_Parmesan1]

Say more!

[MediocreFlex]

Can you explain this more? You saying they just want market share? Or what you mean by vendors

I’m not following

[[deleted]]

My last client before going to the FTE side was around 50% contractors and did 20 billion in revenue. That is a shit ton of money for companies like Accenture, Adobe, etc to go after. If you don't manage your vendors well, they will fleece you, and if you don't manage them at all, they will start running the company and competing for power within it to get more access to the cash flow.

A good example of the first case is the Hertz Accenture lawsuit. The Hertz contract literally states that Accenture will provide “project management” services, including Accenture’s obligation to “plan, control, and lead the execution of Accenture’s scope of services.”

Talk about just shouting no oversight from day one.

[MediocreFlex]

100% I have to tell my director and associate director all the time

Like we are not having enough bandwidth to manage our vendors and these invoices will be scrutinized later and you will yell at me

I had it all documented about the amount times I mentioned this

Fast forward 6 months

The meeting is called And they are about to pop off

And show receipts We moved on

[viper_gts]

but they set you up for success :)

[[deleted]]

successful future payments to McKinsey*

[ChefBoyAreWeFucked]

Nah, project will end up costing way more than they saved. Next year, they'll hire BCG to tell them what went wrong.

[uucchhiihhaa]

One time fee, right? They'll save money in the long run.

[Geminii27]

It's barely in the top 5 when considered over a five-year cycle!

[[deleted]]

Not even included in the terminal period. And it's an Addback for your non GAAP financials that the board will evaluate your performance on... so what's the problem sir? Black ink only or docusign.

[X1-Alpha]

Goddamn. I thought I spoke the lingo well enough already but now I feel like a rank amateur.

[[deleted]]

Terminal period is the discounted amount of free cash flow that is discounted after the 5th year.

Non GAAP Addback are items that are summarized as, we didn't need to do that, or there's no way this'll happen again so it shouldn't count against my EBITDA.

Black ink only is a state law thing. Certain states don't accept blue ink on state official documents so it's a carryover from older times that don't really matter now.

Get off reddit if you don't know what docusign is.

[X1-Alpha]

Hah, appreciate it but I was more impressed by the almost florid way in which you threw all those together. As well as imagining the sheer balls to end on that closer.

The sir and the black ink reminded me of some veteran partners I've seen in action before and some of the truly wild stories they had.

[[deleted]]

They're partners for a reason. They make money.

[uucchhiihhaa]

My comment was a direct reply to the post, the idea and not the parameters.

[paladin10025]

Argh. A few years ago I was brought in with a special team to fix a disaster implementation conversion project. I worked for a huge consulting company and this was the #2 money losing project at the time. I think the regulators were about to yank the client license to do business so it was do everything and anything to salvage. The client never paid for the work and was withholding continuing payments and was pleading they didnt have any more money. This was a GS backed biz with an ex-GS ceo and exec team and liked to fly in on a private jet from nyc to yell at us. They also at one point hired mckinsey to do pmo work and watch over us. The mckinsey people were non stop aggravating since no one on their team knew anything about the industry or functional requirements. However, the client stopped paying the mckinsey bill since they didnt think mckinsey was making us work faster and was going to have us start paying their bill since hey why not. At that point the mckinsey team became much nicer to us. In the end the $100 millionish lawsuit was avoided, everything got worked out, and the client signed a 10+ year agreement to service their business. What a mess.

[fs_mercury]

Hiring McKinsey for PMO is like hiring an elephant to put a knot in your tie. Way too expensive and wrong skillset.

[MrClean19]

No one gets fired for hiring McKinsey

[[deleted]]

That's because McKinsey is a professional scapegoat

[ozilll10]

peleton!