Consultants are facing a number of challenges in today's business landscape. From innovating new ideas to remain competitive, to keeping up with changing customer demands, consultants must stay ahead of the curve in order to remain successful. In addition, the rise of independent consultants and the growth of the Big Four have created an increasingly competitive market, making it more difficult for consultants to find new customers. In this article, we'll explore the top challenges faced by consultants and how they can be addressed. Innovating new ideas is essential for consultants to remain competitive.
With the rise of new technologies, new players are entering the consulting market and alternative and digitally savvy business structures are being deployed. This means that consultants must stay up-to-date on the latest trends and technologies in order to remain competitive. Keeping up with changing customer demands is also a major challenge for consultants. As clients become more willing to seek consulting services, they have more influence than in the past and demand greater value and flexibility at lower prices.
In a survey conducted by Deltek, 54% of operations managers said that their biggest challenge was to offer more value at the same cost. The rise of independent consultants is also proving to be a major competitive force. In the United Kingdom, there are now more than 2 million self-employed workers and that number will continue to grow. Most of these independent consultants operate in the fields of professional services, consulting and project management, and they are putting pressure on prices because they operate without the same overhead costs as larger companies.
At the top of the market, the most important players are only growing. The ten largest consulting firms in the world now have a 56% share of the industry, while the top 200 have about 80%. Both percentages have been increasing since the beginning of the century, driven by the Big Four and the growing number of operations in the industry as a means of growth. Finding new customers is also becoming increasingly difficult due to this growing competition. With the right mindset and tools, however, consulting professionals can address these challenges and remain successful in today's business landscape.