In this episode of The Consultant’s Way Podcast, hosts Dean McMann and Anthony Paluska sit down with Neil Parekh, a seasoned professional services leader, to discuss the evolving landscape of consulting, the shift from traditional billing models, and the importance of balancing technical expertise with consulting skills.

Neil shares insights from his career in IT and professional services, noting that buyer expectations have dramatically shifted over the years. Clients are more informed than ever about technology and business solutions, meaning the old-school approach of staffing projects with junior consultants while a senior leader parachutes in no longer works. Instead, firms must focus on delivering real value, strategic advice, and tangible business outcomes. One of the biggest changes in professional services is the transition from time-and-materials (T&M) billing to fixed-fee and outcome-based models. Neil explains that while T&M was once the gold standard, today’s clients expect clearer pricing, predictable costs, and guaranteed results. However, this shift creates challenges for firms that must rethink how they price, sell, and staff projects while ensuring profitability. Fixed-fee engagements demand better planning, stronger consulting skills, and a disciplined approach to execution—qualities that many organizations are still developing.

The discussion also touches on how consulting teams must evolve, particularly in developing the soft skills needed to engage clients effectively. Many technical experts struggle with client-facing interactions, and Neil emphasizes the need for training, mentoring, and structured learning to help them grow into trusted advisors. With hybrid and remote work limiting traditional mentorship opportunities, firms must be more intentional about developing consulting skills in a digital-first environment. The episode closes with a conversation about external pressures on professional services firms, particularly from private equity and investors.

Neil highlights how firms that thrived during the remote-work boom are now facing scrutiny as productivity levels normalize. He advises leaders to focus on long-term value, adaptability, and staying true to core consulting principles to navigate market fluctuations. Through this candid and insightful conversation, Neil offers a compelling look at the future of professional services and how firms can successfully evolve to meet new client expectations.