Deloitte Buy Psychologists
Deloitte has purchased Bristol based Kaisen Consulting, a business psychology firm, to launch a leadership consultancy practice. Kaisen are known in the psychology field as having a wide range of specialities in leadership development, including leadership strategies and assessing and developing individuals. Leadership is almost a perennial issue for organisations and constantly features as one of the most important issues that businesses face. Currently Kaisen employ approximately 60 people, but Deloitte has extensive plans to expand by recruiting 140 people in the UK and another 550 people globally by 2020. They are branding the business ‘Deloitte Leadership’.
The move by Deloitte is probably the first stage of smaller specialist organisations being acquired. Recently Saville Consulting (founded by leading occupational psychologist Professor Peter Saville co-founder SHL) was acquired by Towers Watson an American global professional services firm. Towers Watson offer organizations an end-to-end service of talent management, benefits, technology, reward, risk and capital management.
With the economy improving the Big Four services firms are expanding into other growth areas of professional services such as consulting and moving away from a relatively flat audit market. Recent financial performance of Deloitte UK illustrates the slow growth of audit functions, with a growth rate of 0.3 per cent of £708m revenue compared with consulting revenue growth of 10.5 per cent to £687m. The global leadership services market is estimated to be worth more than $40 billion per year, according to Kennedy’s “Leadership Development Consulting Market Report 2013.” According to Deloitte’s “Global Human Capital Trends 2015” report, 86 percent of business and HR executives rate leadership as an urgent or extremely urgent issue. At the same time, only 13 percent of leaders believe they are doing an excellent job developing leaders at all levels.
Deloitte will initially launch the leadership consultancy practice in the UK, US, Canada, Australia and Japan and will recruit occupational psychologists, development consultants and project managers to hit its target of 700 new recruits globally by 2020.
Testing Talent are an independent firm of occupational psychologists and assist organisations develop the next line of leaders using internationally validated personality profiles. For further informationof our work in this area contact us for a no obligation discussion.