SOURCE: Kennedy Consulting Research & Advisory

Kennedy Consulting Research & Advisory

August 25, 2009 11:26 ET

Crisis Recovery Consulting Demand to Double From 2008 - 2012

Kennedy Details the Advisory Impact of the Largest Restructuring Boom in History

PETERBOROUGH, NH--(Marketwire - August 25, 2009) - Consulting in and around Crisis Recovery, having doubled in demand from 2008, will peak and become the largest Business Advisory Services (BAS) consulting segment in 2010, according to Kennedy Consulting Research & Advisory's recently released research, "Business Advisory Service Consulting Marketplace."

Igniting this demand for crisis recovery services within the BAS consulting market is the on-going credit crisis which is expected to trigger the largest restructuring boom in history.

"It will be the first crisis cycle in which private equity clients represent a significant part of demand," says Damien Blenkinsopp, Associate Director, Kennedy Consulting Research & Advisory. "And, there will be two types of demand representing very different services needs. The largest engagements will come from failed businesses, which will need a lot of work around operational and financial restructuring... the majority, however, are likely to be with underperforming businesses forced to restructure their balance sheet."

"Businesses Advisory Services Consulting Marketplace" also indicates an unprecedented number of global mega-restructurings -- a result of the stage of globalization of business activities, the multinational nature of their financial structures, and the severity and global scope of the credit crunch and economic decline. Historically, global restructuring engagements, in the likes of Lehman Brothers in 2008 or BCCI in the '80s, are few and far between.

The restructuring boom comes as good news to firms servicing the Business Advisory Services consulting market, but it is not without its challenges. The spike in market size in 2009 will outpace talent supply; and firms will have little choice but to reallocate resources to where they will be needed most. Kennedy expects this trend to translate into higher fee levels and consultancies putting proactive business recovery services, which are non-obligatory, aside.

In addition to Crisis Recovery consulting, Kennedy's research, "Business Advisory Services Consulting Marketplace" provides extensive detail on other BAS consulting service areas, including: Transaction Advisory, Forensics and Litigation Consulting, Reporting, Accounting & Controls Advisory, Risk Advisory and Tax Advisory. The study also includes The Kennedy Vanguard of Business Advisory Services, a clear illustration of 29 BAS firms' positioning within the dynamic and competitive BAS market landscape. Only four firms rated strong enough to be featured in The Kennedy Vanguard. However, Kennedy indicates that 8 of the 29 firms are advancing in both breadth and depth of services capability.

Among the firms rated are: KPMG International, PwC, Kroll, Alix Partners, Deloitte, Ernst &Young, Alvarez & Marsal, Towers Perrin, AON, Oliver Wyman, IBM, CBIZ Consulting Group, McKinsey & Company, Navigant, Resources Global Professionals, CACI, CRA International, Jefferson Wells, Proviti, RSM McGladrey, Baker Tilly, Howarth International, Moore Stephens, PKF, Praxity, BDO, GTI, Huron, LECG, and FTI.

About Kennedy Consulting Research & Advisory

Since 1970, Kennedy Consulting Research & Advisory, a division of Kennedy Information, has been the world's leading source of market analysis on the Management Consulting and IT Consulting industries, serving the most highly regarded professional services firms and Fortune 500 companies across the globe.

Kennedy provides accurate and reliable market sizing and forecasts for consulting services world-wide; needs analysis and vendor profiling for buyers of consulting services; timely and insightful intelligence on the top consulting firms in their respective markets; and operational benchmarks that measure consulting performance. Kennedy Consulting Research & Advisory's research spans multiple service areas, client vertical industries, and geographies. Kennedy's stand-alone consulting advisory unit, Kennedy Information Advisors, provides results-oriented strategic guidance to buyers and sellers of consulting services.

Contact Information