The consulting practice of Deloitte has acquired Kaisen Consulting, a boutique leadership consultancy based in the UK and US. As part of the integration, Kaisen will be rebranded as ‘Deloitte Leadership’, and marks one of the first milestones in Deloitte’s ambition to build a large, global leadership business.
Recent research from Deloitte reveals that leadership is an issue at the top of the boardroom agenda. “Our study showed that nine in ten organisations cite leadership as one of their biggest challenges. However, only 13% of organisations believe that they have an 'excellent' leadership pipeline at all levels. It is clear that companies are struggling to attract, retain and develop the leaders which will shape their future,” explains Dimple Agarwal, Global Organisation Transformation and Talent Leader at Deloitte. In the 2014 edition of Deloitte’s annual Human Capital Trends research series, leadership was cited as the most urgent HR issue, ahead of retention and reskilling the HR function.
In line with the growing demand for leadership consultancy – a market estimated to be worth over $40 billion (£26 billion) a year – Deloitte decided to bolster its offerings through the acquisition of Kaisen Consulting. The Bristol-based business employs over 60 people, including 30 occupational psychologists based in the UK and US. It has 25 years’ experience working with senior leaders in more than 40 countries, advising them on defining leadership strategies, assessing individuals for their leadership potential and helping develop those individuals.
The transaction between the two firms builds on a “long standing and successful alliance”, says Marc Kaplan, Principal at Deloitte Consulting, with the deal undertaken to further integrate the knowledge and experience of both firms. “Having initially established an alliance with Kaisen almost five years ago, today’s transaction is the next phase in integrating the specialist knowledge and experience of the two organisations,” comments Richard Houston, Managing Partner of consulting at Deloitte UK.
While this transaction is formally being made by Deloitte UK, Kaisen will work with the Big Four’s offices globally to serve the needs of international clients. The move brings together Deloitte's current leadership consulting expertise and experience with Kaisen's assessment methodology, intellectual property and tools. "This transaction will allow us to expand our support of client needs to develop leaders at all levels and deliver stronger business performance," adds Anthony Abbatiello, Principal at Deloitte Consulting and US Head of Deloitte Leadership.