Why do companies pay for MBB consultants if the Big 4 can do the same work for cheaper?

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Why do people buy a Porsche vs a Toyota?

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I feel like these posts are thinly veiled attempts for people to be reassured that their position/work is just like MBB

likefunny

Why pay for Big 4 when McBee can do the same work for cheaper?

likefunnysmart

Well half of that assumption is true 🤷‍♂️

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Same reason I get my phone repaired by Apple and not the corner store “WE FIX ALL PHONES CHEAP” shop

likefunny

They pay more because they have the best talent on average. While there is increasing overlap with offerings there is a clear delineation. But with that being said I think that the Big 4 stretching into strategy will be a smoother road than MBB stretching into implementation. At least in the space I work in we sell strategy work because it requires an in-depth knowledge of implementation. That is certainly not to say that we will ever truly threaten the MBB on their core offerings. I could be wrong but that is what I see from where I sit.

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Accenture 1 that’s a pretty big stretch. ;) Maybe the difference between a Tahoe or a Yukon.

funnylike

If those companies didn't pay for MBB consultants, who do you think would be working at the big 4?

likesmartfunny

PWC1 — it’s almost always easier to move downmarket — I.e., taking a premium brand to a less premium offering.

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That last bit made your comment make more sense, op. Listening to MBB consultants talk about tech is painful.

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I’m too lazy to argue, but your post seems very wrong to me, PWC1.

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SM1 - Normally I would agree. However in this case I think it is a matter of existing org structure and capabilities. Implementation projects require a large number of SMEs in a wide array of functions. In order for the MBBs to gain the implementation capabilities they would have to hire a host of personnel with specialized knowledge. Stretching up it is easier to layer a strategic role that can reach into all of the SME roles that are already existing. It essentially becomes whether you want to add 1 strategy person for 10 existing SMEs or add 10 SMEs to 1 existing strategy person. Implementations also tend to rely more heavily on built up technical capabilities. That’s how we make it profitable right? We develop an implementation process and tools once and then use that over multiple engagements. The last thing I’ll mention is that I don’t think that the MBB can hold their noses tight enough to bring in a bunch of SMEs that don’t have the typical MBB pedigree. I’m not a MBB hater but they are accustomed to recruiting certain people and a good number of SMEs likely do fit that traditional mold.

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C2 - Healthcare. In my experience MBB has trouble in the provider space because the reimbursement mode is so convoluted and technical. I could be wrong, I just don’t see them moving in the space very often.

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What does UAT stand for guys

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@PwC1 - what space is that, if you don’t mind sharing?

Think you answered your own question. You have stated the fact. Now, rethink the question part.

I am currently interviewing with BCG for a tech consulting position and feel like they’re management consultants pretending to know tech. I don’t see what value they bring that a big 4 can’t.

OP - I guess that kind of goes to my contention. I think in the end the overlap will increase, more from the Big 4 reaching into strategy , but that the traditional realms of each will largely remain intact.

How far apart are the rates?

It depends. All firms invest and discount. Standard rate cards probably a factor of 2ish for MBB to Big 4. Maybe even a bit more tbh. I find MBB discount a bit less, too.

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