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Anna Schosser23.05.202316 min read

5 Benefits of Artificial Intelligence in Human Resources

"AI will augment HR and give HR time to work on more strategic business issues. The opportunity is to use AI to streamline HR manual processes and provide a more consumer-grade service to employees"

- Jeanne Meister, co-author, The Future Workplace Experience

As a talent development expert, you know the importance of keeping your company's workforce skilled and motivated to achieve the organization's goals. But faced with the challenge of creating effective learning and development strategies, you might wonder if you're doing enough to stay competitive in an ever-changing business landscape. This is where artificial intelligence comes in.

This cutting-edge and modern technology has been transforming the HR field, providing professionals with the tools to offer scalable, immersive, and personalized training solutions for your team. In this blog post, we will discuss 5 benefits of artificial intelligence in human resources that will help you increase training engagement, streamline the hiring process, improve your onboarding process, measure the impact of your programs, and reduce the bias that stops you from the best talents out there.

 

What's in this post?

 

What is artificial intelligence?

Artificial intelligence (AI) refers to the simulation of human intelligence in machines that are programmed to learn and make decisions like humans. It involves the use of algorithms and machine learning to analyze data, identify patterns, and make predictions. AI-powered systems can process vast amounts of data, learn from it, and provide insights that can help organizations make informed decisions.

An example of AI in action is in recruitment, where AI can scan resumes, cover letters, and even social media profiles to identify the best candidates for a job. By automating tasks that are traditionally done by humans, one of the main benefits of AI in human resources is that AI enables HR professionals to focus on more strategic initiatives and improve the overall efficiency of the recruitment process.

Click here to read more about what artificial intelligence is and how it is being used today!

 

How does artificial intelligence affect human resources?

Artificial intelligence has become a crucial part of HR professionals' toolsets and for a good reason. AI-powered tools and technologies can perform tasks that would have taken hours or days to do manually. Recruiters and HR professionals can now focus more on high-value, strategic tasks that support the overall talent management and development strategies of their organizations.

One positive way that artificial intelligence affects human resources is that companies can save a considerable amount of time and money. 92% of HR professionals revealed that AI had helped them save time on administrative tasks. By streamlining and automating human resources processes with AI-powered software, HR teams can reduce their workload and increase their productivity levels.

Examples of this include using AI for resume screening and candidate shortlisting, which can reduce the time taken to fill an open position by up to 60%. AI can also help with scheduling interviews and communicating with candidates, which can reduce the time HR personnel spend emailing or calling each one individually.

Retorio benefits artificial intelligence group of employees around table discussing

 

What are the benefits of using artificial intelligence in Human Resources?

As mentioned previously, AI provides numerous benefits to human resources. With the ever-evolving business landscape, staying competitive can be challenging. This is why artificial intelligence has become increasingly crucial in human resources, providing professionals with tools to offer scalable, immersive, and personalized training solutions for their teams. From streamlining recruitment processes to reducing unconscious hiring biases, implementing AI in human resources can bring numerous benefits to companies, ultimately leading to increased efficiency and productivity.

 

1. Streamlined recruitment

One of the challenges that HR professionals face is the time-consuming task of sorting through hundreds, sometimes thousands, of resumes for a single position. This is where AI comes in. AI-powered screening tools can analyze resumes and shortlist candidates that match the job requirements, in a matter of seconds. This saves HR professionals time and ensures that they only spend time interviewing the most qualified candidates. For instance, Unilever, the consumer goods company, implemented AI in their recruitment process, and as a result, they were able to screen through 250,000 applications in a single year.

Another way that AI can streamline recruitment is by analyzing social media profiles to identify potential candidates. This is also known as passive candidate sourcing, and it involves using AI algorithms to search for individuals with specific skills and backgrounds, who may not be actively seeking employment. Retorio's behavioral intelligence platform also does this by scanning profiles and identifying each candidate's skills, and personality traits, that match a company's target profile for their ideal candidate.

AI can also help HR professionals schedule interviews more efficiently. This is achieved through the use of chatbots and natural language processing. By using Retorio's behavioral intelligence platform to streamline the recruitment process, HR professionals can save time, and receive quality, in-depth insights into each candidate's suitability for the job position in terms of their personality, behavior, and strengths all within minutes.

HR professionals can view each applicant anytime they want, whenever they want, however many times they want and make better-informed hiring decisions, and consistently welcome more top performers to their team.


2. Improved employee onboarding

When working in HR, you know the importance of having a well-structured employee onboarding process. It’s crucial for retaining top talent and hitting the ground running once they start their new role. However, developing an onboarding process that sets your organization and new hires up for success can be challenging.

By using personalized AI-powered training modules, your team can get the training they need, right when they need it. With AI-powered coaching and training, you can provide continuous support, ensuring that new hires are well-supported and integrated into the team.

One of the most significant benefits of AI in onboarding is that it can create a personalized learning and onboarding journey for each new hire. Instead of a one-size-fits-all approach, each team member can receive customized training based on their learning style, skill level, and role requirements. This way, new hires can feel confident in their abilities and fully prepared to excel in their job.

Additionally, AI-powered simulations can provide a safe space to practice job-specific tasks with realistic scenarios. This not only helps in learning, but the employee also feels less overwhelmed and can gradually build confidence. Further, through AI-powered chatbots, employees can get 24/7 support for any of their questions related to their job, including company policies and guidelines. This way, the initial challenges and constant questions about onboarding don’t become a bottleneck for productivity.

With AI implementation in the onboarding process, the initial training can be performed efficiently using automation, standardization, and scalability while remaining immersive at the same time. AI-powered software can help HR professionals track the progress of each new employee, create individual KPIs, and see how they are progressing through the training program. This way, HR professionals can have real-time feedback on the effectiveness of each module, and make adjustments if necessary.


 

3. Personalized Learning and Development (L&D)

Personalized Learning and Development (L&D) is essential for a company to attract and retain top talent. Employees are looking for continuous learning opportunities to develop their skills, grow their careers, and contribute to their company's success. However, creating personalized learning programs for each employee is a time-consuming and expensive process, which is challenging for HR professionals. Fortunately, AI-powered training modules have made the process scalable and cost-effective, making it possible to provide personalized training to every employee.

By using AI algorithms to analyze employee data, HR professionals can identify each employee's strengths, areas of improvement, and learning styles. This allows for the creation of personalized training programs tailored to each employee's needs and preferences. AI-powered software can track progress and adapt the training program's content and format, ensuring it remains relevant for the employee. In fact, a recent study has shown that more than 80% of learners felt that personalized training was more effective than traditional training methods.

Additionally, AI technologies offer opportunities for immersive learning experiences. Through simulating real-life scenarios, employees can learn by doing and receive personalized feedback on their progress. This not only allows employees to develop their skills and expertise in a practical setting but also helps them to build confidence and proficiency in their roles. Overall, personalized L&D powered by AI provides an engaging and effective way of developing employees' skills and competencies.

With Retorio's behavioral intelligence platform, employees can access their training 24/7 anywhere in the world on their laptop, smartphone, or tablet of choice. You can easily track your progress, receive personalized recommendations, and learn new skills in a safe space.

AI has transformed HR professional's ability to provide personalized L&D solutions to employees. By leveraging AI's capabilities for analyzing employee data and adapting training content, HR professionals can offer a scalable, immersive, and cost-effective learning experience. Personalized L&D powered by AI can ensure that employees develop their skills, grow their careers, and contribute to their organization's success. It is a win-win for both the employees and the company.

 

4. Reduced bias

As an HR professional, you also understand the importance of diversity and inclusion in the workplace. You strive to create a fair and unbiased hiring process that attracts the best talent. However, unconscious bias can creep in, making it challenging to ensure that all candidates are being evaluated on their merit alone.

In a recent report, 67% of HR professionals believe that AI has the potential to reduce unconscious biases in recruiting.

AI excels at identifying patterns in large amounts of data, which means that it can help to remove unconscious biases from the recruitment process. It can analyze resumes and applications based on skills and experience, without considering any demographic information of the applicant, reducing the risk of unconscious bias. AI algorithms can analyze resumes and shortlist candidates that match the job requirements, ensuring that recruiters only interview the most qualified candidates.

Additionally, AI can identify potential candidates by analyzing social media profiles and other online platforms. With the help of AI, you can reach beyond the limits of your network and find the ideal candidate with the fitting personality and behavior that will blend in well with the rest of your top-performing team members.

Reducing unconscious bias in the recruitment process is critical to achieving a balanced and diverse workforce. AI can help ensure that the hiring process is fair and free from bias. It can analyze hundreds of factors related to candidates’ personality, and workplace performance, and boil them down to a simple and effective data-driven decision.

 

5. Employee engagement and satisfaction

Employee engagement and satisfaction are essential for organizations to achieve their goals and retain top talent. HR professionals have been using various methods, from incentives to performance reviews, to improve employee engagement and satisfaction. However, AI has emerged as a powerful tool to increase engagement and satisfaction.

AI-powered chatbots, for instance, can provide employees with 24/7 support, answer their queries, and resolve issues, resulting in a positive employee experience and increased engagement. According to a study conducted by IBM, AI-powered HR processes can resolve up to 80% of routine customer queries, and improve engagement.

Another way AI benefits HR by improving employee engagement and satisfaction is by providing personalized L&D solutions. With AI-powered training modules, employees can receive customized training based on their learning style, skills, and role requirements, ensuring that they remain engaged and interested.

A study by Forbes Insights found that employees who have personalized learning and development experiences are 40% more likely to be engaged and satisfied with their work than those who do not. Personalized L&D powered by AI can help employees feel valued and invested in their role, which ultimately leads to increased engagement and satisfaction. By enhancing employee engagement and satisfaction, HR can achieve its goal of developing and retaining top talent, which is essential for seeing the company's success.

Retorio benefits artificial intelligence three women sitting at a table together talking

 

Examples of AI in Human Resources

Incorporating artificial intelligence in human resources has become more common in today's fast-paced business landscape. The following table provides examples of AI in human resource processes.

AI-powered resume screening  AI algorithms can evaluate and shortlist individuals based on preset criteria by analyzing resumes and job applications. This saves HR professionals time by automating the initial screening process and effectively discovering prospective matches.
Chatbots and virtual assistants  Chatbots and virtual assistants powered by AI are being utilized to deliver rapid solutions to HR-related questions from workers and candidates. They may assist with questions regarding benefits, policies, onboarding, and general HR information, therefore improving communication and accessibility.
Predictive Analytics for employee retention AI systems can forecast employee turnover by analyzing previous HR data, employee surveys, and other pertinent criteria. HR professionals may use this information to identify at-risk employees and conduct proactive retention efforts.
Skills gap analysis  AI-powered systems may analyze employees' abilities and competencies and compare them to job requirements. This assists human resource experts in identifying talent shortages within the organization and developing targeted training and development programs.
Performance management feedback AI-powered performance management solutions may automate the collecting of performance data, give feedback, and help in goal formulation. Artificial intelligence may help with continual performance tracking, making evaluations more objective and data-driven.

 

What is the future of Al in human resource management?

As the world becomes more digital and automated, it's crucial for HR professionals to embrace artificial intelligence in their practices.

According to Gartner research, "AI will create 2.3 million jobs while eliminating 1.8 million, resulting in a net job growth of 500,000."

This demonstrates how AI is not a threat, but rather an opportunity for HR professionals to enhance their work and create more efficient processes.

By leveraging AI, HR teams can streamline recruiting processes, provide personalized learning and development opportunities, and improve employee engagement and retention rates. The benefits of artificial intelligence in HR are vast, and it's time for companies to invest in these technologies to improve their workforce and stay competitive in today's rapidly changing business environment.

Simply said, the future of AI in human resource management is promising. Here are some key points to keep in mind:

  • AI will continue to streamline recruitment processes, making it easier and quicker for HR professionals to identify the best candidates for a job.
  • Personalized learning and development programs will become more common, as AI algorithms are used to analyze employee data and create tailored training plans for each team member.
  • AI-powered chatbots will provide 24/7 support for employees, helping them to resolve issues and answer questions quickly and efficiently.
  • Predictive analytics will be used to forecast employee turnover and identify at-risk employees, making it easier for HR professionals to conduct proactive retention efforts.
  • Skill gap analysis will become more sophisticated, as AI algorithms are used to identify gaps in talent and develop targeted training programs to address them.
  • Performance management feedback will become more objective and data-driven, as AI-powered solutions automate the collection of performance data and provide feedback in real-time.
  • Diversity and inclusion will continue to be a priority, and AI will play a key role in removing unconscious bias from the recruitment process.
  • Finally, as AI becomes more integrated into HR practices, it will free HR professionals up to focus on more strategic initiatives and improve the overall efficiency of the HR function.

Watch this video below to get a scoop into "how you can use chatbots to enhance — not replace — your HR services." 

 

The perfect time is now! Are you ready to start implementing AI easily and efficiently into your human resource management to improve your hiring and L&D process? Click on the button below to try it out now! 

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Key Takeaways

 

  • Artificial intelligence (AI) is a rapidly growing field that is transforming human resource management.
  • AI saves HR professionals time and money by automating manual tasks, such as resume screening and scheduling interviews, freeing up time for strategic initiatives and improving overall efficiency.
  • AI-powered personalized learning and development programs help employees develop their skills, resulting in increased engagement and satisfaction.
  • AI technology also reduces unconscious biases in recruitment, streamlines employee onboarding, and provides predictive analytics for retention.
  • As the world becomes more digital and automated, it's crucial for HR professionals to embrace AI in their practices to stay competitive.
  • The future of AI in human resource management is promising, with more streamlined recruitment, and personalized learning and development.

 

FAQ

Artificial intelligence (AI) has the capability to be a valuable tool for HR professionals in reducing bias in hiring processes. AI technology can be used to screen resumes and application forms, helping to eliminate the initial biased selection process. Additionally, machine learning algorithms can be used to identify patterns in previously successful candidates, providing HR teams with an unbiased framework for assessing new applications. Another way AI can help in reducing bias is by analyzing job descriptions and other hiring materials for any language or phrasing that might contain bias, helping organizations to craft more neutral job postings. By utilizing AI in these ways, HR professionals can create a more diverse and inclusive workforce, leading to more engaged and productive employees. However, it is essential to recognize that AI systems are only as unbiased as their creators and data sources, and they must be continuously evaluated and improved to avoid perpetuating any existing biases.

AI is commonly used in human resources to automate various tasks, such as resume screening, interviewing, and onboarding. It can help HR professionals analyze large datasets and identify patterns to make more informed decisions. For example, AI can analyze employee engagement surveys to identify factors that affect employee satisfaction and provide recommendations for improvements. AI-based chatbots can also be used to answer employee questions and provide help with HR-related tasks. Additionally, AI can be used for workforce planning, analyzing workforce data to identify skills gaps and predict future hiring needs.

While artificial intelligence brings significant benefits to human resource management, there have been concerns about potential negative impacts, such as job displacement and loss of human touch in employee interactions. However, studies have shown that the implementation of AI in HR can actually enhance the quality of HR processes and improve employee experiences. For instance, a study by IBM found that companies using AI in recruitment and onboarding saw an increase in employee retention rates by 35%. Therefore, it is vital for HR professionals to adopt AI in a responsible and ethical manner, ensuring that it complements human decision-making rather than replaces it.

 

 

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Anna Schosser

I create engaging and informative content about the importance of artificial intelligence and video-based AI technology for recruitment. I discuss cutting-edge AI developments and new technology with storytelling skills.

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