Deloitte Returns To Familiar Market

Deloitte Returns To Familiar Market<@VM>Techtoons

Steve LeSueur

by Steve LeSueur, Editor

More than a decade after Deloitte Consulting left the federal market, the New York firm wants back in.

Already a strong player in the state and local government market with about $200 million in annual revenue, Deloitte essentially was starting from scratch when it announced last March the creation of its federal practice. But Robert Campbell, senior partner and head of the new federal practice, already has high hopes for the new organization, and is aiming to pull in $20 million by the end of the year.

Campbell thinks the federal group eventually will rival the firm's state and local practice in terms of annual revenue.

"We see the federal market in the early stages of e-government, and our overall strategy is to transfer our commercial best practices in ERP and e-business to the emerging needs of the federal sector," he said.

Senior Editor Nick Wakeman spoke with Campbell and with two of Deloitte's chief competitors in the federal space, KPMG Consulting LLC and Andersen Consulting. All agreed that this is a key market for the large consulting firms.

"The federal market is important to us for the sheer volume and the profitability of the work," said Robin Lineberger, managing director of KPMG Consulting's civilian agency practice. "And contrary to popular belief, the government's adoption of technology is nearly at the same pace as the commercial sector."

Our front-page article on Deloitte has all the details.

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