Post by Prabhakar Das

Why are boutique and specialized consulting firm outpacing traditional firms in strategy today? Traditionally, big consulting firms like MBB, Deloitte, Accenture handled most strategic projects but now clients are increasingly looking for specialized expertise. Boutique consulting like L.E.K., Oliver Wayman, Kearney, AlixPartners firms that are highly focused and independent are gaining market share. What is the reason for this? Problems like AI strategy, healthcare transformation, cybersecurity and ESG require specialized knowledge. Generalist consultant find difficult to compete with experts who understands specific regulations, risk, and tech of the industry. Boutique firms are fast, cut through bureaucracy, and respond in weeks rather than months. If you hire these small firms you do't have to pay premium fee for broad service. Instead you will get higher ROI for narrower and targeted service. Recently top talents are also going independent, or niche firms. This trend is also growing. If we look at the data, boutique firms reported revenue growth of more than 25% annually whereas, major strategy firms like MBB have shown growth rate of 3-5% annually. In responds to this, Big firms are adjusting. They are launching specialized practice units. Partnership between small and large strategy firms is also increasing to deliver scale with depth expertise. #FutureOfConsulting #Consulting #MBA #BusinessStrategy #ConsultingTrends #StevensInstituteOfTechnology