Around 1970 some 96 percent of the largest Fortune-500 companies had establ
ished OR groups. The recessions of the '70s and '80s led many to close thei
r groups. In 1993, the UK OR Society, disturbed by further closures, funded
a study to identify factors that influenced the success and survival of in
ternal OR groups. The study team found three categories of factors: changes
in the external environment, in the organization, and in the OR group's ma
nagement. This research shows that to be effective, an OR group needs good
consulting skills, expert project management, active marketing of its servi
ces, and responsiveness to changes in its clients' requirements and in the
surrounding organizational culture.