Is management consulting officially dead with moves like Accenture’s Reinvention Services, Deloitte’s Tech oriented reorg, etc.?

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AI will radically change the consulting pyramid. Historically, you'd have a Staff: Partner ratio of 5-6:1 for Strategy Consulting, 8-10:1 for Ops Consulting, and 15-20:1 for Technology Consulting. Almost all of the profit came from billing out the bottom of the pyramid for 4X+ cost.

In a few years, it's going to be 1 Partner with 1-2 Managers under them for Strategy and Ops Consulting and for Technology Consulting maybe 3-5 Managers. No Staff or Seniors. Firms can't make much money in that model.

The future will be in Managed Services with some transformation baked in, but unlike traditional BPO and ITO will be heavily asset based rather than labor chasing the sun.

Boutiques with specialized industry knowledge and data will make out ok, but the leverage won't be there and will also heavily shift to assets/platforms.

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P2 - They just won't come from the traditional path and the skill set required will be different from today's Manager so it won't matter.

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upliftinghelpful

Pure play strategy is saturated, and not a focus area for clients in recessionary environments.

Consulting firms need to look at other functional topics to sell work and grow

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The most consulting answer. Love it

funnylikesmart

Management consulting will transform itself. Clients will have much more free time because of AI. Management consulting will evolve to provide pleasure enhancing services for the C-Suite, given their free time. The top of Maslow’s pyramid. Oooh …

Ah yes, the oldest profession. Coming full circle with the memes at last.

likeupliftingsmart

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