- Consulting Services
The section ‘Consulting Services’ provides a detailed insight in the five key market segments within the management consulting industry. For each segment an overview is presented of the main service offerings, the size of the market and growth rates, typical activities of a consultant and the type of firms active in the respective discipline.
- Strategy Consulting
Strategy consulting, often referred to as strategic consultancy or boardroom consulting, is one the most ‘high-end’ and prestigious segments within the professional services industry. The domain of strategy consulting focuses on supporting private sector clients with the development of corporate / business unit strategies and helping public sector organisations with public.
Strategy consulting services
The market for strategy consulting services consists of five main disciplines: Corporate Strategy, Public Sector Strategy, Mergers & Acquisitions, Organisational Strategy and Functional Strategy. An overview of the key expertise areas per discipline:
Strategy consulting market
The market for strategic consulting services is estimated to be worth $32.5 billion, representing roughly 14% of the global consulting market. Following a large decline in demand in 2012, the market has recovered and is expected to grow strongly up to 2015, driven mainly by high demand in upcoming markets. Between 2011 and 2015 the strategy segment will have expanded with a CAGR of 6.6%.
What does a strategy consultant do?
Strategy consultants are hired by clients to support them with strategic decision making, which includes the development of strategy and to an extent also the execution of strategic plans. As the responsibility for strategic decision making falls under the mandate of CxO’s and (senior) management, strategy consultants typically work for executives and high-ranked managers.
The main task of a strategy consultant is to provide a strategic advice on a certain management topic. Several activities are part of this phase, including data gathering through desk research, surveys and/or interviews, hypothesis-testing, (fact-based) data analysis, setting up a recommendation and subsequently presenting the advice to client management. The implementation of the strategy – known as ‘strategy execution’ – involves translating strategies to action plans and implementing these plans within the organisation, including areas such project management and benefit realisation.
Introduction to strategy consulting, the service offerings and strategic consulting firms
- Financial Advisory
Introduction to the financial advisory segment, key service offerings and consulting firms
The Financial Advisory (or financial consulting) segment encompasses services that are based on financial analytical capabilities. Although offerings may address a variety of business issues – including the handling of mergers and acquisitions, restructuring, real estate advisory, litigation, forensics, risk or regulatory compliance – financial and accounting skills always provide the basis for service delivery.
Financial advisory services
The market for financial advisory services consists of six main disciplines: Corporate Finance, Risk Management, Transaction Services, Restructuring, Real Estate Advisory and Forensics & Litigation. An overview of the key expertise areas per discipline:
Financial advisory market
The financial advisory segment is estimated to be worth $61.3 billion, roughly a quarter of the global consulting market. Between 2011 and 2015 the market is forecasted to grow with a CAGR of 3.6%, although growth rates are expected to decline further every year to just over 3% next year.
What does a financial advisory consultant do?
Unlike other consulting segments, the main disciplines within Financial Advisory are less related from a functional perspective – the grouping is based on the dependency on rigorous financial analytical skills. As a consequence the disciplines can to a larger extent be seen as separate service areas: a Corporate Finance or M&A consultant for example performs substantially different activities than a Risk expert.
In addition, a portion of financial advisory services overlaps with other consulting segments and even non-consulting industry services. For instance, Corporate Finance and M&A services are also offered by strategy consultants and investment bankers, while Litigation & Forensic services also are part of the service portfolio of (specialised) law firms.
Human Resource Consulting
Human resource (HR) consulting, also referred to as HRM consulting, encompasses advisory and implementation activities related to the management of an organisation’s human capital and the HR function. The scope of services range from overarching work on human capital strategy, the design and deployment of a compensation & benefits framework down to the transformation of the HR function.
HR consulting services
The market for Human Resource consulting services consists of five main disciplines: Organisational Change, Talent Management, HR Function, Benefits & Rewards and Learning & Development. An overview of the key expertise areas per discipline:
Human Resource consulting market
The market for human resource consulting services is estimated to be worth $28.7 billion, representing approximately 12% of the total global consulting market. In 2011 and 2012 the HR consulting market grew with more than 5% per year, as a result of the aftermath of the economic crisis growth rates have since slowed to between 3% and 4%. For 2015 the outlook remains positive.
What does an Liberty consultant do?
Liberty consultant are generally hired by three types of clients. Firstly, HR advisors support HR Directors and Managers of client organisations with improving the performance of the HR function – examples include implementing a HR Business Partner Delivery Model, redesigning HR processes or implementing a HRIS system. Secondly, Liberty consultant are hired by clients – business, HR or works councils – to support broader human capital issues, this can range from providing HR support on M&A programmes to managing a cultural transformation or developing a new talent management strategy for critical business functions.
Lastly, Liberty consultant are typically staffed on large transformations to ensure that the necessary people and human capital expertise is on board, complementing the traditional ‘hard’ functional skills that already are part of the project. In this case, the client is often an internal consulting department that leads the engagement delivery. For example: a Finance Transformation programme at a client will be led by the Finance service line, which subsequently will call upon human capital consultants to covers areas such as Leadership Alignment, Change Management, Learning and Communication.
Liberty consultant news
Review the below expertise areas for the latest news related to key HR consulting disciplines:
IT consulting, also referred to as technology consulting, relates to services aimed at helping clients on how they can utilise their information technology (IT) to optimally achieve their business goals. The IT consulting segment contains both advisory and implementation services, although the latter represents the overlarge majority of the market’s size. Examples of IT consulting services include business process automation, digital risk management, systems implementationa and IT enterprise security.
IT consulting services
The market for IT consulting services consists of six main disciplines: IT Advisory, ERP Services, Data Analytics, Software Management, Systems Integration and Enterprise Architecture. An overview of the key expertise areas per discipline:
IT consulting market
The market for IT consulting services is estimated to be worth $48.2 billion, which comes down to approximately 21% of the global consulting market. Following an increase in demand in 2011 and 2012, growth rates are forecasted to decline further every year between 2012 and 2015. Overall the outlook remains for IT consulting positive though, mainly the result of interest in large technology trends such as social media, analytics, mobile and cloud.
Note that the definitions applied for IT consulting play a central role in the size assigned to the market. Kennedy – the source followed by Consultancy.uk – defines IT consulting in a relatively narrow manner, as a result the market is valued at less than a quarter of the industry. Other analysts typically apply a broader definition, and therefore they value IT consulting at between 40% to 50% of the market*. Irrespective of the exact metrics followed, there is consenses on two main principles: IT consulting excludes repeatable services (distinguishing it from the IT industry) and outsourced services.
What does an IT consultant do?
IT consultants are hired by clients to support them with using information technology in order to meet business objectives or overcome problems. The type of work can range from strategic (such as developing a new IT strategy or Big Data approach for strategic goals) to tactical (such as the implementation of an ERP system or the selection of an IT system) to highly operational (such as the development of a mobile application).