Management consulting services provide advice and assistance on organization planning, financial budgeting, marketing strategies, human resource practices, administration policies and production and logistics scheduling. Such services include solutions for administrative management issues, strategic and organizational planning, business process improvement, human resource and personnel policies, marketing planning and strategy development, productivity improvement, quality assurance and quality control. Clients of the industry include business organizations, non-profit organizations and government agencies. The management consulting services market is labor intensive. Management consultancies invest significantly in industry experts and experienced consultants with specializations in various aspects of a business organization. Management consultancy is a personalized process depending on clients and their requirements.
This report also covers the financial advisory and consulting services market, and management consulting industry statistics.
The top five companies covered are Deloitte, Accenture, PwC, Ernst & Young Global Limited, and KPMG International Cooperative. Deloitte was the largest competitor in the management consulting market in 2017.
The countries covered are China, India, Japan, UK, Germany, France, Italy, Spain, Russia, USA, Brazil and Australia.
The management consulting services global market was valued at $605.7 billion in 2017. North America was the largest region in the global management consulting services market, accounting for almost 41% of the market. The USA was the largest country in the market, accounting for 36% of the market share.
Services are now being split into several individual components and sold separately rather than bundled together. There has been a growing trend from clients to pick and choose service elements that can be executed in house and allocate the rest to specific service providers. This approach is called modularization of services and is a response to clients that a single firm would not be able to handle the complexity of a large project and hence wanting four to five firms to collaborate. Alternatively, the client may want to break down the project into various small components that can be allocated to specialized professional firms. Management consulting service providers are collaborating with specialized consulting companies to increase their market share and expertize. For instance, leading global consulting firm, Oliver Wyman, collaborated with other consulting firms to strengthen its expertise in various industries such as with TeamSAI (aerospace and aviation), ChapterHouse (healthcare), Harbour Consulting (automotive) and Corven (energy).
The Management Consulting Global Market is segmented into Operations Advisory; Financial Advisory; Technology Advisory; Strategy; and HR Advisory.
Operations Advisory Market provides advice on operational performance and helps clients in areas spanning from the supply chain and procurement, to outsourcing. These services help the client to improve its internal operations and value chain thus improving business performance and achieving bottom-line savings. Operations advisory sometimes includes implementing recommendations.
Financial Advisory services advise clients on financial planning and budgeting, equity and asset management, compliance services and provides guidelines in terms of risk management. These services allow clients to manage their finance and assets more effectively. Financial advisory includes advice on corporate finance, actuarial services and risk management.
Technology Advisory Market providers help clients to identify, prioritize, design, and manage their investments in various advanced technologies. Technology advisory services provide consultancy on developing technology strategies, technology ideation and prototyping, design digital consulting services, and ways to enhance cybersecurity.
Strategic Consulting Market strategy advisory providers offer consulting services which aim to increase client’s revenues, profit margins, market share and competitive advantage. Strategic advisors also help companies to develop new markets, offer market entry and expansion strategies, and offer consultancy on reimagining their business models.
HR Advisory services advise on human capital matters and/or offerings revolving around the HR function. These services are generally used by three types of clients: those aiming to improve their HR function by redesigning HR processes, those undergoing transformations such as mergers and acquisitions to ensure the new human capital is trained. HR Advisory includes organizational change, HR technology, learning and development, benefits and rewards and talent management.