The Andersen Effect

One of the positives that came out of the breakup of Arthur Andersen was the impact its ex-employees have had on the profession. Many ex-Andersen employees are now running consulting firms and enjoying great success—and they never miss a chance to tell you how much they loved working at Arthur Andersen. We rounded up several and asked one very simple question: What did you learn in your time at Arthur Andersen?

Phil Parr, CEO, Hitachi Consulting Phil Parr, CEO,
Hitachi Consulting
"My time at Andersen taught me the importance of surrounding myself with the best people possible. It was ingrained in us from the beginning that it is critical to attract and retain the best people. The reason is, at Andersen, it wasn't about the individual; it was about the team you were on and what that team could accomplish working together for our clients. We were all very proud to be part of the firm. These early lessons shaped how I work today, and the kind of environment that I try to emulate and recreate at Hitachi Consulting."

Dan Reardon, President and CEO, North Highland Dan Reardon, President
and CEO, North highland
"I learned that in this profession, there is right and wrong. You always know what the right thing to do is and it is almost always the hardest thing to do. Over the years, I have always kept that in mind. Employees and clients like to work with someone they can trust."

Gail Steinel, Owner, Executive Advisors Gail Steinel, Owner,
Executive Advisors
"I learned how great businesses are built and destroyed. It all comes down to leadership and the resultant organizational culture. Andersen was built on a few core concepts: clients come first; think straight/talk straight; train and develop people; stewardship; one-firm concept; and, entrepreneurial spirit. I am proud to have been a partner at Arthur Andersen. The business was destroyed by external factors, but we also have to accept our own responsibility. Top leaders, distracted by the internal fight with Andersen Consulting, stopped reinforcing the culture and values. Myself and the other partners should have demanded their leadership."

Cary McMillan, CEO, True Partners Consulting Cary McMillan, CEO,
True Partners Consulting
"We lived by several values and the best ones resonated deeply; I've carried them throughout my career and continue to integrate them today into my firm, True Partners Consulting. The first is: 'Think straight, talk straight.' We counseled clients honestly about things that while in their best interest, they didn't want to hear, which I found to be unique. The second is: 'Invest in future generations.' To me, this is about building something for the future and providing more than existed when you arrived." The third is: 'Grow organically.' "

Dean Fischer, President, CEO, West Monroe Partners Dean Fischer, President, CEO
West Monroe Partners
"I could write volumes about lessons learned during my 23 years at Arthur Andersen, but none were more significant than the importance—and power—of culture. At its very best, Arthur Andersen's key strength was its distinctive culture—one shaped by well-defined and strongly held core values. Andersen invested in and developed young people, recognizing that the organization was only as strong as its future. Despite the highly publicized actions of a few, we were schooled in and served clients with absolute integrity. I feel fortunate to have been a 'student' of this environment and have brought it to West Monroe Partners."

Karen Wilson, Director, PricewaterhouseCoopers Karen Wilson, Director,
PricewaterhouseCoopers
"The mantra at Andersen was quality. It was instilled in us—standards could not be too high. Anything with the firm's name on it had to be perfect. The term "good enough" was not part of our lexicon. I realize that still, when every time I review a product from our team at my current job, I'm running through the Andersen quality checklist in my mind… Does it address the client's pain? If we weren't truly invested in solving the client's problems, that would show. It seems trite to say that we were taught to care, but, in a way, we were… That, to me, is the legacy of Arthur Andersen."

Mark Hargis, Managing Director, The Claro Group Mark Hargis, Managing
Director, The Claro Group
"I spent 20 years as an employee and partner at Andersen. Needless to say, I learned a great many things. At Claro, we have tried to adopt and improve on the good things we learned at Andersen. We have a belief: take care of our clients' interests and take care of our people's interests and everything else takes care of itself. This belief drives the quality of our services we deliver to our clients and the commitment to stewardship for our people."

Steve Sestak, CEO, Marketshere Consulting Steve Sestak, CEO,
MarketSphere Consulting
"The investment that Andersen made in its people was unparalleled and contributed to its strong culture and loyalty. Regardless of which market or practice you worked in, there was an Andersen way of doing things. Core behaviors around leadership, client service and quality were taught by emulating more senior people. Becoming a partner was a journey, not an event. What I learned at Andersen was that good people, with the right tools, training, culture and motivation, can do amazing things."

1. The Collapse of Arthur Andersen

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