AI impacts professional services economics, event insights show

VERA Brief

AI-generated. Grounded in the article and its cited sources.

Artificial intelligence is changing how professional services firms operate, leading to a shift from hourly billing to fixed bids. This change accelerates project delivery and increases the risk taken by firms, while reducing labor costs per project.

Key facts

• Professional services firms are moving from hourly billing to fixed-price contracts.
• AI is enabling compressed delivery timelines for projects.
• Firms are assuming greater risk in their service delivery.
• The labor required for individual projects is decreasing due to AI.
• AI is augmenting human capabilities for more streamlined service delivery.