The Infrastructure Investment and Jobs Act (“IIJA” or the “Infrastructure Bill”), a $1.2 trillion investment in our nation’s infrastructure and competitiveness, provides significant opportunities for businesses within the professional services sector.
How will this increased activity impact professional services firms? What do professional services firms need to do to prepare for the influx in opportunities?
Listen to Scott Duda, Leader of Cherry Bekaert’s Professional Services Industry and Nita Sanger, a Director in the Firm’s Digital Advisory practice as they talk about how the Infrastructure Bill will impact the professional services industry and what companies need to do to position themselves for growth. Topics covered in this episode include:
- How the increase in activity will impact different subsectors within the professional services sector
- Areas you should examine to take advantage of increased demand and grow your business, including go-to-market, products and services offered, and how you operate as a business
As your company looks to prepare for the increase in opportunities, now is the time to revisit your people, processes, and technology to ensure you are giving your people the opportunity to be the most efficient and effective that they can be to take advantage of this once-in-a generation investment and maximize your full growth potential.
To determine actions needed to optimize your business to take advantage of the Infrastructure Bill funding, we recommend your organization take a more holistic approach and conduct a “design-thinking” session facilitated by our team of strategists, technologists and analysts. Your journey will be unique, and we are here to guide you forward.
More Insights:
- Building a Better Roadmap: Are You Ready to Capitalize on Infrastructure Investment?
- Is Your A&E Firm Ready to Capitalize on the Infrastructure Bill?
View All Professional Services Podcasts
HOST: Welcome. I'm Scott Duda, leader of our professional services practice group for Cherry Bekaert. Today we're here to discuss the infrastructure bill, otherwise known as the Infrastructure Investment and Jobs Act, and its impact on professional services firms.
HOST: With me today is Nita Sanger, director in our digital advisory practice. Nita, can you tell us a little about yourself and your background?
NITA SANGER: I appreciate the opportunity to be here. I've been consulting for the last 25 years, focusing on professional services, financial services, and legal services. My work in digital transformation began around the last credit crisis, when I helped transform several financial services firms, then global businesses for a Big Four, and later the legal and regulatory division of an information services provider.
NITA SANGER: One of my first projects at Cherry Bekaert was our firm's digital transformation, so I have substantial experience in this area.
HOST: There's no new tax in the infrastructure bill and no major changes in law. Much of it is about changing federal spending priorities, funding projects like bridges and green initiatives, and accelerating execution.
HOST: As we examine the bill's impact on professional services, it's about building efficiencies and capacity, often through digital transformation. Nita, how will this increased activity affect professional service segments?
NITA SANGER: Professional services cover many subsectors, and we will see increased demand. These businesses are people-driven, bringing expertise and specialized skills to meet clients' needs, often enabled by technology.
NITA SANGER: Key segments include architecture and engineering, firms like ours, financial services, legal services, and general business services. Architecture and engineering firms will need to offer services for repairing and rebuilding roads, bridges, airports, and ports, and ensure they can adequately serve these projects.
NITA SANGER: Professional services firms will help businesses across industries—manufacturing, industrial, and others—figure out how to take advantage of opportunities. Many firms will seek technology to become more efficient, need support with digital transformation, and require cybersecurity assistance.
NITA SANGER: Legal services will see increased demand for contract management, governance, risk, and compliance as companies adopt new technologies and pursue new business. Financial services will be needed to fund growth, and business services will help companies become more efficient and productive.
NITA SANGER: Overall, the entire professional services sector will experience increased demand, and firms should assess which services they offer to determine how to respond.
HOST: Over the next 12 to 18 months, professional services will be impacted by increased demand. What actions can firms take to capitalize on this—how do they build efficiencies, capacity, and better data management?
NITA SANGER: We recommend thinking in three broad areas: how you go to market, what products and services you offer, and how you operate as a business.
NITA SANGER: For go-to-market strategy, firms should define target clients, prioritize projects, and track opportunities to ensure limited time and resources focus on the most efficient projects. Technology will enable these processes and help keep clients engaged, including civic engagement for architecture and engineering projects.
NITA SANGER: Regarding products and services, most professional services are project-driven. Firms should ensure projects are efficient and consider adding productized offerings. Use client data and analytics to provide business insights that help clients run more efficiently.
NITA SANGER: In operations, talent is the key resource. Firms must ensure talent is used effectively and focused on value-added activities. Automate repeatable tasks and provide tools that make people more efficient.
NITA SANGER: Firms should consider retention and attraction strategies, alternative models like fractional or remote talent, and platforms that provide narrow subject matter expertise. For back-office operations, automate repeatable tasks, evaluate outsourcing non-revenue activities, streamline systems, and consider strategic alliances, acquisitions, or joint ventures to meet client needs.
NITA SANGER: There is no one-size-fits-all solution. Take a step back, assess your business, and determine how to move forward given constrained talent and rising opportunities.
HOST: Can you give specific examples of how digital transformation has helped professional services firms?
NITA SANGER: At Cherry Bekaert, our digital transformation focused on identifying where people spent time and which repetitive tasks could be automated. By automating routine work, our people could focus on higher-value advisory services.
NITA SANGER: We leveraged the large amounts of client data we hold to provide analytics and insights that help clients run their businesses more efficiently. We also reviewed operations to identify tasks that could be automated or outsourced.
NITA SANGER: We implemented similar projects for a midsize law firm that lacked data for leadership to make decisions about case efficiency. After our engagement, they recognized growth opportunities and asked us to help position them for expansion.
NITA SANGER: We used a design-thinking approach in what we call Cherry Bekaert's Quick Start session to assess market conditions and recommend operational changes to support growth. We've applied these approaches with multiple professional services firms.
HOST: This is an important moment for professional services firms to revisit systems and processes, ensure people can be as efficient and effective as possible, and prepare to capitalize on opportunities over the next 12 to 18 months.
HOST: For those interested, we'll include contact information where you access this podcast, along with a link to the design-thinking session that Nita mentioned, the Cherry Bekaert Quick Start session.
HOST: That session provides a day to brainstorm processes and systems, set priorities, and revisit operations so your people can be most efficient and take advantage of upcoming opportunities.
HOST: As always, please let us know if we can assist in being your guide forward.
