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  • The AI skills every HR professional needs to thrive in the tech-driven future

    28 Oct 2024
    • admin
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    The role of HR is rapidly changing, driven by technological advancements, particularly in artificial intelligence (AI). For aspiring HR leaders, it’s no longer enough to understand traditional HR functions; today’s HR professionals need to be well-versed in AI and tech-driven tools that enhance productivity, improve employee experiences, and drive strategic decisions.

    But what exactly should HR professionals know about AI to keep pace with the digital age?

    What are the AI skills that HR professionals need, to thrive now, and in the future?

    Understanding of AI fundamentals in HR

    Before diving into AI applications in HR, it’s crucial for HR professionals to grasp the basics of AI and how it works:

    • Basic AI concepts: AI involves machines that can mimic human tasks by learning from data, identifying patterns, and making decisions. Understanding this can help HR professionals better appreciate how AI tools streamline processes and improve decision-making.
    • Automating administrative tasks: AI tools like chatbots help HR teams manage routine tasks like answering employee questions, scheduling interviews, or handling onboarding queries.
    • Enhancing recruitment: AI-based recruitment software can shift through thousands of resumes to identify the best candidates based on pre-set parameters.
    • Key technologies: HR professionals should become familiar with machine learning, natural language processing, and data analytics.

    For example, IBM’s Watsonx is widely used in HR for data analytics and chatbots, which streamline employee services and make HR more accessible.

    IBM

    Source – https://www.cxtoday.com/data-analytics/ibm-watson-review/

    Using IBM’s AI-powered watsonx Assistant, HR leaders achieved significant improvements in their operational efficiency. The tool notably reduced employee time spent on routine HR tasks by 75%.

    Watsonx Assistant enhances workforce productivity by delivering customised chatbot solutions and automation, integrating seamlessly with platforms such as SMS, phone, webchat, and popular messaging apps like Slack, Facebook Messenger, and WhatsApp, as well as existing HR systems.

    The virtual agent provided support on HR-related topics like insurance, health, retirement, and family benefits. With its ability to proactively identify gaps and cater to employee needs, Watsonx Assistant transformed HR functions by promoting satisfaction and streamlining business operations.

    Data literacy: A must-have skill in AI-driven HR

    Data literacy is essential for HR professionals working in the AI era. Here’s why and what to focus on:

    • Data interpretation: AI-powered HR systems generate vast amounts of data, such as employee performance metrics, engagement scores, and recruitment data. HR leaders should know how to interpret this data to make informed decisions.
    • Analytical tools: Learning tools like Tableau or Power BI, which help visualize data trends, are valuable.

    For instance, Walmart uses data analytics to optimize its HR functions, improving employee engagement and retention.

    Walmart

    Source – https://www.investing.com/academy/statistics/walmart-facts/

    Walmart leveraged data analytics to enhance its HR strategy, using predictive tools to anticipate workforce needs more accurately. This data-driven approach led to a 14% reduction in turnover rates and significant cost savings. By focusing on resource allocation and employee satisfaction, Walmart achieved improved business results. For companies aiming to refine their HR strategies, prioritizing data literacy, investing in analytics tools, and aligning HR efforts with core business goals is essential. Implementing predictive analytics and machine learning can offer valuable insights for making strategic HR decisions in today’s dynamic corporate landscape, helping organizations build a more adaptable workforce.

    • Predictive analytics: AI allows HR professionals to predict future trends based on past data.

    Recruitment automation and AI-powered talent acquisition

    AI can significantly enhance recruitment by automating routine tasks and improving candidate selection:

    • Automated screening: AI-driven tools can quickly sift through resumes, identifying the best matches based on keywords and past hiring patterns. Unilever, for instance, uses AI to screen candidates, ensuring faster hiring and improved fit.
    • Chatbots for candidate interaction: AI chatbots are used to engage with candidates, answer their questions, and schedule interviews.

    For example, L’Oreal’s Mya chatbot handles initial candidate queries, freeing HR teams to focus on more complex tasks.

    Loreal

    Source – https://www.loreal-finance.com/sites/default/files/styles/hero_banner/public/2020-10/Logo_12.jpg?itok=QeNsmjL7

    L’Oréal launched its first chatbot in collaboration with AI start-up Mya Systems to streamline its recruitment process for job and internship applicants. The Mya chatbot asked candidates key questions to assess their suitability, such as their availability for the internship period and whether they required any adjustments for the application process. Candidates who met the position requirements were then connected directly with recruiters at L’Oréal, creating a more efficient and user-friendly experience. Additionally, the chatbot provided candidates with information on job specifics, the application process, and company culture, enhancing engagement and transparency in recruitment.

    • Bias reduction: AI can also help minimize hiring biases by making data-driven decisions. Tools like Pymetrics assess candidates using neuroscience-based games, focusing on candidates’ inherent skills rather than relying solely on resume details.

    Employee experience and engagement through AI

    HR professionals can leverage AI to enhance employee satisfaction and engagement:

    • Sentiment analysis: AI-powered platforms can analyze employee feedback, emails, and messages to gauge overall sentiment. This helps HR teams identify and address issues before they escalate. Qualtrics is a popular tool used for this purpose.
    • Personalized learning and development: AI can tailor employee training programs based on individual learning styles and career goals.
    • 24/7 employee support: Chatbots provide instant responses to HR-related queries, improving employee satisfaction.

    Cybersecurity awareness for HR in the AI era

    As HR departments handle sensitive employee data, AI-driven cybersecurity measures are critical:

    • Data protection: HR professionals should be aware of the unique data protection challenges AI introduces, including data breaches and privacy risks. Understanding encryption and anonymization can help protect employee information.
    • Threat detection and prevention: AI can help detect unusual activity in HR systems, alerting the team to potential threats.

    For example, CylancePROTECT uses AI to detect and prevent cyber threats, safeguarding employee data in real-time.

    CylancePROTECT

    Source – https://docs.cyderes.cloud/parser-knowledge-base/cylance_protect/

    CylancePROTECT is a next-gen endpoint security solution that harnesses AI and machine learning to proactively detect and prevent threats by analyzing behaviors and patterns, unlike traditional antivirus software dependent on known threat signatures. This allows CylancePROTECT to provide consistent protection, isolating malware across diverse network environments and blocking harmful code, regardless of its novelty or complexity.

    Continuous learning: Keeping up with AI and HR trends

    The AI landscape evolves quickly, and continuous learning is essential. HR professionals should focus on:

    • Professional courses: There are many online platforms, such as Coursera and LinkedIn Learning, where HR professionals can take AI and data analytics courses.
    • Certifications in HR analytics and AI: Earning certifications in AI and data-driven HR practices can boost credibility and knowledge. SHRM, for instance, offers courses on HR data analytics.
    • Networking and industry events: Joining HR and tech-focused forums or attending conferences like HR Tech Conference or AI in HR Summit can offer valuable insights into the latest AI developments and best practices.

    Conclusion

    AI is transforming the field of HR, but to thrive in this environment, professionals need more than just an understanding of traditional HR practices. By mastering data literacy, embracing recruitment automation, and prioritizing cybersecurity, HR professionals can enhance their roles and deliver greater value to their organizations. Pursuing an MBA in HR with a focus on AI, like the program offered at the SOIL Institute of Management, can be an excellent pathway to gaining these essential skills and future-proofing one’s career in this exciting, tech-driven landscape.

    SOIL’s MBA in PGPM-HR equips students with the skills to drive immediate and lasting impact within organisations globally, ensuring they remain highly sought-after in the business world.

    • Jobby Mathew

      “SOIL has provided me with a platform to create new growth paths for myself, and fine-tune the scope of my existing knowledge. Nurturing leadership qualities along with strategic approach and creativity, SOIL Institute of Management’s one year MBA in HR Management gave me numerous opportunities to execute my ideas effectively.”

      Jobby Mathew

      PGPM Class of 2010-11

    • Shaivya Mehta

      “When I joined SOIL Institute of Management’s one-year MBA in Human Resource Management, I never thought of the exposure we would be getting in terms of leaders from the HR industry. The monthly leadership series involving the CHRO was really helpful for us to understand the industry scenario from time to time.”

      Shaivya Mehta

      PGPM HR, Class of 2018-19

    FAQs
    • What is the importance of data literacy in HR?

      Data literacy enables HR professionals to interpret and use data for decision-making, which is essential in the AI era for tasks like talent management and employee engagement.

    • How is AI transforming recruitment in HR?

      AI automates screening, reduces bias, and enhances candidate interactions through chatbots, making recruitment more efficient and improving hiring outcomes.

    • Why is cybersecurity important for HR professionals?

      HR departments handle sensitive data, making it crucial to understand and implement AI-driven security measures to protect employee information.

    • What tools are commonly used in AI-driven HR?

      Popular tools include IBM’s Watson for data analytics, Qualtrics for sentiment analysis, and SAP SuccessFactors for personalised employee development.

    • How can an MBA in HR help professionals succeed in the AI era?

      An MBA in HR equips professionals with the technical skills, data literacy, and strategic thinking needed to adapt to AI-driven changes in the workplace.

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