Answer: £6 million*
*Clearly that’s a dirty big asterisk, right? Well, yes. And no. Here’s how we worked it out:
Independent research shows that consulting fees for 2nd tier firms are anywhere from 20% lower (graduate consultants) to 60% lower (partners) and are typically, for junior and senior consultants, 45-50% lower. Let’s be conservative and say there are savings of 40% to be had out there.
Of course it’s not always appropriate to use smaller firms; in many cases the scale, scope or nature of a project simply requires a big, global firm. But in where this isn’t the case, and you can get the same job done by a smaller firm, there may be some very interesting opportunities.