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|  |  Healthcare Consulting Leads Industry RecoveryMarketwire July 12, 2005 PETERBOROUGH, NH -- (Market Wire - Jul 12, 2005) -- Healthcare continues to be one of the strongest sectors in the management consulting industry, and will grow by nearly double-digit rates to almost $25 billion by 2008, according to The Healthcare Consulting Marketplace, a new research report from Kennedy Information. Analysts identify a number of unique factors and trends that will contribute to future strength in healthcare consulting's major sectors. In the Life Sciences sector, pharmaceutical companies are placing emphasis on cost controls and expanding into areas other than traditional prescription drugs. The report details a rebound in venture capital funding for biotech and device companies as an ongoing growth engine for life sciences consulting. Healthcare Provider Organizations and their consultants will remain challenged by the ongoing internationalization of this sector, in what was formerly an area dominated by uniquely US-style hospitals and health systems. Providers face a continued crisis in the recruitment and retention of qualified healthcare employees, posing unique opportunities for HR consultants. Insurers and Payers have quickly moved toward a Customer-Directed Health Care model, as seen especially in the rapid emergence of HSAs - Health Spending Accounts. Many insurers have also adopted physician "pay for performance" programs to improve clinical quality and advance the use of information technology. IT remains the largest area of consulting in the Insurance/Payer sector. In a market reshuffled by Accenture's acquisition of Capgemini's US healthcare operation, the report's ranking of the largest healthcare consulting practices illustrates how specific firms have established new leadership positions in key segments. Leading consultancies profiled in the study like BearingPoint, Booz Allen Hamilton, Boston Consulting Group, Computer Sciences Corporation, Deloitte Consulting, IBM Business Consulting Services, McKinsey & Company, and SAIC account for an estimated 33 percent of the total healthcare consulting market. About Kennedy Information, Inc. Kennedy Information, Inc., the leading information source on management consulting since 1970, publishes The Global Consulting Marketplace, Benchmarks in Management Consulting, and other research reports annually; the monthly news services Consultants News, Global IT Services Report and Management Consultant International; as well as Consulting Magazine and The Directory of Management Consultants. It also produces annual conferences for thought leaders in consulting and powers the Web portal www.ConsultingCentral.com. CONTACT: Dan Daly Business Development Director Kennedy Information, Inc. 800-531-0007 or +1-603-924-0900 ext. 628
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