RSM acquires practice from Rego

RSM US, a Top 10 Firm based in Chicago, is buying Rego Consulting’s ServiceNow workflow automation practice and plans to combine it with RSM’s own.

The firms have signed an agreement for RSM to acquire the ServiceNow practice from Salt Lake City-based Rego Consulting, with the transaction expected to close on June 1. As part of the deal, Jerry Dolak, executive vice president and ServiceNow business lead at Rego, and Rego’s team of ServiceNow professionals will join RSM, bolstering RSM’s existing ServiceNow practice across the U.S. and Canada. The deal comes shortly after an agreement between RSM and ServiceNow to allow RSM to bring its workflow automation software to its clients.

More accounting firms have been building their consulting practices by offering technology consulting services, and workflow automation has been growing in popularity at companies. Rego started its ServiceNow practice in 2016 and has since served hundreds of clients, including 60 percent of Fortune 100 companies, and it has done more IT business management implementations than any other ServiceNow partner.

“We are thrilled to welcome Rego’s exceptional ServiceNow team to RSM at a time when digital business and workflow automation are more important than ever to our middle-market clients,” said Brian Becker, consulting leader for RSM US LLP, in a statement Friday. “We have high client demand for ServiceNow solutions that can help our clients get ahead in an increasingly complex and competitive business environment, and our new colleagues will help us deliver the comprehensive solutions they need.”

Financial terms of the deal were not disclosed, but Rego has earned more than $9 million in annual revenue from its ServiceNow practice. The firm’s overall revenues are over $50 million. Rego Consulting has more than 30 employees in its ServiceNow practice, out of the more than 200 employees in the overall firm.

RSM ranked 5th on Accounting Today’s 2021 list of the Top 100 Firms. The firm has 1,022 partners, 12,503 total employees and earned $2.79 billion in annual revenue last year.

Rego’s ServiceNow team will complement RSM’s existing ServiceNow practice, offering customer service management, IT operations management, software asset management, IT service management and configuration management database solutions. The Rego team has earned Elite-level partner status at ServiceNow.

Dolak will join RSM as a principal in the firm’s consulting line of business, working with RSM’s Detroit office and transition to RSM along with the rest of the ServiceNow team from Rego once the deal closes.

“RSM, ServiceNow and our team of professional consultants will be a powerful combination for clients and for our people,” Dolak said in a statement. “We look forward to bringing ServiceNow’s innovative, productivity-enhancing solutions to RSM’s clients. We are equally excited to offer our current ServiceNow clients access to RSM’s full suite of consulting, audit and tax services and to RSM’s global resources that may benefit our clients who operate internationally.”

Last December, RSM made another M&A deal in the technology consulting field, acquiring MondayCall, a Salesforce partner in San Francisco, bolstering its existing Salesforce consulting practice.