Roland Berger sees record growth: New Partners and an ambitious growth plan

Press releases   •   Jul 12, 2021 20:01 -12

  • 17 new Partners across international offices
  • Record year expected in 2021 with double-digit growth
  • Strategic realignment with innovation platforms
  • Board to examine all options for further growth as an independent partnership

Munich, July 2021: Roland Berger continues to drive its ambitious growth plans and has elected a total of 17 consultants into the partnership. The elections took place at the twice-yearly global meeting of all Roland Berger Partners, which was held in a completely virtual setting. The company's future growth trajectory was a key discussion point, resulting in the Board of Managing Directors being asked to examine growth options as an independent partnership in all possible directions.

"The pandemic demanded a great deal of Roland Berger and of our clients. Together, we had to leave established realities behind and overcome this unparalleled crisis with new ideas. The colleagues we have promoted are synonymous with this kind of entrepreneurial action. I congratulate them on their appointment to the partnership and look forward to developing our business further with their input," says Stefan Schaible, Global Managing Partner at Roland Berger.

Commenting on the business situation, he adds, "We already returned to dynamic growth in the summer of 2020 and have picked up even more momentum in recent months. Our strategic focus on four innovation topics, together with our inbuilt strengths in restructuring and performance improvement, is having a marked upward effect on our growth in these challenging times. Given our strong business position, the market can definitely expect to hear news about Roland Berger in the coming months. All options for further growth, including acquisitions backed by growth capital, are on the table as we seek to take ourselves to the next level as an independent partnership."

2021 expected to be a record year – Strategic focus on four innovation topics
Roland Berger expects double-digit revenue growth and anticipates a record year for the company in 2021, surpassing the previous best performance of 2019. In the course of a strategic realignment over recent months, the consultancy has positioned itself to be even more globally networked within its industry and functional practice groups and is able to deliver in all areas of expertise consistently worldwide.

Keen to serve four of the most promising topics in the field of sustainable business, Roland Berger has also established four innovation platforms. These are Sustainability & Climate Action, Robust Organization, Smart Mobility and Next Generation Manufacturing. In each of the four fields, dedicated teams support clients on diverse projects ranging from supply chain reorganization to technology strategies to sustainable financing. These teams make their expertise available across the entire consultancy. For example, driven by Roland Berger's own ambition to achieve net zero emissions by 2028, the company includes a climate performance check in with its client projects.

Roland Berger's traditionally strong business in restructuring and performance improvement is enjoying great success in parallel and is also being pushed internationally. Digital activities are now pooled under the new brand name Roland Berger N3XT.

17 new Roland Berger Partners worldwide
The consultants promoted to Partner in Germany are Christoph Burckhart, Hanno Dachwitz, Pascal Lehnen, Caroline Merk, Benjamin Rassler, Steffen Thiel and Hannah Zühlke. In France, Axelle Lemaire and Baptiste Maisonnier join the partnership. Martin Bodewig (USA), Youye Chen (China), Daria Koroleva (Russia), Ralph Mair (Switzerland), Nicola Morzenti (Italy), Chanchai Tanatkatrakul (Thailand), Frederick Van Gysegem (Belgium) and Seunghun Yoo (South Korea) complete the roll call of new Partners at Roland Berger. Four existing Partners have also been promoted to Senior Partner: Alain Chagnaud, Sébastien Murbach, David Frans and Maria Mikhaylenko

Roland Berger is the only management consultancy of European heritage with a strong international footprint. As an independent firm, solely owned by our partners, we operate 50 offices in all major markets. Our 2400 employees offer a unique combination of an analytical approach and an empathic attitude. Driven by our values of entrepreneurship, excellence and empathy, we at Roland Berger are convinced that the world needs a new sustainable paradigm that takes the entire value cycle into account. Working in cross-competence teams across all relevant industries and business functions, we provide the best expertise to meet the profound challenges of today and tomorrow.

Read more »

Offshore wind sector can increase economic potential through green hydrogen conversion and floating technology

Press releases   •   Jun 28, 2021 18:40 -12

Study Download

  • Green hydrogen is one of the cornerstones of the energy transition
  • Floating technology can harness wind along deeper coastal waters and increase the scope for low-cost hydrogen production
  • Further cost cutting is necessary if the European offshore wind energy sector is to stay competitiv

Munich, June 2021: The last decade saw a remarkable rise in offshore wind energy (OWE). This once expensive and immature technology is now cost-competitive with electricity from fossil sources and will only become more so as CO2 prices increase. In fact, many countries now see it as a key pillar of their decarbonization strategies to meet climate targets and therefore great capacity expansions are planned. For example, the European Union intends to develop 300 GW of OWE by 2050. In its focus study, “Innovate and industrialize – How Europe's offshore wind sector can maintain market leadership and meet the continent's energy goals”, Roland Berger discusses how the sector can increase its economic potential through hydrogen conversion, use of floating wind parks and cost reduction.

“Offshore wind is becoming an ever more important route to tackling climate change,” says Torsten Henzelmann, Partner at Roland Berger. “It already provides a competitive, clean alternative to fossil electricity and using it to produce green hydrogen at the source will take it to the next level. We are excited by the opportunities it offers Europe to achieve its climate goals, consolidate its market leadership and capture the downstream value added of hydrogen when it is used as a feedstock, such as in the production of synthetic fuels or green chemicals.”

Offshore wind farms can provide great amounts of low-cost green hydrogen
"Hydrogen, long touted as a promising alternative to fossil fuels, has in recent years finally become fully accepted as one of the cornerstones of the energy transition – especially when it can be produced by electrolysis using renewable energy and thus without releasing CO2 into the atmosphere," states Yvonne Ruf, Partner at Roland Berger. Green hydrogen and its derivatives can help to decarbonize highly energy-intensive industries like steel and chemicals. It can be easily stored in pipelines, salt caverns and depleted gas fields, to smooth out the intermittent supply of wind and solar energy. At higher volumes it is even cheaper to transport energy in molecular form through a pipeline than as electrons through a cable.

"If we are to reach the world’s post-2030 decarbonization goals, we need green hydrogen in large volumes. Offshore wind parks can deliver these amounts," says Ruf. OWE is the most suitable renewable energy source in Northwestern Europe for direct coupling of large-scale electricity generation to industrial-scale hydrogen production. For large volumes, integrating electrolyzers and offshore wind turbines is a cheaper, faster and more robust solution compared to onshore hydrogen production. It also offers easy access to storage and has less environmental impact, because for example existing infrastructure and pipelines can be used.

Floating technology expands the area of operation for offshore wind in deeper waters
Floating OWE technology allows wind to be harnessed in deeper waters. Today, this technology is still immature, but by 2027, more than a dozen floating offshore wind projects should be commissioned with up to 700 MW capacity. It is conceivable that floating turbines, green hydrogen and the use of floating production, storage and offloading vessels (FPSO) will come together to enable extensive offshore production of very low-cost green hydrogen – no matter how remote the location.

Innovation is key for the European offshore sector
Hydrogen produced from OWE is still relatively expensive and about two-thirds of the cost per kilogram is attributable to OWE itself. But there is clear potential to realize cost cuts through standardization and new technologies. One possibility is to use larger turbines. Digital (predictive) maintenance and self-healing materials will also drastically reduce the hefty costs of maintenance and repair over a wind farm's lifetime. 

Roland Berger is the only management consultancy of European heritage with a strong international footprint. As an independent firm, solely owned by our partners, we operate 50 offices in all major markets. Our 2400 employees offer a unique combination of an analytical approach and an empathic attitude. Driven by our values of entrepreneurship, excellence and empathy, we at Roland Berger are convinced that the world needs a new sustainable paradigm that takes the entire value cycle into account. Working in cross-competence teams across all relevant industries and business functions, we provide the best expertise to meet the profound challenges of today and tomorrow.

Read more »

"Automotive Disruption Radar": New technologies in the global automotive industry take off despite the pandemic

Press releases   •   May 25, 2021 19:12 -12

  • Electric vehicle penetration rises dramatically
  • Increase in patents indicates steady progress towards autonomous driving
  • New website www.automotive-disruption-radar.com provides extensive data on the trends in the automotive industry

Munich, May 2021: Even the Covid-19 pandemic cannot halt the disruptive developments in technology and customer attitude trends within the automotive sector. This is among the findings of the latest Automotive Disruption Radar (ADR) from Roland Berger, a twice-yearly report that tracks 26 automotive indicators across 18 countries. The ninth edition of the ADR recorded the highest average country score to date, underlining the positive sentiment around innovation, advancing digitalization and electrification in the automotive industry. The ADR is published regularly on the website www.automotive-disruption-radar.com, which Roland Berger hosts in cooperation with Automotive World, Charging Radar, CoMotion, fka GmbH and Springer Fachmedien. The content on the platform provides decision-making support for executives in the mobility sector and highlights the trends in all areas of the automotive industry.

"Even though the economic environment remains tense in the pandemic, it is evident that the automotive industry continues to focus on innovation," says Wolfgang Bernhart, Partner at Roland Berger. "The four big trends – new mobility, autonomous driving, digitalization and electrification – continue to shape the market." The latest edition of the study demonstrates that people are increasingly starting to favor electric cars and many countries are regulating to allow extensive testing of autonomous vehicles. "Our new website consolidates the historical data gathered since the start of 2017, which enables us to anticipate upcoming developments," says Bernhart. "With the additional input from our partners, we have created a comprehensive source of data for anyone who is professionally involved with the future of the automotive industry."

The transition to electromobility is only just beginning
The new study reveals that sales of electric vehicles have increased in most countries, with fully electric vehicles (EVs), plug-in hybrids (PHEVs) and fuel cell electric vehicles (FCEVs) accounting for an average of 4.7% of all vehicle sales in 2020. This is a rise of almost 2% on the previous year (2019: 2.9%). Back in 2017 when the first ADR study was published, electric cars accounted for just 1.5% of sales. Sweden leads on the corresponding indicator: The Scandinavian country saw electric car sales triple year on year to around 30% in 2020. Sweden is thus some distance ahead on EV sales, followed by the Netherlands and Germany.

Numerous cities in ADR countries are restricting vehicles with internal combustion engines from taking to the roads in a move that is supporting the popularity of electric mobility. Almost half of the cities surveyed (44%) have imposed at least minor restrictions, a ban on vehicles that do not meet the latest emissions standards (e.g. green badge) or targeted actions, such as car-free days.

Regulation fosters developments towards autonomous driving
The number of patents related to autonomous driving has been rising continually: Back in 2015, autonomous vehicle/function patents amounted to just 1.3% of all driving technology patents, but by last year the figure had risen to 4.7%. "The amount of technological progress we have seen in autonomous driving is remarkable, as the steady rise in patents indicates. The notion of autonomous vehicles filling our roads is slowly but surely beginning to take shape," says Stefan Riederle, automotive expert at Roland Berger and a co-initiator of the ADR Platform.

This is helped by the fact that the legal frameworks now allow more scope for autonomous driving. The picture has changed greatly since 2017, when just three countries (the USA, Singapore and the Netherlands) were working on regulations permitting type approval. In 2020, eight countries now permit type approval for autonomous vehicles – the UK, France, Germany, Japan and Russia having joined the existing three. And there has been significant progress on the number of roads open to testing: In 2017, only the USA and South Korea had more than ten public roads open for AV testing, whereas today ten countries offer more than ten test zones. Furthermore, subject to the right permits, the entire road network in the USA and South Korea is open for testing.

The automotive-disruption-radar.com online platform offers analyses and data on trends of the automotive industry
The online platform – automotive-disruption-radar.com – features each biannual edition of the ADR alongside a continuously expanding range of new material on disruptive trends in automotive, with all of the platform's co-initiators regularly publishing studies, analyses and curated thought-leadership articles. Registered participants get free access to the latest statistics as well as historical data, which they can tailor to their own situation and download.

"The latest study provides a snapshot of the automotive industry today. But in combination with the historical data on our ADR website, it offers answers to the following key questions: What are the factors driving the transformation within automotive ecosystems? How are these factors changing over time? What can decision makers do to optimally manage the disruptions and include them in their strategic decisions?", says Riederle. 

Companies behind the ADR Platform:

Automotive World is a leading B2B publication for the mobility sector. It draws on a global network of expert contributors to produce insightful articles, reports, data sets, forecasts, webinars and conferences. Right now, Automotive World is focusing on connected and autonomous vehicle technology, urban and shared mobility, advanced propulsion and the future of trucking.

CHARGING RADAR is the leading data analytics platform for public EV charging infrastructure. It is built to bring transparency to this complex market and provides access to unique insights such as market development of CPO and EMP networks and identifying typical charging behavior patterns. CHARGING RADAR supports industry leaders and new market entrants in their strategic planning and day-to-day operations and enables them to make fact-based decisions.

CHARGING RADAR is a service by THEON Data Solutions GmbH powered by CIRRANTiC GmbH.

CoMotion is a global platform where leaders of the most innovative transportation and technology companies around the world meet with urban policymakers to share ideas, do business and plan the new mobility future. CoMotion organizes exclusive world-class events such as CoMotion LIVE, CoMotion LA and CoMotion MIAMI, and is the new mobility industry's premiere source for news, insights and analysis.

As a partner to the automotive industry, fka GmbH Aachen offers innovative vehicle technology solutions and strategic consulting. Starting from the complete vehicle, fka develops concepts and strategies on the key topics of sustainability, safety and mobility experience.

Roland Berger is the only management consultancy of European heritage with a strong international footprint. As an independent firm, solely owned by our Partners, we operate 50 offices in all major markets. Our 2400 employees offer a unique combination of an analytical approach and an empathic attitude. Driven by our values of entrepreneurship, excellence and empathy, we at Roland Berger are convinced that the world needs a new sustainable paradigm that takes the entire value cycle into account. Working in cross-competence teams across all relevant industries and business functions, we provide the best expertise to meet the profound challenges of today and tomorrow.

Springer Fachmedien (www.springerfachmedien-wiesbaden.de) is part of the Professional Group within Springer Nature – one of the world’s leading science and professional publishers. Working from a Wiesbaden location, Springer Fachmedien produces journals, events and online services which are tailored to engineers and managers, especially in the automotive and finance industries.

Read more »

Companies anticipate significant impact of quantum computing on business models

Press releases   •   May 10, 2021 19:21 -12

  • Quantum technology will bring new disruptions
  • Solving optimization problems will be one of the first use cases; manufacturing industries such as automotive, pharmaceuticals and chemicals will benefit most
  • Rising investments indicate promising development towards commercialization; first markets for the technology already exist

Munich, May 2021: Quantum computing is likely to have an increasing impact on companies and their business models in the coming decade. This is one of the findings of a study by Roland Berger of 110 executives across a broad range of industries Europe-wide. The majority of respondents expect the ultra-fast computing technology to bring significant changes, either because it accelerates ongoing digital transformation (42%) or because it triggers new disruptions (23%). As a result, 63% intend to give the subject greater prominence in their strategic planning.

So far, quantum technology is only a secondary topic on the management agenda: Just 8% of the surveyed executives already specifically include the expected change in their strategic planning. Another 35% say they are at least keeping an eye on developments. "This reticence is understandable, as it will be some time before we see the commercial benefits of quantum computing," says Martin Streichfuß, Partner at Roland Berger and co-author of the study. "But we still think it makes sense to start considering the new technology and its potential applications early. The fact that the majority of our survey participants intend to do so is a very good sign."

Quantum computing is a key future technology
Quantum computing could have many different applications. The Roland Berger experts consider four main use cases for the ultra-fast computers to be commercially relevant: 1) solving optimization problems for which classical computers often take a very long time; 2) simulations of complex structures; 3) artificial intelligence and machine learning; and 4) cryptography. "More use cases will certainly be discovered as time goes by," says Michael Alexander, Partner and co-head of Roland Berger's Advanced Technology Center. "As with any new technology, once it is being tested by a wider range of users, quantum computing will find application in areas we cannot even conceive of today."

Automotive, pharmaceutical and chemical sectors likely to benefit
Which industries are most likely to benefit from the new ultra-fast computing capacities depends primarily on the data intensity of their business model: "It is a question of the volume of data you have, how diverse it is and how fast it needs to be processed," says Frederik Hammermeister, Partner at Roland Berger. "We expect manufacturing business models and supply chains to benefit the most from quantum computing, such as those in automotive, pharmaceuticals and chemicals, but it will also create new opportunities in areas like finance and transportation."

Quantum computers could be used to model the chemical processes inside batteries, which would enable the production of more efficient batteries for electric vehicles. Or they could train software, artificial intelligence and machine learning systems on a completely new level and thereby improve applications such as autonomous driving or the automatic detection of diseases like cancer. And in the finance industry they could solve complex optimization problems that are beyond the capacities of even the largest supercomputers today.

The way of working with chemicals and active substances could be revolutionized, too: "Tests that used to take years could suddenly become possible in a fraction of the time thanks to quantum simulation of molecular structures or analysis of their properties," says Alexander. "That would enormously speed up and simplify the discovery of new drugs and materials."

Public and private investment on a massive scale
No one can seriously predict when the technological breakthrough in quantum computing will come. But an interesting market environment is already developing for the technology. Partly, this is due to some very high levels of public funding: Countries around the world are investing a total of EUR 22 billion in research programs for quantum technologies, with China (10 billion), Germany (3.1 billion) and France (1.6 billion) spending the most. That is because quantum technology is now classified as critical infrastructure. And this is encouraging private finance: The number of venture capital transactions in the field of quantum applications has reached a historic peak – a sign that more and more investors are expecting commercial deployment in the not too distant future.

What that means for companies is that they need to be keeping a very close eye on progress and milestones in the field and they should develop scenarios for how quantum technology will potentially impact their own business. "Notwithstanding all the uncertainty around exactly when and how quantum technology will happen, we think business leaders should be looking into it as a matter of urgency," says Streichfuß. "Anyone who has ever carried out a comprehensive transformation program in their organization knows that change takes time. Those who start in time can create competitive advantages for their companies."

Roland Berger is the only management consultancy of European heritage with a strong international footprint. As an independent firm, solely owned by our partners, we operate 50 offices in all major markets. Our 2400 employees offer a unique combination of an analytical approach and an empathic attitude. Driven by our values of entrepreneurship, excellence and empathy, we at Roland Berger are convinced that the world needs a new sustainable paradigm that takes the entire value cycle into account. Working in cross-competence teams across all relevant industries and business functions, we provide the best expertise to meet the profound challenges of today and tomorrow.

Read more »

The green economy: how sustainable business management becomes a competitive advantage

Press releases   •   Apr 18, 2021 22:20 -12

Study Download

  • The price of CO2 would have to rise to up to 150 euros per metric ton by 2040 to achieve the Paris climate targets
  • Companies that do not actively pursue sustainability risk losing from 5 up to 50 percent of their profits
  • Cuts in emissions will become a competitive factor

Munich, April 2021: Companies have to become greener and more sustainable, or else they will face massive losses in profits – in energy-intensive sectors, earnings could even drop by almost one-half. However, the requirement to operate sustainably also presents opportunities. “Companies that act now can gain a clear advantage in the reimagined competitive environment,” says Stefan Schaible, Global Managing Partner at Roland Berger. The key lies in the pricing of carbon dioxide.

In the study, “The new competitiveness paradigm: Decarbonization as an opportunity for companies,” Roland Berger’s experts call for a change of perspective and encourage companies to recognize the unavoidable transformation as a new aspect of competition that offers great potential. “There is no doubt that there is an urgent need for far-reaching change. The pressure to act, which we already see today, will continue to grow,” says Yvonne Ruf, Partner at Roland Berger.

ESG gaining strength, sustainable investments growing by 13.5 percent
Investors, too, are increasingly focusing their investment decisions on sustainable companies that take ESG criteria into account and are pulling out of sectors with a less positive environmental track record. In 2018, 28 trillion euros went into sustainable investments, whereas four years earlier green investments had attracted 11 trillion euros less. This is equivalent to a growth rate of 13.5 percent. Furthermore, policymakers will impose stricter measures to implement the multinational emissions agreements already reached.

The key to business success lies in the interpretation of the CO2 price as a market instrument. Instead of viewing carbon emissions merely as a cost driver, business executives should also treat CO2 prices like a new currency component – one that is currently still massively undervalued. “To achieve the Paris climate targets, the carbon dioxide price would need to be between 80 and 120 euros per metric ton by 2030, and between 90 and 150 euros per metric ton by 2040,” Ruf says. “At present, these levels are being already achieved by the pioneering nations of Sweden (123 euros per metric ton) and Switzerland (96 euros per metric ton).”

New opportunities, rules, and business models
“Competitiveness is reflected through a company's climate-protection activities, that increase innovation,” Schaible says. “The volume of cut emissions becomes a competitive factor and forms a new revenue source. As the price of carbon rises, so too does the value of this new 'currency', if competitive advantages are actually generated.”

As a result, the rules of competition are also changing. New possibilities and business models are being discovered. They bring with them a new form of transparency. The player who becomes climate-neutral first or cuts their company’s carbon dioxide emissions fastest can generate value for their business. A growing number of firms have seized this opportunity and made their own CO2-footprint public.

More than 1,500 companies are seeking “net zero”
The market value of the companies that are communicating their emissions transparently through the Carbon Disclosure Project is now equivalent to 50 percent of global market capitalization. More than 1,500 companies with a turnover of 10 trillion euros are even seeking to achieve complete CO2-neutrality.

Roland Berger offers companies four strategic recommendations for securing a competitive advantage now:
1. Assess your own risk
2. Estimate the impact on your own business model
3. Establish your own aspiration level
4. Define – or redefine – your own climate-protection strategy

Roland Berger is the only management consultancy of European heritage with a strong international footprint. As an independent firm, solely owned by our partners, we operate 50 offices in all major markets. Our 2400 employees offer a unique combination of an analytical approach and an empathic attitude. Driven by our values of entrepreneurship, excellence and empathy, we at Roland Berger are convinced that the world needs a new sustainable paradigm that takes the entire value cycle into account. Working in cross-competence teams across all relevant industries and business functions, we provide the best expertise to meet the profound challenges of today and tomorrow.

Read more »

Digital factory: Medium-sized companies do not yet pursue an integrated concept for Industry 4.0

Press releases   •   Mar 29, 2021 18:46 -12

  • Around two thirds of digitalization projects are only in the planning phase
  • Most applications have so far been standalone solutions and not part of an overarching digitalization strategy
  • The vast majority of companies want to increase investments in digitalization by 2023, despite Covid-19

Munich, March 2021: The fully digitalized factory is not yet a reality in German mid-sized manufacturing firms. Around two out of three projects in the field of Industry 4.0 have not yet progressed beyond the planning phase. In addition, companies tend to only have individual applications that are not optimally linked to the value chain. This is the finding of Roland Berger’s new study "NextGen production", for which managers and specialists at medium-sized companies from five industries were surveyed. The survey also shows that 70 percent of the respondents wish to increase their investments in the next two years – on average, 20 to 30 percent of the total investment budget is earmarked for digitalization.

"Although digitalization is high on most German companies’ agenda, the digital factory is still in its infancy," says Oliver Knapp, Partner and Head of the Next Generation Manufacturing innovation platform at Roland Berger. "In most cases, the existing applications are single-case solutions developed for very specific tasks. This shows a lack of clear prioritization and corresponding strategies. As a result, mid-sized companies are not utilizing the potential to optimize their processes and thus improve their international competitiveness."

40 percent of digital projects exist only as an idea
As the study shows, the majority of Industry 4.0 applications are still in the early stages of the implementation process: 40 percent of projects exist as an idea and 25 percent are in the planning stage. Above all, skepticism regarding profitability makes decision-makers shy away from concrete measures. Where new technologies are already being used, company representatives cite improving processes (64 percent) and reducing costs (44 percent) as the main drivers for digitalization, followed by increased quality (24 percent).

Medium-sized companies lack a clear digitalization vision
One quarter of digitalization applications used today fall into the category of Big Data and AI analytics. In the future, this share is expected to grow to 29 percent. The second highest number of use cases (23 percent) come under the area of advanced automation and robotics. Its forecasted share in the near future is also expected to be 29 percent.

"The most successful companies today are already those that integrate digitalization into their existing value creation and do not set it up as a parallel, separate process," says co-author of the study Marc Bayer from Roland Berger. "There is no doubt that Industry 4.0 will completely transform industrial production. If companies want to survive, their digitalization approach should cover all aspects, from production equipment to workforce skills to strategic research partnerships."

In the study, the authors develop a target image that conveys the path to the digital factory based on five dimensions – looking at both technology and organizational structure. This includes the development of a digital ecosystem that defines networks beyond one's own company, as well as the digitalization of production systems and central manufacturing processes.

Roland Berger, founded in 1967, is the only leading global consultancy of German heritage and European origin. With 2,400 employees working from 34 countries, we have successful operations in all major international markets. Our 50 offices are located in the key global business hubs. The consultancy is an independent partnership owned exclusively by 250 Partners.

Read more »

Private equity outlook 2021: Experts expect strong increase in M&A transactions with PE involvement

Press releases   •   Mar 24, 2021 19:42 -12

  • PE market in Germany expected to grow by approx. 5 percent, followed by Scandinavia and Benelux
  • Technology, media & software and pharma & healthcare are the most attractive sectors
  • Family businesses remain the most popular targets

Munich, March 2021: The private equity industry is optimistic about 2021: the vast majority of professionals (82 percent) expect an increase in M&A transactions involving private equity (PE) compared to the previous year. 37 percent estimate that the rate of increase will even be in the double digits. This was the finding of the new "European Private Equity Outlook 2021", for which Roland Berger surveyed around 2,500 PE experts across Europe.

"The confidence in the PE industry, despite the ongoing coronavirus pandemic, shows its resilience to economic changes," says Christof Huth, Partner at Roland Berger. "Looking at the overall economic situation, optimism prevails among PE experts – 85 percent expect positive economic development in 2021, with almost three quarters of our respondents assuming a U- or W-shaped recovery of the economy."

Strong differences between European countries
Driven by economic development, the European PE market is likely to grow again this year – led by Germany with a forecast increase of around 5 percent compared to 2020. Scandinavia and the Benelux countries follow behind: in these regions, an increase in M&A transactions with PE involvement of around 3 per cent is expected. The PE experts are more pessimistic about the development in Great Britain, with growth of just one percent expected.

Technology and health remain the most attractive sectors
When asked about the most attractive target sectors for private equity, the picture remains constant: technology, media & software (89 percent), pharma & healthcare (83 percent) and business services & logistics (71 percent) continue to be the most popular sectors for M&A transactions with PE involvement. "Technology and healthcare remain very exciting sectors for private equity investors due to their growth characteristics and resilience, which they also demonstrated during the coronavirus crisis," says Thorsten Groth, Principal at Roland Berger.

Around two thirds of the experts (65 percent) expect targets available in 2021 to be more attractive than those available in the previous year. Majority shareholdings in family businesses remains the most important source of targets, according to 52 percent of respondents. In terms of transaction volumes, the mid-cap and small-cap segments are seen as the most promising with deals up to €250 million.

Focus on prolongation of existing funds and fundraising
The PE industry wants to focus on the prolongation of existing funds and fundraising this year. More than half of the respondents anticipate no change in the competition for fundraising. Nine out of ten PE professionals expect the holding period for portfolio companies to be extended due to the coronavirus pandemic.

"When it comes to portfolio management, the most important value creation measures for 2021 are increased digitalization, investments in Industry 4.0 applications and add-on acquisitions," says Christof Huth. "In terms of exit options, secondary buyouts are likely to remain predominant."

With regard to valuation multiples, 82 percent of the PE experts consider assets to be overvalued. The vast majority also assume that valuation multiples will remain stable or increase slightly in 2021.

Roland Berger, founded in 1967, is the only leading global consultancy of German heritage and European origin. With 2,400 employees working from 34 countries, we have successful operations in all major international markets. Our 50 offices are located in the key global business hubs. The consultancy is an independent partnership owned exclusively by 250 Partners.

Read more »

E-Mobility Index 2021: Electric vehicles in strong demand despite corona pandemic – especially in Europe

Press releases   •   Mar 22, 2021 20:14 -12

  • China leads in battery production and overall ranking
  • Germany and France move up to second and third place
  • Electric vehicle sales rise in Germany, France, Italy and South Korea

Munich, March 2021: Producing the largest number of electric vehicles and battery cells, China leads in the overall and the industry ranking of the "E-Mobility Index 2021". In the market category, Germany climbed from fifth place to the top spot – due to an increase in sales of electric vehicles of over 250 percent. South Korea takes over the lead in terms of technology, because of constantly improving vehicle performance.

The "E-Mobility Index 2021", the country comparison for China, Germany, France, Italy, Japan, South Korea and the USA, which was jointly developed by the management consultancy Roland Berger and fka GmbH Aachen, examines the three indicators of market, industry and technology.

"The trend toward e-mobility has once again gained significant momentum in recent months. While overall sales in the automotive industry are down because of the coronavirus pandemic, e-mobility is on the rise globally," says Wolfgang Bernhart, Partner at Roland Berger. "Momentum will remain high because the industry has recognized the need to adapt and accelerate the transition. In 2021 and 2022 alone, more than 20 new electric models from German, US and Chinese manufacturers each are expected to hit the market."

One in eight vehicles in Germany is electric
Germany ranks first in the market category, ahead of France and China. Almost 400,000 electric vehicles were sold in Germany last year, representing an increase of over 250 percent. In terms of units sold, this means that Germany is now the second largest market for electric vehicles in the world, behind China. The share of electric vehicles in Germany’s overall market rose to 12.6 percent, with government subsidies in the form of purchase premiums supporting the upward trend. In France, where the electric car share is 9.5 percent, as well as in Italy and South Korea, the sales figures for electric vehicles also rose significantly. Italy demonstrated the best progress in terms of fully electric vehicle market share, which is up 376 percent. The USA and China recorded only moderate sales growth. "The upward trend in Europe, helped by government subsidies, indicates that the gap with China can narrow in the long term," says Alexander Busse, Senior Consultant at fka GmbH Aachen.

China still dominates production volumes
In terms of units produced, China continues to dominate both electric vehicles and battery cells. According to the authors' forecast, worldwide production of fully electric vehicles and plug-in hybrids will increase by 13 percent in the period from 2018 to 2023, compared to the previous period. China is also stepping up production activities in the field of batteries: domestic cell production capacity created in this period is expected to account for over 70 percent of global capacity.

"China is well ahead in cell production, yet Europe is on the right path. But the backlog in cell production can only be reduced with high investment and continuous optimization of technology, such as cell chemistry," says Wolfgang Bernhart.

Vehicle performance and diversity on the rise
South Korea takes the lead in the technology category. Overall, the average vehicle performance has improved and yet they still offer a very good price-performance ratio. While South Korean OEMs continue to enhance the technology in existing models, rather than introducing new models, in the other markets the following trend can be seen: Manufacturers are increasingly focusing on the production of new fully electric vehicles. In 2021 and 2022, Germany, the USA and China each plan to launch more than 20 new electric models. "Consumers now have a choice. They benefit from an ever-increasing variety of electric vehicles across all classes," said Alexander Busse, co-author of the study.

Roland Berger

Roland Berger, founded in 1967, is the only leading global consultancy of German heritage and European origin. With 2,400 employees working from 34 countries, we have successful operations in all major international markets. Our 50 offices are located in the key global business hubs. The consultancy is an independent partnership owned exclusively by 250 Partners.


fka GmbH Aachen

As a partner to the automotive industry, fka GmbH Aachen offers innovative vehicle technology solutions and strategic consulting. Starting from the complete vehicle, fka develops concepts and strategies on the key topics of sustainability, safety and mobility experience.

Read more »

Roland Berger underscores growth ambition and strengthens global operations with twelve new Partners

Press releases   •   Feb 07, 2021 21:17 -12

  • The consultancy adds eleven new members to its partnership in Germany, Canada, France, Portugal and the UK; one Senior Partner joins the firm
  • Six Partners are promoted to Senior Partner in China, Germany and the United States

Munich, February 2021: Roland Berger is expanding its partnership with twelve new members internationally, underscoring its growth ambition for 2021. The consultancy elevated five employees to Partner level and brought six new Partners in from outside the firm. In addition, Patrick Müller-Sarmiento, the former CEO of retail chain Real, rejoined Roland Berger as a Senior Partner at the beginning of the year. Six other consultants who were already Partners were promoted to Senior Partner.

"We have posted strong growth in recent months in spite of the adverse circumstances. The consultants we have promoted and brought onboard will help us continue to drive the positive development of our company going forward. I congratulate them all and look forward to a working with them for business success," said Stefan Schaible, Global Managing Partner Roland Berger. "The entire economy is facing transformation on a massive scale and it is time for resolute action to address this – the coronavirus crisis has ramped up the pressure on businesses all round. Companies will need to fundamentally review and reposition their business models, and some will find themselves doing so with tighter financial margins. Our consulting expertise is in demand as companies tackle this challenge and we want to stand shoulder to shoulder with our clients. It is our Partners' entrepreneurial thinking, sound expertise and outstanding commitment that enables us to do so."

Twelve new Roland Berger Partners globally

A total of five Roland Berger consultants have been promoted to Partner: Lennart Bösch and Marc Hesse in Germany, Eric Esperance and Olivier Hanoulle in France and Olga Talanova in the UK. The consultancy's lateral hires are Dennis Bücker, Maximilian Dressler (both in Germany), Siobhán Géhin, Stephanie Mills (both in the UK), Oona Stock (Canada) and João Hrotko (Portugal). The new intake is complemented by Patrick Müller-Sarmiento, who rejoins Roland Berger as a Senior Partner in 2021.

Six Roland Berger Partners have also been elevated to Senior Partner level: Thomas Fang in China, Per Breuer, Matthias Holzamer, Peter Magunia and Matthias Rückriegel in Germany and Frederic Choumert in the United States.

Roland Berger, founded in 1967, is the only leading global consultancy of German heritage and European origin. With 2,400 employees working from 34 countries, we have successful operations in all major international markets. Our 50 offices are located in the key global business hubs. The consultancy is an independent partnership owned exclusively by 250 Partners.

Read more »

Roland Berger commits to net zero emissions by 2028 and sets its sights on consulting for sustainable management

Press releases   •   Feb 03, 2021 19:41 -12

Munich, February 2021: After Roland Berger achieved climate neutrality in 2020, the company is setting itself further ambitious goals and is aiming for net zero emissions by 2028. In order to ensure transparency around reduction targets, Roland Berger has committed to the Science Based Targets Initiative (SBTi). To start this journey and get a full picture of the company's emissions, Roland Berger conducted a full accounting process in line with the GHG protocol to understand its carbon footprint. This was recently calculated in cooperation with South Pole – a leading project developer and provider of global climate action services. As a non-manufacturing company, so-called Scope 3 emissions, such as travel, account for a large part of Roland Berger's footprint.

Measures to achieve net zero emissions by 2028

Roland Berger will take a number of measures to reduce its CO2 footprint, including reviewing its existing company car policy, sourcing renewable energy, increasing the use of teleworking and reducing travel emissions. Any unavoidable carbon footprint will be offset via a certified portfolio of high-quality climate protection projects in the areas of reforestation, prevention of deforestation, energy efficiency and renewable energies. In addition, by continuously increasing its offsets, Roland Berger will not only reach net zero emissions by 2028 but will also aim to remove more carbon from the atmosphere than it emits.

Stefan Schaible, Global Managing Partner: "We are convinced that the world needs a new sustainable paradigm that takes the entire value cycle into account. The reduction of emissions, innovations in the use of resources, the reorganization of supply chains, and new production methods are becoming decisive competitive factors. As a global consultancy, we are also fully aware of the impact of our business on the climate. Not only do we want to lead by example in our industry, but we also want to demonstrate effective ways of doing business sustainably to our clients."

Consultancy approach with a focus on sustainable management

With a new strategy, which was adopted by its 250 Partners, Roland Berger is also placing solutions for sustainable management at the center of its consulting approach. As part of this strategy, the consultancy has identified four innovative areas in which it has bundled its competencies globally: Sustainability and Climate Action, Smart Mobility, Robust Organizations, and Next-Generation Manufacturing. Roland Berger has built teams in each of these fields to support clients in a wide range of projects, from supply chain reorganization and technology strategies to sustainable financing issues. The teams will also lend their expertise to Roland Berger's organizational units, each of which focuses on consulting services in a specific industry or functional area. 

Roland Berger, founded in 1967, is the only leading global consultancy of German heritage and European origin. With 2,400 employees working from 34 countries, we have successful operations in all major international markets. Our 50 offices are located in the key global business hubs. The consultancy is an independent partnership owned exclusively by 250 Partners.

Read more »

Contacts 3 contacts

About Roland Berger

Roland Berger

Roland Berger, founded in 1967, is the only leading global consultancy with German heritage and of European origin. With 2,400 employees working in 34 countries, we have successful operations in all major international markets. Our 50 offices are located in the key global business hubs.
Roland Berger advises major international industry and service companies as well as public institutions. Our services cover the entire range of management consulting from strategic advice to successful implementation: e.g. new leadership and business models; innovative processes and services; M&A, private equity and restructuring; and management support on large infrastructure projects.

Our firm is owned solely by a group of 250 Partners. We share the conviction that the firm's independence provides the basis for unbiased advice to our clients.

All employees at Roland Berger are committed to our three core values
Entrepreneurship – We follow an entrepreneurial approach and provide creative and pragmatic solutions.
Excellence – We achieve excellent results and develop global best practices to ensure measurable and sustainable success.
Empathy – We are insightful and responsible advisors and we contribute to the greater good.

At Roland Berger, we combine sound analyses with creative strategies that generate real and sustainable value for the client. We develop and consolidate our expertise in global Competence Centers that focus on specific industries and functional issues. We handpick interdisciplinary teams from these Competence Centers to develop the best solutions.

Address

  • Roland Berger
  • Sederanger 1
  • 80538 München
  • Deutschland