The Rise Of Global Consulting Firms
When speaking about management consulting firms, naturally big and prestigious names like McKinsey & Co., The Boston Consulting Group (BCG), and Bain & Company, or in short “MBB”, would spring in mind. Indeed, these firms are so big that their activities expand to more than just one or ten countries, in fact, they’ve become biggest global management consulting firms
In the rise of globalization, it is essential for businesses to find and enter new markets around the world. As a result, the main clients of big consulting firms are usually multinational corporates who want to broaden or sometimes downsize their business portfolios. That is the moment firms jump in and offer a solution as well as navigation. On the other hand, governments can also be potential clients when dealing with foreign matters involving economics settlement externally or internal development. Lately, the Brexit department of the UK has made headlines when they were exposed to hire McKinsey to advise on the national problem. That is a reason why many firms want to go “global” to reach out to a bigger pool of clients and while doing so, increasing their band image. Take a look at MBB firms, when searching their names on Google, the describing phrase they use is “global management consulting”.
So far, the number of offices of big firms are rising and there’s hardly any sign of slowing down, especially in the Asian market. Bain & Company currently has 50 offices worldwide, while BCG has 90 offices, and McKinsey is leading with 120 offices. It can be concluded that firms are heading towards a more diverse and sustainable growth. They open up new branches in major cities across the world, and each will play a critical role in keeping the headquarter informed of regional change as well as finding new clients. Global management consulting firms also appear to be the most reliable source when companies need strategy consulting as they believe that these firms have better global perspective along with local insight to leverage their business. That’s why beside giant corporates, local companies with a strong dominance in the respective market are highly promising clients to consulting firms. Looking at China, where the presence of global corporates is limited and under strict surveillance of the Chinese government, domestic business rise and take over the domestic market as a result. Not to mention that the market here is huge and powerful, thus, it is easy to understand if local companies are much more potential clients.
Furthermore, global management consulting firms can enjoy other advantages such as attracting a bigger pool of talents. Rather than just working at North American or European offices, overseas students can come back to their homelands like China, Japan, Singapore or even Vietnam to work at prestigious and world-renowned firms