Case | HBS Case Collection | August 2012

Growing Pains at Stroz Friedberg (Abridged)

by David A. Garvin and Michael Norris

Abstract

In late spring 2009, Stroz Friedberg co-presidents Edward Stroz and Eric Friedberg had to set growth targets for 2010. The leading global consulting firm they had built specialized in managing digital risk and uncovering digital evidence and had grown very rapidly. With the firm's CFO, they believed that the firm could grow from $58 million to $72 million, a growth rate of 27% over the preceding year. However, the firm's 11 offices had submitted first draft FY 2010 plans that together added up to firm-wide revenues of only $53 million, a growth rate of negative 10.2%. The preceding years of rapid growth had been successful but challenging, and a thorough review of the firm's culture, systems, structure, and processes in late 2008 had resulted in a significant set of changes to which the organization was still adjusting. Stroz and Friedberg wondered whether to push for continued, aggressive growth.

Keywords: Business Growth and Maturation; Change Management; Transition; Growth and Development Strategy; Growth Management; Organizational Change and Adaptation; Organizational Culture; Organizational Structure; Consulting Industry;

Citation:

Garvin, David A., and Michael Norris. "Growing Pains at Stroz Friedberg (Abridged)." Harvard Business School Case 313-023, August 2012.