You’re paid-on-results…surely not?

With MSC R&D, it is not just the company that is paid-on-results – it is everyone who represents the company – and that is why we are all focussed on delivering the best possible service to our clients.

Paid-on-results as far as MSC R&D is concerned, translates as:

Payment as a percentage of the benefit realised by the client, paid only once received by the client.

As a result, it’s in everyone’s best interest to maximise the opportunity whilst not overstepping the mark, and to leave a robust audit trail in place to negate the need for any further work.  We don’t get paid a day rate to come back in and defend or correct our work, and our Analysts don’t want to put in extra days for free.

It’s a lovely self-governing system that works for everyone, not least the client who is exposed to little, if indeed any financial risk.

This is the way that we have worked since 1990, there’s been no reason to change it because:

–          We have no incentive to give false hope to prospective clients.

–          Our Analysts won’t flog a dead horse.

–          We attract the brightest Analysts by offering very attractive rates of remuneration based on success.

–          Our Analysts don’t drag out their work in order to bill for more of their time.

–          Our clients can clearly see our value, and pay a fair and transparent rate.

–          We rarely have a negative impact on our clients’ cash flow or P&L.

However, there are instances where we simply cannot work entirely on a contingency basis.  Sometimes we undertake lengthy pieces of work that might take six months to generate a financial benefit.

In these instances, a successful result is often reliant on the client giving focus and ongoing commitment to the project, and so we must protect our position by getting ‘buy in’ in the form of some financial commitment.  Put simply, we charge a day rate that is less than the market rate for the calibre of Analysts that we use.  However we clearly cap the number of days so the client knows exactly what they are getting in to and there is no opportunity for ‘drift’.

This gives the Analysts some immediate income but not enough to encourage them to accept assignments which have no realistic chance of success.  Our Business Relationship Managers get a small payment to help cover their costs in generating the business.

Perhaps most importantly however, MSC R&D receives nothing from the day rates.

The business and those involved in the project only really profit once the project is complete and the client has seen the result that they expected.

It’s an innovative business model that keeps us lean, keen, and honest in everything that we do.