The Impact of AI in Human Resource Decision-Making Processes


AI has the capacity to make decisions in real-time, based on pre-installed algorithms and efficient computing technologies. With an HR department encompassing the human element and AI, companies can provide an enhanced experience for their candidates and employees, writes Khalid Durrani, Digital Marketing Manager, Cubix.

“Deep-learning will transform every single industry,” said Andrew Ng, a Chinese-American scientist excelling in machine learning and AI. McKinsey’s forecast on machine learning backs up his statement claiming that by 2030, AI will have a significant impact of $13 trillion on the global economy.

The Human Resource department will also witness the influence of AI. HR professionals understand the importance of optimizing the combination of the human mind and machine learning for a seamless workflow and intuitive work environment.

AI has the capacity to make decisions in real-time, based on pre-installed algorithms and efficient computing technologies. With an HR department encompassing the human element and AI, companies can provide an enhanced experience for their candidates and employees.

Additionally, artificial intelligence can help businesses understand their target market and promote result-oriented sales strategies.

AI is the ability of machines to imitate human intelligence. AI technology allows machines to learn and adapt automatically based on the data analysis to provide more refined responses to the situations. So, the question is how does AI impact Human Resource, a department that relies on its human factor.

Let’s explore the influence of AI in HR:

Talent Acquisition

The most prominent use of AI in HR is seen in the talent acquisition processes. From screening candidates, maintaining databases, scheduling interviews, and answering job seekers’ queries, it reduces manpower spent on mundane tasks.

It reduces hiring time significantly, allowing the HR team to be more productive in other areas like sourcing, recruitment marketing, employee management, and more. The AI-enabled screening will help in picking out the candidates with the most suitable skill set, relevant experience that fit the company’s requirements.

AI-based chatbots can communicate with potential candidates and match their profiles against the position requirements. It will narrow down the list to only those aspirants that fit the job description. The AI-enabled system will then schedule interviews and hire the top applicants.

It will save time and effort of the HR team, allowing them the opportunity to focus their energy on other tasks. 

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After the hiring processes, the AI-integrated system will introduce the new employee to the company information on their first day. From job profile to company policies, the reporting authority, team members, task assignment, and other information, will be automatically relayed to them through an app or laptop. The entire process is defined as onboarding.

Onboarding is a vital part of improving employee retention rates and increasing HR productivity. One study by Click Onboarding states that there is a higher probability of employees staying with a company long-term if they experience a superior onboarding.

Artificial intelligence allows customization of the process to cater to individual employees and their respective positions. Algorithms can be integrated within the software for:

  • Explaining job profile, duties, and benefits.
  • Relevant and important contacts within the company.
  • Answering frequently asked questions by new employees.
  • Document verifications
  • Device requests, and more.

Learning and Training

AI-integrated systems can also help in teaching and training the employees in their respective domains. The skills required by a job position are constantly changing with time. With new innovations and software in the market, it is imperative that we learn and adapt to the new technologies to stay on top.

AI will assess the employees’ skills and recommend videos or learning programs based on their job requirements. It will automatically read documents or analyze an employee’s activities and create appropriate learning programs.

AI technology can analyze the data collected from years of experience and inform the HR team which employee needs training and in what field. With intelligent algorithms, it will also recommend the best strategy to help people learn better and faster.

Additionally, companies can leverage AI technologies with e-learning platforms to enhance employees’ skills. It will devise a custom training regimen for individuals based on their skills and the company’s requirements. The e-learning platforms will help employees learn new techniques, polish existing characteristics, and more at a pace they find comfortable.

Moreover, an AI system can be integrated with an algorithm that determines the career path for individuals based on their training plan. The managers can use the results to turn their team into a more cohesive workforce.

Cognitive-Supporting Decision-Making

IBM conducted a study in 2017 over how cognitive computing will influence HR. The research revealed that artificial intelligence can help professionals make quick decisions on day-to-day matters.

The Human Resource department is responsible for the mental, emotional well-being of an employee apart from their work contributions. AI-enabled systems will take over the task of observing and analyzing employees’ mood before and after a client call. The HR can then decide if the individual needs a break or can continue.

AI can also detect anxiety in a person’s behavior and tone of voice. It will help the employers decide if they should look into the matter and resolve it before it is harmful to the employees and the company.

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As AI helps improve employee productivity, it can also help train leaders to excel in their position. AI-enabled systems will ask the leaders’ team members and assess their remarks to determine a customized coaching module for the leaders.

Additionally, the leaders can access online dashboards and view a comparison of their management against their peers. It will help them understand the effectiveness of their methods and how to improve.

Administrative Tasks

AI-based software can automate repetitive, administrative tasks. It can play a role in HR strategy, employee management, analysis of company policies and practices, manage payrolls, and more. It can automate the workforce, investigate corporate compliance, and litigation strategies.

From screening to interview scheduling, AI can speed up hiring processes. Additionally, it can also allocate office space and equipment allowing HR staff to direct their time to more valuable tasks.

Smart chatbots are another AI-based technology that can help in HR’s decision-making. It can relieve the HR staff of relaying company-related information to employees, simultaneously providing them with an overall view of the organization. With proper algorithms, AI-enabled systems can give prompt responses to employees’ queries, doubts, and manage the submission and processing of leave forms.

Wrapping Up!

Artificial intelligence requires a lot of data to work efficiently for which it needs proper storage and management. Companies would need extra personnel to operate and maintain the advanced software. Additionally, with the rising preference of SaaS solutions, the low datasets for AI will also pose difficulty in the worldwide adaptation of the technology.

The ideal strategy to employ AI in HR management would be to use AI software to analyze the data collected and leave the decision-making to the human staff. Before implementing AI within HR operations, examine the areas where AI could be useful. If the primary reason is to improve the overall employee experience, it could increase productivity and decrease operational costs.

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