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Kennedy Information Publishes White Paper for Management Consulting Firms on Winning in a Tough Economy

Report finds firms' ability to uncover, strengthen and leverage strategic relationships is critical in lean times

OAK BROOK (IL), 6 May, 2002: Interface Software today announced that Kennedy Information, the leading source of information on the management consulting industry, has released a new white paper entitled, Relationship Intelligence: A Management Consulting Firm's Path to Winning in a Tough Economy. The white paper examines the unique client relationship management (CRM) needs of the $130 billion management consulting industry and the tools available to accommodate those needs.

According to the white paper, most management consulting firms suffer from islands of redundant client and prospect data found in a variety of applications, from individual contact managers to enterprise applications such as practice management systems, proposal files and the like. The report warns that the lack of a coordinated centralized data repository results in loss of clients, decreasing returns, employee defections and loss of revenue.

The white paper points out that while most management consulting firms are intimately aware of these problems and routinely advise clients on CRM and related issues, the problem is more complex in the professional services environment and, accordingly, traditional CRM solutions are not adequate. Kennedy Information identifies a new breed of CRM solutions capable of delivering Relationship Intelligence, such as Interface Software's InterAction®, and others that are designed for management consulting and other professional services organizations. Relationship Intelligence is a firm-wide asset that reveals the unique and complex connections between people, companies, relationships, experience and expertise, empowering professionals to leverage who and what they know to uncover new revenue opportunities, differentiate themselves from the competition and enhance client service.

The Kennedy Information white paper is ground-breaking in that it identifies a seldom-discussed problem plaguing the management consulting industry: The lack of tailored solutions enabling firms to institute internal CRM strategies as effectively as their clients. According to Billy Allen, Managing Director of Kennedy Information Advisory Services, this is a case of the 'shoemakers children going unshod.' "Management consulting firms were at a disadvantage," said Allen. "Although they have significant expertise in CRM implementations and understand the cultural, processes and people issues necessary for success, the technology wasn't available to enable these firms to effectively execute on their own CRM strategy. Their only choice was to significantly modify existing packages, develop their own software or do nothing. Each option was costly and inadequate."

With the advent of Relationship Intelligence capabilities, the white paper concludes that management consulting firms now can expect acceptable ROI when implementing CRM software internally. It estimates that without even taking into consideration cost savings through streamlined processes, firms can generate a positive return on investment when they realize a three percent or greater revenue increase through implementation of a Relationship Intelligence solution.

"Relationship Intelligence changes everything for management consulting firms," said Allen. "The technology now will allow them to implement a CRM strategy as effectively as their Fortune 1000 clients." The new Kennedy Information white paper is now available for download at: www.interaction.com/consulting/.

About Interface Software
Interface Software is the leading provider of CRM solutions enabling professional services firms to create the Relationship Intelligence they need to generate new business and enhance client service. Its flagship product, InterAction, is a flexible and uniquely designed platform that delivers this Relationship Intelligence throughout the organization, quickly, efficiently and cost-effectively. Relationship Intelligence is a firm-wide asset that reveals the unique and complex connections between people, companies, relationships, experience and expertise, empowering professionals to leverage who and what they know to uncover new revenue opportunities, differentiate themselves from the competition and enhance client service. InterAction is internet-enabled, allowing professionals to view information however they choose-through knowledge management platforms, corporate portals, intranets, extranets and wireless devices. For more information please visit Interface Software's website at www.interaction.com.

About Kennedy Information
Through its extensive portfolio of newsletters, magazines, research reports, Web sites, and advisory services, Kennedy Information is the global market leader in information for and about management consultants. Kennedy is a subsidiary of the Bureau of National Affairs, the world's largest employee-owned information company. www.consultingcentral.com, www.kennedyinfo.com.