Digital Transformation and Business Model Evolution in the Consulting Industry: Strategic Complexity, Information Use, and Multi-Model Adaptation

Abstract

The global consulting industry is undergoing a profound transformation driven by rapid digitalization, evolving client expectations, increasing technological complexity, and intensified competitive pressures. Traditional consulting business models, which historically relied on expertise-based, relationship-driven, and project-oriented value creation, are increasingly challenged by digital platforms, data-driven decision-making, and scalable advisory solutions. This research article examines how consulting firms adapt their business models in response to digital transformation, focusing on the theoretical foundations of business model innovation, the role of information and technology, and the management of complexity in multi-business-model organizations. Drawing strictly on established academic literature, industry reports, and authoritative databases, this study integrates classical business model theory with contemporary perspectives on consulting practice. A qualitative, theory-driven methodological approach is employed, synthesizing insights from business model ontology, dual and multiple business model strategies, information utilization, and consulting niche specialization. The findings highlight that successful consulting firms increasingly adopt hybrid and multi-layered business models, balancing traditional high-touch consulting with digital, data-enabled, and platform-based services. The study further reveals that information governance, strategic use of analyst insights, and failure-prevention mechanisms play a critical role in sustaining competitive advantage. The discussion elaborates on theoretical implications, managerial challenges, structural tensions, and limitations of existing models, while proposing directions for future research on digital consulting ecosystems and small and medium-sized enterprise advisory contexts. The article contributes to academic discourse by offering an integrated, deeply elaborated conceptual understanding of business model evolution in the consulting industry under digital transformation pressures.