AI is one of the most promising technologies which is changing our world by showing its strength in various sectors like healthcare, retail, transportation, and entertainment. It has developed in the recruitment sector in recent years for searching candidates from large volumes of data, screening candidates’ profiles, interviewing and selecting the most suitable ones, etc. Hence, it can change or modify HR’s role, candidate perspective, or even change a company’s whole environment and policy.
Recruiting the most suitable professional has always been a quagmire. McKinsey and Company is famous for contesting that companies are at war for talent. In today’s world, it couldn’t be truer; people spend and share most of their time and views on social media which becomes an integral part of their life. Social media has shifted hiring patterns in the human resource industry, recruiters started posting job advertisements online to attract candidates, especially after the 2008 financial crisis. We are all familiar with posting and viewing jobs on social media sites such as Glassdoor, LinkedIn, Facebook, and more. However, this creates a significantly huge number of applicants, and hiring the most appropriate talent on time has become laborious to HR.
Candidates further tend to apply for any job that slightly matches their profile. In this tough and competitive economy, it is expected. The role of AI technology is designed to then pick the most suitable candidates with the right skills and personalities to fit within the company’s culture.
1. Recruiting is very expensive for companies
The Society for Human Resource Management (SHRM) estimates that replacing a salaried employee costs 6 to 9 months’ salary on average. The organisation reports that these costs can be exponentially higher when it comes to millennial employees. Additionally, to screen and evaluate a large number of applications for a single job post, companies had to appoint a lot of recruiters which is very expensive, and also the effectiveness and efficiency of digital tools are very high in comparison with a human.
2. There always exists a chance of human cognitive biases
The use of AI within recruitment will remove all bias by focusing purely on facts rather than emotions and sympathies. The rise of Environmental, Social and Governance (ESG) metrics mean that companies can’t get away with a lack of diversity in the boardroom or in the foyer. Hiring talented and affordable diverse teams remains a challenging endeavour to pursue. To increase diversity without compromising the core objectives of institutions, companies must utilise artificial intelligence to recruit candidates.
Ikea, L’Oreal, Unilever, and Amazon which have used AI-powered recruitment systems like Robot Vera, chatbot called Mya, HireVue Assessments, has assisted in their particular and specialised ways to improve their talent-hiring capabilities. At Ashanti ai, our engineers are behind some of the recruitment systems that candidates use today. We are of the view that companies that won’t adapt aren’t going to survive. Humans are biased and are hard to fix. AI will be biased but will be much easier to fix.
3. Well-designed chatbots can optimise the hiring process
4. Our algorithm must be open to inspection at all times
5. Artificial Intelligence will assist HR teams to develop leadership strength
6. Gamification over the years will replace the traditional resume
Evidence suggests that the CV will be replaced in stages, with creative roles seeing this change in the short term with more structured qualification based roles such as accountant and financial positions changing in the medium term. Senior roles, such as CEO/board positions, will see the CV remain for the longest time, but upon the perceptual shift in acceptance of change, along with the unquestioned capabilities of these technologies, these new application methods will see the CV removed for all roles. The introduction of smart assessment tools such as gamification and video analysis technologies will be at the forefront of this modification, matrices will deliver more objective assessments of candidates and enable faster and fairer applications boosting the candidates and the employers by reducing fallout rates and reducing bias.