AI and agentic AI may reduce demand for human consultants and harm competitive position.
“The rapid development and adoption of AI and AI-adjacent technology, and of AI’s competitive use cases, may make it more difficult for us to compete in our industry. Our competitors may have greater success implementing and using AI technology than us, which could harm our ability to compete effectively and could adversely affect our results of operations. The occurrence of any of these risks could have an adverse effect on our business, reputation and results of operations. Additionally, AI may accelerate the pace at which our clients can automate functions that would otherwise be performed by our consultants, which may reduce demand for our human capital solutions or exert downward pricing pressure on our services. Further, if agentic AI or similar technologies reduce the size of our clients' workforces or enable them to fulfill professional staffing needs without engaging our consultants, our revenue and operating results could be materially adversely affected.”