AI Agents vs. Agencies vs. Human Agency

“Agency” and “agents” and “agencies”. These words are swirling around the AI discussion.

While they are only a few letters off from each other, the distinction is crucial for understanding the shifts ahead.

First, let’s get clear on terms:

• AI Agents: Autonomous systems increasingly capable of performing complex, specialized tasks (writing, coding, analysis, design).
• Agencies (Businesses): Traditional firms (marketing, creative, consulting) primarily built on aggregating and selling specialized human expertise.
• Human Agency: Our fundamental individual drive, initiative, and power to act and make things happen.

AI Agents are devaluing pure human specialization by replicating expert tasks like writing, coding, and analysis. These are only the first few areas as other repeatable fields like management consulting, architecture, law, accounting, and more are coming too.

This directly threatens traditional Agencies whose business model relies on billing for those specialized human hours – their foundation is cracking under the pressure of AI-driven efficiency and scale.

Yet, this disruption fuels incredible opportunity. AI massively amplifies individual human agency. Motivated individuals and agile small businesses can now deploy AI firepower, executing sophisticated projects that once demanded large agency retainers and teams. The power to do is being democratized.

The advantage is shifting: from Agencies selling siloed expertise, to adaptable players who effectively orchestrate AI and human capabilities to achieve strategic goals.

Is the traditional Agency model, built on expertise alone, facing decline as AI empowers individual human agency? What does radical adaptation look like for these businesses beyond just selling hours?

Originally posted on LinkedIn. Join the discussion and share your thoughts there.