Is AI a Threat or a Catalyst for the Consulting Industry?
As artificial intelligence continues to reshape industries, the consulting sector stands at a crossroads. Is AI eroding the foundations of traditional advisory work, or is it a force for innovation and evolution?
We explore both sides of this critical debate.
Position 1: AI as a Threat to Traditional Consulting
AI is disrupting the consulting model at its core. By automating key activities such as data analysis, forecasting and strategic modelling, it reduces the need for large teams and shifts client expectations around cost and speed. Traditional firms now face intense margin pressure and growing competition from technology companies offering AI-led advisory services.
“Clients no longer need a five-person team for a market study, AI can deliver deeper insights in hours.”
Risks include:
Eroding fee structures and profit margins
Increased competition from AI-first technology firms
The potential commoditisation of consulting deliverables
A shrinking role for traditional consulting firms in data-heavy work
Position 2: AI as a Catalyst for Consulting Innovation
AI should be viewed as an enabler rather than a threat. By handling the heavy lifting of data processing, AI allows consultants to focus on complex problem-solving and strategic thinking. Hybrid roles, such as forward-deployed engineers, represent a new breed of advisor who is both technically fluent and deeply embedded within client teams.
“AI is the new lever for scale. It lets us do more, faster, with sharper precision.”
Opportunities include:
Greater consultant productivity and client impact
New delivery models that blend AI with human insight
Stronger client integration through embedded expertise
Creation of differentiated, high-value services
Our View: Adapt or Be Replaced
AI is not a question of if, but of how quickly firms can adapt. Those that embrace change, build hybrid delivery models, upskill their teams and invest in proprietary AI capabilities will thrive.
At Consulting Point, we are already witnessing a shift in both client demand and candidate expectations. Whether AI is a threat or a catalyst depends entirely on how firms respond.
Need support finding talent at the intersection of consulting and AI?
Speak to our team about how we are helping clients remain competitive in this rapidly evolving landscape.