Mattias Loxi, Co-founder, Cinode
Consulting industry record-breaking growth, with one-third of listed consulting companies growing by over 20% and median company turnover increases of 13.4%, compared to 2020, according to Cinode’s latest report.
"The skills gap in the consulting industry remains significant and is at risk of becoming greater. Although half of the companies have upped their recruiting post pandemic, there is still a lack of consultants.”
The pandemic resulted in five quarters of negative growth; however, the industry has managed to recover much faster than expected. The consulting industry has shown strong numbers in both Q2 and Q3, with the latter showing record high growth. The IT consulting companies are the big winners of the quarter. They have benefited greatly from the post-pandemic increase of digitalisation. Society consultants have; however, had a somewhat more challenging quarter.
Mattias Loxi, Co-founder, Cinode, noted, “The consulting industry keeps on growing, and the number of acquisitions continues to rise. During Q3, one in three consulting companies have grown by over 20%.” Two-thirds of consulting companies have increased their margins during the period with a high occupancy rate. Half of the consulting companies have upped their recruiting efforts and grown their workforces. However, Loxi added, “The skills gap in the consulting industry remains significant and is at risk of becoming greater. Although half of the companies have upped their recruiting post pandemic, there is still a lack of consultants.”
Many companies agree that they need to grow even more to streamline with the demand; however, many consulting companies have a hard time attracting and retaining talents as there are many companies chasing the same talents. Loxi advised, “Growing your network of partners and sub-consultants is one of the best ways to tackle this problem.”
Paul Arkwright
Publisher
