Speech OutlineBIO

Gabor Holch is a China-based CMC providing leadership and management consulting services to mainly European multinationals in the Asia-Pacific region. To date, Gabor is the only non-Chinese to have passed CMC certification in Mandarin Chinese, and consequently the only non-Chinese member of the China Association of Certified Management Consultants.

Following his education and initial career in international development and diplomacy, in 2004 he founded his Shanghai-based team of consultants, Campanile Consulting. Through Campanile, Gabor and his experts have provided advanced training, consulting and coaching solutions to management teams of over a hundred multinational and SME clients in the Asia-Pacific region and the EU. Gabor is a public speaker and author of numerous articles, papers and two books. He lectures and mentors in three prestigious MBA programmes in China and is an active member of the European Union Chamber of Commerce in China and other professional bodies.

SPEECH OUTLINE

- Consulting and the service industry in China: a tale of two (or three) economies MNC, SME, SOE

- A maturing China market for consultants - Trends in China 1: What didn't work

Localisation; English-language services, innovation focus, economic opening; SOEs (PPP, consulting to public service providers), NGOs, financial, telecom, etc. - Trends in China 2: What worked or will work

Size of economy, urbanization, efficiency-drivers and technology/IP transfer - The "Don'ts": Consulting models you shouldn't use in China

Airlifting foreign solutions; dumbing down for Chinese market; old know-how - The "Do's": How to localize and customize for the Chinese market

Mission: quality, transparency, sustainability; scientific methods that work (China makes bad choices & thinks it's different) Use new trends but do consistently and with high quality (coaching)

- The Balance Sheet: Consulting opportunities in a new China Expected opening: a lot of work for opening new markets such as financial, PPP, telecom. No opening: big responsibility to CMCs in helping MNCs & SMEs survive and bringing standards to SOE if we can

CONTACT THE AUTHOR gabor@campanileconsulting.com

Gabor Holch, Campanile Management Consulting

Management Consulting in ChinaTrends and Lessons

RoadmapThe Consulting Market in China China in the global market Old and new solutions

Challenges and Opportunities Regulatory environment Consulting in the HR market Highlight of key opportunities DOs and DON’Ts

Your SpeakerBackground From Hungary Social sciences & diplomacy CMC China 2007

Experience United Nations, OSCE In China since 2002 Founder, Campanile Consulting Professional affiliations

THE CONSULTING MARKET IN CHINA

China in the Global Market

~135 CMCs a year Currently ~1000 Chinese CMCs

A brand new market…

WTO Accession Consultants followed their clients to China ~10% annual growth (~USD 14bn) Big ones are here Local consultancies: Chinese-owned Local consultancies: Foreign-invested Factors influencing market distribution

In fact, two markets

SOE ~Private

Government or public

MNC Foreign SME Government

or public

Some SME

Competition

Source: European Chamber in China Business Confidence Survey 2013

Old & New Solutions

“OLD” Start-Up M&A Strategy Human Resources Capital Accounting & Tax Marketing IT

“NEW” HR Outsourcing Performance Mmt. Interim Management Sustainability …

CHALLENGES AND OPPORTUNITIES

Challenges & Opportunities

危机 �danger opportunity

Regulations & Licenses

Source: European Chamber in China Business Confidence Survey 2013

Regulations & Licenses

Lack of proper regulation, or… Discriminatory regulations Regulators and competitors Intellectual Property (IP) concerns Does management consulting need it?

Regulations & Licenses

Management consulting is a new industry Efficiency not in the focus of SOE sector Loosely regulated at the time being The certification industry The language issue in certification Quality concerns in certification Balancing global standards & localization CMC in the context of current standards

Case Study: Accounting

Big 4: Deloitte, Ernst&Young, KPMG, PWC Demand and dependence in China International IPO of Chinese firms Transparency and compliance issues Regulating Big 4 partners and executives The march of “international champions”

Consultants in the HR Market

Source: European Chamber in China Business Confidence Survey 2013

Consultants in the HR MarketPrice difference disappearing “War for talent” Fast-paced urbanization & HR dynamics Towards a value-added economic model Social dynamics: aging and age balance Through the glass ceiling: efficiency Lack of advanced management & HR Persistent language gap The “uniqueness” of China

A clear need for skills

Source: European Chamber in China Business Confidence Survey 2013

High expectations in HR

Source: European Chamber in China Business Confidence Survey 2013

Growing awareness of culture

Source: European Chamber in China Business Confidence Survey 2013

China: More opportunities

Source: European Chamber in China Business Confidence Survey 2013

Optimism in services

Source: European Chamber in China Business Confidence Survey 2013

Continuing profitability

Source: European Chamber in China Business Confidence Survey 2013

DOs and DON’TsDO: Explore genuine need Provide consistently high-level service Customize to local market(s)

DON’T: Abandon core mission and values Compromise professional standards Run ahead of market need

Your questions, please!