To stay competitive, talent acquisition must be AI-first

For decades, talent acquisition has been hindered by legacy processes designed for a bygone era of work. Outdated infrastructure and piecemeal system updates have only added friction, leaving recruiters juggling disconnected platforms while candidates endure confusing, drawn-out hiring experiences. Traditional TA systems may track applicants, but they rarely optimise the full talent lifecycle. They often lack interoperability, provide limited analytics for strategic decision-making and fail to meet modern candidates’ expectations for seamless, digital experiences.

The result: wasted recruiter effort, frustrated candidates and missed opportunities to hire top talent. In today’s fast-moving labour market, such inefficiencies are not just inconvenient; they are a direct drag on business performance. Over the past few months, The Josh Bersin Company has been exploring this issue, prompted by data showing that only 17% of applicants reached the interview stage last year, while 60% abandoned their applications altogether due to slow, outdated processes.

We need a better way to do this, and AI, both generative and machine learning, offers a clear alternative. It is one that a growing number of TA teams are turning to, and our discussions with multiple hiring teams show AI adoption is accelerating fast, underlining how quickly HR and TA teams are embracing AI-driven transformation.

Solid results for talent acquisition—and fast

The organisations we interviewed for our study, The Talent Acquisition Revolution: How AI is Transforming Recruiting, reported that embedding AI at the heart of their talent acquisition function streamlines workflows, accelerates decision-making and elevates recruiting into a truly strategic capability.

Our findings show that AI-powered TA delivers two to three times faster hiring, higher-quality matches between candidates and roles, and unprecedented precision in talent sourcing. This impact spans multiple facets of the TA process: Generative AI (GenAI) can craft tailored job descriptions, personalised candidate communications and onboarding materials, while advanced analytics can model hiring scenarios, forecast workforce needs and uncover untapped talent pools.

These capabilities are beginning to transform recruitment from a reactive function into a precise, data-driven process. The benefits are clear: Increased efficiency lowers hiring costs, better candidate-role matching reduces turnover and boosts productivity, and richer data insights enhance workforce planning—fully aligning recruitment with long-term business objectives.

While the business benefits for employers are clear, AI-first hiring systems also deliver a superior candidate experience, enhancing engagement and strengthening the organisation’s reputation as an employer of choice.

Overall, our research found that AI-powered talent acquisition can achieve:

• 87% reduction in manager and recruiter interview preparation time
• 70% decrease in manager candidate reviews
• 30% reduction in hiring bias
• 30% higher quality of hires and 10% lower costs from poor hires

Additional analysis shows that AI-enabled TA can reduce recruiter application review time by 80%, cut job description drafting by 90% and shorten HR time to build a skills architecture by 90%.

Together, these efficiencies underscore AI’s transformative impact in making talent acquisition faster, fairer and more strategic.

What could AI-empowered TA do for you?

These impact benchmarks are likely to spur many CEOs to press their CHEOs to accelerate the adoption of AI-powered talent acquisition. However, an AI-first evolution in recruitment is not simply about installing new software. The practitioners we interviewed emphasised that success requires overcoming technical, cultural and organisational barriers, and rethinking recruitment as a dynamic, integrated process that drives business growth.

That is because AI-first systems represent a fundamentally new paradigm. By automating repetitive tasks—such as resume screening and interview scheduling—AI frees recruiters to focus on higher-value work. Machine learning rapidly identifies best-fit candidates, natural language processing accurately parses unstructured data and predictive analytics enable proactive workforce planning.

AI-driven efficiencies deliver measurable business impact. Freed from administrative tasks, recruiters can focus on high-value candidates, provide strategic guidance to hiring managers and align recruitment with broader business objectives. Candidates also benefit, experiencing a smoother, more personalised process that enhances offer acceptance and retention.

Yet the shift to AI-first talent acquisition comes with challenges. Successful implementation often requires investment in technology, training and change management. Legacy systems may be deeply entrenched, and leaders might resist replacing platforms that, while flawed, are perceived as still functional. Additional barriers to progress include data privacy concerns, the need for ethical AI practices and cultural resistance—particularly when recruiters fear that automation could threaten their roles.

These realities underscore the importance of deliberate, strategic implementation. A strong first step is piloting AI in high-impact areas such as resume screening or interview scheduling. Delivering quick wins helps build confidence and momentum, while thoughtful integration ensures that AI systems work seamlessly with existing human capital management platforms.

Make AI a tool that empowers recruiters, not replaces them

Equally important, our interviewees emphasise investing in recruiter development. AI augments rather than replaces recruiters, positioning them as strategic orchestrators of technology. Organisations need to invest in upskilling programmes that equip recruiters to interpret AI insights, manage data ethically and use automation to enhance judgment, making AI a tool that empowers rather than displaces.

Metrics must also evolve; traditional measures, like time-to-fill or cost-per-hire, remain useful but are not enough for AI-enabled hiring. Organisations should assess recruitment’s impact on broader business outcomes, including revenue growth, workforce agility, innovation and employee engagement. Linking performance to strategic goals demonstrates the value of AI investments.

READ MORE: The superworker emerges: Asia’s workforce transforms to partner with AI

Ethical considerations are also crucial. Algorithmic bias is a real risk if AI models rely on historical data reflecting systemic inequities, so responsible AI-enhanced TA implementation demands fairness, transparency, accountability, diverse training data and governance frameworks.

Success also requires a holistic approach that aligns technology, people and processes, integrating AI into end-to-end workflows, upskilling recruiters and establishing oversight mechanisms. We recommend that CHROs view the adoption of AI not as a one-off technology project, but as a continuous journey of adaptation and improvement.

Do you want to be a laggard or a pacesetter?

Ultimately, organisations that succeed in the future of hiring will treat AI not as a replacement for human judgment, but as a partner that enhances it. By automating routine tasks, generating actionable insight and improving candidate experiences, AI enables recruiters to operate with greater strategic impact.

The transition requires investment, planning and cultural change, but the potential gains in efficiency, agility and overall business performance are too great to ignore. The question is simple: Will you be left behind by the TA AI revolution, or help lead it?

About the Author:

Stella Ioannidou is Senior Director of Research and Global Workforce Intelligence Project Leader at The Josh Bersin Company. This article was first published on HR Executive.