If you’re running a software consulting company, you know the persistent demand from the clients for industry-focused insights, quicker turnarounds, and breakthrough innovation, helping them cut through noise.
But your dedicated teams are already facing data overload with redundant tasks!
It doesn’t have to be that way!
Here, you cannot undermine the importance of technology. On that note, it can change the game by automating mundane tasks while providing deep insights to inform data-driven decisions.
Engaging in artificial intelligence will bring significant changes, as these services will help your team to improve data analysis capabilities, data-backed decision-making to turn your company into a well-known brand!
Already, a significant number of firms are leveraging the power of generative AI to redefine strategy, operations, and client delivery.
If you’re ready to navigate the benefits, risks, and use cases of generative AI to take your software consulting to a new level, this blog is meant for you!
Before delving deeper, let’s have a brief description of Generative AI.
What is Generative AI?
According to Wikipedia, generative AI is the area of artificial intelligence that leverages ML or machine learning techniques, including unsupervised learning algorithms. From existing artifacts, generative AI learns and generates new and realistic artifacts.
Unlike traditional AI, which primarily focuses on analyzing data or automating redundant tasks, Generative AI can produce new outputs that resemble human creativity.
What is Generative AI in Consulting?
Running a software consulting company is tricky after the inception of AI, as customers want specific solutions to meet their unique demands. On that note, Gen AI helps to leverage the power of Gen AI technology, including NLP, LLM models, and DL. This enables consulting companies to provide multiple services accurately, detect potential revenue streams, and gain a competitive edge with enhanced client satisfaction.
6 Benefits of Generative AI in Consulting
As technology continues to advance, the future of consulting gains momentum. Let’s hear it from Prashant Garg, Technology Consulting Partner at EY India, “Generate AI ensures that we maximize the benefits while mitigating the risks as we’re stepping into the world of AI integration”. This is evident that Gen AI is constantly fostering the growth of consulting companies.
This begs the next question: “How is Generative AI going to be beneficial for my consulting company?”
Here is the answer-
1. Improved Creativity & Innovation
Gen AI can simulate scenarios, make data-driven decisions, and accurately forecast. This opens up the world of creative possibilities for consulting companies by enabling innovative processes with task automation. As a result, it generates unique content to help clients meet their demands, while inspiring a new wave of creativity.
2. Cost Reduction
Gen AI automates redundant tasks, allowing consulting services providers to operate cost-effectively. This provides a financial benefit to the consulting companies while keeping them abreast with the latest knowledge.
3. Improvised Collaboration
Gen AI enables consultants to provide work-related information while using human expertise. This enables enhanced collaboration on client projects. With generative AI, the seamless exchange of data-driven insights with clients leads to 2X effective consulting services. This fosters a sense of productivity with shared purpose.
4. Enhanced Knowledge Management
When it comes to managing knowledge, GenAI has the power to create sophisticated knowledge databases to capture your brand’s collective expertise. To be precise, your team can work on bigger projects while having the hands-on knowledge needed to complete a project quickly and efficiently.
Additionally, generative AI can be used to create a brief to assist a client with any particular work progress. Therefore, it helps to eliminate the countless hours spent on manual report preparation.
5. Accurate Data Insights
According to Statista, the market size of Generative AI is expected to show a CAGR of 36.99% by 2031. The reason behind this overwhelming number is multifarious. Since we’re discussing those points only, let’s introduce the role of generative AI in providing accurate data insights.
A robust GenAI software can examine vast, non-structured data, including social media posts, customer reviews, and market research, to reveal hidden patterns in customer psychographics and demographics. Once you start leveraging this, your dedicated team can help clients make informed, next-level decisions.
6. Personalized Client Interaction
GenAI can assist your team in creating tailor-made proposals, presentations and other relevant documents for each client based on their requirements. As a result, this will enhance customer experience, save time and close new deals.
Risks of Generative AI in Consulting
No doubt, generative AI is a money and time saver for consulting companies. However, it has its own set of drawbacks. Here are the top risks of generative AI that you must be aware of-
1. Excessive AI Dependence
Imagine you’re running a SaaS AI development company. The team is completely dependent upon AI tools to make modifications, iterations and the deployment process. Additionally, team members are utilizing AI-generated reports, presentations, and emails to reduce the need for manual labor. However, the results lack a human touch, and clients can easily perceive that the outputs are robotic.
This creates the risk of client alienation due to inhuman communications. As a result, the clients lose trust in your productivity, which you have promised due to the onboarding time.
2. Biased Opinions
Bear in mind that no AI models doesn’t provide 100% accurate results. Sometimes, it provides biased and incorrect data. This may lead to discriminatory outcomes, such as biased hiring decisions and risk assessments. Moving forward, this will affect the clients’ work productivity and overall business reputation.
3. Copyright Issues
Indeed, powerful intelligence chatbots like ChatGPT, Claude, Deep Seek, and Perplexity can generate content based on the given prompts. However, the generated content cannot be considered fresh. Chances are higher that the duplicate content has been used by someone else. These complex and legal issues require careful analysis before incorporating them into any project.
4. Less Innovation
Neglecting upskilling and knowledge acquisition from multiple sources due to over-reliance on AI affects the consulting firm’s productivity by preventing it from being innovative. Therefore, the output lacks context-driven solutions.
Generative AI in Consulting: Use Cases
You already know how gen AI is solving the complex issues to provide seamless services to your clients. Now, we will uncloak how gen AI can enhance the pace and accuracy of deliverables through real-world application-
- Delivery Automations– Data analysis and collection are only the tip of the iceberg. The entire work packet involves primary yet complex tasks, such as curating reports, PPTs, and client communications. With automation tools, your team can automate the tasks, including generating meeting summaries, action item lists, follow-up emails, etc. Therefore, the productivity will increase by 2X.
- Improved Predictive Modelling- AI-powered predictive modelling fosters the growth of consulting firms by leveraging vast datasets of customers. Additionally, it analyzes the customer behavior and business performance. With gen AI, you can create strategic advice for the clients instead of normally reacting to the changing markets.
- Optimized Client Relationships- Suppose you’re running a consulting company that provides custom mobile application development services based on client requirements. Here, the clients need to be informed about the daily progress. On that note, AI can streamline the entire procedure by tracking the project and communicating the status to the client. Additionally, it can detect when a client needs additional support. Based on that, your team can reach out to them with multiple support options.
Generative AI: Boon or Bane?
The inception of artificial intelligence aims to augment the work process, regardless of the consulting company’s size. Various experts from niche markets and their studies claim that the AI tools can’t mimic human creativity and strategic thinking. As trends evolve, AI will be at the forefront to support, not replace, manual labor. Therefore, success lies in how a consulting firm can leverage the power of gen AI without being too dependent on it, while also evaluating the AI development cost involved in implementation.
