MARKET OVERVIEW- GLOBAL BUSINESS MANAGEMENT CONSULTING MARKET
Business management consulting refers to advice or implementation services provided to an organization's management with the goal of enhancing the efficiency of its business strategy, organizational performance, and operational procedures. In addition, decision-makers seek management consultants for guidance on a variety of topics, including strategy and organizational issues. There is a growing demand for management consultancy services, targeting company executives and providing them with industry-specific specialists and subject-matter experts. Advancement in the quality of services from the consultancy is innovating the efforts to develop a new perception of quality that helps them achieve the desired results which is driving the market demand. In this market, predictive analytics is a method used to analyse present and historical data to forecast future events. This enables companies to predict how their customers might behave in the future. In addition, companies can use this information to better plan their business strategy and marketing efforts. Business management consulting services focus on the client's most critical issues and opportunities through innovative strategy, marketing, organization, and operations, through the help of advanced analytics, including mergers and acquisitions and sustainability across emerging industries and geographies, thereby bringing deep, functional expertise with a holistic perspective.
MARKET DRIVERS
The Global Business management consulting Market is driven by the factors such as effortlessly reducing operational and servicing costs, optimizing operations, suggesting consistent technology to your company, creating a strategy with attainable objectives. Moreover, increasing costs and shrinking margins, advances in artificial intelligence with the potential to replace management consultants, and an in-house management consulting teams in large technical businesses are all factors that might slow the market’s future growth. Increase in adoption of management consulting services for reducing operational costs and optimizing operations is driving the growth of management consulting services market. In addition, the globalization in the management consulting services industry, penetration of high-speed internet, and automation of consulting processes are accelerating the management consulting services market growth.
MARKET OPPORTUNITIES
Developing economies around the world offer significant opportunities for business management consulting services companies to expand their offerings, owing to factors such as rapid urbanization, rise in resource spending by SMEs, and technological advancements. Moreover, growth in developments & initiatives toward digitalized services is anticipated to provide a potential growth opportunity for the market. Further, major consultancies have implemented a digital marketing strategy to boost their offerings which provides huge opportunities to the market. For instance, in October 2022, Deloitte & Touche LLP, and AuditBoard announced the expansion of their strategic business partnership. This partnership will assist businesses in streamlining environmental, social, and governance (ESG) reporting, integrating ESG data, streamlining the gathering of supporting documentation, and automating ESG activities to increase visibility.
MARKET RESTRAINTS
Risks of data breaches, cyber-attacks and intricacy of the project is most likely to hinder the growth of the business management consulting market. Additionally, a significant growth of the freelance consulting industry is restraining the market growth.
MARKET GROWTH CHALLENGES
A key challenge which may affect the growth of the market is competition between the market players as there is many players available in the market. In addition to that, shift in the consulting marketplace is hampering new business strategy. However, high costs and shrinking margins and improvements in the AI with the idea to replace management consultants are expected to hamper the growth of the business management consulting market in the forecasted period.
CUMULATIVE GROWTH ANALYSIS
The report provides an in-depth analysis of global Business management consulting market including, market size, and compound annual growth rate (CAGR) for the forecast period of 2023-2029, considering 2022 as the base year. With growing adoption of BI and Advanced Data Management Strategies across Multiple End-user, Domains has led to the increasing demand for market, and is expected to witness the growth at a specific CAGR from 2023-2029.
BUSINESS MANAGEMENT CONSULTING MARKET SEGMENTAL OVERVIEW
The global Business management consulting market comprises of different market segments like type, end user and geography.
BUSINESS MANAGEMENT CONSULTING MARKET BY TYPE
Based on type, the global Business management consulting market is segmented into
- Strategy Consulting
- Operations Consulting
- Financial Advisory
- Technology Consulting
- Human Resources Consulting
By type, the operations consulting segment is estimated to acquire the highest share of management consulting services market size in 2021. This is attributed to the fact that the increased demand from SMEs to manage their operations, especially during a pandemic, is driving the growth of the market. Furthermore, operations consultants offer detailed strategies to overcome a given problem. To optimize the business operations of their clients, they use measurements, advanced research, and problem-solving expertise.
BUSINESS MANAGEMENT CONSULTING MARKET BY END USER
The global Business management consulting market finds its major end users
- BFSI
- IT and Telecom
- Manufacturing
- Retail and E-Commerce
- Public Sector
- Healthcare
Based on end-user industry, the IT, and telecommunication segment are expected to dominate other segments in terms of revenue share over the forecast period. Increasing penetration of new technologies such as Artificial Intelligence (AI), Machine Learning (ML), and analytics in IT and telecommunication sector can provide businesses with better solutions and opportunities for further expansion. Increased adoption of technology in various industry verticals can support market growth of this segment.
BUSINESS MANAGEMENT CONSULTING MARKET BY GEOGRAPHY
The global Business management consulting market is studied for the following regions
- North America
- Europe
- Asia-Pacific
- Rest of the world (RoW)
North America is the largest revenue-generating market. This is attributed to the fact that rise in borrowing costs and geopolitical tensions are anticipated to encourage consumers to consult professional consultants. Furthermore, with surge some prominent consultancy firms catering significantly across various end-user verticals and surge in importance of management consulting firms in the region have started acquiring local firms to expand their market reach. The highly volatile marketplace across the economy of the United States, along with the sustained reforms in government regulation, is driving companies to turn to management consulting providers for acquiring assistance in their operations across the region. Prominent consultancy providers across the region, such as PricewaterhouseCoopers, IBM, Deloitte, and BCG, are incorporating digital transformation across their business model, thereby serving multiple end-user domains.
COVID-19 IMPACT ANALYSIS ON GLOBAL BUSINESS MANAGEMENT CONSULTING MARKET
The repercussions of the pandemic have been described in detail in this report. The varied observations made by the Axiom market researchers provide accurate information about each point surrounding the growth of the business management consulting market. Report provides complete analysis of changes in the global market expenditure, economic and international policies on the supply and demand side. The report also studies the impact of the pandemic on global economies, international trade, business investments, and GDP and marketing strategies of key players present in the market.
COVID-19 has various impact in different countries depending on their cultural norms, mitigation efforts, and health infrastructure. COVID-19 negatively impacted the market in 2020. The COVID-19 pandemic affected the business management consulting market because of supply chain and market disruption. During the pandemic, many factories producing business management consulting were shut down. There was a change in priority to the BFSI, IT and telecom, manufacturing, retail and e-commerce, public sector, healthcare, and others were on temporary hold which has negatively impacted the market growth.
COMPETITIVE LANDSCAPE ANALYSIS
The competitive landscape analysis of business management consulting market is primarily focused on expanding the global growth of Business management consulting industry with new product innovation, business expansion, increasing presence of a range of manufacturer operating in Business management consulting sector has led to growing demand for the market. Besides, the market offers a range of products in different application to fulfil the required demand of consumers which further contributes to healthy growth in the market.
The key players studied in market are
- McKinsey & Company
- Bain & Company
- Boston Consulting Group
- Booz Allen Hamilton Inc.
- Deloitte Touche Tohmatsu Limited
- KPMG International
- Gartner Inc.
- Wikistrat Inc.
- Ernst & Young Global Limited
- PricewaterhouseCoopers LLP
- AT Kearney Inc.
- Tata Consultancy Services
- Accenture PLC
- Oliver Wyman Inc.
- Capgemini SE
- LEK Consulting LLC
- Mercer LLC.
RECENT DEVELOPMENT:
October 2022: Deloitte & Touche LLP and AuditBoard announced the expansion of their strategic business partnership. This partnership will assist businesses in streamlining environmental, social, and governance (ESG) reporting, integrating ESG data, streamlining the gathering of supporting documentation, and automating ESG activities to increase visibility.
August 2022: Ernst & Young Global Limited announced the acquisition of Digital Detox Ventures Limited, a UK-based digital engineering consultancy. The acquisition brought a range of new skills and capabilities to support EY clients across four essential sectors, health, wellness and sciences, real estate, hospitality and construction, and TMT.
June 2022: Bain & Company announced the launch of an office in Athens. This decision was motivated by the firm's growing client base of Greek companies and the high level of demand for its services from clients.
