The healthcare consulting services category is expected to grow at a CAGR of 8.3% from 2023 to 2030. Some of the major factors driving the demand include the high adoption of digitalization in healthcare businesses and the rising demand for a structured organization with a strong focus on enhanced efficiency. One of the major trends in the healthcare landscape is the increasing use of big data analytics, IoT, and the deployment of cloud solutions and services. The latest technologies and software are being extensively used by different players in the healthcare spectrum such as payers, providers, pharmaceutical and biotechnology firms, manufacturers of medical devices, and government agencies.
In 2022, the North American region dominated the category share, accounting for more than 47%. This is due to the widespread use of digital solutions by healthcare organizations such as drug companies, government agencies, hospitals, and other institutions. Further, in order to comply with the changing regulatory framework, North America has a strict regulatory framework. As a result, regulatory consulting services are in high demand among healthcare organizations, which further supports category growth. By end-use sector, pharmaceutical companies accounted for the largest share of 28% in 2022 followed by hospitals and insurance companies.
In healthcare, data analytics are crucial. Healthcare organizations benefit from its use by evaluating and developing practitioners, detecting anomalies in scans, and predicting the arrival of illness outbreaks. With the help of different AI models, organizations can manage initiatives and provide better care coordination for the most vulnerable patients. Similarly, medical records sharing can be made easier and safer with cloud computing, backend operations can be automated, and even telehealth applications can be created and maintained with the cloud. The efficiency of the healthcare sector is in turn increased, and expenditures are reduced by using cloud solutions.
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The category is becoming increasingly fragmented with the entry of new regional players. Low levels of regulation and low startup costs for healthcare consultants lead to a highly fragmented market. Buyers have a moderate ability to negotiate. In some cases, a small number of specialized healthcare consulting firms control the consulting terms that apply to the whole market, even though purchasers can outsource these services to other firms depending on the project's criticality.
Consultant fees form the largest cost component in this category accounting for over 60% of the overall cost. Other costs include facilities, insurance, IT support, tax, profit, and selling general and administrative (SG&A). Consultant fees can include a base salary and other bonuses, such as performance bonuses and signing bonuses. For instance, in the U.S., the average salary of a healthcare consultant can range between USD 130,000 - 200,000 annually. The salaries in turn, can depend on a number of variables, including years and level of experience, certifications, geographic region, analytical and financial skills, domain knowledge, etc. Similarly, in the U.S., the salary of a medical device consultant can range between USD 75 - 300 per hour depending on the complexity of the device and the project's goals.
India is one of the preferred sourcing destinations for healthcare consulting services followed by the U.S. and U.K. The average consultant rate per hour in India is 60 - 70% lower than the global average. However, for healthcare consulting services in particular, prices in India are 40 - 50% lower than the global average. In terms of engagement model, full outsourcing is the most adopted model in this category. Selecting service providers that have proven track records with multiple case studies, considering certifications such as “Certified Healthcare Business Consultant” or “Certified Professional in Healthcare Quality” as credentials of expertise, and evaluating suppliers on data privacy issues or medical records sharing terms are some of the factors why companies look for approved providers in this category.
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Healthcare Consulting Services Procurement Intelligence Report Scope
• Healthcare Consulting Services Category Growth Rate: CAGR of 8.3% from 2023 to 2030
• Pricing Growth Outlook: 9% - 11% (Annually)
• Pricing Models: Cost plus and contract-based pricing model
• Supplier Selection Scope: Cost and pricing, past engagements, productivity, geographical presence
• Supplier Selection Criteria: Types of consulting services provided, operational capabilities, quality measures, technology, certifications and standards, data privacy regulations, and others
• Report Coverage: Revenue forecast, supplier ranking, supplier positioning matrix, emerging technology, pricing models, cost structure, competitive landscape, growth factors, trends, engagement, and operating model
Key Companies
• Accenture
• McKinsey & Company
• Deloitte
• PwC
• L.E.K. Consulting
• Huron Consulting Group Inc.
• Cognizant
• EY
• Bain & Company, Inc.
• IQVIA, Inc.
• Boston Consulting Group
Brief about Pipeline by Grand View Research:
A smart and effective supply chain is essential for growth in any organization. Pipeline division at Grand View Research provides detailed insights on every aspect of supply chain, which helps in efficient procurement decisions.
Our services include (not limited to):
• Market Intelligence involving – market size and forecast, growth factors, and driving trends
• Price and Cost Intelligence – pricing models adopted for the category, total cost of ownerships
• Supplier Intelligence – rich insight on supplier landscape, and identifies suppliers who are dominating, emerging, lounging, and specializing
• Sourcing / Procurement Intelligence – best practices followed in the industry, identifying standard KPIs and SLAs, peer analysis, negotiation strategies to be utilized with the suppliers, and best suited countries for sourcing to minimize supply chain disruptions