Environmental Due Diligence

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The Environmental Professional’s Playbook in an Unpredictable Market

October 29, 2025 4 mins

2025 isn’t exactly going according to script. The year opened with the typical New Year’s optimism, followed by early Q2 tariff shocks that spiraled into a mix of inflation jitters, recessionary fears, political drama, labor market weakness, and federal policy uncertainty. For environmental consultants, forecasting in an uncertain market is challenging.

And yet, uncertainty doesn’t have to mean paralysis. If anything, the leaders who grow and thrive in periods of great uncertainty are those who adjust to volatility as the “new normal” and move forward with measured optimism, not blind hope and fear. As the popular, fictional UK football coach Ted Lasso put it:

“There are two buttons I never like hitting—and that’s panic and snooze.”

Neither panicking at the negative noise in the business headlines nor snoozing through growing headwinds will position firms for success during an uncertain market cycle. Here are five strategies to help environmental professionals stay confident, focused, and resilient when the market won’t sit still.

1. Staffing in a Stop-and-Go Market

When project pipelines surge or stall, staffing is often the first stress test for consulting firms. Rather than overhiring in good months or cutting too deeply when work slows, the most successful leaders keep their workforce nimble.

Agility often begins with cross-training that enables staff to pivot between service lines as project demand shifts. Building relationships with reliable subcontractors helps absorb temporary surges, while maintaining business development roles ensures readiness for the next opportunity.

2. Stay Informed Amid Regulatory Uncertainty

If 2025 has a buzzword, it’s PFAS. The lack of clarity on how per- and polyfluoroalkyl substances will ultimately be regulated, both federally and at the state level, has created a confusing patchwork of obligations. One state may have stringent testing and assessment thresholds in place, while another is still defining what “acceptable” exposure even means.

While PFAS dominates headlines, it’s only one piece of the regulatory fog. Federal efforts around CERCLA, climate change, affordable housing, and banking regulations are also in flux. For CEOs, this requires two related responsibilities:

  • Ensuring staff is hyper-informed as new policies and funding shifts are announced, and new regulations take shape.
  • Educate clients transparently about the uncertainty itself. Clients don’t need false confidence. They look to qualified consultants for honest assessments of what’s known, what’s in flux, and where to build contingencies.

3. Adapting to Rising Costs and Project Delays

Talk to any consultant involved in construction-phase projects, and they’ll tell you: budgets set two years ago no longer hold up. Tariffs, labor shortages, and inflation have pushed development costs higher than many investors anticipated. In response, some projects are paused as sponsors scramble to rebalance budgets, while others plow ahead but with additional capital injections. For environmental consultants, this means projects are stopping and starting, which can disrupt planned cash flow.

By building flexibility into contracts and expectations upfront, firms can protect both margins and relationships. Communicating early and often about timelines, budgets, and shifting priorities helps preserve trust even when circumstances change.

4. Filter the Noise, Focus on Insight

It’s easy to get caught up in the headlines, but reacting to every market blip leads to confusion and burnout. The best leaders rely on trusted sources such as industry associations, law firms, and advisors who can turn noise into actionable insight. Creating structured forums such as weekly leadership huddles, client pulse checks, and scenario workshops helps teams digest information collectively and stay aligned. Those who rely on rumor or fragmented updates are more likely to “hit the panic button” Coach Lasso warned against. The goal: fewer knee-jerk reactions and more informed, deliberate moves.

5. Forecasting Through the Fog

If staffing, regulatory uncertainty, and rising project costs are today’s headaches, forecasting is tomorrow’s migraine. Clients may be hesitant to commit to long-term projects when trade policy, tax regimes, and agency enforcement priorities remain in flux. Consultants, in turn, are challenged to project which service lines will grow next year, and by how much. This makes resource allocation like where to put staff, where to invest in marketing, which geographies to prioritize exceedingly difficult.

Preparing for 2026 and Beyond

If 2025 has shown us anything, it’s that managers can’t control the headlines. The year winds down, CEOs must navigate their path ahead against an unpredictable backdrop. The firms best positioned to thrive will focus on the levers within reach: staffing models that flex with project cycles, scenario-based forecasting models, and sharper systems for tracking regulatory change. Financial resilience will be just as important, with diversified client bases and the ability to prioritize projects the present the strongest opportunities for delivering value.

NOTE TO READERS

This blog is an excerpt from the Inside the Industry column authored by Dianne Crocker, LightBox’s research director, and Alan Agadoni, senior VP, LightBox EDR published monthly by the Air & Waste Management Association in its EM magazine. The column covers a mix of timely business, strategic, and technical topics impacting the world of environmental management.

The full article appears in the October 2025 issue of EM Magazine, a copyrighted publication of the Air & Waste Management Association, and is via AWMA’s online, interactive EM flipbook.

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