The Impact of Artificial Intelligence on Human Resources

Less than a year after it was launched, ChatGPT hit 100 million weekly users. Plus, more than two million developers are currently building on the company’s API, including the majority of Fortune 500 companies.

So, it’s safe to say AI is here to stay.

It’s already helped forward-thinking HR teams automate everyday tasks and make more informed decisions. Read on to find out how else AI is set to transform HR in the next few years.

How is AI used in HR?

More HR teams are using AI every day to streamline processes, enhance decision-making, and improve the overall efficiency of their HR functions.

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

Automating resume screening

Do you receive hundreds of applications for each open role – most of which aren’t suited for the job at all?

AI-powered resume screening can help you quickly separate the frontrunners for the job from the rest of the pack. It can analyze each application then score it on how well suited the candidate is for the role based on their experience, skills, and education. 

And it can do all that without being influenced by unconscious biases, helping you create a diverse workforce.

Optimizing employee benefits packages

Want to know which of your employee benefits are most likely to attract and retain top talent?

Artificial intelligence technology can analyze which of the benefits you offer your people use most often. Then you can take that information and use it to design the most attractive benefits package possible.

Predicting employee turnover

AI can interpret and analyze big datasets a lot more effectively than us humans. Which makes it an incredibly powerful tool when it comes to reducing turnover in your organization. 

For example, if you feed AI all the data you have on your employees and it can calculate how likely each employee is to leave, why that might be, and even what you can do to keep them.

Employee surveys and feedback

Another way artificial intelligence software can help support your human resources department is by using natural language processing algorithms to quickly analyze the sentiment of responses to your employee surveys. 

This will help you get to grips with how your people are feeling without having to sift through each employee’s full response to a survey. Plus, it will quickly surface trends and areas for improvement.

AI-powered diversity and inclusion initiatives

One of the biggest benefits of artificial intelligence in human resources is that – while they’re certainly not perfect – algorithms can help mitigate against unconscious bias when your organization is deciding who to hire and promote.

Because AI focuses solely on candidates’ skills, qualifications, and experiences needed, it can help choose the right person for the job without being influenced by unconscious biases.

Plus, AI-powered HR management tools can analyze pay disparities, promotion rates, and employee satisfaction rates within your company. This helps figure out where DEI interventions might be needed to make sure all your employees are being treated equitably.

How is AI going to change HR?

AI is already helping HR teams eliminate busywork, automate routine tasks, and quickly garner actionable insights from big datasets.

But we’ve only scratched the surface of how it’s going to transform how HR professionals operate – not to mention how the workforces they serve are going to change.

Here are a handful of ways AI tools in HR are going to change the word of AI in the coming years:

Improve workplace communication

Some emails aren’t easy to write. You might have to shoot someone’s idea down, point out they’ve made a mistake, or deliver bad news.

Luckily, AI can help out here, too.

Soon, it will be common practice that an artificial intelligence chatbot will provide real-time feedback on the tone and language you and your teammates use in your emails and Slack messages. 

This can help your team develop more inclusive communication habits – as well as help you word delicate messages whenever they need sending. 

Personalize learning and development

When asked what the biggest reason employee training doesn’t reach its desired outcome:

• 18% of HR professionals said it was because of misguided reskilling objectives for employees
• 15% said it was because of lack of tracking of training completion
• 10% said it was because of irrelevant training content

AI in HR analytics can help you overcome each of these issues.

Next-gen strategic human resource management systems will track each of your employees’ skills, professional goals, and learning preferences. They’ll then take this information and use it to tailor a unique training program for each employee that’s hyper-focused on helping them achieve their career aspirations.

It will also track how each employee engages with their training program and tweak it in real-time based on how they engage with the different materials.

Every employee will have an AI assistant 

One of the most exciting AI trends in HR is that it empowers each of you employees with their own digital assistant.

Sounds like science fiction, right? But it’s actually something you can start benefiting from today through Assembly’s Dora AI, which is currently in beta. 

Instead of having to trawl through your internal wiki looking for the document they need, your employees can simply ask Dora for it instead. Our AI assistant will then search the entire company intranet and let the employee know the information they were looking for in seconds.

How is AI used in the HR life cycle?

AI is helping teams improve the employee experience from recruitment all the way through to offboarding.

Here’s how:

Recruitment

AI has already revolutionized the recruitment process. 

AI algorithms can analyze and optimize your recruitment efforts to make sure you’re getting the biggest return on your investment on your job ads. Screening resumes then takes a fraction of the time with the help of artificial intelligence. And AI chatbots can even help you test candidates by simulating a realistic conversation with a difficult customer so you can see how they’d handle it.

Employee management and engagement

AI-driven chatbots and virtual assistants can help give your employees’ the best possible onboarding experience, too. They can quickly answer common questions and put new hires in touch with the right person to answer more complicated queries they might have.

Plus, AI can track how each employee engages with your onboarding process. This will not only give you real-time feedback on how to improve it. It will also flag which new hires are showing signs of becoming one of the 66% of people who quit a job in the first six months so you can keep staff retention high.

Workforce analytics

Predictive analytics can also help HR departments forecast workforce trends, skills gaps, and employee turnover. By tracking employee data, it can predict which of your people are at risk of leaving – and even suggest what you can do to keep them.

The final word

AI is already helping HR teams streamline their processes, analyze big datasets, and free up time to spend on more strategic work.

Keep on top of the trends we’ve outlined here to make sure your team business stays on the cutting edge of the AI revolution rather than finding themselves falling behind.