What Is the Difference Between Think Tanks and Consulting Firms? A Simple Guide to Salary Gaps and Job Responsibilities

Think tanks and consulting firms are similar in that they both propose solutions to problems and conduct research to gather information needed to resolve them.

Both require high-level consulting capabilities, and it is common for people to move from think tanks to consulting firms, or vice versa.

However, there are also fundamental differences between think tanks and consulting firms. This article provides a detailed explanation of the characteristics and differences of each.

※Information about companies and job listings mentioned in this article is current as of 2026.

What Is a Think Tank?

The term “think tank” refers to a “brain trust,” and describes research institutions that conduct surveys and analysis on market economics, social policy, and cutting-edge technology. Think tanks are often composed of experts from various fields who leverage their individual knowledge to propose solutions to problems.

Today, think tanks are further divided into government-affiliated and private-sector think tanks, and the range of projects they take on has expanded considerably.

Government-affiliated think tanks — such as the Economic and Social Research Institute under the Cabinet Office, or the National Institute of Advanced Industrial Science and Technology under the Ministry of Economy, Trade and Industry — may operate as non-profit organizations.

Private-sector think tanks, such as Mitsubishi Research Institute and Nomura Research Institute, often receive funding from affiliated group companies or advocacy organizations.

5 Key Differences Between Think Tanks and Consulting Firms

While think tanks and consulting firms share the goal of resolving client challenges, their specific natures and areas of activity differ. The table below summarizes the key differences between think tanks and consulting firms.

1. Client’s Position/Role

In the case of think tanks, the client contact is often a department head or a leader specialized in a specific field.

Because think tanks typically receive requests with a pre-defined theme for consulting or research, the responsible person on the client side is usually a department head with deep expertise in that area. Requests tend to be specific — such as “please research these figures” or “please help with this data analysis” — and are often already scoped into concrete tasks when brought to the think tank.

In the case of consulting firms, the client is more often a CEO, representative director, or executive officer.

Engagements frequently involve broad management challenges, and in many cases the specific research area or problem has not yet been clearly identified. Clients may come with requests like “I don’t know what the root cause of our revenue problem is” or “please help us identify the fundamental issue,” requiring an exploratory approach. This is why consultants tend to work with senior executives who have a company-wide perspective and the authority to act on findings.

2. Fields and Themes of Consulting

Think tanks often handle academic fields such as research and analysis of social and economic issues.

Since research themes are defined to a reasonable degree in advance, there is rarely confusion at the requirements-definition stage. For example, the commissioned research reports published by the Ministry of Economy, Trade and Industry include themes such as the following, with many think tanks participating:

• FY2024 Survey on Energy Supply and Demand Structure Advancement Measures (Survey on the Spread of ZEH, ZEB, and ZEH-M) Report
• FY2024 “Healthcare Industry Infrastructure Enhancement Promotion Project (Regional Healthcare Industry Promotion Project)” Report
• FY2024 Bilateral Credit Acquisition and Infrastructure Development Survey Project (Survey on CDM Operation Methodologies) Report

In consulting, research themes tend to be more abstract, and the specific areas to investigate are determined through individual discussions with the client. Since engagements often start from a state of uncertainty about where the problem lies, the time and cost devoted to research can be substantial.

3. Required Skills

At think tanks, findings are presented to clients in report format, so the ability to clearly document research content is essential.

Because research themes are often narrowly defined, deep expertise and specialized knowledge in a specific field is also indispensable. Professionals who can accurately analyze what data represents, incorporate market trends and international developments, and produce highly specialized reports are highly valued in think tanks.

In consulting, on the other hand, since the work involves collaboratively identifying and solving problems alongside the client organization, strong communication skills are paramount.

Consultants are often expected to uncover issues that even the client organization hasn’t noticed, persuade clients to accept their proposals, and then support execution on the ground — all of which requires proactive and adaptive engagement.

Furthermore, consultants need to cultivate a sense of partnership with the client organization, making skills beyond research and proposal capabilities equally important.

4. Business Model

A think tank’s product is the “report summarizing research findings,” and it operates on a business model where a fixed fee is received in exchange for producing and delivering that report.

The information itself is the commercial product, and the cost or number of staff allocated to producing the report is not a pricing factor. Engagements are typically priced on a project basis — a fixed fee per assignment — which is another defining characteristic.

By contrast, a consulting firm’s product is its “people,” and the defining feature is that the consultants’ skills themselves are what is being bought and sold.

Fees vary depending on how many consultants are assigned to a client, and longer engagements naturally incur higher costs. This is the so-called “time-and-materials” business model, where the quality of proposals or reports is not directly priced. That said, poor-quality proposals damage reputation, so consultants must still maintain strong reporting capabilities — while recognizing that the reports themselves are not what is being sold.

5. Working Style

At think tanks, the core work is producing accurate and clearly written reports on assigned themes, so working in teams for research and analysis is standard practice.

There is no fixed limit on the number of people assigned as long as it is within the scope justified by the contract value, and a collaborative, team-oriented approach is expected. Because the research undertaken is highly specialized, it is common to divide responsibilities — “Person A handles this field,” “Person B handles that field” — requiring a high degree of cooperation.

In consulting, however, since the number of consultants assigned is determined in advance, each individual tends to have a high degree of autonomy.

On one’s own assigned project, there is a high level of responsibility, but also considerable freedom to work in one’s preferred way, making individual initiative more feasible. Of course, there is typically a project leader overseeing the overall engagement, and some cases involve multiple consultants working together.

Job Responsibilities at Think Tanks vs. Consulting Firms

This section focuses on the job responsibilities of think tanks and consulting firms, explaining the differences between the two.

At first glance, the main tasks — research, analysis, and proposals — appear similar, but the difference in nature becomes clear once you actually start working in either field. Be sure to review these distinctions in advance.

Think Tank Job Responsibilities

The main responsibilities at a think tank are as follows:

Depending on the research content, staff may conduct fieldwork on-site or visit related research institutions overseas. In addition to written reports, results may also be communicated through presentations, and attendance or participation in final reporting sessions is often required.

Why Think Tanks Started Offering Consulting Services

Originally, think tanks were purely research and analysis institutions — their primary function was providing accurate data and analysis, and “proposals” in the consulting sense were not part of their scope. However, modern think tanks now carry out proposal-oriented work as well, broadening the scope of their activities.

The reason think tanks began offering consulting services is largely attributed to a strategic intent by think tanks themselves to achieve greater business stability.

Think tanks, which began forming around the 1970s, originally focused solely on research and analysis. However, following the oil shock and the collapse of Japan’s economic bubble, private-sector think tanks fell into decline and grew increasingly dependent on government-affiliated institutions. This prompted the launch of consulting services leveraging their strong research capabilities, in order to build private-sector think tanks less vulnerable to external economic conditions.

Today, think tank-type consulting firms have also emerged, enabling a wider variety of business models.

Think Tanks Are Also Recommended for Those Aiming to Specialize in Delivery-Focused Consulting

In the think tank and consulting industries, “delivery” refers to “project execution” — the act of delivering completed work, such as a report, to the client. The term comes from the idea of “delivering” the output to the commissioning party.

Think tanks are also a recommended path for those aiming to become delivery-focused consultants.

Consultants are expected to fulfill many roles beyond data analysis and report writing — including client interviews and on-the-ground implementation support. While this provides broad experience, those who prefer to focus exclusively on research and analysis may find the broader scope burdensome.

That said, delivery-specialized consultants are relatively rare, which means the number of available job openings is limited (and competition is high). Successfully transitioning into a delivery-focused consulting role can significantly enhance your market value.

If you are interested in delivery-focused work, consider exploring opportunities at think tanks as well.

Consulting Firm Job Responsibilities

The main responsibilities at a consulting firm are as follows:

Unlike think tanks, consulting firms are characterized by an all-in-one support model that covers everything from issue identification through to execution. The scope of work extends well beyond research and analysis, often including hands-on involvement as an implementation team on the ground.

Major Think Tanks and Consulting Firms in Japan

This section introduces major think tanks and consulting firms in Japan. These are all well-known organizations and companies, so many readers will likely have heard of them before.

Major Think Tanks in Japan

Japan’s think tanks can be categorized by their primary area of focus as follows:

Government-affiliated think tanks	・Economic and Social Research Institute (Cabinet Office) ・Research Institute of Economy, Trade and Industry (Ministry of Economy, Trade and Industry) ・Japan Center for Economic Research (Development Bank of Japan)
Financial institution-affiliated think tanks	・Japan Research Institute, Ltd. (Sumitomo Mitsui Financial Group) ・Mizuho Research & Technologies, Ltd. (Mizuho Financial Group) ・Mitsubishi UFJ Research and Consulting Co., Ltd. (Mitsubishi UFJ Financial Group)
Securities firm-affiliated think tanks	・Nomura Research Institute, Ltd. / NRI (Nomura Group) ・Daiwa Institute of Research Ltd. (Daiwa Securities Group)
Insurance company-affiliated think tanks	・Sompo Japan Research Institute Inc. (SOMPO Holdings Group) ・Dai-ichi Life Research Institute Inc. (Dai-ichi Life Group)

All of these are leading major corporate groups in Japan.

Leveraging the strengths of their parent groups, these think tanks handle a wide range of work including research commissioned by government agencies and system integration (SI) projects.

Major Consulting Firms in Japan

Consulting firms, like think tanks, can be categorized by their area of expertise and strengths as follows:

Strategy consulting firms	・McKinsey & Company Japan ・Boston Consulting Group, Inc. ・Bain & Company Japan, Incorporated
General consulting firms	・Accenture Japan Ltd. ・Deloitte Touche Tohmatsu LLC ・Sigmaxyz Inc.
IT consulting firms	・Forties Consulting Inc. (formerly Qunie) ・NTT DATA Corporation ・Hitachi Consulting Co., Ltd.
Organizational and HR consulting	・Mercer Japan Ltd. ・Abeam Consulting Ltd. ・EY Japan LLC
Finance and accounting consulting	・Advanced Business Directions, Inc. ・S-NET Works Co., Ltd.

Compared to think tanks, consulting firms tend to be more finely categorized, with clear segmentation based on the types of work they handle.

Salary Differences Between Think Tanks and Consulting Firms

Think tanks and consulting firms also differ in their typical salary ranges. While there are many variables such as age and skill level, the average salaries at representative firms are introduced below.

• Average salary at think tanks
• Average salary at consulting firms

Average Salary at Think Tanks

The average salaries at major think tanks are as follows:

Company Name	Average Annual Salary	Salary Range
Japan Research Institute, Ltd.	7.1 million yen	3 million – 32 million yen
Nomura Research Institute, Ltd.	10.21 million yen	2.6 million – 110 million yen
Mitsubishi Research Institute, Inc.	9.01 million yen	4.2 million – 16 million yen
Mitsubishi UFJ Research and Consulting Co., Ltd.	8.72 million yen	4.2 million – 20 million yen
Mizuho Research & Technologies, Ltd.	7.26 million yen	3 million – 17.98 million yen

The high level of specialized expertise required at think tanks is reflected in their above-average salaries. With some individuals earning over 20 million yen annually, it is a career path with strong earning potential.

Average Salary at Consulting Firms

The average salaries at major consulting firms are as follows:

Company Name	Average Annual Salary	Salary Range
Dream Incubator Inc.	12.07 million yen	4.5 million – 50 million yen
McKinsey & Company Japan	14.9 million yen	6 million – 50 million yen
Boston Consulting Group LLC	16.17 million yen	4 million – 40 million yen
Bain & Company Japan, Incorporated	13.22 million yen	5 million – 35 million yen
Accenture Japan Ltd.	8.69 million yen	1.8 million – 80 million yen

Many consulting firms have average annual salaries exceeding 10 million yen, and even those below that threshold show extremely wide salary ranges.

At consulting firms, incentive pay is awarded based on individual performance, and the merit-based environment makes it easy to grow your income steadily — meaning that regardless of age, strong performers can be rewarded with excellent compensation. Conversely, those whose skills remain undeveloped will find it difficult to earn well.

Hiring Trends and Evaluation Systems: Think Tanks vs. Consulting Firms

Think tanks tend to preferentially hire individuals with strong academic backgrounds in report writing and extensive research experience.

Since training and development programs are designed with long-term career growth in mind, evaluation systems tend to resemble a seniority-based model. Think tanks actively recruit new graduates from universities and graduate schools, and employee tenure tends to be long, making them an environment conducive to stable, long-term employment.

At consulting firms, candidates with strong communication skills and proposal capabilities are highly valued, and even those without prior consulting experience can transition relatively easily up to their mid-thirties.

Rather than seniority, consulting firms operate on a “merit-based” evaluation model, where strong results and client satisfaction can translate into annual earnings exceeding 10 million yen even in one’s twenties. Accordingly, incentive pay ranges are wide, and those who fail to develop their skills will find it harder to earn a high income.

Who Is Suited to Think Tanks and Who Is Suited to Consulting

Finally, here is an introduction to the types of people best suited to think tanks and consulting firms respectively.

Because the two fields share common ground, many people find themselves unsure which to pursue. Use the following as a guide to assess your own fit and avoid a mismatch after joining.

Who Is Suited to Think Tanks

The following types of people tend to be well suited to think tanks:

Think tank work involves extensive data analysis, sustained information gathering, and the ability to compile findings into reports and research papers. People who are strong at data analysis and have a rich background in academic writing will find the demands of highly specialized report production manageable rather than burdensome.

Given the nature of the work — focused research and investigation within a specific domain — specialist-minded individuals are also a strong fit. Those who want to apply their expertise in high-stakes, publicly significant fields such as social problem-solving should consider pursuing a career at a think tank.

Think Tanks Are Also Recommended for Those Aiming for Delivery-Focused Consulting

In the think tank and consulting industries, “delivery” refers to “project execution” — that is, executing a project and handing the completed output (such as a report) to the client. The term comes from the idea of “delivering” materials to the commissioning party.

Think tanks are also recommended for those aiming to specialize in delivery-focused consulting.

Consultants are expected to take on a wide range of roles beyond data analysis and report writing — including client interviews and on-the-ground implementation support. While this offers diverse experiences, those who want to focus purely on research and analysis may find the broader scope to be a distraction.

That said, delivery-specialized consultants are not common, which means the number of job openings is small (and competition is intense). Successfully transitioning into such a role can significantly raise your market value as a professional.

If you have an interest in delivery-focused work, it is worth considering a move to a think tank as well.

Who Is Suited to Consulting

The following types of people tend to be well suited to consulting:

Consultants handle not just research and analysis, but also proposals and implementation support. The role is well suited to flexible generalists who want to manage a broad range of tasks, as well as creative thinkers with strong ideas and imagination.

Because the goal is to concretely resolve the challenges facing each client organization, people who are hungry for results and outcomes are also a natural fit.

Additionally, consultants often work independently rather than as part of a team, and personal credibility can determine the success or failure of a project. Individuals with the drive to steer projects toward success and the charisma to earn strong trust from client organizations will find their work flows more smoothly.

Since performance-based incentives are also available, those who want to build a high income early in their career should consider giving consulting a try.

Summary

Think tanks and consulting firms are alike in that both research and investigate in response to client needs, but they differ significantly in scope of work and the roles they are expected to fulfill. It is important to remember that a think tank’s primary output is a report, while a consulting firm’s core mission is solving the client company’s problems.

If you are considering a career move to a think tank or consulting firm, it is advisable to evaluate your fit based on the type of work you want to do before applying.

To avoid a significant mismatch after joining, make sure you have a clear understanding of the differences between think tanks and consulting firms in advance.