AI reshapes consulting as firms split on hiring junior talent

The consultancy industry is adjusting to the impact of AI, changing how firms operate and hire. While some companies have reduced entry-level roles, others are expanding graduate recruitment to build future expertise. The shift reflects evolving client demands and new ways of working. Last summer, the Big Four accounting firms cut hundreds of entry-level positions and scaled back graduate hiring. This move contrasted with the approach of major consultancies like Bain & Co and Boston Consulting Group (BCG). Bain has now raised its graduate recruitment targets twice in 2024, aiming for a 25% increase compared to last year. The firm also plans to bring in 'triple-digit numbers' of graduates and junior consultants.

BCG intends to maintain or slightly grow its graduate intake this year. Meanwhile, Alvarez & Marsal is preparing to boost hiring over the coming years. Antonio Alvarez III, the firm’s European Practice lead, is working with universities to establish graduate schemes. Clare Gordon, managing partner at Bain & Co, emphasised the need for juniors to develop specialised skills, even as AI transforms consulting work.

Clients are also changing their expectations, focusing more on efficiency and cost as AI tools become common. This shift is pushing firms to rethink their hiring strategies and service models. The consultancy sector is now split between firms cutting junior roles and those investing in new talent. Bain & Co, BCG, and Alvarez & Marsal are expanding graduate programmes to secure long-term expertise. The changes come as AI reshapes client demands and the way consultants deliver services.