Top 75 survey: Smaller firms lead revival
Mid-tier and small firms have made significant gains in the last three years, the latest Management Consultancy top 75 consulting firms' survey has revealed.
Link: Click here to read the full survey
Capita and Methods Consulting made the biggest gains in fee income during the downturn years of 2002 and 2003.
Both firms have increased fee income due to ‘competitive pricing’ and ‘sector specific focus’, due mainly to the rise in public sector consulting including big spending clients such as the NHS.
During tough times, Capita has increased its fee income by an estimated £15m from £145m to £160m, while Methods Consulting saw fee income rise to £35m in 2003 from £24.5m in 2002.
Miles Garside, Methods Consulting’s local government business manager, said: ‘We have had some big wins in the public sector, including a £6m deal with the NHS. In some ways we are punching above our weight but I would put the rise down to competitive pricing and strong referrals.’
IBM and PA Consulting followed Capita with gains of £10m and £9m respectively. Hedra saw its fee income rise by £7m from £30.5m to £37.5m.
A number of smaller firms made gains of between £1m and £2m. Axon and Strategem led the way with gains of £2.2m.
The biggest falls were seen at recently rebranded Capgemini, down from an estimated £332m in 2002 to £250m in 2003. A spokeswoman blamed ‘market conditions’. Computer Sciences Corporation experienced the second largest dip from an estimated £80m in 2002 to £58.6m last year.
