GMI Consulting named most innovative company of 2018 in Mexico

30 April 2018

The Canadian Chamber of Commerce in Mexico has awarded the Mexican project management consultancy GMI Consulting the title of the most innovative company in Mexico. 

GMI Consulting is a Mexican consultancy specialised in management consulting in the field of social, environmental and infrastructure projects. The firm has a focus on energy projects and development across the country and has since inception worked on multiple development projects in the sector.

The company’s mission is to achieve the development of sustainable energy and infrastructure projects in Mexico which are both environmentally sustainable and in harmony with local inhabitants. This is done through a rigorous analysis of social and environmental conditions to identify the potential risks and conflicts of interest and by ensuring that those conflicts are resolved transparently.

"GMI Consulting accomplishes the highest standards of inclusion, transparency and stakeholders' engagement in support of sustainable development," said the firm’s Founding Partner and CEO María Nieves García-Manzano in welcoming the COBA Award for Innovation.

Mexican consultation of Indigenous population

GMI Consulting have been working with local organizations and indigenous groups to contextualise energy production and infrastructure conflicts. There have been a number of conflicts between both hydrocarbons and alternative energy companies and local populations in the recent past.

For example, there are instances where compensation falls short of the community due to land ownership conflicts and where agricultural workers lose land for the production of traditional crops. Residents have also had concerns that the electricity produced will not be used locally and that their land will be left devastated by construction.

GMI Consulting named most innovative company of 2018

Due to a lack of community engagement in energy production projects, the Mexican government has passed legislation that indigenous populations must be consulted with in regards to developments. The laws mandate that the Energy Minister carry out a prior consultation with local indigenous communities that may be affected by a hydrocarbon or electricity project.

The process to legal framework which includes indigenous groups in the consultation process is intended to foster community engagement and increase transparency. “Without any domestic law obligating the Mexican state to carry out prior consultations, it was something that occurred only infrequently, usually at the request of a particular community,” García-Manzano said in an interview with NGI’s Mexico GPI. 

The development comes at a time of heightened interest in wind farming in the Central American country. The projections for 2018 by the Mexican Wind Energy Association state that Mexico should produce over 5,000 megawatts of electricity this year, an increase of 25% over 2017.

GMI Consulting 

The consulting firm has been working to resolve conflicts of interest with an interdisciplinary approach for social and environmental assessment. By using participatory and qualitative methodologies for development projects, GMI engages host communities and encourages their participation in the planning and development of projects.

García-Manzano has been working in social and environmental management for the past 13 years. She has extensive knowledge of environmental and social problems within the Republic of Mexico, a wealth of project management experience, and strong dispute resolution strategies.

"Our firm is devoted to attaining Mexico's inclusive development, always focusing on vulnerable population as women, children, elderly, and indigenous people," said García-Manzano. "GMI Consulting is committed on the sustainable development of Mexico in the 21st century respecting human rights according to international best practices," she added.

Top consulting firms in Brazil for restructuring and turnaround

23 January 2019

A new analysis of surveys among clients on track record / engagement satisfaction and management consultants on reputation has identified Brazil’s top consulting firms for restructuring and turnaround services. 

Companies in Brazil facing financial and operational difficulties, including rapidly deteriorating commercial performance, liquidity concerns, loss of key management / clients or refinancing risk, can according to data sourced by best place their faith in ten consulting firms specialized in restructuring, turnaround and crisis management. These ten consultancies are: Alvarez & Marsal, FTI Consulting, G5 Evercore, Moelis & Co, Rothschild, KPMG, Laplace Financas, Pantalica Partners and RK Partners.

When companies fall in financial distress, executives need to move swiftly to stabilize the business, while working towards a more long term strategy for sustainable strategic, operational and financial change. Working alongside debtors, lenders, shareholders and other stakeholders, consultants support with solving short-term liquidity requirements and action-planning to quickly preserve value and address potential risks to stability.

With stabilization in place, broader restructuring plans are designed and executed, including activities that enable cost optimization, operational restructuring, improved cash and working capital management and asset / debt restructuring. In the case of (potential) bankruptcy, restructuring consultants work with shareholders, debtors, creditors, regulators and other insolvency stakeholders on executing the administration or bankruptcy process – the procedures differ per country.

Top consulting firms in Brazil for restructuring and turnaround

In Brazil, the bankruptcy law covers three main proceedings. The first proceeding (‘bankruptcy’) is the actual process of liquidating a company’s assets in order to pay off debts. This involves selling all property and goods to meet the debt’s requirements. The ‘court-ordered restructuring’ proceeding has been put into place to help the company restructure its debts while carrying on its day-to-day operations (only applicable for companies that have been in business for at least two years). The third bankruptcy proceeding, ‘extra-judicial restructuring’, involves a private negotiation between the debtor and the creditor. Restructuring and insolvency consultants typically team up with lawyers to mediate between the two parties – if however no consensus is reached, the judge takes over the process.

Top restructuring consulting firms

Brazil’s list of top consulting for restructuring and turnaround services includes three advisory players that operate globally. Alvarez & Marsal (A&M) is one of the most well-known names in the restructuring landscape, which it for a large part owes much for its key role on the Chapter 11 bankruptcy case of the collapsed banking giant Lehman Brothers. Globally, Alvarez & Marsal has over 3,000 professionals in 50+ offices, including a Latin American presence in Brazil (Rio de Janeiro) and Mexico (Mexico City). Rival FTI Consulting is with a headcount 4,700 employees worldwide larger than A&M. Both consultancies provide a range of management and economic consulting, financial advisory (corporate finance and restructuring) and technology advisory services.

KPMG is one of the Big Four accounting and consulting firms. Its Restructuring & Turnaround practice has over 1,200 professionals worldwide. The Brazilian team operates mainly from the firm’s national hubs in São Paulo, Rio de Janeiro, Recife, Brasília and Belo Horizonte.

Four of the industry’s top players are local Brazilian consultancies. G5 | Evercore is one of Brazil's largest independent financial advisory services firm, operating bases in São Paulo, Rio de Janeiro and Recife. Formerly known as Arion Capital, São Paulo-based Laplace Finanças provides a wide range of financial advisory services to private sector and private equity clients, including restructuring and turnaround. Pantalica Partners, also located in São Paulo, has completed more than 70 restructuring engagements in Brazil with a restructured debt value of over $25 billion since inception in 2014. RK Partners specialises exclusively on turnaround and crisis management offerings, and in recent years played a role in the turnaround of among others Bom Bril, Rossi, Bertin Energia and Property Brasil.

Completing the list of Brazil’s best consulting firms for restructuring and turnaround services are the advisory arms of three international investment banks. New York headquartered Moelis & Company was founded in 2007 and today employs over 750 employees in the Americas, Europe, the Middle East, Asia and Australasia. The company serves the Latin America region through its locales in São Paulo and Mexico City. Lazard and Rothschild rank among the globe’s most prestigious investment banks – they both provides financial advisory and asset management services to corporations, governments and non-profit institutions. Lazard was founded in 1848 in the US, while Rothschild – which is owned by the Rothschild family, one of the wealthiest families in modern world history – was established in 1838 and is currently headquartered in Paris, France.

Related: Consulting market of South America grows 4% to $2.6 billion.