Verdantix Green Quadrant Benchmark Reveals A Tale Of Two Markets In Enterprise Risk Management Services

Verdantix Green Quadrant Benchmark Reveals A Tale Of Two Markets In Enterprise Risk Management Services

Escalating regulatory requirements, sustainability pressures and volatile geopolitical shifts are forcing businesses – especially multinationals – to rethink risk management. To stay ahead and safeguard their operations, organizations must adopt enterprise risk management (ERM) solutions – or risk financial losses, regulatory penalties and reputational damage.  At the same time, the rise of AI-driven continuous monitoring is transforming traditional audits and reshaping the vendor landscape, leading to some workforce reductions for advisory firms. These reductions reflect broader economic forces, shifting market demand and the uptake of automation – and are prompting firms to realign their focus toward high-growth areas like technology. In combination, the surge in buyer demand for expertise and strategic changes within the industry have poised the ERM services market for long-term growth, highlighting its critical role in helping businesses navigate today’s complex risk landscape.

However, the ERM landscape is a tale of two distinct markets. Buyers have a choice between the ‘Big Four’ – Deloitte, EY, KPMG and PwC – known for their comprehensive global end-to-end solutions, strong brand recognition and extensive resources, and smaller ERM firms that offer niche expertise with tailored, flexible and highly specialized services. With AI-driven solutions now an industry standard, vendor firms must differentiate through innovation, specialized expertise and tailored client services.

The inaugural Verdantix Green Quadrant: Enterprise Risk Management Consulting Services (2025), report provides CEOs, chief risk officers and other C-Suite leaders with essential insights for navigating this evolving market and selecting the best-fit vendor for their specific requirements. Of the 15 most prominent ERM services providers in the market, the report identifies EY and PwC as demonstrating the most advanced and comprehensive ERM capabilities.

Key report findings:

• AI and technological advancements are driving demand for ERM services. As digital transformation grows increasingly complex, businesses are turning to ERM consultants to integrate AI, manage third-party risks, and enhance GRC through real-time risk monitoring and predictive analytics. For example, EY's focus on advanced technologies, combined with robust implementation support, is designed to help firms maximize value from these innovations.
• Risk management workforce is being replaced by AI real-time monitoring solutions. As firms invest in AI, compliance roles are declining while demand for AI expertise rises. In response, Big Four firms are realigning their focus toward technology consulting, ESG advisory and cyber security to meet evolving market demands.
• Large consulting firms offer integrated, data-driven solutions at scale. Firms like PwC, KPMG, Deloitte and EY leverage industry expertise, analytics and digital tools to help businesses tackle compliance, operational risks and emerging threats across diverse industries – enabling agile adaptation and long-term resilience.
• Smaller advisory firms are developing more niche approaches which are more tailored, flexible and highly specialized. Companies such as J.S Held and dss+ support mid-sized firms seeking industry specific expertise, offering tailored risk management solutions to address specific organizational challenges and achieve goals.

“As emerging technologies and geopolitical risks accelerate, the ERM market is evolving to meet growing demand, offering solutions for businesses of all sizes who are seeking clarity in a complex and uncertain business environment. Facing technological advancements and new regulatory requirements, organizations are progressively recognizing the value of integrating ERM into their strategic planning to enhance resilience and achieve long-term success” said Renee Murphy, Principal Analyst at Verdantix. “For vendors, now is the time to adapt, differentiate, and deliver unique value that aligns with evolving customer needs and regulatory standards.”

To learn more, join the webinar A Tale Of Two Strategies: Benchmarking Enterprise Risk Management Advisory Services on 27 March 2025 and read the full report here: Green Quadrant: Enterprise Risk Management Consulting Services (2025).