September 1, 2020 Vinay Paudel

How AI-powered HRIS Can Benefit Your Organization

How AI-powered HRIS Can Benefit Your OrganizationIn most companies, while functions such as sales and marketing have been using AI and Machine Learning solutions for a while, it’s only recently that human resources have woken up to the fact that AI-powered HRIS can improve efficiency besides improving employee experience. One of the principal reasons for the slow adoption of AI by human resources was the misconception that it would replace humans, but nothing could be farther from the truth. The merits of using AI for human resources functions such as recruiting, administration, and employee retention present a strong case for including HR in the digital transformation process in any organization.

Let’s explore some of the areas where AI-powered HRIS can benefit organizations.

Automation of routine tasks

On average, HR specialists spend between 14 to 30 hours every week on repetitive manual tasks such as responding to emails, meetings, employee onboarding, tracking attendance, scheduling interviews, training, and monitoring employee performance. Many of these processes can be automated by leveraging AI-powered tools, leaving HR specialists with more time to focus on meaningful tasks that contribute to business goals.

Making recruitment more effective

AI can help with streamlining the recruitment process, right from identifying suitable candidates by sifting through data from multiple online sources, including social media, chat forums, personal websites, and hiring platforms, to providing insights on candidate profiles based on which more relevant job postings could be framed, or optimal job offerings are made to the most suitable candidates. The candidate shortlisting process can be simplified by using  Natural Language Processing algorithms that go beyond simple keyword searches to a more comprehensive system that looks at skills, interests, preferences as well as cross-referencing of job types. It can also reduce the hiring bias that HR personnel may subconsciously bring to the process.

Enhancing employee experience

Attrition is something that even the best companies face. However, with the help of an AI-powered HRIS, organizations can detect patterns that lead to employees quitting and take measures to improve job satisfaction and enhance the work environment. Furthermore, it can identify areas that need attention so that remedial measures can be taken to increase employee engagement. For example, AI can track performance across the organization, recognizing and rewarding employees who make significant contributions, thereby enhancing employee satisfaction.

Conclusion

Among the reasons that the adoption of AI for HRIS has been slow is the misconception that it will replace human capital. While it’s true that AI-powered tools are more efficient than humans for repetitive tasks such as data processing and pattern recognition, companies still need human resources personnel who can analyze the data and make final decisions, whether it’s on the right candidate to hire or for developing strategies to keep employees engaged. HR will always need a human face for interacting with employees, dealing with issues that crop up as well as for shaping the culture of the organization. Like with any other function in the company, the key to successful digital transformation in HR lies in educating and involving staff from the initial stages by educating them on the benefits of using AI in HR as well as highlighting their role in the process.

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