Consulting · medium ·
Hourly billing leaves consulting firms without an AI arbitrage
Professional services firms are increasingly adopting value-based pricing and alternative fee arrangements (AFAs) as AI fundamentally reshapes service delivery. This shift moves traditional hourly billing models towards outcomes-based compensation, driven by AI's ability to significantly increase efficiency and enable smaller teams to deliver equivalent or superior output.
Part of the Professional Services Opportunity Outlook, Korim's monthly analysis of emerging opportunities in this sector.