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How Artificial Intelligence Reshapes the Human Resource Processes

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There is no denying that the current trend in business is implementing automation across different sectors. It is beginning to impact all aspects of the business from eCommerce to the Human Resource (HR) department. A big part of automation is the use of artificial intelligence (AI) with the technology already showing up in many functions of HR. So how is artificial intelligence changing HR?

Helping to deal with data and using it for better decision-making

The key thing to understand about the transformative power of artificial intelligence is its ability to analyze large data sets. This can help in decision-making in a wide variety of ways. 

data graph
Credit: Unsplash

One of the main ways HR can use AI for improved decision-making revolves around hiring. With better data analysis, HR personnel can find the right candidates for the roles. The automation of the process can not only be enhanced by the AI’s ability to analyze data and ensure the process is done quicker. HR personnel doesn’t have to manually go through resumes but this can all be done in a matter of minutes. The process of finding the right candidate is faster and based on greater clarity.

But the power of data analysis doesn’t stop there. The cognitive power of AI-based software can help with other key HR functions. These include things like:

  • Training and developing employee skills
  • Sorting out payroll and leave requests
  • Understanding employee wellbeing 

AI-based HR software for small businesses can help gather more data from a variety of sources and create a meaningful analysis of the data. This provides better insight into different functionalities and helps make the HR personnel’s tasks a lot easier.

Removing biases and creating a more personalized HR experience

Because AI solutions can look at data, analyze it and suggest different outcomes, HR can also become less biased. Humans can have internal biases even when they don’t consciously think they are making biased decisions.

AI algorithms are often created to look for these biases and remove them from the process. When you can remove those biases from HR processes, such as recruitment, you will be able to create a more talented workforce based solely on each employee’s ability and not anything else.

Building on this point is the AI’s ability to transform HR into a more personalized experience. Part of this is done with great HR software for small businesses that aims to look at the onboarding process and making it smoother and more effective. This means things like:

  • Improving how employees can find information
  • Responding to employee queries faster with automation
  • Instructing employees in how to find more information or how to use it better

The key here is the personalization of the information and how to find it. Average onboarding systems can often overlook that people have different questions and queries regarding employment. With AI software, the shared information can be personalized and it will allow the employees to find the exact information they need and pass on things they already understand and know.

Improving the employee experience and creating a more satisfied workforce

Overall, AI will have the power to make the workplace a much nicer place for the employee as well as ensure productivity is improved. How is this achieved? A major role will be in using data and identifying things like:

satisfied workforce
Credit: Unsplash
  • What are the big issues in employee happiness?
  • What is holding back productivity?
  • Who are the key players and how do they perform?

HR software for small businesses can study employee performance and improve how the HR department hires and retains employees. Not only can the performance feedback improve productivity by improving how work is conducted, but the information will also be beneficial to the employee’s happiness.

Things such as holidays, health care plans, work hours, and tasks can be more focused and personalized, meaning that the employee will feel more listened to and learn about their own productivity. This can help keep employees engaged and happier and lead to higher retention rates. 

Utilizing the full power of AI

As the above shows, AI has the power to transform HR. The mentioned benefits and mechanisms are already at work – the majority of HR software for small businesses uses AI and it should be a top priority for HR departments. But, of course, the story is not finished yet and new improvements in AI are happening every day. This means that the future will witness plenty more transformations.

The key for businesses is to be ready and fast to adapt. This is why it’s crucial that the implementation of technology is at the core of how businesses operate. Those who will resist using AI technologies will likely be left behind in the process.


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