That’s an opportunity for us for sure. And to continue both consulting and digital to monetize this IP, the assessment data that we have, we’ve done 100 million assessments of people. That’s another one as well.
Operator: Your next question comes from the line of Tobey Sommer from Truist Securities. Please go ahead.
Tobey Sommer: Thanks. I wanted to dig into one of your responses on IT and interim. Is that weakness what you said predominantly is there for interim, is that declining sequentially at this point, or did it fall earlier in the year, and we’re still having sort of year-over-year declines on that basis?
Bob Rozek: Yes. Tobey, it’s Bob. I would say that — well, there’s a couple of things that I think the decline that you see on the interim side. One was we had a particularly large contract that had a defined life to it. And so that kind of caused it a little bit because the project concluded and went away. I would say that the — what we’re seeing in terms of the sort of sequential activity on the IT side, the level of decline is absolutely decelerating at this point. And I would say, once we get past the Q1 to Q2 sequentially, we would expect based on everything we’re seeing today, that to kind of plateau as well.
Tobey Sommer: Okay. Thanks. I just had a couple more. Prior slowdowns have been followed by rapid growth. And I think we’ve discussed on this call, this is a little bit more of a normalization reset. But we haven’t had sort of all the classic tales of a recession and a change in the labor market on the negative side. What kind of growth can we — what could it look like on the other side, if we, as an economy here, sort of stick this soft landing and unemployment in the U.S. doesn’t really rise significantly?
Gary Burnison: Well, it depends on what — I would first go back to, well, okay, what’s Korn Ferry’s actual CAGR? What do we look like? And I think — and Gregg can correct me on these numbers. But our 10 and 20-year CAGRs are probably 12%, 13%, 14% all in. That’s both organic and inorganic. So I think you, number one, have to say, okay, what has this organization done historically? And is there any reason to believe in that going forward? And I think there’s a whole host of reasons why this company is even better positioned today than say it was 10 years ago. So I think you have to look at that as kind of a baseline. And then you kind of go from there. And you’ve got a new — we have a new business going out a new market around people that want flexibility in their life.
And companies that want to employ flexible labor. And that certainly — for us, that’s a relatively new business. And in the span of 18, 20 months, we’ve created a $330 million, $350 million business. So, I think that could be easily $1 billion. The consulting business is — I mean, the market opportunity there is multibillion dollars. We’ve demonstrated that we can drive an integrated go-to-market strategy. We’ve got cross referrals at 25%, 30%. We’ve got a global marquee regional account strategy that’s 40%. So, everything absolutely points to that baseline and more, honestly. I do think that the labor market is going to continue to experience shortages. And the late concept of labor hoarding, that’s for a reason. Markets are efficient.
And the truth is the United States labor market really hasn’t moved tremendously over the last several years. And I think you look out further, and it’s — you just don’t see a huge number of people entering the labor force. I mean, it’s going to be fairly, fairly modest. The ability to monetize IP is still it’s incredibly important for us. And that business is around $90 million today — $85 million, $90 million. And we have to continue to look at that and find ways to embed our IP across all of our solutions. It’s very scalable. It’s incredibly profitable. And so, that’s how I would look at this organization. I think it’s — I really think it’s at the beginning of what it can be.
