P1 - Can you explain the various ways that partners are measured and primary drivers are for compensation? Curious how much selling, utilization (individual and group), delivery, etc impacts comp

like
Posting as :
works at
You are currently posting as works at

Profitability, including expense of unstaffed consultants, is the key driver. Usually there's a large component that's tied to the profits from the work you're involved in, which then combines selling and delivery. On top of that, there are always ways to incentivize other firm priorities e.g. developing a new client that may not produce revenue immediately. Different firms have different processes for this that are more or less explicit. E.g. some have a dollar-by-dollar accounting while others set objectives for partners that are then qualitatively evaluated (even if there are quantitative KPIs behind it) to arrive at total compensation.

Beyond that, there are a bunch of deferral mechanisms designed to both incentivize partners to stay and to pay for the brand and infrastructure built up before they arrived.

like

Thanks P1 - that's great! Can you help breakdown profitability a bit more for a wee simpleton such as myself? E.g. are underutilized consultants averaged across all Partners in a specific group/BU or is it more narrow than that? I'm surprised that revenue's not as big of a driver as I had imagined, although profitability certainly makes more financial sense.

Also, what's typical partner base salary and normal equity buy-in?

A

Btw, I say profitability because there's always a true up to that somehow. If there's a revenue metric, at some point costs have to be taken into account. It's actually hard to measure profit during the year, so you're right in thinking that most people focus on revenue and utilization since those are the biggest drivers of profits.

How costs (consultant costs and all others) are allocated is extremely complicated and the methods vary a lot firm to firm. So I can't give a generic answer. Same with base salary and equity buy-in.

Related Posts

My younger brother has the opportunity to do Software Engineering at FAANG and consulting at MBB as a fresh grad. I told him to do SWE, but I’m afraid I’m giving him biased advise cause I’m jaded in this industry. If you were me, what would you advise him?

likehelpful

Hi,

What will be the in hand salary for this?

Post Photo
like

Received offer from UBS at last moment. I have just 1 week to decide. Both Offers are same. Please help to decide
Credit Suisse Vs UBS
Comparing WLB, Pay & Bonus, Onsite Opportunities, Employee Benefits, Leave Policy YOE - 10.5 Yrs (.Net)

What is good salary expectations in Abu Dabi for IT employee? Company name @bespin global

like

What should be Package after 4 years of experience in Service Now and overall IT experience is 4 years.
I am currently in Ireland want to shift in India permanently.
2.6 years Capgemin in India
1.4 years Irish Firm in Ireland

I did my masters too in Ireland
What salary should I except

like

EY Advisory Senior Manager, Cybersecurity. What comp can I expect as an experienced hire?

like

I'm considering switching from Accenture T&O to EY Change Mgmt practice for 150k. Is that a smart move? I'm in Chicago

like

How much variable pay percentage on CTC in HCL for Teach Lead position

Hello all !

Have an interview scheduled next week from itsm pmo role in kpmg .

Any leads about the kind of interview / questions / no of rounds ?
Will be helpful if you can give any idea about the expected package , i have 7yoe .

Any advice is welcome :)

Thanks !

like

I have to join a company on March 21..can anyone suggest which is good wrt job security
Ericsson/CTS/Global Logic/LTI
CTS,LTI- 28 LPA
Global Logic -26.5 LPA
10 YOE in TCS with 11 LPA(Current)--Scrum Master

Post Photo
like
like

Curious to know what other firm's bonus structures are, particularly those with billable requirements of 1900 and below. Trying to understand what the norm is and figure out if associates at my firm are getting screwed. thanks

like

Anyone here from LPA and willing to talk or give insights into the company, projects and current situation?

Not much to be found online.

I have two positions open - 1 developer (goLang+ Networking) and QA lead. For Referral please reach out to me. No issue for salary range for perfect candidate.

like

Hello all,
I have got an offer from Mastercard at 18.7 lpa as senior database engineer @ level 7.
Is this a fair ask for my position.

I have an offer with Capita plc for 22 LPA for 5 yoe.
It's complete WFH.
Tech stack is spring boot and microservices.

Is it a product based company or a service based company?
How wlb will be in Capita plc?
I have been offered 6A band as senior software engineer, so is 22LPA fair compensation?

Thanks in advance.

like

Whats the salary for a senior compliance officer in miami at an investment firm?

like

Recently relocated to USA. Looking for a job in Private equity Accounting in California as Fund Accountant Manager. Any leads and also, how much salary should I expect?

Hi Fishes, what is the monthly salary for this? With 1.5L in 80c and 15k monthly rent and using previous employer’s pf. Please help.

Post Photo
like

In hand salary?? plz help

Post Photo
like

More Posts

Do you all still go to Barry’s boot camp? I am dying for an actual workout but don’t want to be one of those vanity gays going out in a pandemic.

likefunny

Hi Fishes,

I am looking for opportunities currently and any referrals for the below mentioned skill set would be helpful.

Domain Knowledge : Cisco Switches & Routers / Cable modems
Protocols : VLAN,STP,RSTP,DHCP,ARP,RIP,OSPF (Functional knowledge)
Scripting knowledge : Python and TCL


Having 6.9 YOE in feature/functional testing. Currently serving notice period with ~70days left in service.

FYI, currently looking for opportunities in Chennai only. Any leads would be much appreciated.

What are some concrete reasons why someone in consulting would be fired, other than the obvious stupid things?

like

Does anyone have recommendations for thought leaders/influencers in the M&A space? Looking for blogs, books, YouTube videos? Not currently in the space, trying to learn more as I’m thinking about a pivot after a few years in consulting/startups

likehelpful

I've been working in sports for 15 years. Looking to branch out to adjacent brands or industries. Awards from Clio Sports, PRINT, ADDYS.
I've worked as a graphic designer, interactive designer and creative director; freelance in the NFL, MLS, Premier League and PGA Tour; and have written about sports marketing for Adweek & Adidas.
Remote with occasional travel is preferred. I have been working remotely my entire career and would love to chat with likeminded folks that are location agnostic.

like

Hi Fishes

Posting on behalf of a friend.

She has done BCOM and is looking for a job in Accounting in Pune.


Any organization will do as long as she gets to explore accounting or finance.

Please help by providing an helping hand

like

Hi All,

Currently I'm serving Notice period
LWD: 13 December
Yoe : 2 years
Skill set: Java, Spring Boot, Microservices, Mybatis, PostgreSQL, Rest APIs, keycloak, spring cloud gateway
Would any one please refer me if any suitable opportunity is available.

like

#Sharks I have a dream of working in London, how can I Pursue it.
I'm working as a Software Engineer.

Skills: .Net Core, Angular/ AngularJS, MS SQL Server, Git.
YOE: 3.5yrs

What unique skill should I have to jump in to such places.
Thanks for advise in advance.

like

Can anyone from Amazon Web Services refer me for the business operations analyst 1 job in Canada. I’m very well suited for the job have all the preferred skill sets plus I have worked with Amazon Risk investigation in the past. Just need a push. Amazon Web Services

Got offered a role at a Middle East office at BCG - haven't accepted yet.
Anyway that I can transfer to a north American office (my current location) before I join? SO can't move to Dubai and while applying they didn't interview me for my current location just for the Dubai one.

I understand this may be a big ask, and I'm happy to interview again if need be.

like

Hi Guys,

Can anyone refer me to BCG

TIA

like

I got selected for Citi Pune and my joining date is 11th of July. Can someone please provide me confirmation on whether I would receive relocation amount or 15 days accommodation as relocation allowance .? Citi

like

I got into marketing because I thought it would be an opportunity to make good money in a field where I could still exercise my creativity, but I’ve found it to be extremely stifling and bogged down by bureaucracy. Does it ever get better?

like

For those of you who hold cryptos, what multiple of your initial investment is your current balance?

like

What websites are y'all using to get a ballpark idea of what your salary should be? Which ones suck and I should avoid?

like

The learning and design content I write belongs to the company where I work. Am I able to add and/or share my work in my portfolio? Is it acceptable to create some generic content to demonstrate my skill set?

like

Has anyone successfully pursued a relationship with someone they met at work? An MD I am really attracted to has been chasing me, but I am nervous about what the repercussions could be if it doesn't work out. Still, it's tempting

likehelpful

I am currently a medical biller and coder that just graduated. I am currently in an entry level position because I am still studying to get certified. I will have a year's work of exp in July and will sign a contract for another year because my boss is training me in more I don't know.

I'm wondering what the pay is for someone in my position without certification. I live with family and want to afford to move out but I am single and only make $18/hr. Is that standard or am I being underpaid?

like

Is it okay to request to delay the joining date by 2 months?

like

Hello everyone, new to the app and would appreciate all the likes I can get so I can DM. Thank you!!

like

Additional Posts in Partner One

Anyone got the skinny on Alix consulting?

Got pinged by a recruiter for an MD role in digital transformation

He claims they compete with MBB and Alvarez.

Thoughts?

like

Partners, have you ever been recruited by a client and turn it down? If so, were there any repercussions? I am one year from partner and being recruited by a client...looking like they will move quickly on an offer after initial interviews and I’m worried that if I turn it down it’ll be tough to sell back to that client.

likehelpful

Any good book recommendations that helped give you the confidence and tactics required for a transition to leadership role? Newly promoted SM looking for inspirational reads.

like

What’s your sales target for this year?

Starting apartment hunting in NYC soon. Any tips and recommendations for studios & 1 bedrooms in the city in terms of price range, ROI, neighborhood, down payment, best time to invest etc.

I do things (late nights/weekends) that I don't think my managers/partner knows about since everything is running well - directly correlated with elected hours spent. Is it weird to bring this up?

like

What is KPMG's parental leave policy for partners versus employees (MDs and below)? Trying to plan life and figure out if it makes a difference to have a child before or after one makes partner in terms of parental leave benefits. Thanks!

like

IBM New partners - Both new joiner Partners(within last 2 years) as well as promoted in the last 2 years. Can you share your signings ,base/yr and RSU’s. If recently promoted from within , how has the % increase?

likefunny

How did you find out what you want in life? Feeling lost mid-career..

like

For partners with kids ~13 and up. How many sporting/music events do you find yourself missing? I’m making it work with weekend stuff, but I know as they get older more happens during the week.

like

Partners, when you identified a minor error from a deliverable that was reviewed by SA and manager. Do you mostly get upset/disappointed at the manager, SA or the associate?

This bowl has been quiet and I see partners commenting on odd posts around fishbowl so I figure you need more fodder: partners, did any of you have parents that travelled as much as you do?

like

I just took a leadership role in industry after 5 years in advisory (industry hire). Partners, any tips for the transition? What have you seen your clients do well/poorly during big career moves?

like

Going through personally traumatic phase where the partner has some personal axe to grind. Client, others are happy but the partner is just out to humiliate me.

likehelpful

Tips to build my brand and network as a junior practitioner navigates their career to the next level at the firm?

like

Hiya! I was wondering if anyone here has any good recommendations in terms of books or learning material that I can pick up to learn about sales and marketing relevant to the consulting industry?

like

If I accept the promotion to Partner/Principal what's the least number of years I could work without it being a financial mistake. I have an opportunity to do something completely unrelated that's my passion, but I feel like that's the wrong decision when I'm this close.

The other opportunity should still be there for 2-3 years

like

Curious what % of partners/MDs have spouses who also work. And regardless of non/working spouse, what do you do to feel a work/family balance?

like

Not interested in going up any further to MD/Partner. I’m content at my current level with my work/life balance.
Will I ever be forced out at one point? If so, how long do I have?

Is it true new partners at PwC are making 550-600k? Are there big differences in Partner Comp between Big Four?

like

New to Fishbowl?

Download the Fishbowl app to
unlock all discussions on Fishbowl.
That was just a preview…
Sign Up to see all discussions
  • Discover what it’s like to work at companies from real professionals
  • Get candid advice from people in your field in a safe space
  • Chat and network with other professionals in your field
Sign up in seconds to unlock all discussions on Fishbowl.

Already a user?
Login here

Share

Embed this post

Copy and paste embed code on your site

Preview

Download the
Fishbowl app

See what’s happening in your industry
from the palm of your hand.

A phone with Fishbowl app

Scan your QR code to download
Fishbowl app on your mobile

Download app

Sign up for free to view this conversation on Fishbowl

By continuing you agree to Terms of Use and Privacy Policy

Already have an account? Log in

Sign up for free to continue using Fishbowl

By continuing you agree to Terms of Use(New) and Privacy Policy(New)
Messaging rates may apply

Already have an account? Log in

For account settings, visit Fishbowl on Desktop Browser or

General

Legal