Digital Transformation of the Consulting Industry—Introduction and Overview

Even though the total turnover in the consulting industry is increasing year after year, the competitive playing field for consultancies is changing rapidly. This is due to recent developments in potentially disruptive technologies used by successful digital newcomers, but also substantial changes and evolving requirements on the client side. In the face of new challenges and changing framework conditions, consultants should continually assess their service portfolio and critically review the traditional personnel-intensive ‘face-to-face’ delivery model of consulting. Like many of their clients, consulting firms are facing a digital transformation process that will lead to partially or completely virtualized processes, adapted organization structures and digital business models. Virtualization promises innovative possibilities for optimized performance and service delivery, thereby strengthening the competitive position. A serious analysis with regard to the potentials of virtualization within the different phases of consulting projects, within the consulting organization and in cooperation with customers and partners is necessary. To this end, knowledge should be accumulated at an early stage and a comprehensive vision should be developed that combines traditional and digitalized consulting approaches in a value-adding way. This introductory article reviews and structures the recent technology and market developments, provides examples of virtual consulting services, and outlines how a digital transformation initiative in consulting can be set up.