The future of Human Capital Management
Human Capital Management is the crux of the concern for every organization. It is synonymous to problem-solving. For this, artificial intelligence and machine learning are playing a unique role in taking a lead. In fact, the future of human capital management with AI is completely changing the game of recruitment. It has become much more than just acting as a helping hand. We call it problem-solving because recruitment is a crucial business component and is tough to crack at times. It comes with its own challenges.
Companies often invest too much time, money and resources on getting a promising candidate on-board who turns out to be a letdown that causes contrition. Therefore, innovative AI companies are increasingly relying on candidate data. It is helping them improve recruitment efficiency for HR managers and company leaders.
Technology upsweep and HR
AI is one of the most transformative technology of the decade and it will continue to be so in 2020 as well. With the advancement in technology came the increase in connectivity. The world has shrunken and everything is just a click away. We can witness a disruption in conventional practices. However, this does not mean that we are going to be replaced by technology. It just means that we have to be ready to learn more skills and equip ourselves with the necessary data.
Imagine that the manufacturing of cars have stopped. An alternate, efficient mode of automobile has taken over. What would you do? Sit back and say that I don’t know how the new thing works so I am not going to use it? Is that what you would do? No! You would learn about it and eventually switch! That’s it. Technology demands a little learning and voila! You have efficiency, effectiveness, and productivity at your fingertips.
What is the impact of AI on the future of Human Capital Management
AI will automate HR tasks to reduce the operational recruitment burden
Human capital management software serves as an antidote to tackle the administrative nightmare of scheduling. Resume parsing is helping the HR sift through crucial candidate details, selection probability score is enabling them to prioritize better ranking candidates and auto interview scheduling will save time and effort of the recruiter.
This will not just help organizations streamline their recruitment process but will also help AI companies gather data with their recruitment software to improve and expand into new regions to explore what more can be done.
Stakeholders will have access to better data that finds them the right talent
How do enterprises improve their recruitment efficiency? In order to tackle the challenges in recruitment and simplify the process, organizations need to focus on the right indicators while screening candidate profiles.
At each step of the human capital management system, a considerable amount of data is created that the organization may or may not capture for future reference. In more than 90% of the cases, this crucial data is lost in the recruitment process. Every time there is a requirement, the company starts from scratch from posting a job to selecting the right fit. However, where does all the data go in between all these processes? With this, companies aren’t just losing valuable time but are also missing valuable information across recruiting events.
Therefore, AI companies must work on collecting important data points starting from posting the right job description to creating screening assessments that help organizations differentiate between the best talent and the right talent. It’s called smart hiring.
AI will create additional value for the business model to contrive smart recruitment
Speaking of smart hiring, AI companies with their technology are providing a great value to startups, organizations as well as applicants. However, before going ahead with an AI recruitment technology organizations must ensure that these values are in sync with their business model. This goes especially with those projects that promise recurring values so that such a business model can transform into a recurring business model.
Back to smart hiring, the increasing amount of data and diversity is working out well for organizations. However, we cannot neglect the fact that with each passing day this data becomes a part of the past and organizations must keep up with the moving pace.
Automation will facilitate intelligent assessment of the recruitment process
How do you define the effectiveness of a workforce? What helps global leaders invest in a high-impact workforce that builds high-performance teams?
You can ensure the effectiveness of your workforce and build it in such a way that it creates a high impact as well. For this, you need to make sure that you hire quality candidates who don’t just commit to be professionals on their resume but act as professionals at work. Skill building is never difficult when a candidate is dedicated and hardworking. Therefore, always look for the right attitude that fits well at your work culture. We don’t mean to sensationalize the notion of AI in intelligent assessment of the recruitment process but insist on the fact that AI can streamline the recruitment process for good. Its intelligence will help build algorithms that can make intelligent recruitment predictions and figure out a decision-making plan.
Planning and development strategies will replace repetitive recruitment tasks
With AI, organizations can replace repetitive tasks with creative tasks and help boost productivity and engagement. Otherwise, recruiters are mostly submerged with look-alike resumes that are built in the same format and tout the same skill set as suggested by Google search results.
The process can start by using artificial intelligence to craft automated talent funnels that can expedite the fulfillment of hard-to-fill positions. This will involve taking a data-driven approach for hiring new talent that will perform in the present and sustain in the future.
Recruitment will see an increase in speed and clarity with better and clever execution
Many recruiters fret over the fact that their social media posts for available positions don’t get quick responses. The major drawback in such cases is an inefficient job posting or job description.
In such situations, AI will do its research and craft a suitable plan. It will be a plan that creates the best and most attractive job description. The future of Human capital management will no longer be about following the best practices because the future is about evolution. The future is about creating trends rather than following them. AI will empower HR leaders enough. So, they shift from an antiquated mindset to a futuristic mindset by utilizing AI and HR automation.
The future of HR looks really intelligent. How are you going to respond to it? By being sulky? By resisting to change? Grace Hopper said, “The most dangerous phrase in the language is, we have always done it this way.” It’s time when recruiters, HR leaders, and managers become creative with their recruitment work. Step out of the conventions and comfort zones. You must keep a close watch on the type of recruitment tasks that automation can take away. This way you can manage teams with efficiency. Innovative recruitment is the future. Whether you as an organization embrace it or not, other industries and competition are going to capitalize on it.