A simmering debate is intensifying over India’s public sector consulting framework, where domestic players allege that empanelment norms heavily favour global powerhouses—often referred to as the Big 4. At the heart of their grievance lies a stringent requirement: a ₹500 crore annual turnover and 500-employee threshold, conditions that many capable Indian firms simply cannot meet.
Mandated by agencies like the National Informatics Centre Services Inc. (NICSI) under the Ministry of Electronics and IT (MeitY), these norms, critics argue, create an artificial barrier, locking out promising mid-sized firms that boast deep expertise but fall short on scale.
“Capability should not be measured only by size,” said a senior executive of a mid-tier firm. “India needs a system that evaluates consulting credentials based on delivery excellence, innovation, and contextual understanding—not just revenue.”
Domestic Pushback Grows: ‘Don’t Exclude Big 4, But Widen the Gate’
While no one is calling for the ouster of Deloitte, PwC, EY, or KPMG, Indian firms want a broader and more inclusive approach. Several leaders have proposed that instead of relying on a quartet of global advisors, the government should widen its scope to include 8–10 firms through lower financial thresholds—₹25–₹50 crore turnover.
“By excluding Indian firms from PSU and central government advisory work, we’re denying them the chance to build experience,” noted Devroop Dhar, Co-Founder of Primus Partners. “This perpetuates a vicious cycle where only the large, foreign firms grow larger while Indian consulting remains underdeveloped.”
Industry leaders argue that the over-reliance on foreign-rooted networks in areas of national sensitivity—digital governance, infrastructure, defence—poses strategic risks. They are now appealing for a policy overhaul that aligns with India’s geopolitical and economic self-reliance ambitions.
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Beyond Turnover: A Case for Competence-Led Evaluation
Several Indian firms argue they are already operating at the highest global standards, certified with ISO 9001 and CMMI Level 5 credentials. “We have the capability, but we’re disqualified by arbitrary turnover filters,” said one stakeholder.
Industry voices have proposed a move from revenue-based criteria to competence-led evaluations—assessing firms on past projects, domain expertise, innovation capacity, and leadership.
“There’s no logic in using muscle size to measure brainpower,” said one consulting firm CEO. “When you hire an advisor, you need sharp thinking, not just a big headcount.”
Such reforms, advocates say, will also de-risk the system by reducing the monopoly-like hold of the Big 4, introduce greater competition, and enable fair price discovery in public sector consulting bids.
PMO Takes Note: A Strategic Push for Indian Consulting Majors
The issue has reached the highest echelons of policy planning. On June 5, the Prime Minister’s Office convened a closed-door meeting to examine the feasibility of building Indian consulting champions capable of rivaling the Big 4 globally.
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Sanjeev Sanyal, Economic Advisory Council member, presented a roadmap for nurturing globally competitive Indian firms, focusing on easing entry barriers, creating incentives, and leveraging India’s deep talent pool.
Sources close to the matter say the government is open to reassessing the ₹500 crore threshold. If acted upon, this could mark a structural shift in India’s approach to public consulting—paving the way for a new league of Indian-origin consulting majors with global ambitions.