Managing: Consolidation has increased due to major players' aggressive acquisition strategies

The Management Consulting industry has displayed modest growth over the past five years, on the back of rising demand from financial institutions and the public sector. Despite volatile business confidence and declines in private capital expenditure, the diverse services of management consulting have supported industry revenue. Industry players provide a variety of services such as financial advisory, strategic planning and operations consulting to different markets including financial institutions, the government, energy and resource firms and consumer product businesses. During times of high business certainty, businesses generally seek management consultants for advice regarding expansion opportunities...read more.

Industry Statistics & Market Size
Revenue
$28bn
Annual Growth 13-18
1.8%
Forecast Growth 18-23
Profit
Employment
134,775
Businesses
75,053

Industry Threats & Opportunities

  • Major players have expanded through acquisition strategies, increasing industry consolidation
  • Despite increasing consolidation, the industry’s market share concentration has remained low
  • Demand from finance, insurance and professional services providers is expected to grow
  • Industry Report - Industry Key Buyers Chapter

    The Management Consulting industry exhibits low market share concentration. The four largest industry players are expected to account for less than 40% of industry market share. Although many larger players have undertaken acquisition strategies over the past five years, concentration is expected to remain stable over the period. This is due to the low barriers to entry, enticing smaller businesses or sole proprietors to enter the industry.Despite low concentration in revenue market share, the industry has high concentration in terms of brand value. The big four professional services firms, (PricewaterhouseCoopers, Deloitte, KPMG and Ernst & Young) have global recognition for their significant operations in management consulting. As ...purchase to read more.

    Additional Insights for the Management Consulting Industry

    IBISWorld identifies 250 Key Success Factors for a business.The most important for the Management Consulting Industry are

  • Provision of development programs for personnel
  • Possession of accurate information
  • Access to the latest available and most efficient technology and techniques
  • IBISWorld analysts also discuss how external factors such as Business confidence index and Capital expenditure by the private sector in the Management Consulting industry impact industry performance..

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    What's in this report

    What is the Management Consulting Industry?

    Firms in the industry provide clients with advice and strategies to solve a range of complex business issues. These issues include financial performance, business strategy and operational structure. Management consultants aim to improve a client’s overall business performance. The industry excludes public relations services, and financial planning and investment advice.

    Industry Products
  • Financial consulting
  • Strategy consulting
  • Operations consulting
  • Human resources consulting
  • Sustainability consulting
  • Industry Activities
  • Strategic planning services
  • Financial advisory services
  • Operations and supply chain management consulting services
  • Human capital consulting services
  • Sustainability advisory services
  • Other management consulting services
  • Table of Contents

    Industry Definition
    Main Activities
    Similar Industries
    Additional Resources
    Industry Statistics Snapshot
    Industry Structure
    Executive Summary
    Executive Summary
    Key External Drivers
  • Business confidence index
  • Capital expenditure by the private sector
  • Capital expenditure by the public sector
  • Demand from finance
  • Total business profit
  • Number of businesses

  • Current Performance
  • Operating conditions
  • Demand trends
  • Analytical developments
  • Chart: Revenue Growth

  • Industry Outlook
  • Improving conditions
  • New products and markets
  • Consolidation and competition
  • Table: Management Consulting Industry Revenue Outlook

  • Industry Life Cycle
  • Life cycle reasons
  • Chart: Benchmarking - Management Consulting Industry Lifecycle vs The Economy

  • Supply Chains
    Key Buying Industries
  • Mining
  • Consumer Goods Retailing
  • Telecommunications Services
  • Finance
  • Professional Services
  • Health Services

  • Key Selling Industries
  • Computer and Electronic Office Equipment Manufacturing
  • Computer System Design Services
  • Market Research and Statistical Services
  • Office Property Operators
  • Telecommunications Services

  • Products & Services
  • Financial consulting
  • Strategy consulting
  • Operations consulting
  • Human resources consulting
  • Sustainability consulting
  • Chart: Management Consulting Industry Products and Services Segmentation

  • Demand Determinants
    Major Markets
  • Finance, insurance and professional services firms
  • Retailers, wholesalers and manufacturers of consumer products
  • Public sector
  • Technology, media and communications firms
  • Other firms
  • Energy and resources firms
  • Healthcare providers
  • Chart: Major Market Segmentation for the Management Consulting Industry

  • International Trade
    Business Locations
    Chart: Business Locations by State
    Market Share Concentration
    Key Success Factors
    Cost Structure Benchmarks
  • Chart: Cost Structure Benchmarking – Sector vs Management Consulting

  • Basis of Competition
  • Internal competition
  • External competition

  • Barriers to Entry
  • Table: Barrier to Entry Checklist for the Management Consulting Industry

  • Industry Globalization
    Deloitte Touche Tohmatsu, KPMG, PricewaterhouseCoopers, Ernst & Young,
  • Table: Deloitte Touche Tohmatsu - financial performance
  • Table: KPMG - financial performance
  • Table: PricewaterhouseCoopers - financial performance
  • Table: Ernst & Young - financial performance

  • Capital Intensity
  • Chart: Level of Capital Intensity for the Management Consulting Industry
  • Chart: Tools of the Trade: Growth Strategies for Success

  • Technology & Systems
    Revenue Volatility
  • Chart: Volatility vs Industry Growth

  • Regulation & Policy
    Industry Assistance
    Table: Industry Data for the Management Consulting Industry
    Includes:
  • Industry Revenue (2009-2023)
  • Industry Gross Product (2009-2023)
  • Establishments (2009-2023)
  • Businesses (2009-2023)
  • Employment (2009-2023)
  • Wages (2009-2023)

  • Table: Annual Percentage Change for Key Industry Data
    Table: Key Ratios for Industry Key Data
    Analytics
  • Analytics refers to the research and application of data patterns and reasoning.
  • Asset Life-Cycle Management
  • Asset management refers to the analysis of item lifespans and durability.
  • Outsourcing
  • Outsourcing refers to contracting work to third parties, typically specialised in performing specific functions.
  • What Our Customers Say

    Why buy this report?

    IBISWorld’s Management Consulting market research report can be used to help you: understand market size and growth potential; major companies; draft business plans and pitch books; and conduct benchmarking and SWOT analysis. Our industry analysis highlights macro industry trends in the overall sector and micro trends faced by companies that do business in the industry. The industry report also provides key industry statistics and 5-year forecasts to anticipate future industry prospects so you can decide with confidence.

    IBISWorld industry market research reports enable you to:
    • Find out about key industry trends
    • Identify threats and opportunities
    • Inform your decisions for marketing, strategy and planning
    • Quickly build competitive intelligence
    This report on Management Consulting:
    • Provides Market Size information to assist with planning and strategic decisions.
    • Includes the necessary information to perform SWOT, PEST and STEER analysis.
    • Helps you understand market dynamics to give you a deeper understanding of industry competition and the supply chain.
    • Analyses key performance and operational metrics so that you can benchmark against your own business, that of your customers’ businesses, or your competitors’ businesses.
    The Management Consulting market research report includes:
    • Historical data and analysis for the key drivers of this industry
    • A five-year forecast of the market and noted trends
    • Detailed research and segmentation for the main products and markets
    • An assessment of the competitive landscape and market shares for major companies
    • And of course, much more

    IBISWorld reports on thousands of industries around the world. Our clients rely on our information and data to stay up-to-date on industry trends across all industries. With this IBISWorld Industry Research Report on Management Consulting, you can expect thoroughly researched, reliable and current information that will help you to make faster, better business decisions.

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