As a boutique consulting firm, Croixstone provides clients across the greater Charlotte region with on-demand expertise from project consultants who deliver improved focus and deeper expertise at a lower cost than the “big” guys. Our business model is helping to disrupt the legacy consulting model.
As businesses become more informed, they recognize the inefficiencies that are inherent in the traditional big company consulting model. The drivers for these inefficiencies include:
1. The big consulting business model hasn’t changed with the rest of the world.
2. Partner incentives at big consulting firms do not always put client needs first.
3. Huge overhead costs are built into the rates.
4. Big consulting firms have many hammers, but not every problem is a nail.
Valued at $45 billion last year, the US management consulting market relating to healthcare is booming. How so? Well, the healthcare consulting sector is expected to break the $60 billion mark by the end of next year.
The main drivers of growth in the US healthcare management consulting market include:
- Healthcare IT
- Adoption of cloud technology
- Value-based care
- Big data and analytics
Like other industries, the consulting industry is being disrupted in many ways. With the rise of artificial intelligence, machine learning, blockchain and advanced analytics, consultants may find themselves working closely with artificially intelligent systems that can analyze huge volumes of data that are incomprehensible to the human mind. Learn more about how data analytics are changing the consulting industry – and what is perhaps the most important consulting skill going into the 2020s.
Consulting Magazine is a digital monthly publication known as the “flagship publication of the consulting profession featuring the latest information on consulting, thought leadership, and corporate strategies.” The magazine’s website, Consultingmag.com, offers a rich selection of articles and more. View it here.
So how big is the U.S. consulting industry?
According to data published in June 2016 by Consultancy.uk (an online platform for the advisory and consulting industry), the U.S. consulting industry (the world’s largest and most mature consulting segment), grew strongly last year at a healthy 8% to reach nearly $55 billion.
Given Croixstone Consulting’s home here in Charlotte, the nation’s 2nd largest financial market, it was no surprise to see that, once again, the Financial Services industry remains far and away the U.S. consulting market’s biggest spender. Banks and insurers, among others, spent nearly $14 billion on consultants in 2015, up 9% on last year, although the growth rate was slower than the year previous.
Other industries showed robust growth as well. Retail was the fastest growing sector, expanding 11% to approach $4 billion as retailers bolstered their digital investments in order to tap into the rise of e-commerce and omnichannel demands. Consulting to the public sector remains the poor relation of the industry, according to the researchers, with a 2.6% growth to $6 billion, as public sector investment sunk to the lowest level in over 60 years. The U.S. energy & resources consulting market grew by 5% to $7.3 billion, while pharma grew by a strong 10% to $1.7 billion, despite mounting pressures in the space, including an increasingly intense debate about drug pricing practices.
Learn more here.