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Impact of Artificial Intelligence on Human Resource Management

2018

In our fast moving and constantly changing world, new technologies are being discovered and implemented every day. Among them, Artificial Intelligence is said to be the defining technology of the 21st century. This technology is changing and is being predicted to change all modern industries and businesses forever. Artificial Intelligence is no longer a concept in the near future but is already here in certain capacities. The purpose of this paper is to show how Artificial Intelligence, when blended along with the existing workforce, will have a beneficial impact on Human Resource Departments. The positive impact of Artificial Intelligence will occur despite the potential challenges and concerns that its implementation may propose, like the fear of job replacement and so on. <br> Artificial Intelligence will revolutionise and increase the success of current Human Resource practices, reduce administrative burden and assist in the decision making process, finishing tasks in shor...

National Conference on “Artificial Intelligence in Business & Technology” Impact of Artificial Intelligence on Human Resource Management S.M.Deepak Kumar 3rd Semester BBA, REVA University OPEN ACCESS Ajit Joshua Cherian 3rd Semester BBA, REVA University Volume : 6 Special Issue : 1 Month : August Year: 2018 ISSN: 2321-788X Impact Factor: 3.025 Citation: Kumar, S. M. Deepak, and Ajit Joshua Cherian. “Impact of Artificial Intelligence on Human Resource Management.” Shanlax International Journal of Arts, Science and Humanities, vol. 6, no. S1, 2018, pp. 138–41. DOI: https://doi.org/ 10.5281/ zenodo.1403613 138 Abstract In our fast moving and constantly changing world, new technologies are being discovered and implemented every day. Among them, Artificial Intelligence is said to be the defining technology of the 21st century. This technology is changing and is being predicted to change all modern industries and businesses forever. Artificial Intelligence is no longer a concept in the near future but is already here in certain capacities. The purpose of this paper is to show how Artificial Intelligence, when blended along with the existing workforce, will have a beneficial impact on Human Resource Departments. The positive impact of Artificial Intelligence will occur despite the potential challenges and concerns that its implementation may propose, like the fear of job replacement and so on. Artificial Intelligence will revolutionise and increase the success of current Human Resource practices, reduce administrative burden and assist in the decision making process, finishing tasks in shorter periods of time and at lower costs. Keywords: Artificial Intelligence, Human Resource Management, Reduction of administrative burden, Recruitment, Job replacement, Benefits of Artificial Intelligence, Challenges of Artificial Intelligence. Introduction Artificial Intelligence in simple terms refers to systems that can learn, act and respond in a human like manner. According to John McCarthy, the father of Artificial Intelligence, Artificial Intelligence is the science and engineering of making intelligent machines. Artificial Intelligence has had a massive impact on our modern world and it is estimated that the market for this technology will only keep growing. From $8 billion in 2016 to $47 billion by 2020. Artificial Intelligence will impact all spheres of our lives as well as that of organisations. Artificial Intelligence is currently being used in marketing, finance, accounting, healthcare, transportation and education, thereby increasing an organisation’s productivity and effectiveness. Although Artificial Intelligence has not yet been implemented in Human Resource Departments on a large scale, with increasing popularity, more international companies are implementing it. JAIN COLLEGE - CGS, Bangalore SHANLAX International Journal of Arts, Science and Humanities shanlax #SINCE1990 A Timeline of Artificial Intelligence Artificial Intelligence initially began in the 4th Century BC from myths, stories and rumours of artificial intelligence being endowed by a higher being. John McCarthy who devised the term “Artificial Intelligence” in 1955 is considered the father of this field. In the summer of 1956 on the campus of Dartmouth College, USA, the first Artificial Intelligence conference was attended by many top scientists and researchers. This conference laid the foundation for the field of Artificial Intelligence. Artificial Intelligence can be divided into three categories: Narrow Artificial Intelligence, General Artificial Intelligence and Super-Intelligent Artificial Intelligence. At present we are still at the Narrow Stage of Artificial Intelligence where it is only being used for routine jobs and repetitive tasks that lack creativity. General Artificial Intelligence is the stage where Artificial Intelligence reaches a human level of thinking, innovating and sharing ideas. At the Super Intelligent Artificial Intelligence level they become smarter than the best human brains in the world. At present Artificial Intelligence is currently being implemented in our lives, sometimes when we would least expect it. We could be interacting with Artificial Intelligence, like chat-bots on sites. The Future of Artificial Intelligence in the Human Resource Department is bright and can have many pros as well as cons for an organisation. Benefits of Artificial Intelligence Reduction of Time and Cost Artificial intelligence has been and is changing the shape of the existing workplaces by drastically reducing time and cost factors incurred by an organisations Human Resource Department and has been shown to boost the company’s revenue by 26 percentage. Artificial Intelligence can not only process data of repetitive tasks like scheduling interviews and screening of resumes much faster than a human being but can also find potential candidates that were overlooked by humans during the selection process. Goldman Sachs has been one of those companies to have been successful in the use of Artificial Intelligence in the workplace, claiming this move will provide more time for the employees to focus on other task as well as spend time with clients. Interview and Recruitment Artificial Intelligence uses various complex algorithms called chat-bots which are programme based on the company’s expectations of an ideal candidate, these bots look to ensure that the right employees are hired, as well as the current employees are retained and their needs are met. With the correct balance of Artificial Intelligence along with human resource professionals an organisation can reduce the average screening time of interviews by leaps and bounds and enable them to make better solutions of the potential and interested employees, rather than if just a human resource professional would do by themselves. During the initial interview process of employees a manager may be susceptible to various unconscious biases and can gravitate towards candidates similar to the interviewer and so on; Artificial Intelligence will help eliminate these biases and ensure a more diversity in the organisation and a transparent selection process. Artificial intelligence is also being used to help in the identification of soft skills of potential talent. This is done through the assessment of specific signs and patterns that may be displayed by the candidate during the screening process. However these are not absolute solutions as identification of soft skills require a human touch to it as well. Mya is an example of an Artificial Intelligence chat-bot being used in the recruitment process. http://www.shanlaxjournals.in 139 National Conference on “Artificial Intelligence in Business & Technology” Mya has been made and developed by a company called FirstJob. Mya communicates and relates with potential talent shortlisting them according the organisation’s expectations, thereby reducing the time of the recruitment process by 75% as compared to the time taken by human counterparts. Artificial Intelligence can also be paired along with Augmented Reality which can allow potential candidates or trainees to experience and get a feel of the organisation, the interview process and so on even, before they are formally in the organisation. Challenges to Implementation Job Replacement One of the biggest challenges of the employment of Artificial intelligence to the field of Human resource Management is that it will end up replacing some of the jobs held by humans. These jobs that will be replaced are lower skilled and repetitive jobs that don’t require a strong emotional capability. While many people fear this shift of jobs, Artificial Intelligence will also create newer jobs and will probably not be able to replace jobs that are on a creative level requiring more intuition. Similarly with the advent of the Industrial Revolution where jobs were replaced by much more efficient machines, human beings still found jobs that this new discovery had uncovered. Expensive to Implement However to implement Artificial Intelligence in the Human Resource department is not as easy as it sounds and can prove to be an expensive process; therefore only a few companies have the luxury of being able to use it effectively. It is estimated that presently only 40% of international organisations are using Artificial Intelligence to aid in the recruitment process. Fear and Lack of Awareness It is noticed that people tend to be more forgiving of a human being when a mistake is made but are harsh towards a machine that does the same. People need to learn to trust Artificial Intelligence so as to allow it a chance to be effectively integrated into the Human Resource Department of the organisation. Another worrying point for people in the case of Artificial Intelligence is that security issues could occur which could harm an organisation or an individual’s privacy. For example, news of Google and Facebook allegedly shutting down their Artificial Intelligence programmes after they started to develop their own languages that even the experts were not able to decipher even with the help of technology, have only made people more scared of the possibilities of Artificial Intelligence becoming self-aware and posing a threat to humans. Human Judgement Without both humans and artificial intelligence working in unison at the recruitment process there is a possibility of missing the unique features a particular individual proposes that would make him/her ideal for the job. Therefore Artificial Intelligence should be used to reduce the number of applications for recruitment to only the ones that fall under the pre-determined criteria of the organisation; Artificial Intelligence cannot completely replace human touch in the screening process. Requires Data and Past Experiences As Artificial Intelligence learns through previous experiences and from various sources of data, it will entail a lot of data collection which is a long process in order to get the desired results. 140 JAIN COLLEGE - CGS, Bangalore SHANLAX International Journal of Arts, Science and Humanities shanlax #SINCE1990 Conclusion Since the beginning of time human societies have been encountering changes in all the technologies that were in use. Just like the new upcoming technologies and the ones that were introduced before, so also should we embrace this upcoming field, to help increase the productivity and profitability of organisations. With the introduction of every technology, it opens up an avenue of both pros and cons. Since Artificial Intelligence is increasing in popularity it is an organisation’s responsibility to embrace the changes and look towards what the future of Artificial Intelligence may bring. In conclusion, Artificial Intelligence will not replace all the jobs being held by us humans; and only when it is blended along with the existing human tasks can the Human Resource Department operate at its optimum efficiency. We must remember Artificial Intelligence is not a matter of human versus machines; it is humans and machines overcoming difficulties and challenges that an organisation encounters. http://www.shanlaxjournals.in 141