Consulting 2024 Wrapped (Part 1: Turning Challenges into Opportunities)

The consulting industry faced a turbulent 2024, marked by global uncertainties, economic shifts, technological disruptions and evolving client needs. From adapting to post-COVID realities to navigating AI adoption and overcoming client indecision, consulting firms had to innovate and adjust strategies to stay competitive. Recently, we asked some of the top industry thought leaders to discuss the challenges they faced this year and the opportunities they see for 2025 and the future.

How We Tackled 2024's Biggest Consulting Challenges

Challenge 1: Adapting to the "New Normal"

Many consulting firms are still navigating what the "new normal" means. As Luk Smeyers and Florian Heinrichs of The Visible Authority noted, while digital acceleration created new opportunities, it also raised client expectations and led to over-hiring during the initial post-COVID boom. By 2024, many firms were recalibrating, dealing with layoffs and managing a cooling market. The uncertainty on both sides—consultants and clients—demanded flexibility and innovative problem-solving. Firms that thrived in this environment adopted agile strategies, redefined service offerings and embraced hybrid work environments to align with new client needs.

Challenge 2: The AI Conundrum

In 2024, AI continued to promise transformative benefits but often underdelivered. Smeyers and Heinrichs pointed out that while consultants champion AI for clients, proving its ROI internally remained elusive. Some firms questioned whether AI was a genuine productivity driver or just another hyped trend.

In addition, the rise of AI-assisted search and content generation has also reshaped how firms approach digital marketing. Jason Mlicki of Rattleback observed that AI made it harder for firms to get found online, as generic content flooded the market.

To overcome this, he suggests firms focus on differentiation:

1. Build guardrails around their niche topics.
2. Create branded, immersive content experiences.
3. Make content more human and relatable by highlighting the personalities behind their thought leadership.

These strategies allow firms to differentiate themselves in a saturated digital landscape while leveraging AI effectively.

Challenge 3: Change Fatigue and Burnout

Jennifer J. Fondrevay, founder of Day1 Ready™, noted that constant change and uncertainty left many consulting professionals exhausted and disengaged. According to the mental health platform Spill, 45% of employees reported experiencing burnout in 2024. As organizations grappled with high turnover and burnout, maintaining morale became critical. To address this, consultants focused on fostering resilience and providing clear strategies for managing change. To address burnout, consultants and organizations should consider strategies like promoting work-life balance, implementing flexible working arrangements and providing robust mental health support systems.

Challenge 4: Go-To-Market Strategy Shifts

Traditional client acquisition methods lost traction as digital channels became increasingly noisy and less effective. Smeyers and Heinrichs highlighted the importance of offline engagement and balanced technology partnerships in this evolving landscape.

Firms that reimagined their Go-To-Market (GTM) strategies succeeded by embracing personalization, leveraging thought leadership, and prioritizing face-to-face interactions. Sean McDermott of Windward Consulting emphasized the importance of live events and robust SDR (sales development representative) teams to reconnect with clients.

Challenge 5: Economic and Political Uncertainty

Many of our experts, including Dave Hofferberth of SPI and Andy Jordan, President of Roffensian Consulting S.A., discussed how the global economic landscape, marked by rising interest rates, geopolitical tensions and the looming U.S. presidential election, created hesitancy among clients. Many postponed large-scale projects, opting for "business as usual" to mitigate risks.

Faheem Moosa of Consulting Leap highlighted how this "wait-and-see" approach demanded a shift in mindset from consulting firms. Faheem explained, "The challenge for many firms is letting go of the mindset that "clients will find us" and instead actively seeking the right opportunities."

Tissa Richards, CEO and leadership expert, reinforced this idea, emphasizing that waiting for external clarity is not a winning strategy.

Challenge 6: Talent Matching and Technological Evolution

Keeping pace with rapidly evolving technology was another significant hurdle for consulting firms. Firms that prioritized skills development and aligning talent with client demands stayed ahead in 2024.

Investing in continuous learning and flexible staffing models ensured they could adapt to technological advancements and client expectations.

Conclusion: Lessons Learned from 2024

Despite the challenges of 2024, the consulting industry demonstrated resilience and adaptability. By embracing innovation, focusing on client needs, and rethinking traditional strategies, firms were able to navigate uncertainty and prepare for growth in 2025. Key takeaways include:

• Prioritize human connections, both in marketing and client relationships.
• Embrace technology but remain critical of its ROI.
• Invest in talent development and flexible resource allocation.
• Proactively seek opportunities rather than waiting for clarity.

As we look ahead, the lessons of 2024 provide a roadmap for consulting firms to thrive in an ever-changing landscape. The industry can continue to deliver value and drive meaningful outcomes by staying agile and client-focused. And speaking of consulting challenges and opportunities, make sure to watch the webinar on-demand, as our exclusive panel of top consulting industry leaders (including many of those cited above) discussed the challenges they faced in 2024 and the opportunities they see for 2025 and the future. We reviewed tips to tackle uncertainty, discussed how consulting firms use AI and shared best practices to improve efficiency in the future.

Thank you to our consulting partners who helped with this effort:

• Andy Jordan, President of Roffensian Consulting S.A.
• Dave Hofferberth, Managing Director, Service Performance Insight (SPI)
• Faheem Moosa, Founder of Consulting Leap
• Jason Mlicki, Principal of Rattleback
• Jennifer J Fondrevay, Founder & Chief Humanity Officer at Day1 Ready™
• Luk Smeyers, Founder of The Visible Authority
• Florian Heinrichs, Partner at The Visible Authority
• Sean McDermott, CEO of Windward Consulting
• Scott Montgomery, Chief Customer Officer at Worldgate, LLC
• Tissa Richards, CEO and Leadership Expert at www.tissarichards.com