The power of AI in HR

How can you harness the power of AI in HR?

While many businesses have been using AI to make their operations more efficient for years, the public interest in these technologies since the introduction of ChatGPT has accelerated businesses’ plans for implementation – but there are potential pitfalls to consider alongside the opportunities.

In our latest webinar, The Power of AI in HR: Navigating opportunities and legalities, Alex Bates, Managing Director of Data Insights and Activation, was joined by Jenny Arrowsmith, Partner – Employment, and Joanne Bone, IT Partner and GDPR Specialist, from Irwin Mitchell Solicitors and Alan Walker, Co-Founder of Udder, to discuss the opportunities and considerations of bringing AI into your HR function.

How can AI transform your HR function?

With 41% of webinar participants already using AI and 29% considering introducing it to their HR functions, HR leaders can clearly see the benefits. Alan Walker discussed some of the ways in which it can be implemented, including:

Finding the perfect candidate without sifting through endless CVs
Predicting employee burnout before it happens
Personalising training and development for every employee
Automating time-consuming tasks so that you can focus on what matters most
Making data-driven decisions that truly impact your organisation

From using Chat GPT to develop interview questions to automating scheduling and using chatbots to provide 24/7 candidate and employee engagement and identifying hidden skills in the workforce, the possibilities are nearly endless with the right technology.

However, the salient point is that AI should power up the HR function, rather than replace it, adding value and allowing the organisation to thrive. Applied correctly, it can revolutionise talent management, empower people, free up time to focus on the things that matter and gain a strategic advantage.

Navigating the legalities of AI in HR

The risks of being caught in a legal whirlwind are significant, so it is important both to consider the legislation directly associated with AI and the unforeseen consequences that could result in candidates or employees bringing legal action.

Joanne Bone advised that, while there is currently no specific legislation on AI in the UK, automated decision making is covered under UK GDPR, and organisations that do any form of business in Europe may find themselves subject to the EU AI Act.

In the UK, the most important consideration is that AI is unable to operate as a standalone technology and requires human intervention to guard against error and bias. It is not enough to review the output at the end of the process, there must be intervention at each stage of the process, or businesses could fall foul of the Information Commissioner’s Office. Human intervention is also critical if a case involving AI makes it to tribunal, according to Jenny Arrowsmith, as the panel will look at how the humans involved used AI to make decisions, rather than the decision of the AI itself.

There is an assumption that machines are exempt from bias, but even the use of AI could be considered discriminatory , against some groups with protected characteristics. It is important to remember that decisions made by AI are only as good as the data it is trained on, resulting in indirect discrimination against minority groups. For example, tools that analyse body language, speech patterns, and even CVs could discriminate against those with disabilities and neurodivergences, which could open businesses up to legal action.

Best practice for AI implementation

Michael Page is leading the sector on AI implementation, with a data innovation lab designed to test how effective or valuable different initiatives could be to the organisation and its clients, keeping it ahead of the curve. Alex Bates shared some of his best practice pointers to close out the webinar:

Back to basics:
Without the right foundations, AI implementation cannot be successful. It is important to choose the right tech, centralise data, use consistent definitions and put processes in place for data quality management.
Focus on value:
It’s not about going for the obvious. Focus on solving the pain points in the business first, and what would add value for the organisation and its employees. AI or may not be a solution.
Consider ethical implications:
Just because you can doesn’t mean you should. AI should be used responsibly and securely. You may be able to enhance elements of HR processes, but it is important to include anti-bias measures
Be bold:
The speed of change in this area means businesses need to constantly be pushing boundaries to stay on the front foot and develop solutions that are truly innovative

If you’re ready to start hiring and see how Michael Page and our AI capabilities can help your organisation, request a call back today:

Request a call back