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sábado, setembro 10, 2005

How public-sector work is reshaping management-consultancy

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MANAGEMENT consultants used to be people with MBAs and large egos who wanted to reinvent General Electric. But more and more of their work is for the public sector these days, and that is changing the nature of the business.

Kennedy Information, an American firm that monitors the consulting industry, estimates that the public sector (including health care, which straddles both public and private sectors) now accounts for over 30% of the global consulting market. Kennedy forecasts that the business will grow by 6-9% for each of the next three years; private-sector business, it says, will grow by only 1-4% over the same period.

Britain's Management Consultancies Association (MCA) reckons that the value of public-sector consulting to its members grew by 46% last year, while private-sector business grew by only 4%. Two-fifths of the British consulting business of Deloitte, one of the Big Four accounting firms, is now for the public sector. Moreover, much private-sector work is for privatised businesses that are still shedding public-sector habits. In Britain last year, for the first time ever, utility companies (gas, electricity and water) were the biggest single private-sector market for the MCA's members.
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Economist.com | Articles by Subject | Management consultants

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