Rethinking Engineering Consultancy: Why It’s Time to Operate Like a Tech Company
I have written a lot of design automation articles over the past few years. I can see a lot of engineers are interested to learn and evolve. However, only a fraction of people is motivated adopt new tools.
It triggers me to think:
Is there some fundamental characteristics of the engineering industry that causes this lack of motivation?
The architecture, engineering, and construction (AEC) industry is one of the most essential sectors shaping the built environment but it’s also one of the least scalable and slowest to evolve. If we’re honest, the traditional consultancy model is showing its cracks.
Young talent is disengaged. Profitability is tied to billable hours. And innovation often takes a backseat to deliverables.
To build a more attractive, scalable, and future-proof industry, we should start thinking differently.
And I think running engineering consultancies like tech companies is the way to go.
Why We Need to Rethink the AEC Consultancy Model
Engineering consultancy has historically been defined by labour: more projects mean more people, more hours, more effort.
But here are the problems:
And yet, across every other industry, the paradigm has shifted. Tech companies grow without linear increases in staff. They scale products, not just services. They build systems that multiply their output per person.
So why can’t engineering firms do the same?
What’s Broken: The Structural Limits of Traditional Consultancy
Let’s unpack the core structural issues that limit growth and innovation in conventional engineering firms:
1. Labor-Based Revenue Model
Most firms still monetise by billing hours. This means the only way to grow is to either raise hourly rates or add more people.
2. Fragmented Knowledge and Repetition
Engineers often recreate solutions from scratch (to some extent, even you use a universal spreadsheet) across projects. Lessons learned are rarely turned into scalable tools or reusable IP.
3. Incentive Misalignment
Engineers are rarely rewarded for building tools, sharing knowledge, or increasing efficiency. The incentive system values utilisation over innovation.
4. Rigid Roles and Hierarchies
Career paths are often limited to project management or people management, which undervalues technical excellence and tool-building contributions.
These constraints aren’t just bad for growth, more importantly they make the profession less attractive to a new generation of engineers hungry for impact and autonomy.
How to Fix It: Running an Engineering Consultancy Like a Tech Company
Here’s the vision: a hybrid firm where client services and internal tooling reinforce each other, built on lean teams, scalable tools, and tech-style culture.
1. Hybrid Structure: Consultancy + Product Team
Imagine a 10-person firm split into two integrated groups:
Everyone wears multiple hats, engineers can lead tools, developers can shape project workflows, and product managers emerge from inside the practice.
The trick here is both consulting engineers and product team need to understand the design process. It's not something you can do by hiring an external software engineer.
2. Scalable Workflow: Tech-Like Productivity
Borrow best practices from software teams:
Consulting becomes a testing ground. Tools evolve in real-time, based on real client needs.
3. Modern Incentives: Ownership and Autonomy
Talent stays when they’re treated like builders, not resources.
This is how tech companies build loyalty and performance. And it works obviously.
The Role of AI and Automation: From Engineer to Multiplier
A core lever for change is technology as a force multiplier.
This is how a 10-person team can deliver the output of 20 or more.
What Happens When We Make the Leap?
In three to five years, an engineering firm with this model could:
It’s already happening at the edges of our industry.
What’s missing is the willingness to redesign the consultancy model from the ground up.
Final Thoughts: Be the Firm That Builds the Future
The construction and infrastructure industries are on the verge of a technological revolution. But no revolution happens from the sidelines.
Consultancies should not wait for software vendors to innovate for them. Instead, they should become the innovators. Build their own tools. Rethink their own workflows. Align incentives with outcomes.
Running an engineering consultancy like a tech company isn’t easy, but I think is necessary.
If we want to solve bigger problems, scale smarter, and keep the best minds in the industry, we should reinvent how we work.
Wondering what you all think?
Principal Geotechnical Engineer
1moThe AEC industry shapes what we see, but it’s neither as essential nor as scalable as many engineers believe. Design makes up only a small slice of project costs, and its efficiencies are often overstated — civil and mining work is, at its core, just moving and reshaping mass. Engineering consultancy is sold as a source of solutions, but in practice it delivers expertise and due diligence to help manage risk.
Helping reduce geotechnical and mining risks | Geotechnical & Tailings Engineer | Ph.D., P.Eng.
1moI agree with your points, however, there are example firms that tried to do that and were not successful, the problem might be with the business model in general
Product Owner at Ramboll | Full Stack Developer | MEng, CEng, MICE
1moYou've tied a lot of thoughts I've had about our industry in a really elegant way, I love it! Also may result in a new type of professional that would thrive in this sort of setup, a master builder if you will
Civil Engineer | COREN R.Engr
1moPhilip Chin Fung Tsang , this has been my thoughts for a while, you clearly gave text to it .
Digital Technology & Business Consultant
1moI wouldn't expect anything less from you, Phillip. Exciting, can't wait to read future updates