India’s public procurement system, designed for an earlier economic era, has inadvertently created barriers for domestic firms attempting to scale globally. Around 40% of consulting opportunities originate from government tenders. Yet these tenders often carry restrictive clauses—like minimum turnover thresholds and balance sheet size—that favor established international players.
As one policy advisor noted at a recent summit, the system is designed in a way that “automatically eliminates young Indian firms, regardless of their competence or expertise.” While the government has acknowledged this issue and is reportedly working to reform the framework, much of the damage has already been done. Indian firms miss out on contracts that could have built their credibility and global profile.
Restrictive Eligibility Clauses Favor Foreign Giants
A paradox lies in the current tendering system’s focus on the firm’s track record over the individual’s capability. Many Indian professionals—who may have worked with top-tier global firms like Deloitte or PwC—are denied the chance to use that experience to win mandates under their own banner.
The system gives the benefit of the track record to the foreign firm, not the professional who contributed to that track record. “This creates a self-reinforcing cycle,” said Prof. Triveni Singh from the Future Crime Research Foundation (FCRF).
“Indian firms can’t build their own credentials because the system won’t let them win mandates in the first place.”
This loop further empowers international firms that continue to rely heavily on Indian talent, while domestic firms are denied the opportunity to grow, innovate, or attract funding.
Lack of Multidisciplinary Partnerships and Professional Recognition
India’s regulatory ecosystem has historically discouraged the formation of multidisciplinary partnerships (MDPs)—firms that combine legal, audit, cybersecurity, tax, and management consulting under one unified brand. Globally, this is the foundation on which the Big Four operate, offering end-to-end solutions to governments and corporates alike.
In India, however, such integration is restricted by complex regulations like the Other Service Provider (OSP) rules. This has created silos across professions and protected turf for legacy institutions, rather than promoting open competition.
Moreover, India’s regulatory framework fails to formally recognize many modern professional roles. MBA holders, IT specialists, cybersecurity experts, and insolvency professionals are often ineligible for key consulting roles simply because their qualifications aren’t codified within outdated eligibility norms. This has limited the talent pool Indian firms can leverage, forcing them to rely solely on traditional designations like cost accountants and company secretaries.
Branding Neglect and a Colonial Hangover
Perhaps the most intangible—but equally significant—reason for India’s consulting gap is a cultural reluctance to invest in branding and reputation management. While international firms invest heavily in marketing, thought leadership, and lobbying, Indian firms remain cautious.
This branding vacuum allows foreign firms to dominate market perception, often operating through proxies in India.
As one observer noted, “These firms function here not because they are better, but because we haven’t allowed ourselves to build visible Indian brands.”
It’s a paradox: foreign Big Four firms can advertise and build brand recall in India, while Indian firms shy away due to outdated norms and a misplaced sense of restraint—relics of a colonial mindset.
The Way Forward: Skill, Not Scale
Experts argue that India needs to rethink its metrics for awarding consulting projects. Instead of relying on massive balance sheets and long-established brands, procurement systems must prioritize complex skillsets and domain-specific expertise—like forensic audits, legal acumen, accounting precision, and cybersecurity resilience.
In a welcome shift, recent high-level meetings convened by the Prime Minister’s Office have sparked renewed hope among domestic consulting firms. Top officials from the Ministries of Corporate Affairs, Economic Affairs, Revenue, and Financial Services came together to chart a path for nurturing India’s own “Desi Big Four.” Discussions focused on easing merger restrictions, enabling cross-border consolidation, and revising archaic eligibility norms in government tenders. The PMO’s direct involvement has boosted industry confidence, with many now hopeful that policy intent will translate into actionable reforms that empower skilled Indian firms to grow, compete, and lead—without being overshadowed by foreign giants.
Only by removing structural handicaps and modernizing its professional ecosystem can India truly nurture its own consulting giants—firms that compete not as proxies, but as globally recognized Indian brands.