HR professionals find themselves busier than ever in today’s fast-paced work environment. Many have dabbled in artificial intelligence (AI) technologies for personal use, but have not yet leveraged the technology in their department or business. In today’s Compliance Corner, we will explore how AI can benefit HR processes, streamline operations and discuss what HR professionals need to know to stay ahead of the digital curve while maintaining safe best practices.

What is AI? 

AI, simply put, is the simulation of human intelligence performed by computers. AI can be broken down into three sub-categories: Traditional AI, Predictive AI and Generative AI.  

Traditional AI works off preprogrammed algorithms and rules and provides solutions within the limitations of the algorithms. Voice assistants like Siri or Alexa work off Traditional AI. 

Predictive AI analyzes historical data and can predict future outcomes. When you log into your favorite streaming apps and see the top picks for you based on your viewing history, you’re seeing Predictive AI technology in action. 

Generative AI operates by continuously learning vast amounts of information and can produce new content based on patterns and relationships between the data. For example, DALL-E, a Generative AI image generation tool, can create original images based on user prompts. 

As AI continues to evolve, businesses across all industries are finding ways to integrate various forms of AI tools into operations to create more automation.  

What are some common ways that companies utilize AI? 

Many businesses have already implemented AI with virtual assistants and chatbots. The advantages of adopting AI technology in the workplace include increasing efficiency and productivity, automating processes and uncovering valuable insights. 

In February 2020, Amazon implemented an AI Chatbot that learned conversation-response pairs from over 350,000 conversations and generated over 5 million unique responses to customer queries. The chatbots can process the most common requests (order cancellation, refund status, etc.) while uncommon requests are transferred to a human customer service representative.  

DHL, a global logistics company, implemented technology that analyzed parcel delivery routes, warehousing and order fulfillment and was able to predict workload and optimize workforce allocation, which resulted in increased efficiency.  

It’s clear that AI isn’t a science fiction concept or a slick marketing tool–by adopting AI technology, companies have been able to maintain sustained advantages in their respective markets to stay ahead of the competition. 

How can AI streamline my HR processes? 

We found that AI is already being leveraged by 80% of HR departments. AI can help streamline HR processes in numerous ways. Here are some of the most impactful: 

• Recruitment and Hiring – AI-powered recruitment tools can generate job descriptions, review and evaluate resumes and rank candidates based on skill sets and job requirements, resulting in a reduction in time-to-hire.  
• Employee Retention – Data can be compared across key employee metrics, including salary, tenure and turnover against industry averages. 
• Workforce Planning – AI technology can analyze staffing metrics, identify trends and provide employment insights allowing for more informed decision-making.  
• Virtual Assistant – Employee handbooks and policies can be pre-programmed into an interactive chat that provides automated responses to frequently asked questions.  

While AI is proving to be an extremely useful tool in the HR space, it should be used to complement, not replace, existing HR communications and interactions.  

What safeguards need to be in place? 

When using AI or sourcing AI programs for your business, it’s vital to keep safety and best practices in mind. Like most technological tools, not all AI programs are created equal. Here are some key steps for safeguarding the use of AI: 

• Formulate an AI policy that explicitly outlines what your company will permit, and the steps employees need to follow when using AI tools.   
• Evaluate the AI tools you are planning to use. Not all AI applications are safe! The growing popularity of AI applications has resulted in the creation of fake applications used to trick users into downloading them, increasing the chances of installing malware used to steal confidential information. Encourage all employees to practice due diligence before downloading any applications. This includes reviewing the security features, terms of service and privacy policies.  
• In addition to safety, many versions of AI may not provide up-to-date information. AI tools are only as accurate as the data sets they utilize. If the data is old or incomplete, the content will not be accurate. Be sure to verify the information you receive from AI tools with trusted, reputable sources.   
• In using any AI tool, employees must be careful not to upload or share any confidential, proprietary or protected data. This includes data related to customers, employees, partners and alike. Employees must also ensure that any AI tool does not utilize the confidential or copyrighted information of a third party. When using Chatbot AI tools, it is recommended that the chat-saving functionality be disabled.  
• Access to any AI tools approved for business use should not be provided to anyone outside your organization. Your company’s AI processes should meet all of your company’s existing security compliance requirements. 

Along with implementing safeguards, it is important to consult with the related teams and departments in your professional environment. While HR policy, procedure and implementation are key elements, it is recommended that HR work alongside management, product development, IT, and cybersecurity to develop and maintain best practices when it comes to AI.  

How is isolved utilizing AI? 

We view AI as a valuable tool to help teams reach their strategic goals. Our tools support, not replace, existing HR teams by making workflows more efficient and boosting the employee experience.  

At isolved, our AI investment is molded by our desire to reduce HR workloads, enable self-service and pave the way for a better workplace in the future. We have made a commitment in support of the ethical use of AI, including: 

• Regarding privacy as essential 
• Continuing to seek out and follow best practices in the field 
• A commitment to an unbiased, diverse workplace 
• Being transparent and direct in our use of AI 

 Are you looking to optimize and enhance how your HR department utilizes AI? Our team of HR Service experts are here to help!  

Kailyn Charron - Kailyn Charron is a seasoned 10 + year HR professional specializing in high compliance industries. She possesses her BSBA in HR Management from Johnson and Wales University. Kailyn’s areas of expertise include employee relations, compliance, training and development, and HR strategy.  

Shannon Royer – Shannon is a HR Business Partner on the HR Services team. She brings over 15 years of HR experience across many different industries, including event management, manufacturing, and hospitality.  

   

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