Luc Luyten, a managing partner at Bain and Company in the Middle East, says, "we grew in this region roughly at twice the speed of what I was used to". Antonie Robertson / The National
Luc Luyten, a managing partner at Bain and Company in the Middle East, says, "we grew in this region roughly at twice the speed of what I was used to". Antonie Robertson / The National
Bain & Company expects to grow staff numbers in the Middle East during the year ahead as the consulting industry battles against 'consultant fatigue' and clients become more discriminating.
Bain & Company expects to grow staff numbers in the Middle East during the year ahead as the consulting industry battles against "consultant fatigue" and clients become more discriminating.
The global management consultancy, which counts the 2012 US presidential candidate Mitt Romney as an alumnus, is strengthening its presence in the Middle East with new hires.
But it comes as other firms scale back operations in the region and warn of an ennui among local companies when faced with the consultant's array of jargon-laden PowerPoint slides.
Those firms that were able to demonstrate real value to local companies would be able to prosper even as the industry consolidates, said Luc Luyten, the managing partner of Bain & Company in the Middle East, who is also a member of the advisory board at CVC Capital Partners, the private equity firm.
"This isn't a rape and pillage kind of market. It's a market where you stay and behave like any other developed market," he said.
Mr Luyten said he believes Bain & Company's strategy of highlighting the demonstrable benefits of its work should help it ride out the storm in the consultancy sector.
KPMG said last month that big accounting firms and consultancies were facing cost pressures in the Middle East as a result of an oversaturated market, and that it was scaling back some departments.
Mr Luyten estimates the premium consulting end of the market in which it operates as having a total size of about US$500 million (Dh1.83 billion) to $700m per year, and is growing at a steady rate of about 5 per cent.
"As clients become more discriminating and are more sophisticated in this purchasing process, quite frankly the poorer and the less-equipped consultancy firms will be pushed out," Mr Luyten said.
"You'll see the same degree of consolidation as you see in developed markets, and that should play in our favour."
The firm intends to continue hiring even as others retrench.
"We're growing," he said. "We grew in this region roughly at twice the speed at what I was used to ... We've hired for growth and we've hired for churn."
The firm's Dubai office has grown to 100 staff within six years - equivalent in size to its Amsterdam and Brussels office, which took almost two decades to reach that size.
Bain has hired about 20 to 25 consultants every year, and expects to hire around the same number this year.
The firm had to ensure for its clients that use of a consultancy firm does not become a "crutch" that a company feels dependent upon, Mr Luyten said.
"Consultancy fatigue arises when clients feel that they don't receive value for money," he said.
"Our business is all about reputation," he added. "A person could rip you off once, but never again."
Stay indoors when conditions are particularly poor.
If driving, turn your engine off when stationary.
Electoral College Victory
Trump has so far secured 295 Electoral College votes, according to the Associated Press, exceeding the 270 needed to win. Only Nevada and Arizona remain to be called, and both swing states are leaning Republican. Trump swept all five remaining swing states, North Carolina, Georgia, Pennsylvania, Michigan and Wisconsin, sealing his path to victory and giving him a strong mandate.
Popular Vote Tally
The count is ongoing, but Trump currently leads with nearly 51 per cent of the popular vote to Harris’s 47.6 per cent. Trump has over 72.2 million votes, while Harris trails with approximately 67.4 million.
Business Insights
As per the document, there are six filing options, including choosing to report on a realisation basis and transitional rules for pre-tax period gains or losses.
SMEs with revenue below Dh3 million per annum can opt for transitional relief until 2026, treating them as having no taxable income.
Larger entities have specific provisions for asset and liability movements, business restructuring, and handling foreign permanent establishments.
Scoreline
Switzerland 5
If you go...
Fly from Dubai or Abu Dhabi to Chiang Mai in Thailand, via Bangkok, before taking a five-hour bus ride across the Laos border to Huay Xai. The land border crossing at Huay Xai is a well-trodden route, meaning entry is swift, though travellers should be aware of visa requirements for both countries.
Flights from Dubai start at Dh4,000 return with Emirates, while Etihad flights from Abu Dhabi start at Dh2,000. Local buses can be booked in Chiang Mai from around Dh50
Where to stay: Courtyard by Marriott Titusville Kennedy Space Centre has unparalleled views of the Indian River. Alligators can be spotted from hotel room balconies, as can several rocket launch sites. The hotel also boasts cool space-themed decor.
When to go: Florida is best experienced during the winter months, from November to May, before the humidity kicks in.
How to get there: Emirates currently flies from Dubai to Orlando five times a week.
COMPANY PROFILE
Name: HyperSpace
Started: 2020
Founders: Alexander Heller, Rama Allen and Desi Gonzalez
Based: Dubai, UAE
Sector: Entertainment
Number of staff: 210
Investment raised: $75 million from investors including Galaxy Interactive, Riyadh Season, Sega Ventures and Apis Venture Partners
Are non-fungible tokens a currency, asset, or a licensing instrument? Arnab Das, global market strategist EMEA at Invesco, says they are mix of all of three.
You can buy, hold and use NFTs just like US dollars and Bitcoins. “They can appreciate in value and even produce cash flows.”
However, while money is fungible, NFTs are not. “One Bitcoin, dollar, euro or dirham is largely indistinguishable from the next. Nothing ties a dollar bill to a particular owner, for example. Nor does it tie you to to any goods, services or assets you bought with that currency. In contrast, NFTs confer specific ownership,” Mr Das says.
This makes NFTs closer to a piece of intellectual property such as a work of art or licence, as you can claim royalties or profit by exchanging it at a higher value later, Mr Das says. “They could provide a sustainable income stream.”
This income will depend on future demand and use, which makes NFTs difficult to value. “However, there is a credible use case for many forms of intellectual property, notably art, songs, videos,” Mr Das says.
