News from America that management consultancy Arthur D Little is to cut staff numbers by six per cent in a bid to save money has turned the spotlight on Cambridge Consultants.
US staff cuts 'will not affect CCL'
CCL (Cambridge Consultants Ltd) is wholly owned by ADL, but boss Howard Biddle, says his part of the business will not be affected and there will be no job losses.
'The technology business is doing well,' he said, but hesitated when asked, again, about a possible management buyout.
'ADL is very differentiated by the technology part of the business,' he said. 'Without this it would not be the same, and we get a lot of our business through ADL's high level contact.'
ADL, a giant in the management consultancy world, has hit hard times as a result of the turbulent and now flaccid stock market in the US, especially in the technology sector.
The consultancy had hoped to float its c-quential subsidiary, and had spent a good deal on preparations, but had to pull the plan at the 11th hour as the market began to slide.
Failure to realise the flotation funds, plus the costs involved in the aborted attempt, have left ADL stretched.
In addition, the long-running merger talks with PA Consulting (known as Project David, because at the beginning PA was so much smaller than 'Goliath' ADL) appear to be off.
Meanwhile, PA is preparing for its own flotation of a subsidiary, UbiNetics, the third generation mobile phone testing equipment company that has been rumoured to be worth as much as 1 billion with a listing later this year.
However, this may now seem an optimistic figure given this week's solemn news from mighty Ericsson.