Artificial Intelligence (AI) is revolutionising many sectors, and Human Resources (HR) is no exception. Companies are increasingly adopting these technologies to optimise their processes and improve efficiency. In 2024, 76% of HR managers believe they will fall behind if they do not adopt generative AI within 12 to 24 months (Source: Gartner 2024 study). However, this digital transformation is not without risks, particularly in terms of ethics and change management. In this article, you will discover how automation tools are transforming the Human Resources business.
Artificial intelligence in business: a few reminders
Definition of AI
According to IBM, artificial intelligence (AI) refers to systems or machines that mimic human intelligence to perform tasks and that can iteratively improve based on the information they collect. AI supports humans on several levels: speech recognition, decision-making, problem-solving and autonomous learning.
How can we distinguish an AI tool from a simple automation tool?
An HRIS tool can be considered an AI tool when it uses technologies that simulate human capabilities such as learning, decision-making and pattern recognition. AI-enabled software incorporates at least one of the following functionalities:
- Automate a process by analysing historical data, company rules and employee behaviour.
- Forecasting and planning using predictive algorithms, based on past trends and predicted events.
- Understand and process requests formulated in natural language (e.g. via e-mails or chat messages) and respond appropriately (NLP).
- Analyse large amounts of data using machine learning techniques.
- Learn and improve over time by incorporating feedback to refine its suggestions.
Benefits of AI for businesses and employees
AI enables businesses to automate repetitive tasks, improve the accuracy of processes and speed up data analysis. Thanks to massive data analysis, AI fosters business innovation and offers new prospects for developing new products and services. For employees, AI lightens the workload, enables them to work on higher added-value tasks and provides decision-making tools.
The benefits of automation and AI tools for HR
1 - Automating administrative tasks
Payroll management
Automation tools simplify payroll management by calculating salaries, tax deductions and social security contributions. ADP, PayFit and HR Access use algorithms to process this information quickly. Overtime, bonuses and salary adjustments are calculated in real time. Thanks to these tools, human errors and processing times are reduced.
Leave tracking and requests
Automation solutions such as Kronos and BambooHR manage leave using workflows. Employees check their balance, submit their holiday requests, and then an algorithm checks availability. An email notification is then sent to the manager, who approves or rejects the request with a single click. The system processes the procedure and shows the balance on the payslip.
Staff data updates
Updating staff data is a time-consuming task for HR teams. Some tools, such as SAP SuccessFactors, Workday and PeopleDoc, use workflows to automate certain processes. Employees enter or modify their personal information via online forms (address, telephone number, marital status). AI checks the consistency and completeness of the data to ensure compliance with regulations (RGPD).
Editing employment contracts
Instead of spending a lot of time drafting employment contracts, HR can now use automated systems that generate them in a matter of minutes using drop-down menus. Platforms such as DocuSign and Legal Robot customise contracts based on predefined templates and employee-specific information. This software simplifies the administrative process and reduces legal risks.
2 - Optimising recruitment
Using algorithms to sort and analyse CVs
Artificial Intelligence optimises recruitment by using algorithms for sourcing. HR managers start by defining criteria for the machine. The system then sorts and analyses thousands of applications to identify the candidates who best match the required profile. Today, some tools use AI algorithms to assess candidates' skills and experience. These include LinkedIn Recruiter and HireVue. This "sourcing 2.0" method improves recruitment efficiency and the quality of hires.
Interview with a chatbot
Chatbots improve the candidate experience by offering instant and continuous communication. Using natural language processing (NLP) and artificial intelligence, the Mya (created by Mya Systems) and Olivia (created by Paradox AI) chatbots can answer candidates' frequently asked questions, provide information on the status of the application and even schedule interviews. This approach allows recruiters to concentrate on higher added-value tasks, such as assessing skills during interviews.
3 - Customised training
Individualised training plans
AI can be used to create training plans by analysing the performance and needs of each employee. AI from French tools Talentsoft and 360Learning collect data on employees' skills and career objectives. Using this information, they can propose personalised training paths that precisely target the areas requiring improvement or development.
Predicting future skills needs
Advanced systems analyse market trends and technological developments to identify tomorrow's skills. For example, the Elevo platform incorporates predictive algorithms that help companies and HR to anticipate the skills needs of their employees.
4 - Employee Engagement and Retention
Analysis of employee feedback
Artificial intelligence can be used to analyse the social climate within a company. Start-ups Officevibe and Supermood have developed AIs that can collect and analyse employee feedback in real time. By quickly identifying signs of dissatisfaction or disengagement (drops in productivity, frequent negative comments), HR can intervene. In this way, they can organise follow-up meetings, offer training or adjust working conditions to prevent staff turnover and improve employee well-being.
Personalised reward programmes
Recognition and rewards help to keep employees engaged. The Bleexo, Comeet or Workday platforms with its Manager Insights Hub use AI to personalise recognition programmes according to employees' performance and preferences. This helps to motivate and value talent, which contributes to employee satisfaction and retention.
Employee integration
Automation also facilitates the onboarding of new employees. Flatchr and Lucca solutions automate the onboarding process, providing new employees with all the information and training they need as soon as they arrive. This ensures rapid integration, reduces stress for new arrivals and gets them up and running faster.
Talent assessment
Finally, AI is used to assess profiles and analyse employees' soft skills. Tools such as AssessFirst and Neobrain can be used to identify employees' behavioural skills and aptitudes. HR will gain a better understanding of each individual's potential. This assessment can be used to develop career plans and optimise talent management within the company.
5 - Decision-making tool
Using AI for predictive analysis
By using AI algorithms, companies can forecast their staffing needs, anticipate periods of high activity and plan accordingly. AI can also be used to identify key talent within the organisation. This makes it easier to manage careers and retain the best people. The Cornerstone and Talentsoft platforms offer this kind of forecasting functionality.
Dashboards for HR decision-makers
Automated dashboards provide HR decision-makers with an overview of key performance indicators in real time. These tools, such as SAP SuccessFactors and Workday, aggregate and analyse data from a variety of sources. Dashboards can display metrics such as retention rates, employee satisfaction and performance by department. They enable managers to make quick decisions and adjust HR strategies in line with current trends and needs.
The limits of AI in HR
Algorithmic and ethical biases
Although powerful, AI systems can reproduce and amplify the biases present in the data used to train them. If historical data contains biases, the algorithm may perpetuate them, leading to biased decisions in recruitment or talent management. For example, an AI system might favour male candidates even though this preference is unjustified and unwanted.
These algorithmic biases raise issues of fairness and discrimination. Biased decisions can exclude qualified candidates or disadvantage certain employees. This can affect diversity and inclusiveness within the company. Automated decision-making processes must be transparent, fair and impartial, and HR must be able to explain to candidates how and why certain decisions are made by AI.
Data protection issues
The use of AI in HR involves the collection and processing of large amounts of personal data. To comply with RGPD regulations, companies must ensure that this data is protected and respect the rights of individuals (right to be forgotten, explicit consent). Companies must be transparent about how data is collected, used and protected.
However, AIs are vulnerable to cyber-attacks, which can lead to breaches of sensitive data. Employees' personal information can be exposed (bank details and medical records) which can cause significant damage and affect the company's reputation. To guarantee the security and confidentiality of employee data, employers must implement encryption technologies and a policy for managing access to tools.
Technological and human limitations
Implementing HRIS and AI tools can be complex and costly for the human resources department. Companies have to invest in solutions, then train staff and call on external experts for training.
At the same time, AI algorithms can be opaque and can alter the understanding of the decisions taken. This opacity raises issues of trust and accountability. Employees and managers may be reluctant to rely on systems whose operation they do not understand.
Change management
Human Resources Managers need to familiarise themselves with these new technologies in order to integrate them into their day-to-day work. A learning period may be necessary, as some employees may question traditional methods. To avoid resistance to change, managers have a role to play in raising awareness and demonstrating the benefits of AI. Training courses can be offered to help overcome any reluctance.
