Companies in this industry provide advice and assistance to businesses regarding human resources and personnel policies, employee compensation and benefit planning, and wage and salary administration. Major companies include Aon Hewitt and Mercer (both based in the US), Willis Towers Watson (based in Ireland), and divisions of global consulting firms such as Deloitte and Accenture.
Demand is driven by the needs of businesses, nonprofit institutions, and government agencies for outside HR advice. The profitability of individual companies depends on the efficiency of their operations and their ability to maintain a steady flow of business. Large firms have advantages in being able to offer broad ranges of services and to take on more complex projects. Small firms can compete effectively by specializing. The US HR consulting services industry is concentrated: the top 50 companies account for about 70% of industry revenue.
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Major services include compensation and benefits consulting, which accounts for about one-third of industry revenue. Other services include consulting related to compensation planning systems, personnel management, recruitment, employee assessment, and wage and salary administration.