Between artificial intelligence, specialization, and greater accountability for results, management consulting is entering a new era – one that is more selective, more technology-driven, and increasingly focused on execution.
In the book Storia italiana del Management Consulting ¹, published by Assoconsult, which for the first time traces the origins, evolution, and development of management consulting in Italy, Pierluigi Brienza, Chairman of the Soft Strategy Group, shares his perspective on the evolution of the industry in the book’s final chapter, which looks ahead to the future of management consulting and the challenges it will face. Below are some of the key insights from his contribution.
The Italian management consulting industry is facing a defining moment. The growth of recent years has reinforced consulting’s role as a strategic partner supporting businesses, public sector organizations, and large-scale transformation initiatives. Today, however, the industry is entering a new phase – one that is less predictable, more exposed to change, and consequently more demanding.
Client expectations are evolving, placing greater emphasis on speed of execution, technological expertise, and increasing accountability for results. Consulting remains a strategic discipline, but it is increasingly moving closer to implementation.
Pierluigi Brienza summarizes this scenario with a clear observation:
“Management consulting in Italy is entering a phase in which many of the assumptions built over the past twenty years will be challenged.”²
Today, consulting firms must respond to a new set of competitive forces.
The first is artificial intelligence.
The widespread adoption of Generative AI is reshaping the way consulting work is delivered. In Brienza’s words, this is leading to the “commoditization of an increasing share of consulting work.”³ Activities such as analysis, document synthesis, benchmarking, and decision support can now be completed far more efficiently. As a result, the perceived value of many traditional consulting services is changing.
Value is therefore shifting toward what requires experience, sound judgment, industry expertise, and strategic vision.
The second factor is the growing competition from technology providers and system integrators, which are expanding their capabilities into areas traditionally served by management consulting firms. As Brienza observes, “a significant share of value is moving toward those closest to implementation.”⁴
The third factor concerns the structure of the market itself. Alongside large, established firms, “small, agile, and highly specialized organizations”⁵ will continue to grow, becoming the preferred choice even for top-tier clients in highly specialized areas. This evolution will make the market both more open and more competitive. While scale will remain important, it will become less decisive when highly specialized expertise is required.
Alongside these transformations, however, significant opportunities are also emerging. The growing complexity of transformation programs, the increasing importance of areas such as cybersecurity, regulation, and resilience, and the demand for partners capable of supporting execution in practical terms are all reinforcing the role of consulting – provided firms continue to evolve their operating models.
Against this backdrop, consulting firms will need to make a number of strategic choices.
One of the most important will be defining a clear market position. Firms will need to decide whether to build integrated platforms capable of combining strategy, technology, and execution or to focus on high-value specialist niches.
Brienza’s perspective is clear:
“The market will become more competitive and more open, characterized by a small number of large integrated players alongside a wide range of specialized firms. Those without a clear positioning risk losing relevance.”⁶
Proprietary assets will also become an increasingly important differentiator. Consulting based solely on the expertise of its people will continue to be essential, but it will be less competitive in a market that demands speed, scalability, repeatability, and differentiation.
Pricing models are likely to evolve along the same trajectory. Increasingly, value will be recognized through measurable outcomes:
“Success fees, revenue sharing, and cost saving sharing are expected to gain ground over traditional time-and-material models.”⁷
This represents a significant cultural shift, requiring consulting firms to assume greater risk while becoming more directly involved in creating value for their clients. Consulting firms will therefore need to rethink their role fundamentally, becoming increasingly integrated partners in business transformation.
As Pierluigi Brienza concludes:
“Ten years from now, I envision an Italian management consulting market that is more selective, more competitive, and more open, where a small number of large integrated players will coexist with a wide range of highly specialized firms. Those without a clear market position risk having no place in it.” ⁸
This is where the future of consulting will be decided.
Notes:
¹ – ⁸ Massimo Pittarello, Storia italiana del Management Consulting, with a Foreword by Gianni Letta, Il Sole 24 Ore Professional, pp. 81-82.