Why the Consulting Industry’s Legacy Model is Failing Retailers

The core challenge in retail transformation is rarely the technology itself. Instead, it is the organizational complexity that acts as a structural anchor. Just as retailers grapple with decades of accumulated systems and processes, major consulting firms are trapped by their own operating models. Approval chains, utilization targets, and account hierarchies often prioritize billing over actual outcomes, leaving talented practitioners disillusioned and clients paying for outdated delivery structures.

Artificial intelligence has exposed the fragility of this pyramid. By automating documentation, analysis, and coordination, AI renders the traditional headcount-heavy billing model indefensible. Major firms have shed tens of thousands of roles in recent months, yet they continue to pitch AI transformation to the same clients whose projects were previously hampered by these large teams. The contradiction is becoming impossible to ignore.

Chris Griffiths, CEO and Co-founder of Retec Group, argues that the future of consulting lies in a leaner approach. By deploying small, senior teams that possess deep domain expertise and proximity to the client's business, firms can move at the pace modern retail demands. This model relies on culture rather than bureaucracy, favoring staff retention, accountability, and the courage to deliver difficult truths. For retailers selecting a partner, the most telling metrics are no longer found in credential decks; they are revealed in staff retention rates and whether the consultant who sells the project is the one actually doing the work.