MARKET OVERVIEW- ASIA PACIFIC MANAGEMENT CONSULTING MARKET
The Asia Pacific has boomed in recent years to now pull in around $25 billion in annual revenues for the consulting industry, according to data sourced from Source Global Research and this will show promising growth over the forecast period. the main intention of Management Consulting is to improve the organization’s work and efficiency by helping or consulting them. It can also be defined as providing consulting services to organizations to improve their performance. Management consultants help organizations solve problems, improve business performance, create value, and maximize growth. They identify solutions for business troubles and make suggestions for changes to implement. There are various operations included in management consulting such as e-business, marketing, supply chain management, and business strategy. Becoming a management consultant is a varying job in general, a management consultant provides organizations with strategic advice and project management consulting to help them resolve a variety of complex business issues and makes the process easier, and improves organizational efficiency.
MARKET DRIVERS
The Asia Pacific management consulting market has seen a bloom in recent years, and the factors driving the growth include growing regional business diversities that demand skilled driven consultations and operations. The increasing disposable incomes of the consumer, the percentage of the youth population, the percentage of literacy in the region, the demands of the customer, and governmental legislation in the region also drive the market growth over the forecast period. In addition, the many companies are adopting management consulting services for reducing operational costs and optimizing operations is driving the growth of management consulting services market across the Asia Pacific. These factors are driving the demand for management consulting services in the Asia Pacific region during the forecast period.
MARKET OPPORTUNITIES
The blooming IT and digital consulting accounts for nearly one-quarter of Asia Pacific’s consulting industry. The increasing segments such as technology advisory, digital transformations, cybersecurity, infrastructure design, and system implementation, but excluding more tech-oriented activities such as systems integration, application maintenance, and managed services will bring the market growth opportunities over the forecast period. In addition, adopting BI and advanced data management strategies across multiple end users will boost the market growth over the forecast period. In addition, growing digital transformation among enterprises, and increasing business model transformation across industry verticals has boosted the demand for the market.
MARKET RESTRAINTS
Management consulting is facing a shortage of skilled workforce and the high cost of management consulting will hinder market growth over the forecast period. A growing expectation that organizations would need to rely more on external support in the future, even in “core” business functions will sore the demand in the consulting industry, and here is what the industry lacks to fulfill the demand. These are points that are likely to inhibit market growth.
MARKET GROWTH CHALLENGES
The Management Consulting market is having challenges such as increased competition, finding out new skills, and unpredictability in the marketplace is a top business challenge. The Asia Pacific consulting market is facing challenges such as changing client behaviour, profitability, new competition, and more.
CUMULATIVE GROWTH ANALYSIS
The report provides an in-depth analysis of the Asia Pacific Management Consulting market including, market size, and compound annual growth rate (CAGR) for 2022-2028, considering 2021 as the base year. The increasing digitization and the adoption of third-party services by organizations to improve business efficiency are expected to propel growth at a specific CAGR from 2021-2028.
MANAGEMENT CONSULTING MARKET SEGMENTAL OVERVIEW
The Asia Pacific Management Consulting market comprises different market segments like services, end user industry and country.
MANAGEMENT CONSULTING MARKET BY SERVICES
By Services, Management Consulting includes key segments of
- Strategy, Analytics and M&A
- Customer and Marketing
- Enterprise Technology & Performance
- Core Business Operations
- Human Capital
Strategy, Analytics, and M&A held the major market share in the Management Consulting market. The segment growth is attributed to the company's need to address operations, including providing advice on strategy concepts, such as business strategy and operational techniques, within proper time management will drive the segment growth. For insurance carriers, M&A is a straightforward product sale. For most companies, M&A is an important asset and it boosts segment growth.
MANAGEMENT CONSULTING MARKET BY END-USER INDUSTRY
The Management Consulting market is applied across the end-user industry such as
- IT and Telecommunication
- Healthcare
- Hotel and Hospitality
- Media and Entertainment
- Real Estate
- BFSI
- Manufacturing
- Retail and E-Commerce
- Others
IT and telecommunication are the major market share-holding segments. Many IT companies are providing or outsourcing consulting services for their business operation and that will boost the segment growth over the forecast period. IT firms are relying on many forms of for payroll and HRA-based operations, and that will also propel the market’s growth. Therefore, the IT and Telecommunication industry is a major contributor and holds the major market share over the period.
MANAGEMENT CONSULTING MARKET BY COUNTRY
The Asia Pacific Management Consulting market is studied for the following countries
- China
- India
- Japan
- South Korea
- Rest of the Asia Pacific
China is the biggest country in the management consulting market in the Asia Pacific. India is the next dominant country, the increasing population, rising disposable income, and digital disruption are among the primary attributes of the market growth in the coming period. In addition, Southeast Asia, which includes Myanmar, Thailand, Malaysia, Laos, Cambodia, Vietnam, Indonesia Brunei, Singapore, and the Philippines, collectively adds close to $4 billion for a 16 percent overall share.
COVID-19 IMPACT ANALYSIS ON THE ASIA PACIFIC MANAGEMENT CONSULTING MARKET
Axiom MRC provides a 360-degree analysis of micro and macroeconomic factors in the Asia Pacific Management Consulting market. In addition, a complete analysis of changes in the Asia Pacific Management Consulting market expenditure, and economic and international policies on the supply and demand side is provided in this exclusive report. The report also studies the impact of a pandemic on Asia Pacific economies, international trade, business investments, GDP, and the marketing strategies of key players present in the market.
Over the forecast period, COVID-19 has taken a huge toll on the Asia Pacific management consulting industry. The impact on the consulting industry is severe, and that is owing to clients delaying projects, decreasing their scope, or cancelling them altogether, which has resulted in the Asia Pacific consulting market taking a big hit during a pandemic. According to the study report, some forecasts suggest that $30 billion could be wiped off the value of the global consulting industry by the end of 2020. The only relief has come from the Asia-Pacific market where countries like China, Singapore, South Korea, and India have been able to effectively deal with the pandemic. This has been made possible on account of various appropriate measures adopted by their respective governments which include social distancing, travel restrictions, nationwide lockdowns for extended period, etc. The management of the traditional business houses has begun to identify the need for improving and establishing robust processes to deal with similar situations in the future.
COMPETITIVE LANDSCAPE ANALYSIS
The Management Consulting market has leading operating players that are majorly focused on expanding the Asia Pacific growth of the Management Consulting industry with new product innovation, business expansion, and the increasing presence of a range of manufacturers operating in the Management Consulting sector has led to growing demand for the market. Besides, the market offers a range of products in different applications to fulfill the required demand of consumers which is further contributing to healthy growth in the market. While a small group of consulting firms, mainly the strategy consulting firms and the Big Four, benefited from helping governments and companies prepare for Brexit and potentially stagnant growth, overall the UK’s withdrawal from the EU has seen the nation’s economy stall, with a knock-on impact on demand for consultants.
The key players studied in the market are
- McKinsey & Company
- KPMG
- PwC
- The Boston Consulting Group
- Fulcrum Worldwide
- Cognizant Technology Solutions
- Accenture
- Booz Allen Hamilton
- FTI Consulting
- Grant Thornton
- Hay Group
- HCL Axon
- AECOM
- Hitachi Consulting
- Hewitt Associates
- Gartner
- The Bridgespan Group
- Northrop Grumman Corporation (IT Consulting)
- Alvarez & Marsal
- Oliver Wyman
RECENT DEVELOPMENT:
March 2023: FTI Consulting, Inc has launched its FTI Capital Advisors offering in Hong Kong, complementing the existing operations in Singapore. FTI Capital Advisors focusing on mergers and acquisitions, capital raising, and financial advisory services.
March 2023: AECOM has launched a Centre of Excellence in Singapore. The center presents an opportunity to build on our leading environmental, sustainability, and resilience capabilities.
