Revolutionizing HR: The Impact of AI on Human Resources

Discover how AI is transforming the world of HR– and the benefits embracing it will bring to your team.

December 22, 2023
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AI is already helping forward-thinking HR teams get more done and quickly make informed decisions.

Interested in finding out how?

Read on to learn how Artificial Intelligence is transforming the world of HR – and the benefits it can bring to your team if you embrace it.

What is Artificial Intelligence?

Artificial Intelligence is when a machine can perform cognitive functions typically associated with human minds. For example, Machine Learning algorithms can adapt to new environments and learn from their mistakes, while Generative AI can create text, images, and audio that it’s sometimes hard to believe wasn’t created by a human. 

While this might sound like the stuff of science fiction, chances are you’ve been interacting with AI for years without realizing it. The likes of Siri and Alexa are built on Artificial Intelligence technology, and artificial intelligence chatbots have been handling customer support queries on websites for years.

What can AI do in HR?

15% of HR teams are already implementing AI to streamline and improve workflows and processes.

Here’s a quick look at some of the most common ways they’re doing that:

Resume screening

One of the biggest AI trends in HR over the last few years has been the implementation of AI in HR recruitment. 

AI-powered resume screening is an invaluable tool when it comes to handling the hundreds of applications you might get for each of your open roles. It quickly separates strong candidates from the rest by scanning their application for factors like their experience, skills, and education. Artificial intelligence software can even assign scores to each application based on how well-suited candidates are for the role – all without being affected by unconscious biases.

Employee benefits

Next-gen HR management tools can help you design an employee benefits package that’s a genuine pull for top talent, too. And with 62% of workers saying employee wellbeing support and benefits are one of their top priorities when they’re applying for or considering their next job that can make a huge difference to your recruitment efforts.

AI tools in HR can give you real-time insights into which of the benefits you offer your employees make use of most often – and which rarely get used. You can then use these key takeaways to come up with a combination of benefits that helps you attract the top talent in your industry and boost staff retention.

Reducing turnover

One of the biggest benefits of artificial intelligence in Human Resources is that Machine Learning algorithms can boil big datasets down to the key takeaways a lot more effectively than us humans.

And that makes it an invaluable tool when it comes to reducing your turnover.

Here’s why:

If you feed AI-powered HR software all the data you have on your employees, it can actually calculate how likely each of your teammates is to leave, why that is, and what you can do to prevent them from turning over.

Employee turnover costs are more expensive than you think. Keep yours down by making sure your Human Resources department knows how to make the most of AI in HR analytics.

Survey analysis

Reading through every response to your employee surveys is not only time-consuming, but often takes you sailing past the point of diminishing returns. 

AI can help you here, too. Using natural language processing algorithms, it can quickly summarize the sentiment of responses to your surveys and pick out trends, helping you make informed decisions a lot faster.

Diversity and inclusion initiatives

Last but not least, AI can quickly analyze pay disparities, promotion rates, and employee satisfaction rates across your organization. This can reveal where DEI interventions might be needed to make sure all your employees are being treated fairly regardless of their age, gender, or race.

What are the benefits of AI transforming HR?

There’s no doubt about it: AI is going to change the world of HR forever.

And while that’s going to disrupt the industry, it’s also going to bring a whole host of benefits to those who embrace artificial intelligence as a digital assistant.

Here’s a quick looks at just a few of the benefits:

It eliminates busywork

AI can format data, write stock responses to frequently asked questions, and schedule a meeting that works with everyone’s availability at the click of a button.

By taking these tasks off your team’s plate, it frees them up to spend more time on strategic human resource management and less on repetitive tasks.

It helps you quickly make informed decisions

AI not only frees you up to focus on higher-value tasks that require creativity, critical thinking, and human judgment. It also helps you make more informed decisions when you step into strategy mode.

Feed a natural language processing algorithm a big dataset – from the results of an engagement survey to your exit interview transcripts – and it will pick out the trends and key takeaways at the click of a button. Then you can take that overview and use it to quickly make informed decisions rather than getting stuck in paralysis by analysis.

A personalized employee experience

It would be amazing to be able to take the time to provide each one of your teammates with an employee experience that’s been designed around their exact preferences. But the reality is that HR departments are simply stretched too thin to even think about that.

AI chatbots can get you a long way there, though. They can welcome them to the business with an automated onboarding flow that hits all the onboarding best practices. Plus, they can support them through a learning and development plan that’s been designed to get them the skills they need to reach their career goals.

A better employee experience

The more your team embraces AI, the more they’ll get from it. 

For example, Assembly’s Dora AI – currently in beta – is your peoples’ personal digital assistant. Your employees upload a personal database of files to Assembly, then simply ask Dora questions about their work to get the answer instantly rather than having to search through all their inboxes and files for what they need. 

This kind of tech can completely transform the employee experience. And this is just the beginning – there’s a lot more benefits to unlock as AI continues to develop.

Will AI take over HR?

Worried AI is going to take your job?

Executives have estimated that 40% of their workforce will need to reskill as a result of implementing AI and automation over the next three years.

But the fact is: no matter how good AI gets, the human element will always be needed in HUman Resources for understanding unique employee needs, breaking down silos in the workplace, and fostering a strong company culture.

However, will you be able to last in a HR role – or any knowledge work role – if you refuse to embrace AI altogether? That’s looking unlikely given how much better your AI-literate colleagues will perform if they tap into the benefits artificial benefits can bring them in the workplace.

The final word

While AI isn’t going to take your job, it is going to transform it. Start using it in the HR processes we’ve mentioned in this article to futureproof your career for tomorrow – not to mention start reaping the benefits artificial intelligence can bring you today.

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