AI catalyst: What’s the future of HR Tech?

The rise of AI & HR tech

As technology continues to advance, the human resources (HR) landscape is changing rapidly. The rise of artificial intelligence (AI) and innovative technology is transforming the way companies and businesses handle their HR tasks, from recruitment to employee engagement and retention. In this blog post, we’ll explore the latest HR technology trends and how they’re affecting the HR market.

According to a recent study by Gartner, by 2025, 75% of large enterprises will have adopted at least one HR technology that uses AI, up from just 11% in 2020. This highlights the growing trend of businesses turning to AI-powered HR technology to streamline their HR processes, reduce costs, and improve overall efficiency.

One of the key areas where AI is having a significant impact is in recruitment. AI-powered recruitment tools can help companies to streamline their recruitment process by automating tasks such as candidate screening, scheduling interviews, and even conducting initial interviews. This not only saves time but also ensures that the most suitable candidates are identified, reducing the risk of bad hires.

AI-powered tools can also be used to assess candidates’ skills and qualifications, allowing businesses to identify the best talent for the job. For example, HireVue, an AI-based video interviewing platform, uses facial recognition technology to analyse candidates’ facial expressions, voice tone, and other behavioural traits to identify the most suitable candidates for a given role. This helps to ensure that companies hire candidates who not only have the necessary skills but are also a good cultural fit.

Another area where HR technology is making a significant impact is in employee engagement and retention. Innovative HR tools such as employee engagement platforms and mobile apps are being used to improve communication and collaboration between employees and managers, helping to create a more engaged workforce. These platforms can also be used to gather feedback from employees, enabling companies to identify areas for improvement and make changes that can help to improve employee satisfaction and retention.

In addition to AI, other emerging technologies such as machine learning and natural language processing (NLP) are also being used in HR. For example, machine learning algorithms can be used to analyse employee data and identify patterns that can help to predict employee behaviour, such as the likelihood of an employee leaving the company. This can help businesses to take proactive steps to retain their top talent and reduce employee turnover.

Similarly, NLP can be used to analyse employee feedback and identify patterns in employee sentiment, helping businesses to identify areas where they need to improve employee engagement and morale.

The rise of HR technology is not without its challenges, however. One of the biggest challenges facing businesses is ensuring that the technology they use is compliant with data protection regulations such as GDPR. Companies need to ensure that any HR technology they use is secure and that employee data is stored and processed in compliance with regulations.

Another challenge is ensuring that HR technology is accessible and inclusive. As businesses become more reliant on technology, it’s important to ensure that all employees, regardless of their technical ability or disability, are able to use HR technology effectively.

In conclusion, the rise of AI and innovative technology is transforming the HR landscape, with businesses increasingly turning to technology to streamline their HR processes and improve efficiency. From recruitment to employee engagement and retention, AI-powered tools are helping businesses to identify the best talent, improve communication and collaboration, and create a more engaged workforce. However, businesses must also ensure that they comply with data protection regulations and ensure that HR technology is accessible and inclusive for all employees.