How AI solutions are re-shaping the future of work and recruitment

Within five days of its launch, over 1 million people had used ChatGPT, an artificial intelligence chatbot developed by OpenAI, with the platform hitting a record 1.6 billion visits by March. This revolutionary tool has garnered mass public attention for its ability to quickly provide information and answers on a wide range of topics and questions.

With AI tools gaining popularity, every industry is considering how it can leverage this game-changing technology. Within human resources, recent studies show that 33 percent of HR professionals are curious about integrating AI tools in their workflows. AI use generally is not a new technological addition to the HR sector – Gartner found that 17 percent of organisations were already using AI-based tools in their HR functions as of 2020, with a further 30 percent expected to adopt similar technology in 2022.

As the use of AI continues to diversify and accelerate within the HR space, businesses are reaping the benefits of optimised recruitment procedures. As with all technologies, HR leaders must take steps to ensure their AI systems are securely processing candidate data and that their algorithms are sorting candidates effectively and without bias.

Using AI to drive efficiency

Using technology to boost efficiency isn’t new for HR leaders: many organisations already use a human capital management (HCM) platform to automate processes from optimising schedules of an entire workforce to predicting burnout and flight risk. AI-processed data has also been used to help businesses deliver better pay equity, diversity, and inclusion for their workforce. In some cases, AI has also helped drive employee engagement and well-being by using job performance data to recommend internal career moves.

In the recruitment process, AI is already being used to source and screen applicants. This allows HR teams to efficiently build shortlists of top talent and tap into much-need support for informed decision-making. For sought-after positions and companies, incorporating AI into recruitment has made huge impacts to the hiring process. When a HR lead receives 500 job applications for one role, they can use AI solutions to determine initial best fits and move the hiring process forward at a quicker pace.

Levelling the playing field for candidates

Meanwhile, candidates have been quick to leverage the power of AI; the adoption rate of generative AI in the workplace by Gen Z has already reached 29 percent in the US. Many job seekers are already using generative AI as a combination career coach and resume writer to help them improve cover letters, review CVs, and ensure applications match the key words of job postings.

While some HR professionals may not be onboard, the fact is that AI is a useful tool for candidates applying to businesses that have already implemented the technology into the hiring process. For recruiters, they should worry less about whether a candidate used AI to proofread a resume and focus more time understanding how it may be leveraged in an interview setting and in skills testing exercises to ensure that they are getting a true picture of a candidate’s abilities.

Upholding ethical values

AI use has modernised workplaces, but data privacy ethics and compliance must be considered when adopting this technology. While some employees and candidates may be comfortable with allowing AI to process their data, others may feel uneasy about potential bias built into algorithms or having their personal and family background information used to determine flight risk. In addition to ensuring that no data is being used without explicit consent, businesses need solutions that are regularly tested and scrutinised to prevent bias from creeping into their processes.

New policies about the use of AI in the workplace must consider the ethical use of this technology – in the way that data is collected and used, the way algorithms are designed, and in the way those algorithms are evaluated and tested. Strong data governance processes should be in place before AI is implemented. Design teams focused on AI algorithms should be diverse and participate in regular ethics training, with guardrails in place in the form of governance committees. Lastly, the performance of the algorithms should be reviewed and tested to ensure the results are fair and balanced, and not surfacing any unintended consequences.

Looking into the future

With a variety of tools becoming more accessible to individuals, AI solutions alone will no longer be enough to ensure businesses are finding the right talent. Only talent intelligence software will be able to help recruiters see past the ‘fake’ or ‘fluff’ in applications. Talent intelligence software uses various artificial intelligence technologies, like natural language processing and machine learning to automatically screen resumes and identify ‘best fit’ candidates for an open position, saving time and increase the efficiency of the hiring process. By incorporating such solutions which do not rely on AI as a sole tool, businesses will be able to protect themselves against becoming vulnerable to unqualified job applicants. HR departments are now faced with a new responsibility, as they determine the right technology that will suit their business needs. Some, for example, might consider deploying talent intelligence software to increase efficiency and reduce bias.

The bottom line

As AI finds its way into HR leaders’ day-to-day life, data privacy, compliance, and ethical considerations will continue to evolve. To ensure that AI is properly implemented in businesses’ human capital management processes, enterprises should adopt AI/ML technologies which have a track record of industry-leading compliance, in addition to being transparent about data collection with both current and prospective talent. As the technology matures, AI will no longer be the main driver for efficiency and candidate suitability in recruitment. Instead, talent intelligence software will emerge as a crucial differentiator, playing a significant role in reimagining businesses’ hiring processes and the overall candidate experience.