The Rise of Independent Consultants

The consulting industry is growing rapidly. As of 2024, independent consultants are becoming a preferred choice for businesses looking to enhance agility, reduce costs, and access specialized expertise.?

This trend aligns with the global rise of freelancing, with 38% of the American workforce already engaging in freelance work. In this edition of Consultport Insights, we will explore why companies are increasingly opting for independent consultants.

The Future of Consulting is Freelance

The management consulting industry is booming, currently valued at over $1 trillion, and is projected to grow at an 8% CAGR by 2028. While major firms like McKinsey, BCG, and Bain (MBB) drive this growth, they face high attrition rates of 18–20% annually, with only one in six McKinsey hires staying beyond five years. This turnover contributes to a vast pool of experienced former consultants, exceeding 500,000 annually when including Deloitte, Accenture, and EY.

Many of these professionals now prefer the flexibility of freelance work. In 2024, 64% of Americans have already engaged in freelance work, with 20% of management consultants in the U.S. and 31% in the UK working independently.

Why Companies Choose Independent Consultants

Independent consultants offer specific advantages that align with corporate priorities, especially in unstable economic conditions.

1. Significant Cost Savings

As provided by Consultport’s Consultant Pricing Benchmarking Tool, hiring an independent consultant over traditional consulting firms can lead to up to 72% cost savings. Unlike consulting firms, independent consultants don’t carry overhead costs like office space or management fees. Companies pay only for the consultant's expertise, making this model highly attractive, especially for mid-sized firms or project-specific needs.

2. Faster Onboarding

Traditional firms often take 43 days or more to assign resources to a project. Independent consultants, often sourced through platforms like Consultport, can start within 48 hours. This speed enables companies to address immediate challenges, fill capacity gaps, and respond to market demands efficiently.

3. Access to Specialized Skills

The recent evolution of technology, including AI, has created a demand for niche expertise. Approximately 31% of companies hire independent consultants for knowledge work like data analytics, while 29% seek digital transformation experts. This approach allows businesses to match consultants’ skills precisely to their needs, whether digital transformation, AI implementation, or supply chain optimization.

4. Flexibility in Engagement

Traditional consulting firms frequently require long-term contracts or retainers, typically 12–18 months. On the other hand, independent consultants offer project-specific or short-term engagements, usually between 3–6 months. This flexibility allows companies to adapt to workloads, focusing resources where they are most needed without unnecessary commitments.

5. Enhanced Productivity and Efficiency

76% of independent consultants believe they work more efficiently compared to working in traditional firms, and 66% report higher implementation rates for their recommendations. Independent consultants are, in fact, former consultants with strong hands-on experience and a direct focus on outcomes. Working directly with an independent consultant ensures one-to-one accountability and better transparency.

Independent Consultants as Drivers of Business Agility

Rapid Response to Capacity Gaps

Businesses face increasing challenges in maintaining workforce agility. Independent consultants address capacity gaps by providing expertise on demand. In regions like Saudi Arabia and the UAE, where consulting firms report skill shortages, the use of independent consultants has grown by 27% since 2020.

Agile Workforce Integration

Many business leaders plan to hire independent consultants to enhance agility. Over 39% of enterprises leverage contingent labor to increase productivity, and 36% use it to meet workload peaks and get tasks done more quickly. Independent consultants allow companies to scale resources dynamically, ensuring they can respond to market shifts without disrupting ongoing operations.

Pay for Expertise, Not Brand

Traditional consulting firms often charge premium rates for their brand reputation rather than the direct expertise of their consultants. Independent consultants, on the other hand, are paid based on their experience and deliverables. This approach provides better value for money, with 91% of clients reporting that independent consultants deliver superior ROI compared to traditional firms.

Discover Experts with Consultport

The rise of independent consultants reflects a broader shift in workforce dynamics. Companies are increasingly moving away from rigid, long-term contracts with traditional firms in favor of flexible, outcome-driven engagements.?

Consultport is a driver of this transition, connecting companies with top-tier independent consultants in 48 hours. If you want to know more, discover candidates with Consultport.

?? For further reading:

?? How Independent Consultants Outperform Consulting Firms

?? Samuele Deidda