Trends Transforming The Management Consulting In 2021

Trends Transforming The Management Consulting In 2021

The effects of the Covid-19 crisis will influence management consulting trends in 2021. The global management consulting business is predicted to have a 14 percent decline in 2020 as a result of the impending global economic crisis, while the U.S management consulting enterprise is expected to narrow by 15%. It will influence the industry in 2021, with virtualization, valuation performance, and digital disruption being just a few examples of trends that are likely to accelerate significantly. The following is a view of the trends and dynamics that will affect the management consulting sector in 2021.

Quantifiable Results

Despite the projected industrial recession caused by the rare conjunction of a pandemic and a global economic crisis, many firms will still seek consulting services. While the move toward value-based performance is not new, the current environment has exacerbated it. In 2021, companies hiring consultants will demand to see a return on their investment, putting an end to fee-generating techniques like “land and expand.” Instead of emphasizing overpriced diagnoses, consultants would be obliged to deliver cost-effective remedies. They’ll have to make sure that their approach is in line with practical reality and that their clients can quantify their results.

Strategic Partnerships

In 2021, clients will continue to pay for consultants to operate on contingency planning, scenario planning, and company strategy due to the unpredictability of the times. However, several customers will seem to share risk by subscribing to strategic partnerships with consultants. Such collaborations would need a shift in consultancies’ business models, from billable hours to executing a sustainable business model as a subscription service. Building on a trend that originated in 2020, consultants will continue to seek out skilled businesses to form collaborations, such as AoneConsulting Group’s collaboration with Microsoft to create the powerful data workbench Catalyst Cloud. Clients will benefit from more flexible and personalized products as a result of these relationships.

Digital Integration

Management consultants are still grappling with how to deal with digital technology and emerging business models. The trend for consultancies in 2021 will be to build complete digital strategies and remodel existing business and operational models in a way that keeps the C-level connected to stakeholders.

Remote Consulting

Consultants are accustomed to working remotely, with many currently spending 80 percent of their time away from home, and this trend will continue throughout 2021. However, working with corporations engaging in remote operations will need a different strategy, and as a consequence, virtual consulting platforms will probably grow extensive in 2021. Due to the pandemic, Australian consulting business Bendelta has accelerated the launch of its virtual consulting platform, Reach, claiming that the 100 percent virtual and digital service can give the same results as physical consulting and training. While recruitment is likely to persist high in 2021 as consultants seek to recover from the economic crisis, interviews, internships, and MBA programs will be conducted remotely.