Technology that’s well matched to an organization’s needs can prove invaluable in human capital management.
Organizations can use a single platform or multiple separate platforms that suit their needs to streamline processes throughout the employee lifecycle.
Thanks to automation of processes, data security, instant reports, analytics, artificial intelligence (AI), and more, human resources (HR) departments can transition from a transactional function to a more strategic one focusing on employee engagement, satisfaction, and well-being—which in turn helps achieve better business results.
Artificial Intelligence (AI) in Human Capital Management
AI is a hot topic and has been used in some aspects of human capital management for some time.
For example, recruiters use bots to prescreen candidates before a resume advances to a recruiter’s inbox. Business leaders use predictive analytics to turn historical data into smart predictions about business and workforce trends.
AI can analyze employee data from engagement surveys and performance metrics, to help identify employees who would be more likely to leave the organization.
AI can also help identify skill and learning gaps, and address those with personalized learning and development programs. AI helps HR make informed decisions, improve efficiency, and increase productivity.
With all its advantages, AI also presents some potential challenges. Since AI can pull information from many different sources, including human interaction, human biases can potentially be incorporated into AI algorithms.
Specialists are concerned about AI’s potential discriminatory practices, starting with recruiting, and continuing through possible layoffs. Going forward, business leaders should focus on AI’s capabilities and its applications in human capital management, including increased transparency on how AI affects work culture and individual employees.