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By: Matt Sedlock on April 23rd, 2019

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How Artificial Intelligence Can Transform Human Resources

HR Tech

With technology advancing, an emersion of AI has been a trendy topic of discussion between my peers and clients.

A big reason discussions have started is due to Amazon’s AI recruiting tool showing bias towards women with the fear of the “unknown” or even potential job loss.

As an HR Consultant in an evolving industry with technology advancements, I am excited about the potential of AI, especially in the HR industry.

The intersection of human and machine-based intelligence is well-suited for human resource departments.  Transformation is possible when synergy creates a positive employee experience while reducing the administrative burden on Human Resource professionals. 

The Best Ways to Leverage AI in HR

HR professionals can focus on areas that will have the greatest impact on the business they support while AI is helping to make improvements in areas such as:

  • recruiting
  • onboarding
  • assessments
  • and management practices.

In my opinion, HR leaders should be looking for how automation can create greater efficiency and effectiveness to accomplish routine tasks. AI technology will not replace HR team members, but rather enhance key functions while providing a greater employee experience.

AI & Recruiting

When it comes to recruiting, AI can streamline the process by relying on the analytical processing of large amounts of data instead of the observations of individuals across an organization.  With AI advancing, it can help in the beginning stages of recruiting, specifically screening candidates.  AI software can create relevant interview questions that have no regard for someone’s background and actually focus on the competencies and requirements of the job.

“52% of talent acquisition leaders say the hardest part of recruitment is identifying the right candidates from a large applicant pool, according to AI recruiting software platform, Ideal.” 

The best benefit or capability of AI is that it automates the workflow of repetitive tasks, such as screening.  The huge analytical capabilities of AI can sift through large amounts of data on many candidates very quickly.  Thus, freeing up recruiters to spend more time on more critical parts of the process such as live interviews, shortlisting of candidates, and converting candidates to hires. 

Studies show next year hiring volume will increase, but recruiting teams will remain around the same size. When organizations can recognize the benefits of AI, it can lead to reduced time-to-hire and therefore making the acquisition of talent easier in a very hot job market.

Ideal also reports, “early adopter companies using AI-powered recruiting software have seen their cost per screen reduced by 75%, their revenue per employee improve by 4%, and their turnover decrease by 35%.”

Onboarding

With the help of AI, organizations can create a more personalized approach to onboarding new employees. Many HR departments experience a high volume of work around welcoming new staff to the company and getting them assimilated. 

AI chatbots can be programmed to provide real-time answers to the most common questions asked by new hires.  Employees can be more self-sufficient around finding answers to questions that take up a lot of time for HR, and are usually answered through company policies and practices. 

Performance

Assessment of performance is another area that can be positively impacted by AI.  In most organizations, the monitoring of performance generates a lot of data, and metrics can be incredibly time-consuming.  

With AI software, leaders can conduct predictive behavioral assessments and track performance.  The software makes it easier for HR to create valuable insights out of the data and support managers in making informed decisions about the performance of their teams. 

HR and managers will have the tools at their fingertips to accurately audit performance against business and team objectives and monitor where additional interventions might be needed.

Organizations that leverage AI as an ally in the war for talent and a tool for creating greater efficiencies and effectiveness will likely be a more high performing organization.

AI gives HR professionals the freedom and opportunity to focus on value-add activities in support of business goals.  It is the way of the future in many facets of business processes, and Human Resources is an area that can gain great benefits by jumping into the AI space and leading from the front.