Business transformation drives growth European supply chain consulting

4th SCM Consulting Subway Map Europe

The market of supply chain consulting is growing in Europe. Niche consulting firms are becoming more international and are opening new offices across Europe and in the USA. Following on from its other two highly popular subway maps of supply chain software vendors and logistics service providers, the quarterly magazine Supply Chain Movement has now published the fourth edition of the Consulting subway Map Europe showing the european supply chain consultancy sector.

By Martijn Lofvers

According to the online platform for the advisory and consulting industry Consultancy.uk the European consulting market has grown with 4% to $98 billion in 2016. Operations consulting, to which supply chain advice belongs, is accounting for over 30% of the total market. This growth in Europe is reflected by the growth in offices and supply chain consultants at European consulting firms. Based on the input from the consulting firms the number of projects seem to have declined, which means that the projects have become larger. This can be explained by quite a few large business transformation projects where supply chain is involved.

Projects in Sales & Operations Planning and Supply Chain Network Design were mentioned the most by the survey consulting firms in Europe. A lot of these project have been done in the pharmaceutical, life science and healthcare industry. This is mainly due to several mergers and acquisitions and the fact that especially the pharmaceutical industry is years behind in supply chain management compared to the consumer packaged goods and high-tech industries.

Subway map

The fourth edition of the SCM Consulting Subway Map Europe is based on information provided by the consulting firms themselves. A combination of the number of consultancy projects completed, the market share by revenue for each specific area of advice, the size of the company and the degree of specialisation determines whether a company gets its own subway station on the relevant line, thus visualising the company’s proven experience in a particular area of supply chain expertise. To be included on this subway map a consultancy firm must have offices in more than one European country, although a few exceptions have been made for supply chain consulting firms with a truly international customer base.

For each specific area of advice, the consultancy firms were also asked to name the three competitors that they come up against most regularly when pitching. Companies that named each other most often are located closest together on the map. As a result, the subway map shows distinct clusters: the so-called ‘Accountancy Area’, the neighbouring ‘Technology Area’ and the ‘Corporate District’ dominated by the management consultants – who, incidentally, are also increasingly moving into the area of supply chain management and operations. The rest of the map is populated by supply chain consulting specialists in varying shapes and sizes.

Download: SCM Map Europe 2016-2017

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