Artificial intelligence is reshaping the professional services landscape, upending the decades-old leverage model that has long defined the industry. According to Clark R. Beecher of Beecher Reagan Advisors, the traditional talent pyramid is collapsing from the bottom as firms rely less on junior analysts. This shift is forcing organizations to rethink recruiting strategies, redeploy investments, and prepare mid-level leaders to step into tomorrow’s go-to-market roles. Let’s take a closer look!
September 22, 2025 – The professional services talent pyramid is collapsing from the bottom, and AI is forcing the collapse, according to recent report from Clark R. Beecher, managing partner and co-founder at Beecher Reagan Advisors.
“For decades, professional services firms have followed the traditional leverage model to deliver work and maximize profitability,” the report said. “The few Partners at the top sell the work and manage client relationships while teams of junior analysts carry out the day-to-day tasks. And it’s worked. But it’s not the 1960s anymore.”
Since AI has entered the picture, Mr. Beecher explained that pyramid is collapsing at the base.
“Let’s say you want to do a market assessment to figure out where to open the next location of your bank,” the Beecher Reagan Advisors report said. “That work used to be done by a team of five, and they’d come back in a few weeks and deliver the analysis. Well, now the same work can be done by one mid-level professional with AI in a couple of days.”
“So what we’re seeing is that many of the larger firms are scaling back on on-campus recruiting and cutting back on junior-level talent investments,” the report continued. “That’s going to put immense pressure on the talent model because you’ll end up with a future where fewer and fewer people are entering the pipeline the natural way to develop into tomorrow’s leaders. This pressure is going to create a couple of important shifts.”
1. Hiring Externally Will Become Increasingly Important.
Unless we can somehow automate the job of the partner or the sales executive (which I don’t see happening right now), firms will still need to hire for that role, according to the Beecher Reagan report. “With fewer junior people entering the talent funnel and developing into future partners, finding the capabilities needed to drive growth will have to come from direct admit hires.”
2. Spend on Junior Talent Needs to Shift to More Senior Levels.
Firms have traditionally invested heavily in on-campus recruiting to get people as they complete their undergrad or finish an MBA program, the Beecher Reagan report explained. “If we’re ok with AI and technology doing the work that many of these junior people typically do, then firms need to move that spend to the middle and more senior levels of the organization.”
Related: Beyond Traditional Executive Search: Human Insight, AI Power
Beecher Reagan also noted that those mid-level people need to be developed in the right capability areas, and they need to be prepared to become the future sales and go-to-market leaders.
Clark Beecher serves as a managing partner and is one of the co-founders of Beecher Reagan. He has spent most of his career advising management consulting, technology services and business advisory service firms on building and growing their industry, functional and new geographical practice areas. Mr. Beecher has worked with advised the most premier consulting firms in the industry and is known for sharing his expertise with leaders and clients he serves. For over 20 years, he has led and successfully completed searches for some of the leading professional services firms including: Accenture, AlixPartners, Bain & Company, The Boston Consulting Group, Booz Allen Hamilton, Deloitte, EY, Infosys, IBM, KPMG, McKinsey & Company, Oliver Wyman and PwC.
“The reality is that many middle-market firms are better positioned to deal with these shifts because they’ve been running a model based on more experienced talent all along,” the Beecher Reagan report said. “Their junior people already have 10 years of service in consulting or professional/business services.”
On the other hand, the top 20 percent of firms, which built their business on the traditional talent model, are more vulnerable to the impact of these shifts and have further to go to align with where we’re headed.
Related: How to Embrace AI Before It’s Too Late
“The firms that will win are the ones that embrace technology, invest in developing the capabilities needed to maximize it, and position their mid-level talent to become their future go-to-market leaders,” the Beecher Reagan report said.
The Mandate: Scaling to $100 Million
A high-growth professional services firm set out to double revenue from $50 million to $100 million, moving from referral-driven sales process to a structured, scalable go-to-market model. Beecher Reagan was engaged to recruit a chief revenue and marketing officer with proven success leading both functions and scaling beyond $100 million.
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The selected leader brought a track record of transforming sales and marketing into high-performance engines and is now driving the processes, talent, and market focus to position the firm for its next stage of growth, the Beecher Reagan report explained.
Founded in 2009 by Mr. Beecher and Tim Reagan, Beecher Reagan is an executive search and leadership firm focused exclusively on senior professional services and the consulting talent market. The firm brings more than 100 years of combined experience to help professional services, Fortune 500 and alternative investment companies map search strategies to organizational goals. The partners at Beecher Reagan have longstanding relationships within the consulting, professional services, and private equity space.
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Contributed by Scott A. Scanlon, Editor-in-Chief and Dale M. Zupsansky, Executive Editor – Hunt Scanlon Media