What are the benefits of AI in HR?

AI in HR may seem a contradiction in terms. After all, isn’t the role of HR all about people? But it can really help businesses become more efficient.

Artificial intelligence is a hot topic. In fact, the government recently revealed a blueprint that shows its fully sold on the idea that it will ‘turbocharge’ the UK.

When it comes to human resources, AI shouldn’t be seen as a handy way of replacing people. It can help make your business more efficient, however.

Despite the government’s love of AI, a recent study from Indeed has shown that small businesses in particular are less enthusiastic.

The research found that almost one third of UK small businesses are scared to implement artificial intelligence. And that’s despite acknowledging its benefits. Other points from the research shows that:

  • A quarter of small businesses have had pushback from their team over using Artificial Intelligence.
  • By not implementing AI, small businesses are being held back from time-savings that could take their business to the next level.
  • Almost 40% of businesses want to easy-to-use AI products. 

How can AI in HR help businesses?

Did you know that working less makes you more productive? It’s easy for business owners to want value from their workforce. But that doesn’t mean it should be in how many hours of overtime they’ve done, as productivity is a better measure.

This is just one area where AI can really help. Artificial Intelligence technology can make your team members more constructive as many tasks are suited for AI and automation.

Some people even argue that AI represents a shift in roles rather than making more people unemployed. AI expert Hung Lee says that AI should be applied to your current workflow. And he warns against it being used simply to generate more output.

Strategically investing the time Artificial Intelligence saves and the resources it releases can bring real value to your organisation.

What are the benefits of AI in HR?

As well as automating some administrative tasks, AI can be used widely across your organisation for a number of duties.

AI in recruitment

It may seem like some kind of Orwellian nightmare, but AI really can help your talent acquisition. A number of solutions are available that streamline the recruiting process. This includes:

  • Sourcing. Technology can identify suitable candidates by searching databases and online platforms for relevant skills and competencies. 
  • Screening. AI helps sort through large numbers of candidates who fit job requirements. This includes making assessments on qualifications.
  • Interviewing. No, we don’t suggest you use a robot to interview candidates! But AI can schedule and generate relevant interview questions to save you time. And time is money…
  • Candidate communication. Keeping in touch with candidates is an important part of recruitment. Using AI solutions means candidates can be sent information throughout the hiring process. This also helps ensure you don’t accidentally leave out a candidate, which can happen with human error.

Admin and AI

Think of online accounting software and you’ll immediately see how Artificial Intelligence is already helping businesses. But it isn’t just in finances that it can help your organisation.

You can automate data management, which is often both challenging and time consuming. 

Scheduling and coordinating meetings is often a time consuming task for any business owner. And it can be really tricky if you’re travelling and not able to access your schedule easily. Automated tools can simplify the process, which is useful for both internal meetings as well as meeting candidates.

Managing employees

From supporting learning and development to assessing personal performance data, AI delivers a personalised internal up-skilling and development programme. It can also monitor employee well-being, which allows teams allocate resources better and supports a safe and healthy work environment.

It is also useful for storing employee records as well as the information for contractors and agency workers. AI is particularly useful when it comes to recording timesheets and attendance. Also, approving holidays and managing your company calendar is so much simpler with specialist HR software to help you keep on top of those tedious but essential tasks.

Measuring results

Measuring results and processes is crucial in today’s data-driven environment. By integrating AI and automation into recruitment and employee performance, it can provide insights, optimise processes and boost results and efficiency. Artificial Intelligence also helps manage large sets of data, which helps improve data handling and analysis.

Are there any drawbacks?

The biggest issue with introducing AI in HR is to rely too heavily on it for every role. There are many roles within your business where AI cannot replace human expertise. Artificial Intelligence should be seen as a tool that makes your team more efficient.

Be careful about data collection processes, too. While AI measures employee performance, it is crucial to preserve the privacy of employees.

There is no doubt that some of your workforce will need to re-skill when you are implementing Artificial Intelligence. The pain will be worth the gain, however. But that will mean many businesses will need to make provisions for the extra costs of up-skilling their team.

Finally, you will need to ensure that whatever AI you use, it is ethical, compliant and legal! Expect changes to law and regulation changes as Artificial Intelligence continues to grow.

Can AI help my HR needs?

The short answer is ‘yes’. The feature-rich software used by Shrewd HR will help you automate workflows, prepare reports and integrate third-party apps, such as Xero and Teams. And it is all compliant with GDPR.

For more details, contact us today to let us show you how Artificial Intelligence can help you deliver your HR tasks.