Case Study: Financial Benchmark Database
A Chicago-based strategy consulting firm wished to differentiate itself in the market by demonstrating unique expertise about the growing importance of services revenue to technology companies. The company commissioned MangoStrategy to develop a services benchmark database which included financial, employment and other operating information on hundreds of publicly-traded U.S. technology firms. The deliverable, presented in Excel format, provided the client with a differentiated knowledge base that was used in business development, client engagements and thought leadership activities.
Objectives
- Define set of appropriate metrics for assessing the value of services in technology companies
- Create a flexible and easy-to-use database structure for capturing, analyzing and reporting benchmark data
- Collect and normalize data from the target universe of companies
- Complete within limited budget and timeframe
MangoStrategy Approach
- Worked closely with client to finalize benchmark items, develop database structure, and identify target companies
- Collected benchmark information from publicly-available sources, including the detailed analysis of notes from financial disclosure documents
- Normalized the data to ensure standardization across companies, using policies developed jointly with client
- Populated the normalized data into the services benchmark database
- Developed margin, ratio and other analyses generated from the benchmark data
Deliverable
- Delivered benchmark database, in Excel format, containing financial, employment and other operating information, as well as margin, ratio and other analyses, on hundreds of publicly-traded technology firms
Impact
- Created high value output quickly with limited budget
- Permitted consultants to maintain their focus on their clients, rather than developing the benchmark data themselves
- Provided a differentiated platform resulting in market recognition, new business and greater value delivered in consulting projects