Consulting Firms Are Cashing In on AI

In just a short time, major consulting firms like Boston Consulting Group (BCG), McKinsey, IBM, and Accenture have earned hundreds of millions by selling AI services. According to The New York Times:

• BCG now derives a fifth of its revenue from AI, up from zero just a couple of years ago.
• McKinsey expects 40% of its business to be AI-related in the near future.
• IBM has secured over $1 billion in AI sales.
• Accenture booked $300 million in AI-related sales last year.

The Times’ reporting suggests the work is diverse and depends on the customer, spanning services from regulatory compliance to AI for customer support and establishing guardrails for AI use.

Red-Hot Demand

The demand for AI services is clear. Big enterprises are seeking guidance on all aspects of AI, including:

• Roadmaps for generative AI
• Policy development
• Change management
• Education and training

These are essential needs for many companies, creating massive opportunities for consultants.

Big Problems, Big Solutions

Most companies are further behind in AI adoption than many realize, often facing internal bottlenecks and bureaucracy. They need objective third parties to work with different stakeholders, balancing the need to adhere to guidelines and protect data while seizing opportunities to innovate.

What Companies Really Need

Businesses require assistance with fundamental AI-related initiatives, such as:

• Developing overall AI strategy
• Choosing the right platforms
• Identifying priority use cases
• Focusing on innovation beyond efficiency
• Implementing change management
• Providing education and training

It's challenging for existing teams, who typically have no formal training in AI, to figure out these complex issues on their own.

The Paralysis Problem

One of the biggest short-term opportunities for consultants is to simplify the process for clients from the start. Many enterprises are paralyzed by trying to address everything at once, losing sight of the immediate value that can be gained by focusing on low-risk, high-reward use cases.

There are thousands of innocuous use cases with no threat of data leakage, privacy concerns, or regulatory issues. By identifying and stacking these use cases, companies can create significant impacts and move forward more effectively.