Cutting Through the AI Noise: Where Are AI-Focused IT Consultants Coming From?

IT consulting and corporate AI share a common goal: helping companies solve problems and improve their work using technology. 

In 2024, the question is how will AI change the IT consulting industry? 

So, without further ado, let’s take a look at what IT consulting organizations can expect from this burgeoning technology (and the opportunities that come with it). 

AI in IT Consulting: Benefits and Opportunities 

In a 2023 press release, Carmine Di Sibio, EY Global Chair and CEO, said: “AI’s moment is now. Every business is considering how it will be integrated into operations and its impact on the future.” As a consequence, the core impact of AI on the consulting industry is the creation of new consulting products and business models for external clients. 

Sixty-four percent of businesses believe that AI will help increase their overall productivity and improve customer relationships. As labor shortages become a pressing concern, nearly a quarter of companies are turning to AI adoption to address this issue.  

AI is also expected to add between 2.6 and 4.4 trillion USD to the global economy each year, with about 75% of AI’s value concentrated in customer operations, marketing and sales, software engineering, and R&D. 

So, let’s explore some AI-based services that IT consulting firms should consider offering to their clients: 

Automation Solutions

In the next three years, businesses expect to cut costs by 22% and grow revenue by 11% thanks to AI-driven automation of a wide portfolio of business processes. Early adopters are already seeing results, with average cost savings of 27%. These gains come from automating repetitive tasks and reducing day-to-day expenses. 

IT consulting companies can guide businesses through the technological shift towards AI-powered automation. They can offer expertise in implementing solutions like those used by General Electric (GE), which has achieved a 30% decrease in maintenance costs and a 25% increase in productivity through AI-driven predictive maintenance. Similarly, Zara’s AI-automated inventory management and Coca-Cola’s AI-generated marketing materials demonstrate the wide-ranging applications of automation across industries. 

Predictive Analytics and Strategic Guidance

A 2023 Gartner survey found that 79% of corporate strategists see AI and analytics as key to their success in the coming years. However, only 20% of strategists currently use AI-related tools like machine learning or natural language processing (NLP) in their work.  

And despite the potential of AI in decision-making, many companies have been slow to adopt it for strategic decisions. Only 7% of organizations currently use AI for important tasks like strategy development or financial planning.  

In this regard, IT consulting companies can help their clients make the most of the power of data-driven decision-making through data analytics solutions. These services can include developing data strategies, implementing advanced analytics tools, creating custom machine learning algorithms, designing data visualization dashboards, and enhancing IT infrastructure and software capabilities to analyze larger volumes of data more quickly. By extracting more information from historical data, more reliable predictions can be made, and better strategic guidance can be given. 

AI-Powered Decision-Making Solutions

IT consulting companies offer AI-enhanced decision-making products to tap into the “data-driven decision-making” trend. Several consulting firms are already offering advanced services in this area, including: 

• AI-powered decision-making tools for various industries, such as loan processing and administrative tasks like know-your-customer (KYC) ID verification, automated fraud detection in financial services, and AI-assisted medical imaging or appointment booking in healthcare. 
• AI-enabled platforms that provide real-time insights into market dynamics by mapping the flow of funds, mergers, and acquisitions, helping companies identify disruptive trends and potential investment opportunities. 
• Transparent and explainable AI solutions for decision-making processes, supported by AI platforms for tasks like financial forecasting and supply chain optimization. 

AI-Enhanced Knowledge Management Systems

Developing AI-powered knowledge management systems is a valuable consulting product for IT companies. These systems use AI to extract insights from large data volumes and organize knowledge across enterprises. 

Many organizations face the “we don’t know what we know” challenge, where valuable information exists but isn’t easily accessible. AI-enhanced systems address this by surfacing hidden knowledge throughout the organization. 

Seventy-nine percent of leaders believe knowledge management is crucial for achieving organizational goals. Companies using AI-powered systems reported a 35% reduction in time spent searching for information. This is a big advantage for knowledge workers, who spend about 19% of their time on information gathering. 

When AI works with a solid knowledge base, it produces better results with fewer mistakes. Rather than replacing knowledge management, AI and machine learning make it more important. 

AI-Powered Chatbots and Customer Interaction Systems

As of 2024, 58% of companies in the B2B sector and 42% of companies in the B2C sector actively use chatbots. AI-powered chatbots and customer interaction systems have become important tools for IT consulting companies to design and implement. 

In banking, virtual assistants have set new benchmarks for financial chatbots, reaching billions of interactions and offering personalized financial advice to clients. In e-commerce, AI-powered voice assistants have evolved into comprehensive customer interaction systems. 

The prevalence of these AI customer interaction systems has increased demand for IT consulting services. However, it’s necessary for IT consulting firms to ensure that the chatbots and voice assistants they create are not just technologically advanced but also capable of understanding complex human language and context. This involves investing in NLP capabilities and ensuring compliance with industry-specific regulations to maintain user trust and satisfaction. 

The Ethics of AI

Nearly three-quarters of executives indicate their organizations want to focus on the traditional ethical challenges of privacy and integrity when using AI. And more than half of IT leaders believe AI will pose serious security risks within the next few years.  

This aligns with regulatory trends, as evidenced by the EU’s AI Act, which classifies AI systems that process personal data for profiling as “high-risk” and subject to strict oversight. But while privacy and integrity are important, bias is perhaps the most insidious ethical issue that can creep into AI systems. 

Over two-thirds of executives believe AI can increase bias in decision-making, potentially harming their organizations. The “black box” nature of many AI systems—where the reasoning behind decisions is often opaque—creates further challenges around accountability.  

To help their clients implement ethical AI that mitigates these risks, IT consultants should offer: 

• AI ethics audits and impact checks 
• AI governance framework creation 
• Responsible AI practice setup 
• AI regulation readiness assessments 

The Challenge of Finding AI Leaders for IT Consulting Firms

While AI offers many benefits for IT consulting companies, realizing this potential requires the right leadership. Not all leaders have the necessary skills to drive successful AI implementation and adoption with clients. And the demand for AI specialists is expected to continue growing, with an estimated 97 million new roles emerging in AI and related fields by 2025.  

According to a report by Amazon, over 75% of organizations have already encountered difficulties in finding qualified AI talent, leading to a proliferation of individuals claiming expertise without substantial backing. This scarcity is understandable, given that only one out of 10 employees possess AI skills, creating a risk for companies that may overestimate the capabilities of self-proclaimed experts. 

IT consulting companies must be particularly discerning when hiring AI leadership, looking beyond buzzwords and self-proclamations to focus on verifiable expertise and proven track records.  

The ideal AI leader for an IT consulting company should have a blend of skills: 

• Deep knowledge of AI tools, platforms, and technologies 
• Product development expertise 
• Strong business acumen and strategic vision 
• Change management and communication skills 
• Understanding of ethical considerations in AI 
• Commitment to continuous learning 

By combining these skills, AI leaders in IT consulting companies can effectively bridge the gap between technological possibilities and business realities, creating AI-driven solutions that truly add value to their clients’ operations.  

About the Author

Dr. Oliver Ziehm is a Partner at Stanton Chase Düsseldorf with over 20 years of experience in consulting. He’s also the Global Sector Leader for Technology and Professional Services. Prior to joining Stanton Chase, he worked at Kienbaum, PriceWaterhouseCoopers, IBM and CSC, where he built a vast international network in IT and consulting. Dr. Ziehm is considered a trusted advisor in these industries and has a deep understanding of current and future trends. 

Dr. Ziehm completed his studies in business administration at Cologne University, HEC Hautes Etudes Commerciales in Paris, and Wroclaw University of Economics in Poland. He has a Ph.D. in Business from Breslau University and is also a certified business coach.