The market for management consulting services is expanding due to an increase in the use of these services to cut costs and improve operations.
Covid-19 Impact & Market Status
Due to the global decline in demand for management consulting services, the COVID-19 pandemic has a detrimental effect on the management consulting services business. However, as they start their recovery, providers of management consulting services have made a number of moves to prepare themselves for the post-COVID future. The role of digital transformation systems in management consulting services was also elevated by the COVID-19 pandemic. The use of robo-advisors in long-term management planning is becoming more common among businesses providing technology-driven company strategy and management consulting services to clients.
Operations Consulting Sector to hold the major portion of the market
According to type, the operations consulting sector is anticipated to account for the largest portion of the market for management consulting services in 2021. This is explained by the fact that the industry is expanding as a result of the growing demand from SMEs to manage their operations, particularly during a pandemic. Additionally, operations consultants provide thorough solutions to a problem. They employ measures, cutting-edge research, and problem-solving ability to maximise the commercial operations of their clients.
North America to dominate the market
In terms of region, North America held the majority of the market share for management consulting services in 2021. The reason for this is because rising borrowing rates and geopolitical unrest are seen to be motivating factors for customers to consult with consultants. Additionally, as the importance of management consulting firms in the area has increased, they have begun acquiring regional businesses to broaden their market reach.
Technology Sector to boost the market growth in forecast period
Technology will continue to have an impact on the consulting sector, changing how consultants and their clients interact and access information. People now have access to certain sorts of data and information that were previously exclusively available to business professionals like consultants and consulting firms thanks to the internet. As a result, the consulting sector is turning its attention to asset-based consulting, a recent disruption that is anticipated to keep growing. Asset-based consulting puts more emphasis on tools and products than on human capital, or the skills of the consultants.
Additionally, the market for management consulting services is growing more quickly due to globalisation in the sector, the uptake of high-speed internet, and consultation process automation.
When advice or implementation services are given to an organization's management with the intention of improving the effectiveness of its business strategy, organisational performance, and operational procedures, this is referred to as "management consulting," which is also known as "business consulting." Additionally, decision-makers consult management consultants for advice on a range of challenges, such as organisational problems and strategy. For instance, they can be asked to develop a new strategic plan to boost growth, or they might be asked to offer guidance on innovation or cost-cutting techniques.
The market for business strategy and management consulting was estimated to be worth USD 295 billion in 2021, and it is anticipated to grow to USD 571.1 billion by 2029, at a CAGR of 8.7%. (2022-2029). The complexity of the project and the hazards of data breaches and cyberattacks, however, restrain the market expansion for management consulting services. As a result of variables like quick urbanisation, increased SMEs resource spending, and technical improvements, growing economies, on the other hand, present considerable opportunity for management consulting services organisations to expand their capabilities. Additionally, the industry may have room to grow as advances and efforts toward digitalized services continue to grow.
The best method to help SMEs is to offer management consulting services since they can charge more while still giving their small business clients more value. A recent Accounting Today survey also revealed that 78% of small firms seek a consultant who can be trusted.
Utilizing management consulting services might help clients save time because consultants handle some aspects of corporate management. They don't conduct extensive investigation because management consultants are trained to find facts quickly. Clients can save time this way and concentrate on other business activities. Additionally, the fact that management consulting services increase operational effectiveness and offer superior insights contributes to the market's expansion. The market is expanding due to the rising use of management consulting services for making crucial company decisions.
The market for management consulting is expanding as a result of business models that incorporate analytics, cloud computing, media, and social media. In addition, to help businesses and banks overcome obstacles including rising stakeholder expectations and shrinking resources, management consulting organisations offer IT transformation services. These services involve identifying key technologies, establishing an IT agenda, and cost-effectively consolidating, standardising, and harmonising IT solutions across business divisions. Additionally, the digitalization of management services enables consultants to give clients advise using cutting-edge methods like machine learning (ML) and artificial intelligence (Al) prediction. Customers now receive effective and efficient services as a result of this. Thus, the market is expanding due to the digitalization of management consulting services.
The market analysis for business strategy and management consulting services is the primary emphasis of the report, along with growth possibilities, challenges, and trends.
Leading companies in the industry are providing some of the best UpToDate business strategies and services. Bain & Company, Inc., Booz Allen Hamilton Inc., A.T. Kearney, Inc., Accenture, Aon Plc Boston Consulting Group, CGI Inc., CSC Consulting Services, Cognizant Technology Solutions , Deloitte, KPMG International Limited, Ernst & Young, McKinsey & Company, Strategyn LLC, Mercer LLC, PwC and Sia Partners are some of the major companies active in this market. To enhance their market penetration and solidify their position in the management consulting services sector, these players have taken a variety of techniques.
Latest Innovations in the Global Business Strategy and Management Consulting Market: A Snapshot
- Gulf Bank partnered with Balance Business Consulting, a Kuwaiti SME, to offer financial advisory services to entrepreneurs and SMEs.
After working together with UBS Group AG, a Swiss international investment bank and provider of financial services, Amazon's virtual assistant Alexa can now respond to questions about the economy for UBS Group AG clients. Through a new agreement, some of UBS's European wealth management clients can ask Alexa questions about money and the economy, and Alexa will respond with information provided by UBS' main investment office without the need for an online search.
Business Strategy and Management Consulting Market Scope
|Forecast Unit||Value (USD)|
|Revenue forecast in 2029||USD 571.1 billion.|
|Growth Rate||CAGR of 8.7 % during 2021-2029|
|Segment Covered||Type, Organization, Industry Vertical, Regions|
|Regions Covered||North America, Europe, Asia Pacific, South America, Middle East and Africa|
|Key Players Profiled||UpToDate business strategies and services. Bain & Company, Inc., Booz Allen Hamilton Inc., A.T. Kearney, Inc., Accenture, Aon Plc Boston Consulting Group, CGI Inc., CSC Consulting Services, Cognizant Technology Solutions , Deloitte|
Key Segments of the Global Business Strategy and Management Consulting Market
Type Overview, 2019-2029 (USD Billion)
- Strategy Consulting
- Operations Consulting
- Financial Advisory
- Financial Advisory
- Corporate Finance
- Accounting Advisory
- Tax Advisory
- Transaction Services
- Risk Management
- Technology Consulting
- Human Resources Consulting
Organization Size Overview, 2019-2029 (USD Billion)
- Large Enterprises
- Small & Medium-Sized Enterprises
Industry Vertical Overview, 2019-2029 (USD Billion)
- IT and Telecom
- Retail and E-commerce
- Public Sector
Regional Overview, 2019-2029 (USD Billion)
- The U.S
- The UK
- Rest of Europe
The Asia Pacific
- Rest of Asia Pacific
- Rest of South America
The Middle East and South Africa