top of page
Writer's picturePARiTA

AI + HR: Revolutionizing HR in the AI Era

Revolutionize HR with AI

HR’s involvement in the integration of AI into the workplace is two-sided; HR acts as both the facilitator of AI-driven workplace transformation and as an AI adopter to redefine its own practices. So far in this blog series we have focused on the former but this final blog will investigate how AI can be integrated into HR functions themselves. AI is poised to equip HR with the tools to manage both current and future workforce needs, a necessity in today’s world where HR responsibilities are rapidly expanding. 


How can AI revolutionize HR?


The integration of AI into HR brings advantages in three ways:


  1. AI-Enabled Automation: AI is able to automate repetitive and time-consuming tasks that HR teams would otherwise be bogged down in. Teams can therefore allocate their time more efficiently which is especially important for distributed and global workforces where scaling the HR function is often a barrier to success. In fact, 65% of HR leaders recognize AI as a catalyst for increased efficiency and productivity (Engagedly, 2023). The result of streamlined HR operations is a greater focus on strategic initiatives over administrative tasks which contributes to a stronger people agenda that will hit both the top and bottom line. 


  1. AI-Enabled Intelligence: Only 21% of HR leaders believe their organizations are effective at using talent data to shape talent decisions (Gartner, 2023). AI can help bridge this gap due to its ability to process and analyze large, complex datasets and thus uncover intricate patterns, trends, gaps and predictions. The result is the effective use of talent data which is crucial to unlocking smarter, future-thinking strategic decisions regarding talent management and planning. 


  1. AI-Enabled Personalization: AI can enable more personalized and inclusive experiences for employees, improving engagement and retention. By leveraging real-time sentiment analysis, AI can monitor employee behavior, concerns, and levels of satisfaction and customize employee experiences’ based on this intelligence. One use case of this is learning and development: every employee will have a different learning style and so the potential for AI to personalize their training to their specific needs and style is extensive.


While AI will most definitely transform the HR function in terms of efficiency and productivity, AI will simultaneously redefine the roles and expectations of HR professionals. As automation takes over routine tasks, HR roles will prioritize strategic decision-making and human connections as HR professionals try to strike a balance between the technological advancements and personal aspects of HR.


How can HR harness AI effectively? 


Implementing AI within the HR function specifically is not without its challenges. 


  1. Be Purposeful in your Approach to AI: When starting out it is easy to get lost in the noise that surrounds AI, ultimately resulting in an ineffective AI implementation that fails to address the intended challenges. Consider the following strategies:

    1. Start with a clear purpose: Start by defining the areas of improvement within your HR function, these can be specific pain points ready for AI solutions or broader areas in need of winnowing down.

    2. Focus on outcomes, not just tools: Avoid adopting AI for its novelty; instead, focus on how it can improve specific outcomes, such as employee satisfaction, efficiency, or decision-making.  Your purpose should be centered around your workforce, not AI.

    3. Stay aligned with your goals: Regularly review your AI projects to ensure that they are still aligned with your objectives. Bear in mind that as your organization evolves, your priorities may change so be sure to revisit and refine your goals accordingly. 


  1. Incorporate Sufficient Technical Expertise: Whether internal or external to your organization, technical know-how is essential in creating a solution tailored to their unique needs, technically sound, and aligned with ethical standards. Consider the following strategies:

    1. Ensure internal collaboration: Work closely with internal IT and data teams to ensure AI systems make the best use of all the people data that HR has at its disposal.

    2. Navigate the build-vs-buy decision: Although IT and data teams should be involved regardless, be sure to evaluate whether building a custom AI solution in-house is feasible by considering factors such as scalability, cost, and integration requirements.

    3. Evaluate the Vendor Landscape: If you decide that an external AI solution is the way to go, vet AI vendors not just for their solution’s outputs but also for ethical practices, security, and implementation support as these are critical for an effective solution.


  1. Ensure Ethical AI Practices: HR is a deeply human-focused function and so if AI is used unethically or without proper oversight, it can erode HR’s very objectives. Consider the following strategies:

    1. Take bias mitigation measures: Ensure that you have a regular monitoring and oversight system that not only monitors algorithms and data inputs but also keeps the human in the loop when it comes to the resulting decisions.

    2. Ensure appropriate use: Develop and enforce ethical guidelines for employees that are using these AI solutions to ensure that the capabilities are not overrelied upon for decisions that require human judgment and nuanced understanding.

    3. Promote transparent practices: Use AI systems that provide clear, interpretable outputs that make it easier for HR professionals and to understand decisions and then communicate them appropriately to both employees and leadership.


As we have seen, HR has much to gain from the integration of AI into HR operations: greater efficiency, heightened productivity, proactive planning and the list goes on. However, HR not only has the opportunity to benefit from AI’s capabilities but also the critical role of ensuring that its implementation throughout the organization is ethical, inclusive and human-centric. As HR and leadership collaborate to harmonize AI's capabilities with the fundamentally human elements of work, a very new and exciting type of organization could emerge.


Comments


bottom of page