Management Consulting Industry Report by Regional Category Spend, Price Analysis, Key Demand, and Price Indicators, and Best Buying Practices

The global Management Consulting market reached a value of about USD 164.2 billion in 2021. The industry is projected to grow at a CAGR of around 9.6% in the forecast period of 2022-2027 to reach a value of about USD 288.7 billion by 2027.

The global Management Consulting industry report gives a comprehensive analysis of the industry, including key segments, trends, drivers, restraints, the competitive landscape, and other essential market aspects. The need for consultancy to improve customer satisfaction primarily drives market growth. Europe is the highest category spender by region, driving the demand for the Management Consulting industry.

Industry Definition and Segmentation

management consulting refers to a cottage industry of businesses that put together a team of smart, analytical brains that aim to assist customers in solving tough business challenges and companies improve their performance. The Management Consulting industry report comprises segments by service type (Administrative Management and General Management Consulting Services, Marketing Consulting Services, HR Consulting Services, Process, Physical Distribution, and Logistics Consulting Services) and region (North America, Europe, Asia Pacific, the Middle East, and Africa, and South America).

The European Region is Driving the Growth of the Industry

Europe is the largest market in the industry as it is a mature market that for a significant share of worldwide consulting income. The region has a high supplier capability to meet complicated customer requirements.

The market is propelling as Businesses are redesigning models to respond to changing client demands that need category management consultants' experience and knowledge. Businesses, banks, and other organisations use management consulting companies to help them address difficulties, including increased stakeholder demands and flat or falling budgets driving the market. Organisations continuously attempt to cut expenses and improve efficiency so that cost savings may be passed on to consumers to stay competitive. As a result, the market is expanding. The management consulting industry's player-adopted efforts include reinforcing M&A strategies, expanding into new countries, and providing advisory assistance to small and medium social enterprises. Hence, all these factors are boosting the industry's growth.

Best Procurement Practices

The global Management Consulting industry report by Procurement Resource gives an in-depth analysis of the best buying practices followed by major global Management Consulting regions, such as engagement models, contract terms, and buyer and supplier negotiation levers.

Category Management Studies

Consulting services are usually divided into eight different work areas. Consultants can act as information and knowledge bridges, and external consultants can provide these bridging services at a lower cost than client companies. Consultants can be hired proactively, without much external pressure, and reactively when there is a lot of stress. The primary goal of proactive consultant engagement is to uncover hidden weaknesses and enhance performance, whereas reactive consultant engagement focuses on correcting problems highlighted by external stakeholders.

Growing Shift Towards Technological Integration, Further Driving the Management Consulting Market

The industry is being aided by integrating analytics, cloud, media, and social media with business models. Agile, Artificial Intelligence, and analytics are technical skill sets that MNCs actively seek. Management consulting businesses will be able to minimise expenses and improve revenues by hiring contract personnel, putting the complete infrastructure in the cloud, and using a small number of physical locations, which is likely to boost demand. Also, the Management consultants can use AI and automation to handle operations like data processing and analysis more efficiently and quickly than a person can. It can also give reliable sales, processes, and supply chain management information, providing the industry with a significant thrust.

The regional markets for the industry can be divided into North America, South America, Europe, the Middle East and Africa, and the Asia Pacific.

Key Industry Players Mentioned in the Management Consulting Industry Report

• McKinsey & Company, Inc.
• Deloitte Touche Tohmatsu Limited
• Ernst & Young Global Limited plc
• Accenture plc
• Bain & Company

Market Landscape

There are a few big competitors in the management consulting services industry, which is relatively competitive. Some of the businesses presently have a majority of the market share. More joint ventures, international investments, worldwide expansion, and multi-national corporations establishing facilities in high-growth regions are projected due to globalisation. Companies are increasingly developing joint ventures with companies in other nations to test the market. Similarly, some corporations are looking to buy an established company in a new area to reduce risk. Furthermore, due to the increasing expansion of the internet, automation of consulting procedures, and advancements in data security, globalisation in the management consulting services market is gaining traction.

Key Initiatives by Companies

• In October 2019, under its joint venture partnership agreement with the US Department of Commerce's National Technical Information Service (NTIS), Booz Allen signed a letter of agreement to assist the US Department of Defense's (DoD) and Joint Artificial Intelligence Center (JAIC). To advance government data priorities, boost economic growth, and allow operational excellency, Booz Allen is partnering with NTIS on its mission to provide innovative data services to federal agencies through joint venture agreements with the private sector.
• Endava and Bain & Company have formed a worldwide strategic collaboration, integrating Bain's industry-leading management consulting services with Endava's world-class strategy-led enterprise delivery and next-generation technology capabilities. The Bain-Endava alliance brings together strong talents in business and technology strategy, product ideation, technology development and deployment, and organisational change management to support customers through successful transformations.