AI is moving fast – and consulting is right in its path. It’s changing how we deliver services, how we define value, and even how we think about talent. The potential is huge, but let’s be clear: AI isn’t a magic wand. It only works well when we use it thoughtfully – balancing new opportunities with cost, ethics, and data governance. And maybe even more importantly, AI is pushing us to rethink what skills we invest in, what outcomes really matter, and how we work with both our clients and our people.

How has AI Emerged in Consulting?

In the last few years, generative AI has quickly changed the game in consulting. It’s reshaping how we gather insights, make decisions, and bring value to clients. Beyond popular models like GPT- 4.0, consulting firms are now using all kinds of AI tools – from chatbots and autonomous agents to applications –  not just to improve their own work, but also to create smart solutions for their clients.

Consulting firms are now using AI in three areas:

1.  AI tools that help clients solve their problems, where AI helps clients adopt and implement technologies to solve business problems
2.  AI tools that makes consultants more productive, where consultants use AI to enhance or accelerate the delivery of client work
3.  AI tools that improve internal operations, where AI improves how the consulting firm itself runs. 

AI That Helps Clients Solve Problems

AI tools for clients vary widely across the value chain: from helping clients implement conversational AI tools for customer service, generating creative content for marketing and sales, to enabling predictive maintenance in supply chain & operations. Yogi stands out as an AI-powered platform because it doesn’t just aggregate consumer data – it decodes it. By surfacing deep, contextual insights into product sentiment, Yogi helps CPG companies make smarter product and marketing decisions faster, slashing manual analysis time. In a similar vein, Placer.ai brings a fresh edge to retail strategy. Its AI-driven location analytics turn anonymised geolocation data into actionable insights, pinpointing high-traffic zones for optimal store placement. What makes these tools compelling isn’t just their use of AI – it’s how they translate raw data into immediate, strategic value. Intelligent automation is predicted to drive annual labour productivity growth from 0.1% to 0.6% by 2040, and it’s the integration of platforms like Yogi and Placer.ai that will make this a reality.

AI That Makes Consultants More Productive

AI tools such as Gemini have been game-changing in how consultants deliver their work. Consultants now have access to an “intelligent digital worker” that never sleeps, used for summarising documents, editing emails, brainstorming ideas and even interviewing subject matter experts to generate content. These AI workers are shaped by a firm’s best internal thinking and proprietary resources, with the caveat that it has the right data guardrails and well-defined constraints in place. The dawn of Agentic AI agents that are fully autonomous in decision making, are set to eclipse the enterprise software industry. Large-scale AI agents like Zora are being deployed to manage workflows, simulate decision paths and optimise outcomes. These agents are poised to fundamentally change how we work.

AI That Improves Internal Operations

Finally, when it comes to non-client-related tasks, consultants increasingly rely on internally developed AI tools to streamline their day-to-day operations. One such tool, Sidekick, plays a crucial role in improving efficiency behind the scenes. It helps consultants track their time more accurately, resolve payslip and payroll queries faster, and navigate HR processes with minimal friction. By automating repetitive administrative tasks and providing quick access to relevant information, these tools free up valuable time – allowing consultants to focus more on strategic work and less on paperwork. As AI continues to evolve, its impact on internal productivity is becoming just as significant as its client-facing applications.

What Will Our Future Delivery Model Look Like? 

With the advent of AI agents and new intelligent digital workers, AI is challenging the traditional consulting business model. For years, consulting firms charged by the hour. But now, clients want to pay for outcomes, not time. That shift fits perfectly with AI, which is built for speed and precision. Smaller firms are already using this to their advantage – offering faster, more targeted services at lower costs. In many ways, AI is helping level the playing field, with adoption of AI opening the door to new business opportunities in the consulting market, expanding access to consulting services for a wider range of clients.

Can AI Deliver Value Without Compromising Security or Human Trust?

As the market for AI tools continues to grow and evolve at an incredible pace, the systems that guide and manage it need to keep up. The history of AI missteps, often patched with reactive fixes, reminds us that when things go wrong, the consequences can be severe. Striking the right balance between the measurable ROI of AI and the complexity, cost and ethical considerations of the implementation is crucial. It’s also a reminder that adopting AI isn’t just about investing in new technology, but about driving a cultural shift within the receiving organisation. Moreover, we must not overlook AI’s potential to displace human labour and disrupt livelihoods. True success lies not just in completing tasks or delivering outcomes, but in seamlessly integrating AI into human workflows and equipping people with the skills and mindset to work alongside intelligent systems. Future-proofing talent and coaching is critical not only to organisational resilience, but also to earning trust and ensuring people feel their expertise is both needed and valued.

Is AI Set to Replace Consultants?

As AI continues to deliver clear improvements in productivity and the way things are run, the value and nature of the traditional analyst or consultant role is being re-evaluated. On one hand, AI is increasingly capable of taking over the more routine responsibilities traditionally handled by analysts – such as slide design, taking meeting minutes, synthesising documents and generating initial drafts of reports. On the other, AI remains a tool – capable but limited. It cannot address every challenge, nor replace the nuanced judgment and strategic thinking consultants provide. Consultants are not hired simply to solve isolated problems or optimise individual processes; they are engaged to uncover broad opportunities and design solutions that drive specific outcomes and thus the real power lies in combining AI with commercial acumen. 

For clients, they increasingly expect consulting firms to not only adopt AI internally but also to harness it in reimagining what’s possible for their businesses. In fact, 89% of consulting buyers now expect firms to embed AI into their services to boost productivity, enhance quality and deliver outcomes more quickly and cost-effectively. This rising demand for greater value at lower cost, places pressure on firms to integrate AI seamlessly into their delivery models. However, meeting these expectations requires a careful balance. While AI can dramatically accelerate analysis and execution, the human element, strategic judgment, relationship-building and contextual insight, remains central to delivering meaningful impact. The challenge lies in blending AI-driven efficiency with the irreplaceable value of human expertise.

What Are the Implications for Us?

The rise of all types of AI tools is changing almost every part of how we work – and it’s a big moment for consulting. It’s not just shaking up how services get delivered or how we measure value, but maybe most importantly, it’s changing how we grow and develop talent. For consultants, this demands new skills, ethical responsibility, and a mindset shift toward working alongside AI. For clients, it’s about pushing the boundaries of what’s possible – unlocking more innovative, practical solutions to their challenges while navigating an increasingly complex and competitive services market to choose the right offerings.

It’s important to keep in mind that as AI adoption accelerates, we must return to three core principles: 

1. Using AI as a tool to empower people – not replace them
2. Using AI as a non-negotiable to better serve our clients as they face the same challenges
3. Recognising that AI is only as effective, ethical and impactful as the people who build and guide it.