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EMPLOY

PROFILE
VAULT EMPLOYER PROFILE:

AMERICAN
MANAGEMENT
SYSTEMS

BY THE STAFF OF VAULT

© 2002 Vault Inc.


Copyright © 2002 by Vault Inc. All rights reserved.

All information in this book is subject to change without notice. Vault makes no claims as to
the accuracy and reliability of the information contained within and disclaims all warranties.
No part of this book may be reproduced or transmitted in any form or by any means,
electronic or mechanical, for any purpose, without the express written permission of Vault
Inc.

Vault, the Vault logo, and “the insider career networkTM” are trademarks of Vault Inc.

For information about permission to reproduce selections from this book, contact Vault Inc.,
150 W22nd Street, New York, New York 10011, (212) 366–4212.

Library of Congress CIP Data is available.

ISBN 1–58131–187–7

Printed in the United States of America


American Management Systems

Table of Contents
INTRODUCTION 1

Overview . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .1
American Management Systems at a Glance . . . . . . . . . . . . . . . . . . . . . .2

THE SCOOP 3

ORGANIZATION 9

Locations . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .9
Key Officers . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .9
Ownership . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .10
Service Offerings . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .10

VAULT NEWSWIRE 13

OUR SURVEY SAYS 17

GETTING HIRED 23

Qualifications . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .23
Interviews . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .24
Questions to Expect . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .26
Questions to Ask . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .27
Compensation . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .28

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LIBRARY iii
ON THE JOB 31

A Day in the Life . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .31


Job Descriptions . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .33
Career Path . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .35

FINAL ANALYSIS 39

RECOMMENDED READING 41
American Management Systems

Introduction
Overview
American Management Systems was founded in 1970 by a cluster of
ambitious Pentagon employees who decided to break off from Uncle Sam to
start a management consulting firm (now a business and IT consulting firm)
that would peddle information services to the U.S. government and private
industry alike. AMS took off and hasn’t looked back since. The firm
currently supplies a broad range of clients worldwide with some of the finest
operations and systems consulting in the industry. However, it is currently
beset by two serious threats: On the one hand, with the growth of military
spending and the drop in private-sector demand for IT services, several big
firms are moving in on AMS’s territory. On the other hand, IT services are
fast becoming a commodity, with a small group of large firms offering many
of the same software packages and outsourcing solutions. In both cases,
though, the answer is the same: AMS must find a way to distinguish itself in
an increasingly competitive market.

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American Management Systems at a glance

UPPERS
4050 Legato Road
Fairfax, VA 22033 • Opportunities for travel,
Phone: (703) 267-8000 advancement and growth
Fax: (703) 267-5073 • Social and friendly work
www.ams.com environment

LOCATIONS DOWNERS
Fairfax, Va. (Headquarters) • Company is tightening up on
49 offices worldwide overhead costs and cutting back
on perks
• Disputes with clients
PRACTICE AREAS
Acquisition Business Solutions •
Business Intelligence & Data
THE BUZZ
Warehousing • Business Process WHAT EMPLOYEES AT OTHER FIRMS ARE SAYING
Renewal • Change Management &
Organizational Development • • “Positive work environment”
Customer Relationship • • “Shaky client reputation”
Management • e-Business • • “People-friendly”
Engagement Management • • “In flux”
Homeland Security • Imaging & • “Boring”
Workflow • Information Security • • “Not quite Big 5”
Integrated Learning Solutions • • “Will hire anyone”
Knowledge Management • • “Has potential”
Procurement • Systems Integration
• System Development & IT
Management • Technology Hosting
Services

THE STATS
Employer type: Public Company
Stock Exchange: Nasdaq
Stock Symbol: AMSY
Chairman and CEO: Alfred T.
Mockett
Employees: 6,500 (2002)
Revenues: $1.18 billion (2001)

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American Management Systems

The Scoop
Links to the government
American Management Systems was founded in 1970 by five men – one of
whom, Charles Rossotti, was a protégé of Johnson’s defense secretary, Robert
McNamara, and was considered one of McNamara’s so-called “whiz kids.”
The founders raised $300,000 in venture capital from Lehman Brothers and
then wrote to 24 former Pentagon peers, offering consulting services “from
some of the people who brought you Vietnam and the ABM.” AMS made
$15,000 in profits during its first year in business and won its first big
contract – with Burlington Northern Railroad – after another six months.
Today, AMS has 6,500 employees and 51 offices worldwide. AMS went
public in 1979.

The 1990s were a prosperous time for AMS, with revenue and earnings
growing by an average of 19 percent and 26 percent, respectively, per year.
That growth leveled off in 2001, when revenue dipped slightly from $1.28
billion the previous year to $1.18 billion and net income plummeted to $15.9
million from $43.8 million after restructuring charges, legal settlements and
other fees. The firm also laid off about 900 employees, 10 percent of its
workforce, in 2001. Late 2001 saw AMS’s profits fall even further, a full 76
percent drop in earnings during the last quarter. And while, thanks to severe
cost-cutting measures, the firm was able to return to profit in the following
months, it nevertheless reported another 22 percent drop during the first
quarter 2002.

Public clients
AMS concentrates on systems and operations consulting in a variety of
industries, and it still maintains close links with the U.S. government.
Including state and local governments, approximately one-half of the firm’s
revenue comes from government clients in the United States and Canada; the
remainder of its revenues comes from the financial services, new media and
communications, insurance, health care and energy markets. According to
The Washington Post, AMS has contracts with 47 of the top 50 banks in the
United States, with 43 states and with five of the top 10 insurance companies.
Recent public-sector engagements include a $156 million, seven-year deal
with the New York City Department of Finance to run its parking-violation
processing system, inked in November 2002, as well as a $9.4 million
contract with the state of Iowa to provide an enterprise resource planning
(ERP) solution for its online operations.

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American Management Systems
The Scoop

Management change
In October 2002, AMS Chief Operating Officer and Chairman William Purdy
announced that he would step down at the end of 2002. Purdy had also served
as the interim president and chief executive officer after the resignation of
Paul Brands in September 2001, until he was replaced in both roles by Alfred
Mockett. Mockett previously had served as CEO of BT Ignite, a division of
British Telecommunications PLC. Prior to that position he held a number of
executive posts with the Telex Corporation and served on the board of
Memorex Telex NV.

Cutting costs
Thanks to hard times in the IT consulting market, AMS has had to undergo
several rounds of layoffs and other cost-cutting measures. In 2001 it laid off
15 percent of its staff worldwide, and in 2002 it sold off its utilities practice
to Wipro, an Indian IT services firm based in Bangalore. Thanks to these
efforts, AMS was able to announce an $8.3 million profit in the third quarter
of 2002, a 360 percent increase over the same period a year before. However,
firm revenues were down 12 percent from Q3 2002, a report brightened only
by the announcement of a 14 percent increase in revenues in the firm’s federal
contracting business.

Legal hot water


AMS has only recently put to rest a legal battle in which it had been
embroiled since 1999: a fight with the state of Mississippi that almost cost the
company several hundred million dollars. AMS had been contracted to
develop and install a tax-processing system for the state, at a price tag of $30
million. When the firm went over the deadline, the state sued for $234
million, though when the guilty verdict was handed down in August 2000 the
court tacked on an extra $240 million in punitive damages. The two sides
eventually reached a settlement whereby the firm would only pay $185
million. The firm then went back to court to get its insurer, National Union
Fire Insurance Co., to cough up $43 million to help cover the amount. After
two more years of litigation, the insurer agreed to pay in October 2002.

With the initial lawsuit came the departure of then-CEO Paul A. Brands (who
received a severance package reportedly worth $3 million), but it also marked
the beginning of legal problems with other public-sector clients. In Utah
lawmakers were reportedly “furious” over AMS’s inability to complete a new
tax system on time and within its $34 million budget, calling attention to the
fact that the states of Mississippi, Missouri and Kansas had experienced

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The Scoop

similar problems with AMS. The firm had another dispute with Ohio’s
Department of Job and Family Services in the winter of 2001. (Lawsuits
against large professional services firms have become increasingly common.)

In January 2001 the government of Fairfax County, Virginia fired AMS from
an $8.8 million contract when the firm was unable to deliver a satisfactory tax
record-keeping system. Six months later the Federal Retirement Thrift
Investment Board sued the firm for $350 million in damages relating to an
overdue contract. A federal judge threw out the suit in January 2002 however,
citing a lack of jurisdiction to hear the case. The Thrift Board plans to appeal.
Despite these difficulties, AMS asserts that the vast majority of its clients are
happy with its work and that 85 percent of them renew their contracts.

A wealth of training
AMS has won numerous workplace awards, including ranking No. 10 on
Consulting Magazine’s June 2001 “Best Consulting Firms to Work For” list.
AMS has also made frequent appearances in recent years on Fortune’s list of
the “100 Best Companies to Work For.” Fortune noted in its 2001 list that
each AMS employee receives, on average, 45 hours of training per year. The
firm conducts much of its training and career development through “AMS
University,” a virtual university that uses Web and intranet-based coursework,
as well as traditional classroom instruction. AMSers can link courses to the
kinds of work and roles they have currently, or they can focus on course
offerings that prepare them to take on more challenging assignments down
the road. Coursework covers a broad spectrum of technical, functional,
managerial, and interpersonal skills.

AMS abroad
Instability in European telecommunications businesses since 2001 has
contributed to a significant decline in revenue coming from the firm’s
international business, but AMS shows no sign of retreating from an
international outlook. It boats a client roster including 47 of the world’s top
50 banks and helped launch six of Europe’s 10 wireless networks. The firm
began focusing on Europe in 1992 in anticipation of the liberalizing effects of
the end of the Cold War and the looming integration of Western European
markets. AMS’s efforts in the AsiaPacific region are concentrated in
Australia; the firm has its regional headquarters in Sydney and claims
Australian and New Zeeland companies as the majority of its business.

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American Management Systems
The Scoop

AMS insiders tell us that the firm’s international expansion brings the
opportunity to go abroad, especially for those with relevant language skills.
However, overseas assignments often require long-term commitments. Many
stints in Germany, for example, require an 18-month commitment.

When we say “BU” we don’t mean Boston


University
AMS is organized into units that generally operate independently of each
other and focus on the following target markets: Telecommunications;
Financial Services; Public Sector; Healthcare; and Energy. Historically, these
groups have been called “silo industries” because of their relatively
independent status – each business unit has full profit-and-loss responsibility
for its industry areas. However, business units may coordinate on certain
projects as necessary. Additionally, the management team in each unit is
responsible for planning, marketing, selling, researching and consulting
within its specific area – though business units may, of course, draw upon
corporate resources.

The AMS technological hive


AMS also features a sprinkling of jewel-like “Knowledge Centers”:
communities of practitioners that offer a particular expertise in one or more
AMS services, or so-called “core disciplines.” The firm has Knowledge
Centers for its core disciplines, including eCommerce, Business Process
Renewal, System Development & Information Technology Management,
Organization Development & Change Management, Engagement & Project
Management, Customer Value Management and Knowledge Management.

AMS Knowledge Center associates spend many hours per year inputting
research or “lessons learned” into the Knowledge Center database. This
information is then accessible to any AMS consultant. The Knowledge
Centers demonstrate AMS’s efforts to foster a culture of information sharing.
“Our goal is to empower AMS teams and clients with access to the
information they need, when they need it,” says the firm.

The firm also operates the AMS Center for Advanced Technologies
(AMSCAT); located at its Fairfax headquarters, the center is the headquarters
and laboratory for the firm’s top scientists and researchers. AMS uses the
facility to test emerging technologies and software, as well as to develop such
advancements themselves.

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American Management Systems
The Scoop

The firm has beefed up its technological capabilities recently, announcing


several alliances and initiatives to enhance its e-business expertise. Chief
Technology Officer Paul Turner told The Washington Post in February 2000
that AMS’s “core strength is that we really understand the Web world and the
large enterprise world and how various industries operate in detail” – and
AMS’s recent moves reflect this understanding. An alliance with Ariba, a
Silicon Valley-based provider of business-to-business e-commerce services,
launched Buysense.com in 2000. The site is an online marketplace for state
and local governments, universities, and their goods and services suppliers to
sell and purchase merchandise. The effort streamlines and aggregates the
thousands of individual purchasers it services, and thereby direct business to
preferred suppliers at lower prices.

AMS has also recently expanded its eProcurement initiative, launching an


Interactive Supplier Value Management (iSVM) program to help gas and
electric utilities with e-commerce, including controlling spending, improving
inventory and supplier management, and reduce time spent acquiring goods
and services.

Nonetheless, competition in AMS’s areas of expertise, especially its


government services, has gotten keener in recent years. Software companies
like PeopleSoft and Oracle have had their enterprise resource planning (ERP)
software certified for use by the federal government, and are trying to adapt
their products to the federal marketplace – all of which means AMS must be
ever-vigilant about maintaining current business and procuring new business.

It is a tough year for IT consulting, company officials note. Speaking to the


Washington Post in November 2002, CEO Alfred Mockett said, “This is
undoubtedly a transition year for AMS. This is a year when we’re investing
and positioning the company for growth.” But AMS isn’t giving up
government business without a fight. Their alliance with Ariba, as well as the
development of new products like AMS Case Flow (a benefits and financial
planning program), indicate that AMS is adapting to a rapidly-changing
consulting environment. But AMS isn’t giving up government business
without a fight. Their alliance with Ariba, as well as the development of new
products like AMS Case Flow (a benefits and financial planning program),
indicate that AMS is adapting to a rapidly-changing consulting environment.

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American Management Systems

Organization
Locations
Fairfax, Va. (Headquarters)

The Hague, Netherlands (European Headquarters)

Sydney, Australia (Asia-Pacific Headquarters)

46 other offices worldwide

Key officers

Alfred Mockett: Chief Executive Officer and


Chairman
Alfred Mockett took over AMS at the end of 2001, a space that had been held
temporarily by William Purdy since Paul Brands vacated it in 2000. Mockett
came to the firm from British Telecom, where he had worked in a variety of
positions, including the head of international operations and of BT Ignite, the
telecom giant’s broadband business.

Mockett was born in Britain and attended the University of London, from
which he graduated with honors in 1971. Rising quickly through the business
world, Mockett was named vice president of finance for Dallas’ General
Computer Systems in 1976, then moved on to be senior vice president for
finance at Telex Computer Products in 1978. Afterward he worked in a
variety of VP and managing director-level positions for Memorex and
Raytheon.

William M. Purdy: President and Chief Operating Officer (retiring


December 31, 2002)

John S. Brittain: Executive Vice President and Chief Financial Officer

Paul Turner: Executive Vice President and Chief Technology Officer

Walter Howell: Executive Vice President, Financial Services

Vernon Irvin: Executive Vice President, Communications, Media and


Entertainment; and Global Energy Solutions

Rick Lottie: Executive Vice President, Corporate Managed Services

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American Management Systems
Organization

Donna Morea: Executive Vice President, Public Sector

Larry Seidel: Executive Vice President, Corporate Development

Ownership
AMS is a publicly traded firm on NASDAQ (symbol “AMSY”). The firm
went public in 1979.

Service offerings
AMS divides its business units along industry lines: Telecommunications;
Financial Services; Public Sector; Healthcare; and Energy. However, the
firm’s service offerings span these categories, and are themselves divided into
several knowledge areas: consulting expertise, business functional expertise,
technical expertise and imaging and workflow.

Billing
AMS’s applies its billing integration solutions to the full spectrum of
accounts payable and receivable – including B2B, consumer and wholesale.
The firm’s billing services utilize its proprietary Tapestry software suite and
works closely with Lodestar, a billing-solutions specialist.

Credit risk and collections


The firm helps clients decrease write-offs and increase profits by providing a
range of collections solutions, including its CACS family of applications,
Strata decision engine and NetCredit “hosted decisioning” software.

Customer relationship management


Covering everything from marketing to sales to strategic planning, AMS’s
CRM services help clients to improve the way the deal with customers. AMS
also has an alliance with CRM specialist firm Siebel to provide-e-Business
solutions.

Enterprise contract management


AMS offers clients assistance in managing contracts, including on such
specific issues as proposal management and negotiation, market opportunity

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American Management Systems
Organization

analysis, obligation and entitlement management and contract closeout


management.

Enterprise financial management


Despite the title, this branch of services is dedicated to the public sector. It
offers outsourcing, payroll and procurement solutions, aimed at helping to
reduce costs and increase the efficiency of local, state and federal government
agencies, both in the United States and abroad.

Enterprise integration
Through these services AMS helps clients access and manage data in real
time, applying a host of proprietary software solutions to areas such as
planning, analysis and implementation. AMS pursues its enterprise
integration work in part through solutions with firms such as BEA, Cognos
and IBM.

Enterprise security
This service provides a range of methods for improving a client’s application,
electronic data and system integrity from computer viruses and hackers.
AMS offers an end-to-end solution, providing not only the software but the
initial assessment, design and implementation aspects as well.

Environmental management
These services help both industry and public-sector clients negotiate local,
state and federal environmental regulations, providing assistance in OSHA
compliance, hazard communication and monitoring. AMS relies primarily on
three proprietary software suites: ProSteward, a chemical data management
program; TEMPO regulatory compliance software; and COMPASS, a
monitoring and assessment tool.

Homeland security
One of the firm’s fastest-growing services, AMS’s homeland security services
division includes bio-terrorism solutions, border and immigration consulting
and information-sharing solutions. In October 2002, the firm named Army
Maj. Gen. Craig Bambrough to lead these efforts.

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American Management Systems
Organization

Trade services
An amalgamation of several other services, AMS’s trade services line
combines outsourcing, CRM and strategy to help clients maximize profit and
reduce inefficiencies.

Technology innovation
Largely through the AMS Center for Advanced Technologies, this service
helps clients identify, implement and maximize the latest in business-
operations technology, whether it be back-end software or data security
systems.

Outsourcing
Outsourcing is one of the fastest-growing aspects of IT and operations
consulting. The firm offers both IT outsourcing – i.e., running the computer
systems – and business-process outsourcing, in which it takes over and
maintains back-office operations like HR and accounting. While the firm has
historically worked most closely with the public sector in this area, it also has
private-sector clients.

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American Management Systems

Vault Newswire
November 2002: Last of the old breed
The last of AMS’s five founders, Patrick Gross, announced his retirement
from the firm’s board of directors executive committee. Earlier in the year,
the second-to-last founder, Frank Nicolai, retired from the board.

November 2002: A little help from a friend


Thanks to its low debt level, AMS was able to secure a $160 million line of
credit from an unnamed source. The firm announced it would combine the
credit with its current cash holdings to create a $240 million cash pool, which
will be used to fund future growth initiatives.

November 2002: De-utilized


AMS announced that it would sell its utilities practice to Wipro, Ltd., an
Indian services firm, for approximately $26 million. The practice will
become part of Wipro’s Technology Enterprise Solutions division, which has
offices in Europe, Asia and North America.

November 2002: Big deal in the Big Apple


The New York City Department of Finance signed a seven-year, $156 million
contract with AMS; the management firm will operate and maintain the city’s
parking violation-tracking system, the Summons Tracking and Accounts
Receivable System (STARS).

October 2002: Case closed


AMS settled a lawsuit against one of its insurers, National Union Fire
Insurance Co., for $43 million. The suit emerged from a claim by AMS after
it lost a lawsuit brought against it by the State of Mississippi, which had
accused the firm of negligence in a contract to install a tax-tracking system.

October 2002: Purdy retires


AMS president and chief operating officer William Purdy announced that he
would retire from the firm on December 31, 2002. The firm has yet to name
a successor.

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American Management Systems
Vault Newswire

July 2002: Dumped


After failing to take the firm to court, the Federal Retirement Thrift
Investment Board dropped its contract with AMS, adding to the firm’s recent
public-sector woes.

January 2002: Out of court


A federal judge, citing lack of jurisdiction, threw out a lawsuit by the Federal
Retirement Thrift Investment Board against AMS. The FRTIB was seeking
$350 million in damages after a record-keeping project ran more than a year
overdue and almost tripled in cost.

December 2001: Changes at the top


As a prelude to his eventual retirement, William Purdy stepped down as CEO
of AMS, making room for Alfred Mockett. Purdy, who remained COO and
president, was serving as an interim CEO after the previous officeholder, Paul
Brands, stepped down in September 2001.

December 2001: Rosotti sells off stock


Charles Rossotti, the commissioner of the Internal Revenue Service and a co-
founder of AMS, agreed to divest himself of stock in the firm, estimated at
between $5 million and $25 million, in order to avoid the perception of a
conflict of interest.

November 2001: A Titan deal


AMS announced that it had signed on with the Titan Corporation as a
subcontractor on the latter’s $277 million, seven-year contract to provide the
Army Communications and Electronics Command Acquisition Center-
Washington with a range of consulting and management solutions services.

September 2001: Letting go


After seeing its revenues drop 10 percent to $289 million during the third
quarter, AMS announced that it would lay off 5 percent of its employees as a
cost-cutting measure. This round comes on the heels of a 10 percent cut
earlier in 2001.

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August 2000: Losing out


After losing a suit brought by the State of Mississippi for failure to complete
an IT project, AMS reached an agreement to pay $185 million in punitive
damages. A lot of money, to be sure, but still a great deal, given that the court
verdict had required the firm to pay $474.5 million.

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American Management Systems

Our Survey Says


Working for the feds
If you find massive government consulting projects appealing, AMS may be
the place for you. Many of the projects are enormous, multiyear affairs, and
some “have no firm end date.” One source says that AMS has “interesting,
friendly people and a challenging work environment.” And there are many
ups to government work, stability being the biggest. People “who have got
kids or a mortgage or something like that like the stability of working at a
government contractor.” On the other hand, some insiders describe the firm
as a “relentlessly average cube farm.”

The life
Consultants in general are happy with the work environment at AMS, though
many also feel like the company lacks a human face. “The managers are nice,
but for the most part I am an interchangeable work unit,” says one source.
And while many are happy with their managers and team leaders, one AMSer
tells Vault that “behind closed doors there is a lot of politics, and I have seen
management-level people going out of their way to hold people back because
of long-held grudges.”

One of AMS’s biggest selling points is the low amount of travel relative to the
industry. Because a large number of its clients are based in northern Virginia,
and because the work doesn’t involve a lot of meetings, AMSers tend to stay
where they are staffed. One respondent says, “I travel only about four weeks
out the year.” Another, though, says the amount of travel varies with one’s
level of experience and seniority. “My first year and a half at AMS was a
story of how many airports I could visit,” he tells us. “AMS is somewhat
unlike other consulting firms in many ways, in that when you just start, with
zero knowledge or skills, you are thrust out onto the road. Once you start to
show some of either, you typically are moved into a role in the office.”

Hours at AMS tend to average around 50 per week. “I usually work eight to
nine hours per day, unless confronted with a deadline or client travel,” says
one source. As with most firms, another reports, “they vary. They can be as
much as 80 a week and as few as 50 a week.” At least one consultant, though,
says the hours spent at work aren’t always necessary: “Although I
occasionally bring it upon myself, I find my days last until 8:00 p.m. way
more often than they should.” Some consultants also say that the pay at AMS
has gotten much worse over the last year, as raises have been postponed

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American Management Systems
Our Survey Says

repeatedly. “I cannot say enough about how crappy the pay has been
recently,” one consultant told us in early 2002. “Of the people I know who
have left recently, this has been the number one reason.”

A flexible, relaxed place, but don’t be fooled


Comments on AMS’s corporate culture reveal that the firm values flexibility,
and it is generally a relaxed place. “It feels like college was just extended a
few more years,” notes one respondent. “At other companies I have worked
with, I was always the young kid. Here, since the majority of people are right
out of school, the college mentality continues.” “Relaxed,” adds another, who
also notes that the firm is “not overwhelmed by structure, although it could
be better managed.” One contact notes that “no one tells me when to come
and go. I come in at 7 a.m., I come in at 11 a.m. I leave at 2 p.m., I leave at
3 a.m. My time. I am valued as an individual and as an employee.”

But AMS is not a company for slackers. One contact says: “The culture is
relaxed, yet aggressive. To be successful, you need to take control of your
career and make things happen.” Another agrees, and explains, “Because it is
a loosely organized firm, it is a place where individuals who like making
order from chaos can thrive. If you need high structure, or need to know
where you will be and what you will be doing for the next two years, then stay
away – we’re not for you.” One insider notes, “AMS is not a hand-holding
kind of place. Those who are comfortable taking accountability for their own
success will do well.”

Who needs the personal ads when you work at


AMS?
One of the major assets of life at AMS, say insiders, is the hopping social life.
Washington, D.C. is a fun place for twentysomethings, and AMSers take full
advantage. Love in the air? “Numerous AMSers I know are married to other
AMSers, if this is an indication of social interaction,” says one. Another
picks up on the marriage theme: “You would be surprised how many AMSers
are married to each other. It’s amazing what happens when you cram several
hundred single, twentysomethings in a building.” “Dating within the
company is frequent,” concludes another. One consultant describes social life
at AMS as “very incestuous – in a good way.”

Outside of interpersonal relations, AMS insiders praise the parties, sports


teams, lunches and, ah yes, happy hours. A consultant notes that “there is
great degree of social interaction among AMSers outside of work. I would

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guess that most AMSers spend at least a few hours a week with other AMSers
in a social setting. And it doesn’t even require much effort to become
‘socially well-connected.’ Soon after starting, most AMSers find themselves
getting invites to happy hours and parties, often from people they don’t even
know!” To encourage teamwork in and out of the office, AMS sponsors sports
teams as long as 80 percent of their members are AMS employees.

Of laptops and Oreste


Most AMSers say they are satisfied with their compensation, said to be
“above average, though not at the highest end of the scale.” The firm operates
a system of “compensatory time” – instead of overtime, employees receive
credit in a “comp time bank” for every hour they work over a 95-hour pay
period, which can be used as personal time. The system has its faults,
however: There is no overtime pay, and “working 95 hours in an 80-hour pay
period is not rewarded.” Some consultants also say that the pay at AMS has
gotten much worse over the last year, as raises have been postponed
repeatedly. “I cannot say enough about how crappy the pay has been
recently,” one shares. “Of the people I know who have left recently, this has
been the number one reason.”

Benefits at AMS include the standard laptops and cell phones, as well as
tuition reimbursement and a healthy insurance package. There is also an on-
site cafeteria at the Fairfax headquarters, and we hear that Oreste, one of the
cooks, makes a mean sub sandwich. Among its many volunteer and
extracurricular efforts, the firm sponsors a running club, which includes
weekly workouts and free entrance fees to races. The firm’s team even placed
fourth in the 2002 Penn Relays (though we’re also told that “this is all done
on a shoestring budget, and gets little recognition from top management”). In
addition, there is a once-a-year three-day retreat; the first day is business
related, but “the other two days are for relaxing and getting to know our
colleagues from other offices. Spouses, but not kids, are welcome for the last
two days.”

Staying on top
While AMS offers a wide variety of training through AMS University and
other programs, insiders say the firm has cut back its efforts significantly in
the last few years. Whereas before there was a wealth of classroom learning,
now there is “a lot of CBT [Computer-Based Training] as well as on-the-job
training. Training is not billable.” The firm also sends its employees to a
number of industry conferences throughout the year. But ultimately, one

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Our Survey Says

source says, “The promises of training far exceed the actual training. In
almost three years here I believe I attended almost all my formal training
classes within the first month, and they were all run in house. While teams
all have a budget to train their people, it is often cut when improvements are
needed in the contribution margin for a given project.”

Nice cubes
AMS’s offices don’t bedazzle like those at some of the fancier law firms or
investment banks, but seem to do the job nicely, according to insiders. AMS
offices are “very comfortable, but the appearance could be improved,” says
one. “The decor is simple, but practical,” adds another. One contact notes
with pride: “You might find a Doors poster hanging in someone else’s office.
There are no style czars here. For entry-level hires, get ready for some
outstanding cubicles.” Unlike some consulting firms that disdain the cube,
AMS taken the cubicle to a new level. “Even the cubes have walls – and not
the foam ones either!” exclaims one contact. “The building is beautiful and
the cubes are gorgeous,” glows another insider. Note, however, that not all
cubes are created equal: One consultant complains about the distribution of
space. “Offices are assigned according to seniority, salary, experience level,
and education. My only disagreement with this is that the different types of
space – cube vs. office vs. office with window – greatly effect productivity
and attitude and should all be equal given that we are all expected to perform
to the same high standard.”

Extremely positive perceptions of gender


equality
On gender issues, the consensus from our contacts gives AMS a very
favorable rating. We hear that “Women make up about 35 percent of all
employees and nearly half the management here.” One insider notes: “I feel
that AMS regards me as a member of the professional staff-not a female
member. I have not experienced any kind of discrimination.” “AMS is a great
place to work as a woman. I have been here for four years and I have only
EVER worked for women managers.” “Outstanding,” raves another. The
same contact, however, adds a subtler insight: “AMS has been very
successful at using part-time moms to contribute to our business.” Another
notes, “As a woman, I have not felt any discrimination in terms of
assignments or opportunities. Excellent as far as I can tell.” AMS, with its
flexible hourly schedules for parents and others, backs its sensitivity with
action. In 1999 the firm announced its male/female ratio was a respectable
56/44, with women filling over a third of senior management positions. AMS

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Our Survey Says

also sponsors a semiannual workshop called Windows in the Glass Ceiling


that helps midlevel women – at AMS and other companies – reach senior
management.

Puzzlement over ethnic diversity


AMS is a predominantly white firm, a fact that troubles and puzzles its
consultants. “Though I haven’t seen any overt discrimination,” observes one
of our contacts, “you do not see a whole lot of minorities at AMS. Asian and
Indian cultures are represented more than African Americans.” “Most AMS
employees are either white or Asian,” adds another consultant, “that’s simply
the state of things.” Wonders one AMSer: “I am not certain whether the lack
of minorities at AMS represents a lack of effort on our part, a bad perception
among college graduates, or other factors.” One consultant, at least, seems to
have had a different experience: “My past two bosses have both been African-
American.”

Perks for the active AMSer


As noted above, AMS wins praise for its social activities. Insiders note the
frequent happy hours and parties, and praise the holiday events. As one
example, insiders mention an AMS tradition known as “kegs and questions,”
where “a senior VP gives a ‘state of the BU [business unit]’ followed by a
chance to schmooze with one’s fellow AMSers over a beer or soda, depending
on individual drinking habits. Another notable perk seems to be the firm’s in-
house gym. “Our gym rivals the local gym where I live – and it’s free! If I
feel like cycling after a hard day, I just go to my locker and go to it.” Another
insider recalls learning how to rollerblade, and enjoys “massages and
personal trainers for five dollars.”

AMS, the mystery firm


When asked what they would improve about AMS, many proud employees
suggest that AMS needs to boost its profile. One offers, “Publicity – no one
knows who we are!!” Another explains: “We need to assess our position. Top
companies in the D.C. region give more to the community. For instance I was
at the Kennedy Center this weekend and all of our competitors were listed as
major corporate contributors to the Arts in D.C. We need more of a national
presence – they all have national marketing campaigns and place their
monikers on everything from buses to professional golfers.” Others focus on
the recruiting process. “We are probably too low-key in how we present
ourselves, and many students don’t find out about us.”

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Our Survey Says

High job satisfaction, at least for consulting


Most of our contacts at AMS are pleased with their experience. “Extremely
satisfied,” says one. Another explains with more detail: “By AMS standards,
I have already been here a long time [five years]. I do plan on staying quite
a bit longer, though if I am a ‘lifer’ it is harder to stay. AMS suffers from the
same problems as any consulting company – long hours, frequent travel. If I
leave, I will not go to another consulting company. Of the consulting
companies out there, AMS is one of the best.” Another adds, “I think that if
you are willing to buy into the lifestyle, you can go far at AMS.” One
colleague perhaps illustrates the point: “I have no desire to give up this
lifestyle and become a poor overworked student again, pursuing some sort of
graduate degree. I’m just having too much fun where I am right now!”

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Getting Hired
AMS does about 30 percent of its recruiting on campus, and every year about
85 percent of its new hires come from undergraduate programs. The firm
recruits mostly from Mid-Atlantic colleges, cultivating on-campus
relationships with professors (notably in computer science and other
technology-related disciplines) and leaders of computing clubs. Note that
AMS’s recruiting efforts will usually be focused towards a particular
“business unit,” or functional area. AMS also makes extensive use of job
fairs and corporate information sessions; prospective AMSers should stay in
touch with their career centers to obtain information about AMS’s next visit
to campus. AMS’s career information page, www.ams.com/career/, enables
job seekers to search the firm’s job database, learn about the culture at AMS
and submit their resume.

AMS devotes one of its recruiting coordinators to hiring members of minority


groups, and it makes efforts to build relationships with career centers,
professors and department heads at historically African-American colleges
and universities. The firm also hires four to five interns every year through
INROADS, an organization that places African-American, Hispanic, and
Native American students with 3.0 or better grade point averages.

Qualifications
AMS prefers individuals with computer science, computer engineering and
hard science degrees. The firm professes, however, to be open to all majors,
even those who have spent their undergraduate years contemplating the
wonders of literature, history, philosophy or other liberal arts subjects. The
candidate needs only to have expressed interest and skill in technology,
whether through internships, work or clubs.

Essentially, AMS is looking for qualities reflected in the following four


questions:

• What are the candidate’s interests and aptitudes regarding information


technology?

• How willing is the candidate to relocate and travel?

• What are the candidate’s other analytical skills?

• How good are the candidate’s communication skills?

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American Management Systems
Getting Hired

Applicants interested in U.S. positions but without an AMS presence on


campus can apply online or mail a resume and cover letter to:

American Management Systems


Human Resources
4050 Legato Road
Fairfax VA 22033
(703) 267-8000
(703) 267-5073 (fax)
www.amsinc.com
ams_recruiting@mail.amsinc.com

For European positions:

AMS Management Systems Deutschland GmbH


Querstrasse 8-10
60332 Frankfurt
GERMANY
49-69-95-51-11 0
Fax: 49-69-95-51 11 99

If you have a specific geographic preference, apply to the office of your


choice.

Interviews
From the outset, keep in mind that the interviewing process is broken down
by business unit. Thus, if you are applying to AMS without previous industry
experience, you should apply to offices that have business units that interest
you. For example, Fairfax handles government contracts and
telecommunications, New York primarily handles finance, and so forth.
Otherwise, AMS will float your resume around, and recruiters in the
interested business unit will jump on it.

The first round of interviews takes place on campus. Three-quarters of all


interviewers at this stage will be project-related people from a particular BU,
and the remainder will be professional interviewers from the human resources
department. Interviewers here will primarily be concerned with fit: Is this
person a good match for AMS? Is this person a good match for this business
unit? Following the interview, the interviewer completes an “interview report
form” that will be forwarded to the business unit recruiting manager, who
reviews the report and makes the decision to invite back, reject, or refer the
candidate to another business unit. Fifty percent of all first round candidates

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are called back. Indeed, AMS is as concerned with fit as it is with skill and
intelligence; as one analyst tells us, the firm is “pretty selective,” but getting
in is “not too hard for an intelligent, well-prepared candidate.”

If you pass first round muster, the next round occurs at an AMS office, either
the nearest one or your office of interest. While candidates for internship
positions tend only to have two or three interviews, candidates for full-time
positions will usually have five to six that usually take up an entire day.
Again, interviewers will work in a particular BU, and will hold positions of
varying seniority. As for the content of each interview, interviewers tend to
focus on one particular skill or attribute, notably technical skills, leadership
skills, and analytical skills. Their questioning, especially if they are VPs or
other high-level individuals, may involve case interviewing or behavioral
techniques. (See “Questions to Expect” below.) Note that the second-round
day will also include interviews over breakfast, lunch or dinner. Not to
micromanage, but we recommend in meal situations that you stay away from
dishes that are sloppy or require concentration to eat, like lobster, haggis,
linguine with tomato sauce or other challenging entrees. Finally, at the end
of each interview, interviewers fill out Interview Report Forms that evaluate
the specific skills on which the interviewer has focused. The interviewers
then meet to discuss the candidates, a process we hear can often work to the
benefit of borderline applicants: “I’ve only been in on one of those meetings,
but from what I can tell they seem to work to the applicants benefit. Unless
the applicant was a total jerk – in which case the meetings can be quite funny
– it’s likely that there will be a mix of impressions, and usually the bad ones
are softened.” The reports are then forwarded to the BU recruiting manager
who reviews them and decides whether or not to make an offer. The firm
reports that 55 to 65 percent of second-round interviewees receive offers, and
50 percent of those individuals accept.

Lateral hires or candidates not coming through the on-campus process can
expect to have an initial phone-screening interview followed by a second
round in the office. If you reject an offer or decline a call back, AMS will
send you a survey asking why. The firm reports that the “vast majority” of
those turning down its offers are headed to careers unrelated to IT consulting,
but concedes that its biggest competitor is Accenture.

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Getting Hired

Questions to expect
“Past behavior predicts future behavior.” AMS insiders note that the
following kinds of questions are likely to arise, especially if you are
interviewing for a job on AMS’ “functional side” for positions as business
analysts (i.e. not technical positions.)

1. Describe the last time you had to think on your feet. What was the
result? What would you change if you could do it again?

2. Can you tell me about an experience where you were too persistent?

3. A client project manager comes to you and refuses to give you some
necessary data. What do you do?
As AMS president Phil Giuntini once said simply, “The client is right.” You
should probe the reasons behind the refusal and try to reach an
accommodation. Communication is crucial to AMS teamwork.

4. Tell me about the last time you worked on a project or reach a goal
with a group of people.
AMS interviewers are told to look out for those who seem unable to work
well in teams.

5. Describe a time you worked with someone who wasn’t pulling his
weight. How did you handle it?
Another of AMS’s favorite behavioral/situational interview questions.

6. A foreign company with extra cash on hand wants to enter the


American fast food market. What would you tell them?
AMS doesn’t purport to ask brainteasers or “guesstimates,” but the
interviewer at her or his discretion may pop a case interview. As the example
suggests, a case interview consists of a question about a business scenario.
Pay attention! Your interviewer expects you to ask some careful and hard
questions become coming close to giving your recommendation. (You should
imagine this is a corporate client presenting this case to you. Certainly, you
would ask the client plenty of questions before attempting to provide advice,
wouldn’t you?) First of all, what kind of company is this potential fast-food
business entrant? Does it already run fast-food concerns outside the United
States? If so, will the overseas model translate into success in America? How
much cash does it have on hand? Is this enough? Is the fast-food market an
attractive one in the United States? How big is it? Who are the major players?
Are there any segments of the fast-food market that are under-served or which
are fast-growing? Your interviewer will answer these questions with pieces of

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information that should help you formulate new questions and, ultimately,
your suggestions for the client. For more on case interviewing, we humbly
suggest the Vault Guide to the Case Interview, which supplies sample case
interview questions with model answers.

Questions to ask
1. You must get calls from headhunters all the time. What keeps you
here?
This will give the interviewer a chance to expound on the many positive
aspects of AMS’s corporate culture, an item of which they are for the most
part extremely proud. “It’s asking me about something that I really value:
what we offer as a culture,” says one happy AMSer.

2. How has your career developed at AMS?


Career paths are not fixed at AMS, but rather depend on how an individual
takes on responsibility and gains expertise. It would be good idea to survey
your interviewers to get a sense of what makes for success.

3. In what area will I best be able to use my accumulated knowledge and


business experience? How can I ensure I’m assigned to that area?
Insiders tell us that a certain amount of proactivity is needed to ensure you’ll
land in a spot where you’ll learn and do the sort of things you might prefer.

4. What are training opportunities in this department?


Remember, AMS has the training facilities, but there’s no guarantee that
you’ll get training. It will be good to see views on training in that particular
Business Unit.

5. How does AMS decide whether to sponsor outside schooling?


AMS handles reimbursement or scholarships for outside training, including
MBAs, on a case-by-case basis within each business unit.

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Getting Hired

Compensation

Pay
Generally, the firm notes that “once someone is in the company, the lid comes
off and pay/advancement is a meritocracy.”

College Graduates: $42,000 base

From Graduate School: Pay will depend on years of work experience and
quality of graduate program. Those from the top 25 MBA programs averaged
$90,000.

Principals are eligible for “incentive compensation.” Each business unit


sets certain goals for each Principal – if met, Principals are entitled to 10-30
percent of their salaries. Goals are usually set on an annual basis.

Perks
• Free dental plan
• Company gym
• Cellular phone
• Emergency medical assistance, Emergency medical assistance while
traveling
• 401(k)
• Employee Stock Purchase Program (ESOP); limited to 10 percent of annual
salary. AMS matches your purchase and pays all administrative fees.
• Nine paid holidays per year
• Sports team sponsorship
• Profit sharing plan
• Referral incentive (AMS may slip you some cash if your referral results in
a hire for AMS)
• Adoption assistance (up to $4,000)
• Drop-in emergency child care centers in some locations
• Paid leave for jury duty, military service and bereavement
• Child care discount program. AMSers receive 10 percent tuition discount
at Children’s World Learning Centers and La Petite Academy, with
registration fees waived for new enrollments at CWLC.

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AMS also offers “compensation time.” That means that after working a
certain number of hours over regular hours, employees are rewarded with
compensation time, or extra vacation time. Employees start with three weeks
of vacation time. Employees also have 12 days of sick leave each calendar
year, and they may use a portion of that time to care for ill family members.

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VAULT CAREER GUIDES
GET THE INSIDE SCOOP ON TOP JOBS

“Cliffs Notes
for Careers”
– FORBES MAGAZINE

Vault guides and employer


profiles have been published
since 1997 and are the premier
source of insider information
on careers.

Each year, Vault surveys and


interviews thousands of
employees to give readers the

“To get the un- inside scoop on industries and


specific employers to help them
get the jobs they want.
varnished scoop,
check out Vault”
– SMARTMONEY MAGAZINE
American Management Systems

On the Job
Day in the life

Business Analyst: (BU: Telecommunications) at


the client site
8:20 a.m.: Get into work. In telecommunications, your clients have a
different work day than at AMS; they get in as early as 7:00 a.m. – but they
leave earlier as well.

8:45 a.m.: After checking email, you access the “issues database.” AMS has
about two dozen of these databases on various subjects (management,
technical databases and so forth). A basic Lotus Notes database, the issues
database is a way to share thoughts, opinions and information between
overseas offices and offices in the Americas. No real information today, but
it’s a good thing to check.

9:00 a.m.: Attend a meeting with your team, which is about 25 people right
now; team members are always transferring in and moving on. You discuss
the current phase of implementation (your team is responsible for tailoring
your proprietary billing system to your telecommunications client). After
some issues are brought up about discount pricing, the team agrees that
several members should set up an appointment to speak to some client
executives that afternoon.

10:30 a.m.: Afterwards, you meet with your own subset team of four; the
four of you are working on a particular “bonus” program in the billing
software.

12:00 p.m.: A quick lunch with some of the client employees here, in their
company cafeteria. If the client has a company cafeteria, you usually feel
obligated to eat there. You have a ham and cheese sandwich.

12:45 p.m.: Your team works on its part of the presentation to the client. The
bonus program may turn out to be pricey for the client, and while it has its
strong points, you want to make sure the client has all the information at hand
in order to make a decision.

4:00 p.m.: Meet with executives from the client. The larger team lays out the
options for incentives and bonus billing, and the cost of software and
implementation. The clients say they will take it under advisement.

5:30 p.m.: Make two entries into the issues database.

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On the Job

6:00 p.m.: Head out with some AMS co-workers for an early dinner.

Programmer Analyst
9:00 a.m.: Arrive at work. You usually get in around this time, though some
days you get in as late as 10:00. Since AMS has flex hours, no one looks at
you askance.

9:30 a.m.: Catch up on a boatload of e-mails that came in overnight. Call


members of your team.

10:00 a.m.: At a meeting you hear an analysis of the current operations of


service representatives at your client firm, presented by two new analysts.

12:00 p.m.: Lunch – basic McDonalds for you.

1:00 p.m.: Back to work. You chat with your mentor next door about some
problems you’ve been having with the client/server architecture. You puzzle
out some bugs in one of the models.

2:00 p.m.: Spend the rest of the day building and testing models.

6:00 p.m.: You head home. 6:00 is pretty typical.

Principal
7:30 a.m.: Catch an early cab to the airport, where you board a flight to New
York City. The client is a consumer products company interested in
improving their database management. On the flight, review some of the
templates that you’ve created for client interviews.

8:30 a.m.: Touchdown at LaGuardia, and brave the cab ride into the city. You
arrive at the client office, where you take some time to settle in, check your
voice mail and e-mail remotely. If it’s part of the client culture to arrive at the
office at six in the morning, you get there at six in the morning.

9:30 a.m.: Meet with your AMS team and review the series of meetings that
you planned last week. As you are still getting to understand the client’s
system requirements, you’ll be working on research in the morning. Review
your action items.

10:30 a.m.: Meet with a member of the client team for about an hour. You
then return to your desk to document the session by diagramming notes into
a Business Process Reengineering tool. You take a call from the company’s
CFO, who wants to discuss some billing issues.

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On the Job

1:00 p.m.: Before lunch, you take some time to check your e-mail and voice
mail.

1:30 p.m.: Lunch at the client’s dining room with some key members of the
client team. (AMSers like to feel like they’re partnering with them.) You
invite one of the AMS analysts along.

2:30 p.m.: Lunch finished, you check in again with Fairfax, then meet with
your team to discuss the development of action items and to prepare for the
afternoon’s facilitated session, a meeting that you are leading.

3:00 p.m.: At the session, you explain where the project stands and run
through a list of questions that you and your colleagues have developed. The
meeting lasts an hour and half.

5:00 p.m.: Check in with your team again to review the meeting. After the
meeting you take some time to check on financial data from a spreadsheet
you’ve been developing, and think about the deliverable that you’ll be
working on tomorrow.

6:30 p.m.: Head to your midtown hotel. Some people are meeting at a
restaurant later, but you decide to order room service instead.

Job descriptions

Business Analyst
Business analysts are the entry-level consultants (usually recent college
graduates) who study the nature of the systems and operations problems AMS
is called in to solve. One of our contacts characterized the business analyst
as a liaison between AMS’s technical experts and the client. Thus, business
analysts will not spend their day crunching code, but rather they will focus on
compiling and analyzing data, interviewing client employees, observing
client operations and developing and delivering oral and written presentations
to other team members. They will work on a project from its initial phases of
requirements and design until implementation, and at end of each phase,
analysts will work on “deliverables,” or major documents that AMS promises
contractually to deliver to its clients. Insiders report that usually requirements
and design deliverables are manageable, but systems deliverables may mean
grueling work. After some experience, business analysts will lead and direct
case teams as project managers. One AMS analyst tells us he even
coordinates consultants from other firms, at the client’s behest.

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On the Job

Programmer Analyst
Those on the technical side coordinate with business analysts and translate
client expectations into the appropriate programs and networks necessary to
meet them. For example, a database consultant might consolidate several
billing screens into one and link that front-end to the firm’s legacy back-end,
thus preserving the original database while increasing the efficiency of firm
operations. Technical consultants work with a range of technologies
including data mining, multimedia, computer telephony and electronic
commerce.

Principal
One becomes a principal at AMS either through promotion from a business
analyst position or by virtue of arriving at the firm from an MBA program.
Responsibilities and duties are divided into four main areas. First, principals
will focus on staffing a particular project: finding out what the needs are,
what resources are available, and how they can help other AMSers advance
their skill sets and careers by working on the project. Second, principals are
concerned with the financial side of the project. Working with spreadsheets
and other analytical tools, they keep track of and analyze revenues and costs,
and billing. Third, principals will coordinate client contact, arranging
meetings and making sure that the scope and objectives of the project are
clear to all. Finally, principals get down and dirty with their coworkers – like
analysts, they will conduct interviews, crunch numbers, run meetings and
give presentations. Insiders note that the number will vary according to
business unit – in larger, more people-intense areas such as
telecommunications, the number can reach up to 200.

Summer Intern
Generally, as with full-time hiring, about 70 percent of the interns are
undergraduates and 30 percent are grad students. The firm begins to accept
applications in September and typically makes most of its decisions by the
end of January.

Typically, internships focus on high-tech, and involve work on only one


project for the summer. The intern is assigned a “summer buddy” and
receives evaluations from the project manager at the end of the summer.
Interns at AMS say they enjoy the “unstructured” and “entrepreneurial” feel
of the firm, and business school students were happy to see that “MBAs are
really valued at AMS.” “Everyone,” says a former college intern, “is a high
priority hire as an intern, and we are treated as assets and with respect. I kind

CAREER
34 LIBRARY © 2002 Vault Inc.
American Management Systems
On the Job

of liked it.” The firm puts interns “in a position of responsibility” and
“entrusts them with important client work.” One intern raves that “I was
considered a part of the team right away and worked closely with all levels of
associates in both my firm and the client firm.” However, as an intern “it’s
difficult to get consensus on some issues,” and “the summer pay is not
equivalent with other consulting firms.” Outside of work, interns will enjoy
cultural and sporting events, and parties.

As for hiring interns into the regular staff, offer decisions are made at the end
of the summer by the particular business unit. The evaluations from the
project manager naturally play an important role here. According to the firm,
80 percent of summer interns receive offers, and 50 percent accept. Those
with offers returning to campus become AMS “ambassadors,” and will take
on recruiting responsibilities such as attending job fairs and hanging up
posters.

Career path

For Undergraduates
After AMS has snatched you up out of college, you’ll enter as an analyst in
one of AMS’s business units. The AMS career path is as follows: analyst,
principal, senior principal, vice president. Insiders say an MBA is
unnecessary for advancement in the firm, though it comes in handy for
members of consulting units. One former AMSer tells us that “VPs without
MBAs are actually rather common at AMS.” According to insiders,
advancement to principal requires taking responsibility for a project and
demonstrating some sort of expertise, such as competence with a certain
language or technology. Thus, the time frame is not fixed, but varies
according to how fast a person builds up skill and the experience to manage
a project. Contacts say the average is four to five years, but one notes that “if
you don’t achieve that for 10 years, you’ll be an analyst for 10 years.”

Note also that you should choose your unit carefully – though you can ask for
a change of unit, this request isn’t always granted. The longer you stay in a
unit, the more valuable your expertise and training becomes to AMS, making
it more difficult to move you. Insiders say the government BUs in particular
are very difficult to leave.

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CAREER
LIBRARY 35
American Management Systems
On the Job

For MBAs
There are many vice presidents at AMS without MBAs, though such
progression is more likely in the world of programming. MBAs generally
start as principals, and move up to senior principal and then VP. Employees
at the level of principal and above are known as “titled” staff; entry-level
people are “untitled.” MBA hires at AMS are considered “experienced,”
regardless of actual industry background. However, those with little relevant
work experience are generally placed as a consultant on a client project, while
experienced MBAs might lead a team or help to develop a new practice area
right off the bat. One former employee says that “in a sense, MBAs are
overkill at AMS, since we mainly do IT consulting and you don’t need an
MBA for that.” As with moving from analyst to principal, promotion from
principal to senior principal has no fixed time. To be promoted, the individual
principal must have taken responsibility for multiple projects and have
demonstrated expertise applying to the entire business unit. Similarly,
promotion to VP requires demonstration of expertise, only this time as
applied to AMS as a whole, such as business development or helping different
BUs develop solid working relationships and cooperation.

Training
AMS training for new hires includes half a day of orientation at the firm, and
a three- to five-day course known as AMS 101, which teaches new hires
about the fundamentals of their own BU and others. Additionally, each BU
will offer its own training program.

For ongoing training, AMS has a state-of-the-art training facility in Fairfax


called Centerpointe II. The center, serving employees and clients, features
five classrooms, three breakout rooms/learning labs, copy and fax
capabilities, eating facilities and a full-time staff. The classrooms are
equipped with the high-end technology platforms and software tools, snazzy
A/V equipment, one instructor computer and 10-15 computers for each
classroom. Other remote training locations include Denver, New York,
Manchester, Redwood City, Birmingham, Ottawa, London, Düsseldorf,
Frankfurt and Lisbon.

AMS also outsources technology training programs for clients. The I/S
community can come to AMS for training in COBOL, C, C++, JAVA,
Internet/Web applications and Object-Oriented and Client/Sever deployment.
New courses are usually tested on AMS employees before being offered to
AMS clients. Examples of former AMS outsourced training clients include a

CAREER
36 LIBRARY © 2002 Vault Inc.
American Management Systems
On the Job

major automaker, a Big 10 university and a worldwide telecommunications


firm. AMS particularly specializes in helping clients make the transition from
mainframe to client/server technology.

AMS also has a (mostly) virtual university called AMS University. It uses a
variety of learning vehicles, including Web-enabled courses, on-the-job
training, distance learning and traditional classroom experiences. Study
programs vary but include the following titles: Foundations for Success,
Emerging Leaders, Principal Leadership, Senior Leadership, and Executive
Development.

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LIBRARY 37
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American Management Systems

Final Analysis
Like much of the IT consulting industry, AMS is facing lean times. But
compared to such competitors as Accenture, EDS and Cap Gemini Ernst &
Young, AMS is well-positioned to take advantage of the burgeoning market
for public-sector services, particularly in defense-related areas – AMS’s
specialty. Consequently, while the firm is cutting its employment rolls
overall, it is also boosting several of its government-oriented practices,
especially homeland security. The firm is also poised to profit from the
growing interest in IT and business process outsourcing, which industry
experts predict will be one of the most important – and profitable – aspects of
the IT services industry within five years. Internally, AMS has weathered
well the transition from its original five, “whiz kid” founders to a new
generation of leaders, and as a result is stronger internally than many of its
competitors, such as Accenture and Cap Gemini Ernst & Young, which are
still working through transition phases.

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CAREER
LIBRARY 39
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American Management Systems

Recommended Reading
As is true at many large consulting firms, AMS likes to put its mouth where
its money is – in addition to its consulting work, it produces a wide variety
of position reports, white papers and journals. Found under the “Know
How” section of the company’s website, they are a good way to get a feel
not only for AMS’s various activities, but also an idea for how the firm
thinks. Note: Some of the documents require a free registration.

Also:

“Fifth Founder Quits AMS,” Washington Post. Nov. 25, 2002. Page E1.

“Mockett has eyes on AMS’ future,” Washington Technology. March 4,


2002.

AMS Settles Lawsuit with Insurance Co.,” Washington Post. October 15,
2001.

“Who’s Who in State and Local Systems Integrators,” Washington Monthly.


February 19, 2001.

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