CAN INDIAN FIRMS RIVAL THE BIG FOUR?

What will it take for India to build its own marquee multi-service delivery firms in areas such as consulting, audit, advisory, compliance, and environmental, social and governance (ESG)?

- PUNEET KUMAR ARORA & JAYDEEP MUKHERJEE

That's the question the government is now exploring as it seeks to reduce reliance on foreign majors and tap into the country's vast talent pool to create Indian champions in professional services capable of rivalling the Big Four (EY, KPMG, Deloitte and PwC).

For decades, India has served as the world's back office and knowledge hub, but turning this comparative strength into competitive global dominance remains a formidable challenge.

DOMESTIC DIVIDEND

SINCE LIBERALIZATION in the early 1990s, the services sector has steered India's growth story. It has consistently contributed 50-55% of the country's total gross value added (GVA), far outpacing agriculture and manufacturing.

Professional, scientific and technical services have been a major force behind this surge. In just the past decade, the GVA in this sub-sector has nearly tripled from about 30,000 crore in 2013-14 to 84,000 crore in 2023-24. This performance is anchored in India's distinctive advantage in human capital.

Each year, the country produces a vast pool of engineers, MBAs and chartered accountants who speak English, are technically proficient, available at affordable wages, and able to work across time zones.

The paradox, however, is that these professionals are not powering Indian companies. Instead, their expertise is channelled by foreign multinationals that leverage their skills at a fraction of global wage costs.

COMPARATIVE EDGE

INDIA'S DEEP pool of skilled professionals has helped it emerge as a global hub for high-skill service exports.