The Impactof Artificial Intelligenceon Human Resource Management
The Impactof Artificial Intelligenceon Human Resource Management
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ABSTRACT
Artificial Intelligence (AI) is revolutionizing human resource management (HRM) by automating
repetitive tasks, enhancing decision-making processes, and creating new job opportunities. This paper
explores the implications of AI on HR functions such as recruitment, selection, employee development,
and performance management. It also addresses the ethical considerations and challenges associated with
AI adoption in HRM. The findings suggest that while AI can significantly improve HR efficiency and
effectiveness, it is crucial to implement AI responsibly to avoid ethical pitfalls and ensure alignment with
organizational values and societal norms.
Keywords: Artificial Intelligence, Human Resource Management, Recruitment, Selection, Employee
Development.
INTRODUCTION
Human resource management is now evolving into a position where it has begun to develop and cultivate
competitive advantages and greater distinction in individuals. AI automates HR processes that may
otherwise be repetitive and time-consuming, such as cognitive tasks. AI technology already has and will
continue to affect HR work, replacing jobs and/or some activities. It often has the effect of producing jobs
and/or new activities. For several firms, the HR model is adapting the way they operate. If AI can lead to
a growth in HRM inventiveness, downsizing HR may well be counterproductive. Therefore, we discuss
the impact and role of AI on HRM along with a variety of different perspectives [1, 2, 3]. As AI
technology gets more affordable and at the same time, the HR team is differentiated, regardless of what
has already occurred, many HR managers should be prepared to implement AI. This part of the
discussion will concentrate on the position of intelligent systems, or the hardware and software necessary
for machine knowledge, in the implementation of the research. One further result of AI shift on
occupations is the opportunity for payment which AI can produce. We can, in theory, define particular
qualifications and expertise that AI cannot grasp or imitate. These specific positions and individuals may
include duties and skills of HR administrators. In certain conceptual documents, however, a national
survey of AI experts, AI has the ability to take over any job. Equals the sum of data. All that is automated
can be replicated [4, 5].
FUNDAMENTALS OF ARTIFICIAL INTELLIGENCE
Artificial intelligence does not have a universal definition that encompasses all applications, although it is
often understood to be the automation of tasks that typically require human intelligence. The
relationships between humans and AI in the context of human resource management require an
understanding of both AI and humans. AI can be broken down into two types: artificial narrow
intelligence (ANI) and artificial general intelligence (AGI). ANI refers to AI that is efficient in performing
a single task or set of associated tasks, while AGI refers to AI with human-like intelligence that is capable
of performing a wide range of tasks. The focus of most current research is on ANI, which can be applied
to interpreting unstructured data, making predictions, or assisting in decision making. In order to
distinguish between inclusive and exclusive terminology, the term "artificial intelligence" (AI) was chosen
as defined in this paper [6, 7]. Based on its development model, ANI can be divided into two categories.
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The first is a model developed through computer-based programming, such as expert systems and the
minimum viable product (MVP) model. These models, however, rely heavily on human experience coding
or the rules of the system, and there is currently no universally-used MVP model. Some of the latest ANI
development technology uses statistical methods in machine learning models. Rather than being
explicitly programmed, many machine learning models have the ability to learn on their own. The deep
learning model, one of the subsets of this approach, emerged in 1981 before developing into its current
form. It is currently a widely-used AI technology in the field of human resources, and can be used to assist Page | 15
in decisions or forecasts.
DEFINITION AND TYPES OF AI
FUNDAMENTALS OF ARTIFICIAL INTELLIGENCE
With the rise in the use of these technologies in the field of human resource management, it is necessary
to better understand AI, beginning with defining and classifying it. There is no universally accepted
definition of AI. However, AI can be regarded as the science and engineering of making intelligent
computer programs, which can embody any form of intelligence that is also found in humans, such as
problem-solving, adaptation and learning, extensive knowledge, natural language communication, and
creativity, to name but a few. In contrast to a computer program operated by humans, the 'intelligence'
that is expressed in such computer programs is intended to be autonomous, so that the program can solve
problems and engage in tasks independently. That is, a minimum requirement for calling an intelligent
program 'an AI program' is that it must work autonomously [8, 9]. The field of AI is a tangle of various
definitions and types, and another area of confusion is defining AI as weak, strong, general, or narrow.
The World Summit AI includes another type of AI in the definition: 'AI: Software that is able to replicate
cognitive functions, like problem-solving or learning, that we would usually perform using the human
brain.' Therefore, according to their definition, AI can be as intelligent as humans, which introduces a
different understanding of AI in the global community. Based on the different definitions of AI, a
company that is involved in the application of AI can better understand what exactly AI can do for the
business. However, in order to minimize ambiguity, this research follows the conventional classification of
AI, as follows: [10, 11].
1. ANI, or Narrow AI
2. AGI, or General AI
3. ASI, or Superintelligent AI
ADOPTION OF AI IN HUMAN RESOURCE MANAGEMENT
Over the past years, AI (artificial intelligence) has been increasingly adopted in a variety of HR (human
resources) processes. These are integrated in activities such as managing work, measuring productivity,
providing feedback, selecting and recruiting, and employee development. The anticipation is that areas
with a higher number of data points (such as recruitment selection, learning and development,
suggestions for promotions, legal case predictions, etc.) will be increasingly invaded by tech in the future.
AI has been proven to mitigate cognitive and physiological biases in various meta-analyses. A study, as an
example, revealed that technology used to hide identity in symphony orchestra hiring explained up to
30% of the variance in success [12, 13]. There are several AI tools on the market that are embedded in
HR recruitment processes; most of these tools evaluate CVs or applications and are built and
operationalized through machine learning techniques such as Natural Language Processing or neural
networks, among others. The technical specifications and underlying themes of most of these tools are
proprietary. Still, what AI does is it identifies correlations between existing successful employees and
their traits and performance. This way, AI instructs the HR recruiter to shortlist and hire candidates that
have similarities to existing employees. AI tools are integrated into HR processes to screen and invite
interviews for job applicants. In today's selection practices, the vast majority of AI is used in screening
applicants (intake) and during live interviews (as an interviewer), while in the future, the divide between
these AI HRM processes will increasingly narrow. Both processes, though, have their limitations and
potential ethical concerns [14, 15].
RECRUITMENT AND SELECTION
A majority of research has been done with regard to the use of AI in the Human Resource Management
function. This pertains especially to the area of recruitment and selection, as nearly half of the research
content available is confined to this subject [16]. Recruitment and selection have been impacted by
tremendous advancements in technology. AI is revolutionizing and transforming this aspect of HR with
its specific applications. AI tools such as Machine Learning, Deep Learning, and Natural Processing are
filtering out the most relevant talent from the gigantic piles of CVs. Gigantic data extracts from socio-
professional beings as well as econometric data are enabling predictive analytics to screen the profiles and
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reproduction in any medium, provided the original work is properly cited.
evaluate them in each step of a specific recruitment process [17]. Implications of recruiting and selecting
candidates with the help of AI are numerous, beginning with AI's ability to detect individuals who would
integrate within an organization, perform better, give back productive years to the organization, higher
ROI, etc. Moreover, the applicants that are hired via algorithms will start off being successful from the
moment that they begin the tasks that the job requires as a result of the superior qualities of artificial
intelligence that are favored in the selection process [18]. Furthermore, the applicants that have been
recommended by algorithms for hiring are more satisfied when they begin work in their new role since Page | 16
they were aware of the competitive nature of the selection process and were willing to make a show of
hands. The main threat of hiring through AI is related to data protection issues that are raised by the
potential partaking of personal data for the completion of candidate profiling [19]. The question that
must be answered is the following: To what extent is it ethical to allow for the intelligent profiling of
applicants, on the basis of their public or non-public digital footprints, such as keystrokes when carrying
out psychometric tests, online tests, or e-assessments, and in-depth background of social web usage, such
as entries on social networking websites like Facebook, LinkedIn, or Twitter (amongst many others)?
Specifically, the use of social media (CRM) for talent analytics would result in some candidates potentially
being rejected instantly because they have incompatible views, lifestyle, or values which conflict with a
particular (elite employer) [20, 21]. The increasing predictive accuracy of such approaches results in the
elimination of another layer of potential hires. The main potential benefit of hiring through AI is
associated with the global accessibility of the tools and the application for the resolution of many different
issues regarding hiring effectiveness, turnover, and fit, among others. The benefits also include biased-
human evaluator removal, personality trait-based hiring that can also predict employee success, and a
significant reduction in time and money spent on CV assessment [22, 23]. If AI applications grow
gradually more widespread and firms tend, as it is hoped, to put a direct assessment of the personality
into place alongside online candidate risk data assessment, then social media (CRM) usage would
probably turn out not to be invasive and would appear, in recruitment terms, mainly for confirmation as
opposed to investigative purposes due to data protection and GDPR considerations [24].
CHALLENGES AND OPPORTUNITIES
While AI appears to offer many opportunities, it affects our HRM in multiple respects. The contemporary
discussions on AI are usually centered on whether AI technologies are about to fully replace human
workers. Yet, as many researchers have seen, the application of AI in organizations, especially its
implications in HRM or people management, leads to very complex, challenging, and distributive social
and ethical issues, which form a critical concern of this study. When organizations intend to smoothly
introduce AI into their HRM, they have to consider the ethical or moral issues raised concerning their
staff and organizations and address related public interests to ensure that AI investments generate the
organizational trust valued by businesses [13]. The AI integration often identifies a number of dilemmas,
as it encourages ambiguities and trade-offs due to the inconsistent interests of different stakeholders, as it
is with e-HRM and Technological HRM. For instance, the emergence of increasing spying technologies
such as wearables and employee-monitoring technologies in HRM linked to often the Double Loop
Panopticon is causing major ethical dilemmas and challenges that the firms need to address concerning
their employees and the Asian societies they operate within. It is argued that organizations in Asia need
to ensure the intention and uses of AI are executed in socially responsible ways in accordance with their
host societies' value systems, norms, beliefs, and culture. Businesses are more likely to succeed only if they
are able to win the confidence of their key stakeholders by addressing their worries and fears that AI may
have a transformative effect on their people when implemented at their workplaces [25].
ETHICAL CONSIDERATIONS
As AI systems increasingly enter HR practice, concerns about bias, inaccuracy, and the lack of control are
growing. There is a wealth of concerns about potential misuse, and indeed abuse, of AI in HR. For
example, as Copeland points out, psychological profiling based on the analysis of social media, the use of
satnav systems to track employee location outside of working hours or the use of biotech to screen
employees for certain genetic characteristics could be seen as ethically objectionable. In Star Trek terms,
concerns arise related to privacy and the protection of personal data, but also regarding the moral and
social implications [26].
In HR, poorly executed or unethical AI can perpetuate or even amplify biases and be a threat to corporate
reputation, regardless of its effectiveness. Not only can it lead to legal consequences, but it can also
destroy the trust, confidence, and loyalty towards the employer and ultimately damage the social fabric.
AI ethics brings us into the realm of how we would like the world to be, and the implications of AI use
and non-use for the organization, society, and the environment. In other words, discussions about AI
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reproduction in any medium, provided the original work is properly cited.
ethics result from the growing gap between the capability of responsible human action and the
technology designed and delivered to make decisions for managing human resources [25].
FUTURE TRENDS AND RECOMMENDATIONS
Future trends in AI usage in human resource management Research was not conducted to predict future
trends. However, these are some of the projected future trends: - Prognosis and evidence-based HR (e-
HRM) will become more widely used. - HR employees' number may decrease due to the use of AI. - Other
jobs within the HR field may emerge due to an increase in the use of AI. Possible emerging professions Page | 17
and occupations may include data analysts and data maintenance. - The use of big data to predict new
trends in the HR management field. - An increase in the discovery of potential new applications of AI
within the field of HR, recruiting and selection in particular. - AI usage will detect bias and increase the
usefulness of selection technology. Bias may be detected before the hiring phase, and not only within the
hiring process [27].
Recommendations for practitioners, teachers, and HR managers Organizations should be aware of the
capabilities and limitations of AI implementations. Some of the applications of AI within HR will render
organizational success irrelevant if the AI is not fed with reliable data regarding organizational
performance. AI applications within HR have great potential in identifying potential bias in work and in
pre-employment practices. AI also has the potential to predict individual and organizational performance
by assessing a candidate's speech, facial expressions, responses to questions, and competencies. Despite
increasing advancements in automation, high-contact positions and positions requiring a high level of
human contact, empathy, or creative and innovative skills will still continually emerge. It is advised that
practitioners, teachers, and HR managers consider using these AI applications. When helping
organizations automate HR processes, use HR analytics and big data, and predict future trends, make sure
organizations conduct training specifically in these areas. Data governance training should also be
prioritized due to data protection. Mean scores and gender differences within the appropriate population
are two concepts that AI should be fed. This concept is necessary in order for a forecasting AI to be able
to function. If large technologies that are using AI are not already predicting behavior or performance,
they eventually will. This AI is advancing at a rapid pace [28].
CONCLUSION
Artificial Intelligence is reshaping the landscape of human resource management by automating routine
tasks, improving decision-making accuracy, and uncovering new opportunities for innovation in HR
practices. The integration of AI into HR processes, particularly in recruitment and selection,
demonstrates significant benefits such as enhanced efficiency, reduced bias, and better candidate-job fit.
However, the ethical implications, such as data privacy concerns and potential biases in AI algorithms,
must be carefully managed. Organizations must prioritize transparency, fairness, and data protection to
build trust and ensure the ethical use of AI in HRM. As AI technology continues to evolve, HR
professionals must stay informed and prepared to adapt to these changes, leveraging AI's potential while
addressing its challenges responsibly.
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CITATION: Gasana Kayitesi Mugisha. The Impact of Artificial Intelligence on Human Resource
Management. Research Output Journal of Arts and Management, 2024 3(2):14-18.
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