Consulting

AI is changing how consulting firms like McKinsey & Company work and how they get paid.

The article explores the potential impact of artificial intelligence (AI) on the consulting industry, particularly focusing on whether AI could replace traditional consulting firms like McKinsey & Company. It discusses the rise of AI-driven platforms and tools that offer data analysis, problem-solving, and decision-making capabilities comparable to those of human consultants.

Itochu and BCG are collaborating on AI-powered consulting in Japan. They aim to combine BCG's consulting expertise with Itochu's data and AI capabilities to offer innovative solutions to Japanese businesses.

The partnership reflects a growing trend of integrating AI into traditional consulting services, leveraging data analytics for strategic insights. This collaboration seeks to enhance efficiency and effectiveness in business decision-making processes, potentially transforming the consulting landscape in Japan.

The novel coronavirus COVID-19 has impacted the consulting industry in ways that seem potentially ruinous. But do not lose hope. Yes, consultants are used to traveling a lot, and widespread travel restrictions make that impossible. And much of consultancy work is done face-to-face in internal and client meetings, which can’t be done when gatherings are prohibited. There is also the fear that businesses will suspend contracts in the economic downturn.

PwC and EY told a panel of British lawmakers they would mirror a change already underway at another Big Four accounting firm, KPMG, in a bid to end a “perception” of conflict between selling audit and consulting work to the same customer.

Consulting is better paid than audit work, raising concerns that an accountant won’t challenge a company’s management properly regarding an audit for fear of losing more lucrative advisory work.