Hey 👋 So... remember when we thought clients learning PowerPoint was our biggest existential threat?
Lol.
Turns out it's actually an AI called Xavier that's trying to replace McKinsey entirely. And honestly? It might be working.
OK But Actually Though
Here's what Xavier's co-founder told Business Insider: "99.9% of businesses could never really afford McKinsey or any of the MBBs. We created Xavier AI so that anyone could have the power of a consulting firm at their hands when they need it."
Ouch.
Meanwhile, McKinsey just casually dropped that 30% of consulting roles are getting automated by 2030.
Not "disrupted." Not "transformed." Automated. As in, gone. Poof.
That's every third person in your office. Your desk neighbor. Maybe you.
But wait, it gets better. While everyone's having a full meltdown about robots stealing our jobs, only 1% of companies actually know how to use AI properly.
It's giving "screaming about sharks while standing in a puddle" energy.
The whole thing is chaos. And honestly? That chaos is creating the biggest opportunity consulting has seen since... idk, Excel?
What's Actually Going Down
Picture this: You're in some windowless conference room in Chicago (why is it always Chicago?) and literally everyone around you is secretly using AI.
30% of consultants are already on the AI train. We're third highest among all industries for adoption. But here's the plot twist - 68% of us aren't telling our bosses (according to Fishbowl's recent survey).
We're having a full underground AI revolution and pretending we're still manually building slides like it's 2019.
Meanwhile, 89% of clients now expect AI in their consulting services. Your clients aren't just asking "can you solve this?" anymore. They're asking "can you solve this faster, cheaper, and with robot help?"
And if you can't? Someone else will.
The productivity gap is getting wild. McKinsey's people are cranking out analysis 30% faster with AI tools. So while you're pulling an all-nighter on competitive benchmarking, your competition is home watching Netflix because they finished in 3 hours.
Oh, and there's literally an AI consultant called Xavier that's trying to replace MBB firms entirely. Cool cool cool.
The 3 Stages of "Oh Crap, AI is Real"
Most firms are stumbling through this in stages:
Stage 1: "ChatGPT is just fancy Google" (where most people are) You're using AI to write emails faster and maybe help with basic research. Still doing all the "real thinking" yourself because obviously robots can't strategize, right? Right?
Stage 2: "Wait, this thing is actually smart" (early adopters only)
AI is handling full research projects. It's doing benchmarking that used to take weeks. You're starting to panic about what this means for junior roles.
Stage 3: "I am become AI, destroyer of consulting" (almost nobody) AI agents are managing entire workstreams. Clients are talking directly to robots. Humans are just... there? Orchestrating? Hoping?
Most firms are stuck in Stage 1 thinking they're safe. Spoiler alert: they're not.
The Skills That Actually Matter Now
Forget case interview prep. Here's what's keeping people employed:
AI Whispering: Knowing how to get AI to do what you actually want (harder than it sounds). This isn't just "being good at ChatGPT" - it's building workflows where humans and robots actually work together.
Problem Detective Work: AI can solve problems amazingly well. But it can't figure out what the actual problem is when the CEO says "we need to be more innovative" but really means "our competitor launched something and now I'm stressed."
Office Politics Navigation: No AI can read the room when the CFO's having a bad day because quarterly numbers are trash. That's still very much a human superpower.
The "But Should We Though?" Factor: When AI says "fire 30% of staff for optimal efficiency," someone needs to be like "umm, maybe let's think about this?" That someone better be you.
What Smart People Are Actually Doing
While everyone else is having existential crises, some consultants are quietly building their AI game:
Learning the tools: Not just ChatGPT (basic), but Claude, Perplexity, and industry-specific stuff. They're treating AI like Excel in the 90s - as a core skill, not a fun side project.
Going after the hard problems: Focusing on transformation work, change management, complex stakeholder stuff. Basically anything that needs emotional intelligence and actual human experience.
Becoming the AI implementation person: Instead of running away from AI, they're becoming the consultant who helps clients figure out their AI strategy. Big brain move.
Going solo: With AI handling the grunt work, solo consulting is looking pretty attractive. Why split fees when you can deliver better work faster on your own?
But Wait, There's Actually Good News
Honestly, everyone's freaking out but missing the massive upside here. Let me share what CEOs are actually saying about AI in consulting:
Marc Benioff (Salesforce) says AI isn't causing mass unemployment - it's freeing people from routine tasks to focus on creative and strategic work. Salesforce saw a 17% reduction in support costs while their people moved to higher-value work.
McKinsey's Bob Sternfels reports that AI-related consulting now makes up 40% of their revenue. They're not shrinking - they're growing into new areas.
Boston Consulting Group execs are stressing that AI opens new career paths in risk management, orchestration, and oversight. It's not about fewer jobs - it's about different jobs.
Here's what's actually happening for the smart consultants:
Higher productivity: AI cuts research and analysis time from weeks to days. You can do more high-quality work with smaller teams.
More strategic focus: No more PowerPoint slavery. You get to focus on client relationships, creative insights, and actual implementation.
New business models: AI-enabled services like custom dashboards, readiness assessments, and subscription insights create recurring revenue.
Level playing field: Smaller, agile consultants now have access to tools that compete with big firms. David vs. Goliath just got interesting.
As one Reddit consultant put it: "Consulting isn't going anywhere, but the body-shop model is definitely going to have to change."
The cost of knowledge is going to zero, but the cost of wisdom has never been higher.
Real Talk
Look, I'm not gonna lie to you. AI is coming for parts of our job and it's gonna be rough for people who don't adapt.
But everyone freaking out is missing something important:
Clients still pay big money for humans. Even with all this AI capability, people are still dropping serious cash on human consultants. Marc Benioff says it best - AI augments human work, it doesn't replace the strategic thinking.
The value moved upstairs: Junior analyst work is getting automated, but senior strategy stuff is becoming more valuable. McKinsey's revenue from AI-related consulting hit 40%. They're not shrinking - they're growing.
There's actually a massive opportunity shortage: While everyone's worried about AI replacing consultants, there's a huge shortage of consultants who can actually work WITH AI effectively. Be the bridge, not the roadkill.
The economics are getting better for independents: As one CEO put it, agile consultants now have access to tools that level the playing field with big firms. Solo consulting just became way more viable.
The industry isn't disappearing. It's transforming into something that could actually be better - less grunt work, more strategic thinking, better work-life balance. Wild concept, right?
Your Move
If you're reading this thinking "oh no I need to figure out AI immediately," you're not alone. But you're also not screwed.
Most firms are still figuring this out too. Major consulting firms are investing billions in AI training and upskilling. There's time to position yourself as the AI-savvy consultant everyone wants.
The consultants who win in the AI era won't be fighting the technology. They'll be using it to finally escape 80-hour weeks and endless PowerPoint hell.
Think about it: AI handles the grunt work, you focus on strategy and relationships. You get to do more of what you actually went to business school for.
Future belongs to consultants who think bigger, move faster, and deliver impossible results. AI just happens to be the tool that makes it possible.
Plus, as Christian Klein from SAP put it: human judgment, nuance, and cultural awareness remain essential. No robot is navigating office politics anytime soon.
Your turn: Which stage of AI adoption is your firm in? Are you seeing the opportunities or just the threats?
Hit reply - I actually read these.
Cheers,
San
P.S. Know a consultant who needs to read this? Forward it along. They'll thank you later.