The Impact of AI on HR

Jul 16

The landscape of Human Resources (HR) is undergoing a transformative shift, driven by the increasing adoption of Artificial Intelligence (AI). Large organizations, particularly those with over 500 employees, are leveraging AI to streamline administrative tasks and enhance strategic decision-making.

Global HR Companies, like Deel, have been developing their own AI software to assist with their current HRIS’s. By doing this, they can generate insights for talent acquisition, salary and market data, and workforce report data. However, the transition is not without challenges. Smaller companies often hesitate due to concerns about losing the human touch, but this lack of knowledge about AI can impede progress.

Despite these challenges, the excitement for AI in HR is growing. According to new research from the Society for Human Resource Management (SHRM), approximately 25% of employers have already integrated AI into their HR activities, with notable growth in industries like technology and finance.

Key areas of application include talent acquisition, learning and development, and performance management. As the HR landscape evolves, it is crucial for professionals to focus on reskilling and upskilling their workforce to adapt to the changes. AI provides a platform to create performance metrics and set goals for employees to achieve their best. HR, along with key company decision makers, must now begin to adapt to the increasing possibilities this new technology brings.

Moreover, ensuring ethical AI use and aligning it with company values will be essential for successful and sustainable integration. It’s time to embrace the changes AI brings and witness how technology is redefining the workplace dynamics.