When a corporation puts its advertising account “up for review,” the process works like a black box. In one end, a number of ad agencies enter full of hype and glory; from the other end, a single winner emerges.

Russel Wohlwerth is the man inside the box.

His consulting firm, Ark Advisors, has conducted hundreds of reviews for some of the biggest marketers in the world, including Intel, Activision, Washington Mutual and BMW. The firm has three partners, with Wohlwerth covering the West Coast from his office in Playa del Rey.

Reviews “are major dog and pony shows,” Wohlwerth said. “For a big global review, it’s possible for agencies to spend half a million to $1 million. The average review is probably about $100,000.”

On the corporate side, Wohlwerth feels companies today are too quick to fire their agency and order a review for a replacement. While expenses for the corporation are internal, they add up between executive travel time and lost opportunity costs for the corporate marketing program. For a new agency to get up to speed usually takes about a year.

The review begins with a needs assessment to determine what kind of agency fits the client, from a global mega-agency to a creative boutique. In terms of specializations, Wohlwerth has handled reviews for media-buying, interactive, PR, events, promotions and social marketing accounts. Once he evaluated architecture firms because the client considered store construction a marketing issue.

After Wohlwerth writes a request for proposals, he assembles a list of about 10 agencies. Based on responses, the client cuts that number in half.

Contenders then meet the client, followed with a trip by Wohlwerth and corporate brass to the agency’s offices. “We think space says a lot about an agency,” he said. “If it looks like an accounting firm, chances are it’s not a wild and crazy agency. If it looks like a playground, it may not be right for a conservative client.”

Rick Carpenter, president of DDB Los Angeles, said an Ark-managed review provides “opportunities for clients to get to know the would-be agency,” including face-to-face meetings and work sessions. “Other companies conduct their own agency searches, but companies are really busy today, they have a lot to do with their day jobs, so it makes sense to outsource the review.”

The 12- to 14-week process ends with three finalists performing a speculative creative assignment. About 90 percent of the winning pitches eventually make it to a TV screen, Wohlwerth said, “because we give them real-life information and real-life access to the client.”

Final presentations often feel like dinner theater, with an agency’s top executives acting out commercials with costumes and live music. One agency re-created the interior of the client’s store in a conference room. Another tried to land an auto account by parking every model made by the client in front of the building.

But fireworks don’t always win accounts. “I’m a fan of great intelligence,” said Wohlwerth. “Often, the bigger your stunt, the smaller your idea.”

Carpenter recalls the dramatic finale to the Ark review that won DDB the Activision account. According to plan, the yes-or-no would come via a telephone call from Wohlwerth and the client. Carpenter sat in his office, waiting for the phone to ring at the appointment time. Five minutes passed, then 10. Suddenly the client walked into the office, shook his hand and gave him the account.

For local companies that can’t afford reviews or big-name agencies, Wohlwerth suggests they work with one of the talented creative boutiques in Los Angeles. “You can be pretty small and have access to world-class talent in Southern California,” he explained. “Los Angeles and the entire West Coast are having a renaissance because of the integration of technology up north and entertainment down south. There are resources here sized just right for any company.”