AI is changing the HR Departments

By Rubinie Rubinie Rajendran - April 22, 2023

Any organization's human resources management (HRM) department is essential for finding, retaining, and developing people. The area of human resource management (HRM) is increasingly relying on artificial intelligence (AI) as technology develops. Enhancing efficacy and efficiency is the goal.

How HR teams using AI as a tool?

AI tools are adaptable and provide HR teams with a variety of applications, assisting them in carrying out numerous crucial tasks in a quicker, more thorough manner than ever before. Here are some examples of how HR departments are currently using AI technology.

Recruitment: helping to choose candidates

Recruitment is another field where AI can be helpful: it can be used to simplify the search for candidates, sift through and manage applications, and identify profiles that meet the selection criteria for a given position. Chat bots can then be used to talk to a candidate in the form of pre-recorded questions, collecting information about skills, training and previous contracts. Algorithms analyze the content of job offers semantically, targeting the CVs of applicants who are the best match for recruiters' expectations in internal and external databases via professional social networks such as LinkedIn.

These tools are aimed primarily at companies with high volumes of applications to process, such as banks for customer service positions or large retailers for departmental supervisors. Candidates are notified about the process and give their permission for their smartphone’s or computer’s microphone and camera to be activated. These techniques appear to be efficient for low-skilled jobs and markets that are under pressure. At the same time, the more a position calls for high, complex skills, the greater the technology’s limitations (hec, 2022)

Training and skills: personalized career paths

The AI approach to training involves a shift from acquiring business skills to customizing career paths. With the advent of learning analytics, training techniques are evolving. Data for tracking learning modes (the time needed to acquire knowledge and the level of understanding) can be used to represent the way people learn and individualize suggestions for skills development.

In addition, AI is used to offer employees opportunities for internal mobility based on their wishes, skills and the options available inside the company. AI start-ups put forward solutions for streamlining mobility management that combine assessment, training and suggestions about pathways, positions and programs for developing skills (hec, 2022).

How AI benefits HR departments

Improved efficiency

AI can automate time-consuming, repetitive procedures so HR experts may concentrate on developing strategy. Additionally, AI enhances decision-making by providing insightful data from predictive analytics and HR.

For example, AI can enhance hiring efficiency by streamlining the screening and selection process. Algorithms can analyze resumes, determine the most qualified candidates and provide information to help recruiters make better hiring decisions.

Reduced costs

AI-powered software can analyze large amounts of data to identify patterns and trends and suggest cost-effective solutions. For instance, AI gives information about your sources of hire that generate the highest quality of applicants so you can allocate your hiring budget accordingly or drop ineffective recruitment channels.

Better decision-making

AI enables the collection and analysis of data in your HR processes to eliminate biases and guesswork to guarantee you are choosing the right candidate or offering the best compensation and benefits plan. For example, mining recruitment data helps uncover challenges so you can address them objectively.