HR is a department with a negative reputation. It usually has few resources other than overworked staff, boring technology and piles of employee handbooks. Harried recruiters have to sort into groups of candidate applications that far outnumber available jobs. For example, Johnson & Johnson (J&J), a consumer goods company, receives 1.2 million applications for 25,000 positions each year. AI-enabled systems can screen applications much faster than humans and determine if candidates are a good fit. Translated with DeepL.com (free version)

According to Athena Karp of HiredScore, a startup that uses algorithms to screen candidates for J&J and others, only about 15-20% of candidates typically possess the right qualifications for a job, but they are rarely told why they weren't hired; they pointed to more suitable jobs. Technology helps "give respect to candidates," he says.

Nvidia, a chip maker, also receives more resumes than its HR department can handle, so it spent a year creating its own system to predict which candidates deserve to go through the interview process. It has identified patterns that recruiters may not have recognised: for example, candidates who submit particularly long CVs turn out to do less well than others, so those extra words will count against them. Hilton, a hotel chain, reduced the average time to hire a candidate from 42 days to five with the help of HireVue, a startup. It analyses videos of candidates answering questions and uses artificial intelligence to judge their verbal skills, intonation and gestures. This can be especially useful when the candidate comes from a different culture or speaks a different native language, says Ellyn Shook, head of leadership and HR at Accenture, a consulting firm with 435,000 employees that also uses HireVue. Translated with DeepL.com (free version)

Employers tend to hire candidates who are like themselves, which creates undiversified workplaces. Orchestras, for example, were usually male. Employment of female musicians only increased when they introduced "blind" auditions behind a screen. Algorithms can act as virtual screens, making hiring more equitable. Pymetrics, a startup whose clients include companies such as Unilever, a consumer goods giant, and Nielsen, a research firm, offers a set of games for candidates to play, usually early in the recruitment process, that ignore factors such as gender, ethnicity and education level, for example. Instead, they test candidates on around 80 characteristics such as memory and attitude to risk. Pymetrics then uses technical intelligence to measure applicants against top performers and predict their suitability for a role. This can help candidates without conventional qualifications.

Another company helping companies become more diverse is Textio, a startup that uses artificial intelligence to improve job descriptions. For example, it has found that corporate jargon such as "stakeholders" and "synergies" tend to turn away some candidates, particularly non-white ones, and that women are less likely to apply for jobs described as "managerial" rather than "developmental." Tailoring job descriptions can bring in 25% more qualified people and boost recruitment among minorities, says Kieran Snyder, head of Textio.

Recruiters often meet candidates who are well qualified, but not suitable for the specific position they are trying to fill. In the past, there was no way to redirect them to other jobs. AI will make it possible to "redirect candidates we have attracted in the past," says Sjoerd Gehring, vice president of talent acquisition for J&J. The healthcare giant uses HiredScore, a startup, to score candidates. When a vacancy opens, the system automatically generates a short list of candidates who might be a good fit. That will result in big cost savings, Mr. Gehring says.

By integrating AI into HR processes, companies are able to attract talent in new and effective ways, eliminating bias and enhancing inclusion. AI tools, such as those used by large companies, create a balance between efficiency and fairness, shaping a more diverse and sustainable workplace. As technology continues to evolve, the role of AI in HR will remain pivotal, leading to more balanced and productive relationships between businesses and the people who make them up.

Elina Karamanou

CEO / Business Consultant

Thanasis Karmiris

Payroll Manager