United States Public Sector Consulting and Advisory Services Market Size
| Study Period | 2023 - 2029 |
| Base Year For Estimation | 2020 |
| Market Size (2024) | USD 12.82 Billion |
| Market Size (2029) | USD 17.03 Billion |
| CAGR (2024 - 2029) | 5.85 % |
| Market Concentration | High |
Major Players
*Disclaimer: Major Players sorted in no particular order |
United States Public Sector Consulting and Advisory Services Market Analysis
The United States Public Sector Consulting And Advisory Services Market size is estimated at USD 12.82 billion in 2024, and is expected to reach USD 17.03 billion by 2029, growing at a CAGR of 5.85% during the forecast period (2024-2029).
The US government agencies face mounting pressure to address social, economic, and environmental challenges. This complexity drives demand for consultants skilled in data analytics, AI, and public health. While large firms dominate, smaller firms with niche expertise in areas like environmental sustainability are thriving. Consulting firms are adopting design thinking and agile methodologies to deliver effective solutions. Technology, including cloud computing and big data analytics, is transforming public sector consulting.
The need to modernize aging infrastructure in transportation, energy, and communication is driving demand for consulting services. Government agencies seek consultants for project management, technology integration, and efficiency improvements. Consulting firms help navigate regulations, ensure compliance, and develop cybersecurity measures. Their expertise in cost-saving strategies and data-driven decision-making is invaluable in optimizing resource allocation and enhancing operational efficiency.
United States Public Sector Consulting and Advisory Services Market Trends
Consulting Firms and AI: Revolutionizing Government Services
Cloud computing, AI, and IoT are spearheading a wave of modernization of government infrastructure and services. Consulting firms are pivotal in guiding agencies in technology strategy, implementation, and bolstering cybersecurity. By harnessing data analytics, these firms empower agencies to glean insights, refine service targeting, and shape policy decisions. A potential revolution in how citizens interact with their government. GenAI enhances efficiency, streamlining processes like licenses, permits, and visas, improving service delivery and citizen engagement. Consulting firms are at the forefront, crafting e-government solutions, integrating mobile technologies, and devising social media engagement strategies.
Conversational AI offers real-time updates for businesses and nonprofits. To boost transparency and census participation, the US Census Bureau unveiled a public map showing response rates by neighborhood. This visualization helps residents and leaders monitor progress and increase response rates before the deadline, ensuring better federal funding for communities. The US Navy's Amelia AI resolves help desk tickets in 45 seconds. Ohio's robotic process automation enrolls newborns in Medicaid on their birthday.
In the United States, completing the application process for college financial aid once required more than a dozen hours. Today, however, through process improvements, human-centered design, and technology adoption, college-bound students can quickly apply for financial aid online. This process takes around 10 minutes and pulls income and tax information directly from Internal Revenue Service data. The US National Institutes of Health introduced an AI-driven system to categorize grant applications. This system analyzes the text, title, and abstract, achieving a 92% accuracy rate. It reduced review time from weeks to less than a day, freeing program officers for higher-value tasks.
Government Agencies Navigate Rising Cyber Threats Through Tech Integration
Government agencies increasingly rely on technology for pivotal functions such as data storage, citizen services, and communication. However, this digital expansion also broadens the target for cybercriminals. Cyberattacks, ever-advancing in sophistication, pose a significant challenge. Hackers continuously innovate, exploiting vulnerabilities to pilfer sensitive data.
Attacks on blockchain-based systems can originate from both insiders and external threats. These attacks often utilize familiar tactics such as phishing, social engineering, targeting data in transit, and exploiting coding vulnerabilities. Integrating blockchain with AI, IoT, and ML is becoming increasingly imperative to bolster defenses.
To combat these threats, government agencies must maintain cutting-edge expertise. Data breaches, especially those involving sensitive government data, carry severe repercussions. These include tarnished reputations, financial setbacks, and national security risks. Non-compliance with data protection laws can lead to hefty regulatory fines. Consulting firms help agencies navigate intricate regulations and craft compliance strategies.
United States Public Sector Consulting And Advisory Services Industry Overview
The US public sector consulting and advisory services market is partially dominated by a few major players. Barriers to entry exist due to complex procurement processes and the need for specialized knowledge. Some of the players in the US public sector consulting and advisory services market are EY, Deloitte Consulting LLP, McKinsey & Company, BCG and KPMG.
United States Public Sector Consulting And Advisory Services Market Leaders
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EY
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Deloitte Consulting LLP
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McKinsey & Company
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BCG
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KPMG
*Disclaimer: Major Players sorted in no particular order
United States Public Sector Consulting And Advisory Services Market News
- November 2023: Bain Capital announced its plans to acquire Guidehouse, a prominent government and business consulting firm, in a significant USD 5.3 billion deal set for October 2023. Notably, Guidehouse's clientele includes significant government bodies like the US Department of Defense and Homeland Security, alongside a host of state and local entities and businesses.
- October 2023: Accenture acquired Comtech Group, a consulting and program management company specializing in infrastructure projects across Canada and the United States. The deal's financial specifics were not made public.
United States Public Sector Consulting And Advisory Services Market Report - Table of Contents
1. INTRODUCTION
1.1 Study Assumptions and Market Definition
1.2 Scope of the Study
2. RESEARCH METHODOLOGY
3. EXECUTIVE SUMMARY
4. MARKET DYNAMICS AND INSIGHTS
4.1 Market Overview
4.2 Market Drivers
4.2.1 Consulting Firms and AI: Revolutionizing Government Services
4.2.2 Government Agencies Navigate Rising Cyber Threats Through Tech Integration
4.3 Market Restraints
4.3.1 Challenges Persist in Attracting and Retaining Talent
4.3.2 Government Agencies' Risk: Over-reliance on Consultants Jeopardizes In-House Expertise
4.4 Market Opportunities
4.4.1 Enhancing Public Services through Consulting Expertise
4.4.2 Government Initiatives and Policies Set to Propel Market Growth
4.5 Value Chain Analysis
4.6 Industry Attractiveness: Porter's Five Forces Analysis
4.6.1 Threat of New Entrants
4.6.2 Bargaining Power of Buyers
4.6.3 Bargaining Power of Suppliers
4.6.4 Threat of Substitutes
4.6.5 Intensity of Competitive Rivalry
4.7 Insights into Technological Advancements in the Industry
4.8 Impact of COVID-19 on the Market
5. MARKET SEGMENTATION
5.1 By Type
5.1.1 Policy Analysis Services
5.1.2 Bond Issuance Services
5.1.3 Major Project Advisory Services
5.1.4 Program Evaluation Services
5.1.5 Financial Management Advisory Services
5.1.6 Other Types
5.2 By Applications
5.2.1 Central
5.2.2 State
5.2.3 Urban Local Bodies
5.2.4 Other Applications
5.3 By Project Size
5.3.1 Large Scale Projects
5.3.2 Mid-small Scale Projects
6. COMPETITIVE LANDSCAPE
6.1 Market Concentration Overview
6.2 Company Profiles
6.2.1 EY
6.2.2 Deloitte Consulting LLP
6.2.3 McKinsey & Company
6.2.4 BCG
6.2.5 KPMG
6.2.6 Bain & Company
6.2.7 Accenture
6.2.8 Grand Thornton
6.2.9 PwC
6.2.10 GEP*
- *List Not Exhaustive
7. FUTURE MARKET TRENDS
8. DISCLAIMER AND ABOUT US
United States Public Sector Consulting and Advisory Services Industry Segmentation
Public sector consulting firms are pivotal in guiding governments and public entities. They offer expert advice on crafting effective public policies and ensuring their successful implementation through adept public management. Public sector consultancy firms conduct feasibility studies to support new policies and projects. They design strategies and operational frameworks, oversee implementation, and manage activities. These firms act as managers, not just advisors, and evaluate the effectiveness of implemented activities, providing crucial insights into their success.
The report covers the companies in the US public sector consulting and advisory services market. It is segmented by type (policy analysis services, bond issuance services, major project advisory services, program evaluation services, financial management advisory services, and other types), by applications (central, state, urban local bodies, others), by project size (large scale projects, mid-small-scale projects). The report offers market size and forecast values for the US public sector consulting and advisory services market in USD for the above segments.
| By Type | |
| Policy Analysis Services | |
| Bond Issuance Services | |
| Major Project Advisory Services | |
| Program Evaluation Services | |
| Financial Management Advisory Services | |
| Other Types |
| By Applications | |
| Central | |
| State | |
| Urban Local Bodies | |
| Other Applications |
| By Project Size | |
| Large Scale Projects | |
| Mid-small Scale Projects |
United States Public Sector Consulting And Advisory Services Market Research FAQs
How big is the United States Public Sector Consulting And Advisory Services Market?
The United States Public Sector Consulting And Advisory Services Market size is expected to reach USD 12.82 billion in 2024 and grow at a CAGR of 5.85% to reach USD 17.03 billion by 2029.
What is the current United States Public Sector Consulting And Advisory Services Market size?
In 2024, the United States Public Sector Consulting And Advisory Services Market size is expected to reach USD 12.82 billion.
Who are the key players in United States Public Sector Consulting And Advisory Services Market?
EY, Deloitte Consulting LLP, McKinsey & Company, BCG and KPMG are the major companies operating in the United States Public Sector Consulting And Advisory Services Market.
What years does this United States Public Sector Consulting And Advisory Services Market cover, and what was the market size in 2023?
In 2023, the United States Public Sector Consulting And Advisory Services Market size was estimated at USD 12.07 billion. The report covers the United States Public Sector Consulting And Advisory Services Market historical market size for years: 2023. The report also forecasts the United States Public Sector Consulting And Advisory Services Market size for years: 2024, 2025, 2026, 2027, 2028 and 2029.
United States Public Sector Consulting And Advisory Services Industry Report
Statistics for the 2024 United States Public Sector Consulting And Advisory Services market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. United States Public Sector Consulting And Advisory Services analysis includes a market forecast outlook for 2024 to (2024to2029 and historical overview. Get a sample of this industry analysis as a free report PDF download.
