Insights on the world of work | Insights on the world of work

What if AI wasn't a threat, but a liberator? What if its true purpose in the staffing industry was to handle the data-heavy lifting, freeing up recruiters to focus on what they do best: the human connection?

Kip Wright Founder & CEO
WrightPath Advisory

According to Wright Path Advisors founder & CEO, Kip Wright, this isn't a far-fetched dream; it's the industry's next great opportunity to reinvent itself. This new model, which Wright vividly describes as "Jerry Maguire meets the assembly line," would empower recruiters to move beyond keywords and focus on "the softer side of the match, the characteristics and personalities of individuals and how they fit" with a client's core objectives. While the technology can feel daunting, the path forward is clear. "Those things," Wright concludes, "are where I think this industry has the opportunity to go."

This opportunity extends to clients as well. AI is radically reshaping what and how they buy, pushing them toward more deliverable and outcome-based purchasing. This shift is driven by a larger strategic move as companies streamline their operations to focus on core functions, increasingly turning to expert partners for everything else.

While it's hard to deny the prolonged downturn the industry has faced—marked by headwinds from tariff wars to AI disruption—the tide is slowly turning. Wright points to strong tailwinds, including a pro-business administration, a focus on reshoring work, and a tremendous amount of pent-up demand. Executives are already seeing growth and anticipate that momentum will continue through 2026.

Capitalizing on this impending growth requires a thoughtful strategy. In the short term, firms must have plans and trigger points to invest as demand returns. Long term, the focus must be on leaning into technology and automation, particularly at the points of attack: sales and recruiting.

However, a recent survey conducted by Wright in partnership with LEAP advisory partners reveals a critical gap. While AI adoption is a top executive priority, the findings indicate a "profound lack of awareness" of the AI capabilities already embedded in the tools firms are using. A staggering 40% of respondents were unaware their existing technology even had AI components, meaning they are sitting on powerful, underutilized investments. This highlights a significant, immediate opportunity to unlock greater efficiency and ROI simply by mastering the tools already at their disposal.

This vision of a more valuable, human-centric role stands in stark contrast to the narrative of commoditization that has plagued the industry. Wright is a staunch advocate for shedding the reluctance to be called a "staffing" company and instead wearing the label with pride. The industry makes a profound impact on the lives of individuals and the success of businesses—a value that should be front and center.

To thrive in the coming years, Wright’s advice is that leaders must shift from a mindset of pure competition to one of "co-opetition," fostering a shared responsibility for the health of the entire ecosystem. The future isn’t about being replaced by technology; it’s about being enhanced by it. By leaning in, staying informed, and collaborating, the industry can navigate the crossroads ahead.

As Wright says, “A rising tide lifts all boats, but keep in mind if you drain the lake, no one will float.”

Want to know more about Kip Wright?

Watch his recent podcast Staffing in Flux
Hear him speak at Techserve Alliance Execute Summit 2025
Follow him on LinkedIN