Health Care and Pharmaceuticals Consulting

The global healthcare consulting services market size was valued at $28.19 billion in 2023, according to Grand View Research. The market research and consulting company predicts that revenue in the industry will grow at a compound annual growth rate (CAGR) of 9.33 percent from 2024 to 2030, reaching $51.98 billion in 2030. "The high adoption of digitalization in healthcare firms, the increased demand for improving the efficiency of these firms, and the growing demand for a structured organization are some of the key factors contributing to the demand for management consulting services in healthcare firms," according to Grand View Research.

According to a Market Watch report, healthcare consulting services will continue to be in high demand around the world. “The ability of healthcare consulting to enhance the overall business operations of the companies operating in the healthcare industry will aid the growth of the global healthcare consulting market in the coming years. Healthcare consulting enables companies to stay in sync with the latest industry trends.” The Market Watch report also points out that there will be ongoing demand for business models that operate efficiently, and the healthcare consulting market will “benefit from the growing incorporation of technologies such as the cloud and the Internet of Things.” (The Internet of Things is the interconnection of computing devices that enables sending and receiving data. In healthcare, wearable medical devices with Wi-Fi or Bluetooth, that allow for remote patient monitoring and treatment progress observation, are one example of the Internet of Things.)

The key players in the healthcare consulting industry are Accenture, McKinsey & Company, Deloitte Global, L.E.K. Consulting, PwC, Huron Consulting Group Inc., Cognizant, EY, Bain & Company, IQVIA Inc., and Boston Consulting Group, to name only a few. An Absolute Markets Insight study on the healthcare consulting market predicts that hospitals will grow at a compound annual growth rate of 11 percent through 2027, continuing to account for a major market share in the healthcare consulting business. “Digital transformation, value-based payments, need for improved patient care, and cost reduction are the major factors behind the growth of the global healthcare consulting services market.”

IQVIA predicts that global medicine market spending (using list price levels) is expected to increase at a CAGR of 5 to 8 percent through 2028, reaching approximately $2.3 trillion. "The biggest contributors to the growth in the next five years are oncology, immunology, diabetes and obesity drugs," according to IQVIA's report, The Global Use of Medicines 2024: Outlook to 2028. "The growth is a result of continuous influx of innovative products and offset by exclusivity losses. The key growth area for medicines in the next five years is biotech . . . Medicine use has been growing across therapy areas since 2018, with high growth in immunology, endocrinology, and oncology." Consultants will enjoy especially strong opportunities in these areas.

The United States is a key driver in this growth and is expected to continue being a key driver in the coming years, with overall spending growth attributed to factors such as the uptake of new products and brand pricing. However, patent expirations (the “patent cliff”) and the growth of generic pharmaceuticals will offset some of this growth. Biopharmaceutical companies will also continue to face challenges such as with payer actions on prices looming, which is causing profit margin pressures. Biopharma companies will be in need of consultants to help improve cost management and increase revenues. They will be investing more in technology, such as cloud-computing and artificial intelligence (including machine-learning), to improve productivity.

Healthcare professions overall will have strong employment growth in the coming years, with about 1.9 million new jobs being added from 2023 through 2033, according to the U.S. Department of Labor (DOL). Employment in healthcare occupations is expected to grow much faster than the average for all occupations through 2033. More people are living longer and with a growing population of older people, there is increased demand for healthcare services and pharmaceuticals. The aging population will be in need of prescription medications and medical tests and treatments for diabetes, arthritis, heart disease, and other medical conditions.

Management analysts, which includes healthcare and pharmaceuticals consultants, will have excellent job opportunities in the years to come. According to the DOL, employment for management analysts is projected to increase by 11 percent (much faster than the average) through 2033. Markets continue to become more competitive, which is increasing companies’ needs to use business resources as efficiently as possible.

Employment for consultants in the healthcare sector is expected to grow by 6.9 percent (faster than average) through 2033. As the DOL describes it, “this industry segment is experiencing higher costs in part because of its aging population. In addition, more analysts may be needed to help navigate the regulatory environment within health insurance.” Consulting jobs in the following healthcare sectors will experience much-faster-than-average growth:

• services for the elderly and persons with disabilities (+26.7 percent)
• home healthcare services (+20.6 percent)
• continuing care retirement communities and assisted living facilities for the elderly (+12.9 percent)
• private psychiatric and substance abuse hospitals (+12.9 percent)
• outpatient care centers (+11.7 percent)

Job opportunities for consultants in pharmaceutical and medicine manufacturing are also expected to increase faster than average through 2033. There will be strong competition for healthcare and pharmaceuticals consulting jobs. Opportunities will be best for those with an advanced degree, certification, and specialized experience. An added plus is fluency in a foreign language.