The Big Four audit firms are doing everything in their power to get a foothold in management consulting in Germany.
Between them, Deloitte, EY, KPMG and PwC have long dominated the business of auditing corporate accounts. Now they plan to use their contacts to offering strategic advice to companies.
“The management-consulting ambitions of big public accounting firms should be taken very seriously,” said Dietmar Fink, professor of management consulting at Bonn-Rhein-Sieg University.
Consulting is a lucrative business, with considerably higher margins than auditing. And a new European Union regulation – which will require companies to change auditors every 10 years – is also pushing the Big Four toward consulting.
In Germany, the big players in consulting are now companies like McKinsey & Co., Boston Consulting and Roland Berger.