Overview

Challenges

The evolution to Professional Services 2.0 entails decoupling value from effort, shifting from effort-based billing to a focus on measurable customer outcomes. This report argues that the strategic integration of AI not only enhances consultant roles, but also necessitates a commitment to rigorous data foundations, upskilling, and a keen understanding of ethical AI practices.

Summary

The article discusses the transformative shift in the professional services industry toward a new model (PS 2.0), where AI optimizes and automates processes, enhancing human roles rather than replacing them. It emphasizes the importance of aligning value with measurable outcomes, upskilling for AI fluency, and ensuring robust data foundations for effective AI integration.

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Included in the full report

Shift from PS 1.0 to PS 2.0:

The transition is marked by a move from effort-based value (billable hours) to outcome-based value (measurable customer outcomes) through AI integration.

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Role of Augmented Consultant:

Consultants evolve into orchestration roles, leveraging AI to enhance delivery, requiring skills in AI management, data interpretation, and ethical governance.

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AI-Driven Labor Model:

The structure demands fewer traditional roles and more specialized skill sets in areas like AI governance, necessitating a redefined approach to talent management.

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Data Rigor is Essential:

A strong emphasis on data hygiene and governance is critical for successful AI implementation, preventing unreliable output and ensuring system integrity.

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Financial Roadmap for Adoption:

Organizations must budget effectively for AI transition, focusing on optimizing internal workflows and subsequently embedding AI into client delivery for enhanced outcomes.

Read the full report on the TSIA Portal

Publication date:

November 19, 2025

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