Artificial Intelligence in HR: 8 Exciting Applications in 2023

Since its arrival, AI has taken the world by storm. It’s growing fast, and many companies are using it to enhance their growth. From sales to management, organizations are developing AI-based solutions for every problem. 

We see artificial intelligence everywhere in a company, but what about human resources? Can the HR department use this technology too? 

Many people have this question, and in this article, we’ll find an answer to the same. In the following points, we’ll take a look at all prominent AI applications HR-focused so you can understand how much impact this technology can have on this sector. 

Read more: 5 Significant Benefits of Artificial Intelligence

Artificial Intelligence in HR Industry

1. Automating Repetitive Tasks

Many business activities consist of repetitive tasks, and the HR department is no exception. By using AI in HR applications, you can automate most of these repetitive tasks, allowing your organization to save time and resources. AI is better than other machines because it is capable of making intelligent decisions, which they can’t. 

For example, you can use AI to automate the management of employee benefits. Or, you can use it to handle the general queries of your team. Another excellent example of automation with AI is during the onboarding of a new employee. HR teams don’t have to worry about provisioning a device, allocating the space, and other relevant tasks when an AI solution can work it out. 

AI applications HR-based have a lot of scope and potential. An organization can use its saved time and resources to focus on other more critical areas of their enterprise and boost their efficiency and productivity. 

After all, the performance of the business is one of the chief priorities of the HR teams. And AI can help them considerably in this regard.

Our Learners also read: HR courses online free! 

2. Better Employee Experience

Employee experience is necessary for their engagement. An organization where the employees aren’t engaged is open to many costly risks. For example, it costs a company around $4,000 (in the US) to recruit new talent and an additional $1,000 for onboarding. Companies with high employee engagement have a 21% higher profitability. That’s a considerable difference. Due to these reasons and many others, organizations try multiple methods to enhance their employees’ experience.

AI is helping them in this regard, as well. With AI, companies can simplify the HR department for their employees and enable them to get the necessary information with the least hassle. Multiple companies are aiming to implement voice assistants to help their employees with their business queries. Amazon Alexa and Apple’s Siri are great examples of voice assistants who assist us in our daily lives. Companies are trying to emulate a similar experience within the workplace.

Another area where AI in HR can help businesses is learning and development. Organizations can automate the training of staff through AI. With the help of artificial intelligence, they can design accurate learning paths for their team. AI can also help them in managing the training of their staff. There are many other ways how AI applications HR-based can enhance employee experience within an organization. 

Also read: Learning Artificial Intelligence & Machine Learning

3. Reducing Bias

You can’t remove bias from humans. It’s nearly impossible. That’s why many recruiters are now shifting towards AI to recruit individuals for their companies. AI doesn’t have a bias. It works on logic and reasoning, and this quality makes it perfect for recruitment. 

There are many kinds of bias. For example, the recruiters could have a language bias where they prefer those candidates who speak a different dialect. The bias could be subconscious, but still, it is a bias, and it harms the recruitment process. There are many kinds of prejudices, such as racial bias or gender bias. And they all are detrimental to a company’s growth because they have to hire people according to merit. 

AI systems can solve this issue. You can create algorithms that identify and get rid of such biases within employers. Recruiters can use this algorithm to check rejected candidates as well, who might have lost the chance due to bias. With the help of such an algorithm, the organization would be able to hire a more diverse group of candidates. AI enables HR managers to engage based on data and not based on emotions. 

Check out the scope and career options in HR in the USA.

4. AI in Decision Making

Like all the major departments of a business, the HR department has to make crucial decisions as well. And decisions based on data yield the best results. This is another area where AI can help organizations. HR agility depends substantially on fast and sound decision making. 

Modern technologies provide HR managers with real-time data so they can make better decisions. However, processing that much data is tricky and conventional methods are quite slow in comparison to AI. Moreover, data collection, analysis, and drawing insights from the same is a time-consuming process. This leads to delay in decisions, which can offset the productivity of the entire organization. 

Artificial intelligence can solve this problem quickly. By using AI algorithms and NLG software, you can convert data into text and draw insights faster than conventional methods. There are many visualization software available that rely on AI to give quick and accurate results. Faster decision making will surely help companies in enhancing their efficiency. 

Know more: Artificial Intelligence Applications

5. Giving Employee Benefits

AI is excellent for management. So, we can use it to manage employee benefits and implement them better. Many companies are trying to use AI for better administration of employee benefits, and it is one of the most popular AI applications HR-based. 

A significant challenge of employee benefits is communication. In many cases, the employees don’t know much about their interests, and in some other instances, they have doubts which they can’t get answers for. Companies are using AI to combat this issue. Chatbots are a great way to facilitate communication, and you can feed chatbots with the most frequently asked questions and their answers. So, if an employee would have any doubt or confusion regarding they can use the chatbot and get quick answers. 

Moreover, these chatbots are open for feedback, so if an employee faces any difficulty in using a chatbot, he or she can mention that issue in the feedback and get that issue resolved. Companies can also use AI in HR to analyze employee benefits and improve them accordingly. 

6. Smart Analysis

AI has been a popular tool to find the right customers. Through a combination of data analytics and machine learning, companies have succeeded in targeting precise segments of customers and increasing the accuracy of their promotions. Social media platforms also take advantage of AI for this purpose. 

AI succeeds in targeting the right customers by segmenting them according to their traits and past behaviors. Companies can use this ability of artificial intelligence to find new talent. 

Recruitment is a significant aspect of the business. According to a study, high performing talented individuals are 400% more productive than their average peers. This is a staggering difference. Also, this difference increases further as the role becomes more complex such as software development or project management. In high-value roles, this difference doubles to 800%. 

That’s why hiring talented individuals is essential for any corporation. AI can help in this process by analyzing resumes and CVs to figure out which candidates are suitable for the employer. Like we have mentioned earlier, how AI can assist in recruitment, this implementation takes that one step further. 

Companies have tons of data on their employees. AI can help them in analyzing the same and help them understand what problems are deterring employees from staying 100% productive. 

Learn more: Expert System in Artificial Intelligence

7. Is an Employee Leaving? AI can tell

Losing an employee is difficult for a company. AI can help companies in preparing for departures of employees by providing them insights into whether an employee is leaving or not. Veriato is a company that uses AI to help companies find employees that are planning to go.

It tracks the activity of those employees’ computers (internet searches, emails, etc.) for a month and saves the same. Then, it uses AI to analyze this data and spot outliers. If an employee behaves abnormally (different vocabulary, change of tone, etc.), it highlights the same and alerts the manager.

Veriato’s AI provides multiple advantages to employers. It can work on both in-office as well as remote workers, making it suitable for all organizations. This service is especially beneficial to corporations working on high-end products and designs. Losing an employee in such cases could lead to a substantial loss of intellectual property or ideas. 

Its AI also provides managers with productivity reports, recordings rich with context, and user behavior analytics. AI is also helpful in launching investigations in case something terrible happens. 

Final Thoughts

As you can see, AI in HR is quite prominent. It can solve a plethora of problems, and its scope is very bright. Many startups and companies are developing AI-based solutions for HR problems. 

If you’re interested to learn more about machine learning, check out IIIT-B & upGrad’s PG Diploma in Machine Learning & AI which is designed for working professionals and offers 450+ hours of rigorous training, 30+ case studies & assignments, IIIT-B Alumni status, 5+ practical hands-on capstone projects & job assistance with top firms.

Can you study AI after completing the Class 12th exam?

Studying Artificial Intelligence has mainly been considered a part of post-graduation programs. However, with the phenomenal demand for this technology, there has been a subsequent trigger in demand for professionals trained in AI and Data Science. And in turn, this has generated significant interest among aspirants to start early. So, yes, nowadays, you can find different undergraduate programs in Data Science and AI offered by various universities and technical schools. Once you clear your school-leaving board exams, you can enroll in AI courses to build a career in this field right from the start. In the long run, a bachelor's degree in AI or Data Science can even open up lucrative career opportunities for you.

What are the best career options in Artificial Intelligence?

AI has opened up a world of opportunities that no one had imagined existed before. As the applications of AI gain further momentum, it leaves more and more scope for newer prospects for those who aspire to take it up as their career. Studies suggest that by the end of 2022, there will be roughly 58 million jobs in AI. For those who possess the right combination of skills, the top career options in AI include developing AI applications based on NLP, Ai software engineering, research in AI, data analytics, and AI user experience specialists, among many others.

What are some examples of AI use in HR?

Contrary to general ideas, the HR department is actually highly driven by data and not only soft skills and emotions! When AI is effectively used to harvest that data and extract meaningful insights, it can help companies develop a striking competitive advantage even with the human resources they recruit and not just technology. AI can be used by the HR department to accomplish amazing tasks like automatic resume scanning, real-time talent management, reducing employee churn rates, data aggregating, and promoting equality and inclusion.

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