Syelo Ventures #007

June 2025

Chaos Theory, Recruiting, And The Butterfly Effect, Oh My!

The recruiting profession is being hollowed out and I hate to say but that’s a damn good thing. The days of middle-of-the-pack recruiters, relying on a numbers game approach and high volume spamming are numbered. The future belongs to the exceptional junior recruiters who actually pursue recruiting as a profession and the hyper white glove talent executive who has as much strategic foresight as they do human capital expertise. Everyone else? Gone. 

As this future unfolds the space will radically transform, every relationship in the hiring matrix will be revolutionized, but no relationship will change faster (and for the better) than the one held between internal and external recruiters. There has always been a clear delineation between agency recruiters and internal talent leaders, to put it bluntly - they both think the other sucks. But the future will be defined by the merger of agency and internal recruiters. The two will form a dynamic partnership, creating a hybrid model where recruiters operate across both worlds. 

Buckle up because recruiting is going back to the basics where relationships power everything. Your personal rolodex will replace your resume and having a deep, trusted network to tap into will be the deciding factor in success or failure. To have a next generation network you will need access to talent that algorithms & bots can’t reach and the only way to achieve this is by converging networks. Compounding network effects will drive value across the industry with the most connected recruiters winning the battle. Shameless TalentDex plug :) 

The Agency-Internal Tension: Why The Beef, Yo? 

For as long as I can remember, agency and internal recruiters have had a contentious relationship. It's often an “us vs. them” mentality, with internal recruiters eyeing agencies like a necessary evil rather than a partner and agencies looking at internal teams as glorified admins who couldn’t cut in the bloodsport of agency recruiting.

But the truth is we are same-same but different. At the end of the day both functions have one clear agenda, identify top talent that wants to work at a great company. The only difference is the process in which that talent is identified and how they are convinced to join. 

The Future: Can’t We All Just Get Along? 

For the separatist out there, I hate to break it to you our worlds are going to merge.  AI and automation will handle the grunt work: sourcing, screening, and matching candidates to job descriptions but humans will provide the nuance. Agencies will drive market knowledge and access to expanded candidate pools with internal teams focused on; culture, long-term vision, talent density, and strategic candidate pipelining tailored to their employer.  The future of recruiting won’t be defined by division; it will be shaped by collaboration.

Hybrid Careers: We All Join the Darkside  

The gang you rep will no longer be defined by internal or agency, there’s not enough demand to stick to one trajectory. Recruiting is going to become a hybrid career with most having careers that span both agency and internal roles in a consistent fashion. This trend has already taken root with so many former internal talent leaders spinning off their own solo practice and this is fantastic for the industry. 

This hybrid path will allow recruiters to bring a diverse perspective to both sides of the equation. They’ll understand the agency’s speed and scalability while also appreciating the internal team’s deep alignment with company culture. As more recruiters gain experience across both sectors, collaboration between the two will improve, fostering stronger relationships and better hiring outcomes.

The Bottom Line: Buckleup

Like the big-bang the explosion of our existing universe will create a collision course that will redefine our industry forever. The best recruiters will reach across the aisle and build relationships that help them tap into the best talent and create the most effective hiring strategies. By joining forces a unified front will be created that benefits candidates, hiring managers, and organizations alike. The future of recruiting isn’t about who’s faster or who has the best tools; it’s about who can build the strongest, most trusted networks - that’s where the real value lies. Recruiters are master networkers, what happens when we unify?