Accenture Human Capital Strategy Harvard Case Solution & Analysis

Accenture Human Capital Strategy Case Study Solution

Strategy execution:

The execution of strategic approach implementation in context to the role of employees, organizational culture and the system have known to be quite critical. As Accenture has broad range of employees working almost throughout the world which mainly includes European, American, Indian and Chinese employees from different professional areas. The management of employees as it has known to expand continuously needs attrition by 15 percent to at least retaining their 85 percent of the people through motivation. Similarly, with respect to the culture of the organization and the system through which it functions, as it operates in 40 different industries, the demand of workforce mainly includes professionals which are based on the project type and demand.

Success of Accenture:

Reason behind consistency in being the leading organization worldwide involves its struggle of years. The expansion of its business throughout the world can be considered as clear indication of organizational success and the growth of revenue has doubled within a period of past 15 years. As Accenture shows concern about their by valuing them through evaluation of their needs. It significantly works with aim of combining unparalleled experience, wide-ranging capabilities across functions of business and industries. The strong communication relation of Accenture with its potential clients in helping them to be high performers tend to the reasons of success.

Competitive Advantage:

Regardless of competitive environment of the industry, it is believed by Accenture its workforce has the capability of understanding the needs of the clients beyond the assigned individual project to them and thus also provide end-to-end services providing the organization with a competitive advantage in the service and solution industry.

VRIO Analysis:

The VRIO analysis of Accenture is a broad ranging variety of analysis tends to provide the organization with a possibility of acquiring a feasible advantage for competitiveness in the food and beverage industry. As the project Accenture is willing to achieve is an outsourcing organization in the food and beverage sector. Therefore, the analysis of the resources of Accenture includes sales and marketing,brand image, financial strength, workforce and institutional relationship which as a whole tends to provide Accenture a partial competitive advantage.

Recommendation:

Based on the analysis of the organization and in reference to the information present in the case in order to reduce the bid price for project achievement, the management of Accenture should focus on the cost reduction process through attrition process including those who are not fresh and show ineffective performance replacing with freelancers and contract labour for small projects. Additionally,recognition and control of additional and unnecessary costs such as hiring employees from Asian countries as their wages found to be one-third as compared to American and European regions.Restructuring the criteria of team selection as one project team must include no more than two professionals for supervision and providing them with per project payment as a whole instead of per hour wage. This will significantly assist the organization in reducing its operation cost with reduction in bid price.

Conclusion:

Accenture being a leading corporation of professional services at global level provides services in 120 countries with the availability of offices in 55 countries. Accenture has potentially maintained its relation with about 97 clients out of 100 serving as a potential advantage for the satisfaction of customers. On the basis of its success over past years based on its sustained resources,Accenture should focus on the cost reduction process through attrition, hiring employees from Asian countries as their wages found to be one-third as compared to international ones and providing them with per project payment as a whole instead of per hour wage.

Exhibits

Exhibit A – VRIO Analysis

Resources Valuable Rarity Imitable Organization Competitive Advantage
Sales and marketing Yes Yes Yes Yes Temporary
Workforce Yes No May be Yes Parity
Brand Image Sustained
Financial Strength Yes Yes Yes Yes Sustained
Institutional Relationship Yes Yes Yes Yes Sustained

Exhibit B –Operating Groups

Exhibit C – Factors for increased revenue generation

Exhibit D – Recommendation

 

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