BCG plans to hire 750 new employees in Germany in 2019

08 March 2019 Consultancy.eu

Management consulting firm Boston Consulting Group wants to increase its number of new hires in Germany and Austria in 2019, continuing a trend of consistent headcount growth.

Outgoing BCG Germany boss Carsten Kratz has informed German newspaper Frankfurter Allgemeine the firm plans “to hire a total of 750 new employees, about two-thirds of them consultants.” A high turnover of employees is common in the consulting industry, so of BCG’s targeted intake, half of the new hires this year will occupy already existing jobs, but the other half is likely to constitute real growth. Already in the past two years, the consulting firm has hired around 500 new employees. BCG now employs about 2,600 consultants and staff in Germany, and around 16,000 people around the world.

One recruitment target the firm has set is to raise its diversity profile, a feat which the highly popular Kratz has had less success with during his tenure. As it stands, only 10% of BCG Partners are female, with the proportion of women among consultants now 25%. While the share of total recruits who are women is higher (35%), Kratz highlighted that it is difficult to raise the proportion of women in the upper levels of the firm’s hierarchy, as women are often underrepresented in the subjects from which graduates are recruited to become advisors, such as economics and natural sciences.

According to Kratz, the problem becomes even more difficult later, stating, "Many of our best women are approached by head-hunters.”BCG plans to hire 750 new employees in Germany in 2019Kratz will pass the baton to Matthias Tauber at the start of April, and broadly he will be able to look back at good performance for the firm during his stewardship. Revenue of Germany and Austria has increased from around €510 million in 2013 to an estimated €930 million in 2018. BCG now employs 16,000 people around the world - estimated at about 2,600 in Germany. 

At the same time, the number of Managing Directors, as the Partners are called by the consulting firm, has increased from 110 to more than 155 during this time. He also diversified the firm, which launched data analysis subsidiary Gamma and incubation wing BCG Digital Ventures under his supervision. On top of this, BCG subsidiary Brighthouse opened in Berlin, providing companies with ‘purpose consultancy’ services. Germany was already home to BCG Platinion, which is the firm’s technology implementation wing. Growth booked under Kratz’s wings has enabled BCG to narrow its gap with McKinsey – the world's number one strategy consultancy – in the DAH region (Germany, Austria and Switzerland).

The global segment for strategic consultancy services is estimated to be between 15% and 20% of the total market, which roughly equates to a size of $4 to $6 billion. According to industry experts, BCG is thus almost on par with McKinsey in Germany. While exact figures on market shares in individual countries do not exist, data sourced from BDU however, Germany’s association for consulting firms, shows that German management consulting market is currently worth over $30 billion.

Kratz added, "We assume that our share in the premium consulting market in Germany is now around 25%.”