AI, commonly referred
to as AI, has become a technology that is frequently talked about and has an
impact on almost every aspect of our lives in recent years. Especially for the
2020s, it wouldn't be an exaggeration to call it the 'Golden Age of AI'.
Nowadays, AI appears as a tool that can drive cars, engage in conversations
with humans, and even write articles and poems. Looking at the definition, AI
can be simplified as "a machine or program that efficiently performs
specific tasks". However, as we come to the year 2024, I believe that defining
this way limits the potential and impact of this technology; a more accurate
definition would be that AI is a program that "constantly analyzes its
surroundings and takes necessary steps to achieve its goals, exhibiting
intelligent behavior."
A general overview of the practical applications of AI reveals that it is a high technology widely discussed and likely to be widely used in various disciplines such as engineering, science, education, medicine, and economics in the future. Especially in the business world, the use of AI-based systems that provide access to vast databases is rapidly increasing in areas such as management, accounting, finance, human resources, marketing, and sales. The continuous learning ability of AI and programs equipped with this technology provide a significant advantage in areas such as innovation, process optimization, and resource management.
Business consulting is
another sector entering the realm of AI. The emergence of recent generative AI
models like ChatGPT has raised curiosity about how they might affect the work
of consultants providing financial and management consultancy services,
analyzing data, and making projections about the future. In addition, AI tools
capable of storing, selecting, and analyzing large amounts of data can increase
profits and save time for consulting firms that provide services through data.
As a result, consultants, who used to spend significant amounts of time on data and information analysis, can now easily delegate this activity to an AI-based system. According to McKinsey, one of the three largest consulting firms, three-quarters of the business applications of generative AI will fall into four areas: customer operations, marketing and sales, software engineering, and R&D (Research & Development)*x. With the right command given to AI, you can magically produce pages of text and drafts, or finish a task that could take weeks within hours. One of the most common concerns in the industry is that some professions and jobs will disappear due to the implementation of automatic analytic systems. This is particularly noticeable in consultancy services that rely heavily on financial data, such as tax auditing. Understanding complex tax laws or summarizing a legal document becomes an easy task using AI tools.
Another highlighted situation is that generative AI outperforms human intelligence in activities such as problem-solving and analysis. A study1 conducted in Poland in 2023 aimed to find an answer to this question by attempting to solve a strategic business problem in three scenarios: first, solely by an expert consultant; second, solely by ChatGPT with minimal human interaction; and third, by a hybrid model where a human interacts with ChatGPT and asks critical questions. The results showed that while using only ChatGPT to solve the problem resulted in more solution proposals compared to an expert consultant, ChatGPT struggled to ask the right questions and obtain the necessary data without active guidance from a human. However, the second result indicates that generative AI is extremely helpful in creating decision-making processes. In the scenario where the expert and ChatGPT work together, the limitation of the expert's knowledge on certain subjects disappears, and these further speeds up the process of solving the strategic problem.
In conclusion, although limited, the study sheds light on the relationship (or competition) between AI and humans in the consultancy field in terms of illuminating the potential transformation in the present and future. The integration of AI into the consultancy sector also brings attention to the risks and ethical problems created by AI. Potential problems such as job loss, failure to ensure data privacy, lack of creativity and efficiency resulting from automation, and reduced human interaction serve as examples of ethical issues and risks that AI usage may bring to the consulting sector. A study conducted in Romania2 with 98 employees in various positions in the consultancy sector examined possible risks and ethical problems of adapting AI to this sector. According to the perspective of the consultants, the lack of human interaction, job loss, high implementation costs, and the lack of creativity in tasks performed by AI compared to humans may lead to discrimination, rejection of individual autonomy, threats to data privacy, unexplained results, or damage to social relationships in the consultancy sector.
The two studies mentioned above provide valuable information regarding the impact of AI on the business consultancy sector and its future position. It is now indisputable that this technology will occupy an increasingly important place in business life and will affect almost all sectors. However, the opportunities and threats posed by AI are still a subject of discussion, as is the case in all sectors, including consultancy.
References:
1. Jarco, D., Sulkowski L. (2023). Is Chatgpt
Better At Business Consulting Than An Experienced Human Analyst? An Experimental
Comparison Of Solutions To A Strategic Business Problem. Forum Scientiae
Oeconomia, 11(2), 87-109. DOI: 10.23762/FSO_VOL11_NO2_4
2. Gînguta, A., Stefea, P., Noja, G.G., Munteanu,
V.P. (2023). Ethical Impacts, Risks and Challenges of Artificial Intelligence
Technologies in Business Consulting: A New Modelling Approach Based on
Structural Equations. Electronics, 12(1462). https://doi.org/10.3390/
electronics12061462
