Accenture is the global management professional management and consulting services firms which provides the consulting, strategies, technologies, operating and digital services. It is listed in the Fortune Global 500 company, and is incorporates in Ireland from 2009. The company is reported to earn the revenue of about $34.9 billion with over 425,000 employees, and serve customers in over 200 cities across 120 countries. It had 150,000 employees working in India and around 48,000 in United States, and 50,000 in Philippines. It is one of the biggest company of the world. It needs to be evaluated and continuously monitored because of providing services in different fields (Accenture, 2018). The BCG matrix helps the company in making strategic planning which will help in long term. The BCG matrix is the powerful tool that has four main quadrants; star, cash cow, dogs and question marks. Here is the detailed BCG matrix of Accenture;
Cash Cows
As being the market leader, this quadrant exhibits the retuned on investment and asset, which is more that the growth rate, hence it generates more revenue as compare to the cash they consume. These business segments are required to be milked for extracting the profits. The cash needs for turning the question marks in the market leaders for covering the operational and administrative costs, for funding the development and research, and pay back the corporate debts. The cash can also be used to pay the dividends. The consulting services are the cash cow for the Accenture, as many big companies need the consulting services from them (Accenture, 2018).
Stars
Stars are the products which generates the heavy sums of cash due to its high and strong market share relatively, but it consumes the heavy incentives due to growth rate. This is why, cash in every direction has to be net out. If the star needs to maintain the high market share, it becomes the cash cow for the decline in the growth rate. The products portfolio of the diversified businesses always must have the star items, which will become next cash cows. Media and Technology, Health and public services, and communication are star segments for Accenture. The company is successful in making its space in the industry (Bhasin, 2018).
Question Marks
Question marks is the quadrant which grows rapidly and hence consumes the heavy sum of cash, but due to low level of market share, they are unable to generate the cash as compare to other quadrants. The outcome is the large consumption of cash. It has the potential to grow the market share, which could help in becoming the star, and in the end cash cow after slowing the growth level. If in any case, the question mark do not succeed as the market leader, then there are possibilities of the products turning into dog. Financial services and resource caterings are the question mark for the Accenture, as the company is growing and improving because of effective strategies. Soon these items will also be star (Bhasin, 2018).
Dogs
Dogs have the low growth level and low market share, and hence neither consume nor generate the heavy investment level. However, the dogs are considered as the cash traps due to money-tied in the business which has very little potential. These businesses are the applicants for h divestiture. These are considered as the burden for the company, which is more like the breakeven level, neither loss nor profit. There are multiple possibilities but it needs to be improved. In countries like US, health services can be dog because of already high quality services.
References
Accenture. 2018. about us. [Online], Available at: https://www.accenture.com/us-en/company-diversity, [Accessed on: 7th October, 2018].
Bhasin, H. 2018. Accenture marketing strategies. [Online], Available at: https://www.marketing91.com/marketing-strategy-accenture/, [Accessed on: 7th October, 2018].
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