Assess the ways in which Artificial Intelligence (AI) is affecting Human Resource Management.
Introduction
The innovation of artificial intelligence in the technological workforce has transferred the burden of manual decision making from humans to machines. According to Wang and Lin (2018) development in the AI technology has created some new challenges for management or enterprises and emphasised on higher requirement on the teaching of human resource management. AI powered systems have outperformed all human activities and is affecting human life in all different levels of achievements. The speed of efficiency in tedious and time consuming tasks has added to human value of life and enhanced their functioning. According to Min (2017) enterprises are supporting the digital transformation for AI based workforce in their future business modules. The purpose of this report is to identify the challenges faced by the human resource management in operating a digitally transformed organisation and the role of artificial intelligence systems in performing digital operation in place of human resource professionals.
Results
A research study was conducted by Nankervis, et.al., (2019) has discussed an important question of how ready the Australian human resource management professionals are to work with artificial intelligence models at workplace. This research aims to study the acceptance of Artificial Intelligence powered systems in an organisation by the employees. The results showed that while most employees believed that the use of Artificial intelligence could enhance their work productivity and augment job performance on the contrary some believed that introduction of Artificial Intelligence in the workforce could sabotage their jobs and a threat to the future vision of the organisation. Employees were also concerned about the Australian governments strategies and policies regarding artificial intelligence.
Yawalkar (2019) conducted a descriptive study with secondary data which was collected from numerous scholarly and non-scholarly sources. It was seen that Artificial Intelligence has found application in every department of an organisation. This research study analysed the efficiency of Artificial Intelligence powered systems in data collection and management in comparison to manual human resource employees. The research study concluded that the role of Artificial Intelligence has greater scope in various functions carried out in human resource department whereby Artificial Intelligence companies can handle human resource management task and other project management related tasks more efficiently. In increased pressure in business with the data collection managers have found it efficient the introduction of Artificial Intelligence in the organisational frameworks.
In the research work Cappelli, Tambe and Yakubovich (2019) they identified the role of Artificial intelligence in human resource management. The research further discusses the difference between the technological promises made by artificial intelligent developers and the actual efficiency level in human resource management in four challenging areas which are complexity in human resource management work, limitations of small data sets, ethnicity associated with corporate governance to the management with the help of algorithms. The paper also suggests recommendations for overcoming the challenges based on the principles of reasoning, random choices and using formal process in application of data analytics. The research concludes that while general purpose Artificial Intelligence is still far away from getting any domain in human activity it has progressed towards specialisation in healthcare, automobile industry, social media, advertising and marketing progress in the management of issues related to human resource is far less than perceived.
Another research conducted by De Mauro, et.al., (2018) focuses upon the growth of Big Data Analytics which has led companies to focus their attention on digital needs. Companies are using Web scraping techniques for extraction of data from web pages with the help of web scrawlers which are stored in data sets. However, there is no clarity whatsoever on the specific skills and knowledge in this area. On analysing online job posts it was found that business leaders and managers were using web scrapping methods to establish strategies.
In a research conducted by Wang, et.al., (2016) the research study focused on the application of cloud computing in small and medium size enterprises. For this purpose, the researcher has discussed the concept of cloud computing extensively and then performed a game analysis in cloud computing in human resource in small and medium enterprises. The research paper proposed new infrastructure of cloud computing in human resource management in SME’s. The research focuses on the use of cloud computing which is also an Artificial intelligence technology to store data and analytics without the help of any hardware device. It highlights the application of the cloud computing system in numerous departments of an organisation for getting efficient results. The research also encourages the application f cloud computing as it enables automation and availability of real time data, improves process visibility and increases automation.
The purpose of this study conducted by Bongard (2019) is to study the recruitment and hiring abilities and process of artificial intelligence which is driven by data and complex algorithms. The data for analysis was collected from various multinational companies and scholarly articles. The analyses showed that the recruitment and selection process was innovative in nature. Data for this study is gathered via an online survey conducted in the United States. The structural equation modelling technique was used to test the research model. The analysis however proves that while Artificial Intelligence is built to store all data and knowledge and decision making it still lacks cognitive abilities like the human resource management.
This paper by Sivathanu and Pillai (2018) aims to study the role of innovative artificial intelligence management software like Smart Human Resources 4.0 (Smart HR 4.0) in changing the human resource management process and roles. This paper thoroughly discusses the advantages and disadvantages of Smart HR 4.0 in the Human Resource management. The analysed the role of Smart HR 4.0 in the destruction of manual human resource process. The Smart HR 4.0 disrupts the talent incoming, talent development, and talent outgoing process. A successful Smart HR 4.0 strategy is required by organisations to cope up with the challenges of digital transformation. The paper emphasises upon building strategies to cope with the incoming technologies like Artificial Intelligence, big data and internet of things in the human resource process. Changes in organisation and leadership would be required to incorporate the efficient Smart HR 4.0.
The research conducted by Pérez and Falótico (2019) discusses the effect of Artificial intelligence in the jobs of labours. It states that the rapid development in AI technology in fields of economy, culture, laws and workers is going to adversely affect the jobs of the labours. Also, companies shifting from traditional to digital models of communication and job processes are doing this by slaying down their manual work force. However, it has provided satisfaction in job to service takers. The real challenge starts when the micro and macro aspects start playing on the dismissed employees. The introduction of artificial intelligence has led to the destruction of jobs requiring training and repetitive task requirements. According to this paper it is soon going to trigger agitation among the people regarding work rights.
Discussion
With the onset of the digital era the innovation paradigm has shifted from manual base decision making process to a smarter process by digital powered systems like Artificial intelligence (AI). According to Strong (2016) AI is rapidly becoming a part of the economic and building process such as manufacturing and social media communication and now finding its place in human resource. The area of concern in human resource is recruitment which is to be most transformed by this technology. From defining sourcing of applicants to having a clear online applicant system to selection of candidates of interview the process has become faster. However, the employees face a challenge of maintaining unlinked tools and dispersed data. This report discusses about the role of AI domination in the human resource process and its impact on organisations profits and employee psychology as it may affect the jobs and working focus of the manual labour. The role of organisational human resource is to recruit, train and communicate with candidates. This job is seen to be efficiently be done by the AI process with the help of chat boxes. There can also be usage of chat boxes instead of humans in company call centres for trivial direction queries but would only have limited application and would redirect a call to customer service agent when the query crosses its limitation.
The specific answers to the roles of AI are also questioned in the sense that it is a system which reduces the workload of human being in performing different performances. AI is already taking the face of fourth revolution in a way which is unimaginable. Its work process in human resource management is commendable pertaining to the technical challenges. It is also slowly gaining acceptance by the millennial generation on the contrary to the older generation which see it as a threat to their jobs (Teng 2019). However, there are certain challenges in the human resource process like the dependence on certain keywords while selecting applicants for interviews. Those candidates who are familiar with the artificial intelligence functioning may use the keywords and phrases to trick the bot. On one hand where Artificial Intelligence reduces the need for human communication it also can be inefficient in performing some tasks which require a detailed communication and AI is restricted to its knowledge base only and lacks cognitive efficiencies. Artificial intelligence is a innovation in development which has still not achieved its finest form. So, in one place where we see accuracy in its measurements and calculations, we also find flaws in its calculations in other tasks performed. Artificial Intelligence though made to replace humans requires a potential skillset to function accordingly.
As of now it is seen Artificial intelligence working as small forms of programs like cloud computing which is a new dimension of data collection and storing. Human resource management as a manual employee must maintain and record a lot of employee data since inception of a new employee in the organisation. The role of manual employee in the Big Data Profession is not as efficient as Artificial intelligence as it requires scraping of data from numerous websites and jobsites to pick the right skill for the right job. This might be tedious for an employee, but AI performs data management efficiently such that it can search through numerous tedious data and analyse the right skill set which is already fed in the system as keyword analysis for interview calls. Cloud computing as a form of Artificial intelligence has impacted the traditional working methods of many organisations and forced organisations to shift from conventional to digital methods of computing and processing of data.
Conclusion
The research paper aimed at discussing the evolution of new methods of digital processing systems in the human resource management of an organisation. It identified Artificial Intelligence as a key player in modern business environment and stated its application in different industries like building, construction, management, communication etc. however, in human resource management, Artificial Intelligence seems to have taken the role of manual employees and somehow replacing them in efficiency. However, artificial Intelligence has is own threats and damages. It does not give a sound solution to all the issues in the business organisation. Some policymaking requires a more human thinking process than an automated device which will only give solution according to the knowledge fed in it.
The literature reviews presented by other authors states the same situation of Artificial Intelligence application in a specific field like human resource but with different views. The main point of consideration in all the reports including this one is the acceptance of Artificial Intelligence by the people. The report analysed two groups of people in this case. The first are the old generation employees who have see the introduction of any innovation as a threat to the organisation and their job and consider manual input of data instead in a conventional manner. On the other hand, there is the new generation which is more familiar with the technology and see it as a boon to the organisation’s efficiency and task management. Now, it is difficult to come to conclusion on the long term efficacy of Artificial Intelligence in the human resource department since it is still a technology under development.
References
Bongard, A., 2019. Automating Talent Acquisition: Smart Recruitment, Predictive Hiring Algorithms, and the Data-driven Nature of Artificial Intelligence. Psychosociological Issues in Human Resource Management, 7(1), pp.36-41.
Cappelli, P., Tambe, P. and Yakubovich, V., 2019. Artificial intelligence in human resources management: challenges and a path forward. Available at SSRN 3263878.
De Mauro, A., Greco, M., Grimaldi, M. and Ritala, P., 2018. Human resources for Big Data professions: A systematic classification of job roles and required skill sets. Information Processing & Management, 54(5), pp.807-817.
Min, J 2012, ‘Ten ways HR tech leaders can make the most of artificial intelligence’, Personnel Today, 26 April, viewed 28 May 2020, https://mail.google.com/mail/u/4/#inbox/FMfcgxwHNWHJgvRrtpMrVKCdTMKpgRpk?projector=1&messagePartId=0.8
Nankervis, A., Connell, J., Cameron, R., Montague, A. and Prikshat, V 2019. ‘Are we there yet?’ Australian HR professionals and the Fourth Industrial Revolution. Asia Pacific Journal of Human Resources.
Sivathanu, B. and Pillai, R., 2018. Smart HR 4.0–how industry 4.0 is disrupting HR. Human Resource Management International Digest.
Strong, A.I., 2016. Applications of artificial intelligence & associated technologies. Science [ETEBMS-2016], 5(6).
Teng, X., 2019, April. Discussion About Artificial Intelligence’s Advantages and Disadvantages Compete with Natural Intelligence. In Journal of Physics: Conference Series (Vol. 1187, No. 3, p. 032083). IOP Publishing.
Wang, T. and Lin, J., 2018. Research on the Influence of Artificial Intelligence on Human Resource Management Teaching and Work. DEStech Transactions on Social Science, Education and Human Science, (ichae).
Wang, X.L., Wang, L., Bi, Z., Li, Y.Y. and Xu, Y., 2016. Cloud computing in human resource management (HRM) system for small and medium enterprises (SMEs). The International Journal of Advanced Manufacturing Technology, 84(1-4), pp.485-496.
Yawalkar, M.V.V., 2019. A Study of Artificial Intelligence and its role in Human Resource Management. International Journal of Research and Analytical Reviews (IJRAR), pp.20-24.
