AI in HR: Steps for Success

How to Get Started with AI in HR: Practical Steps for Success

As Artificial Intelligence (AI) continues to revolutionise HR, many organisations are wondering how to get started with integrating AI into their HR processes. While the potential benefits are clear—greater efficiency, better decision-making, and enhanced employee experience—the path to successful AI implementation can seem daunting, particularly for HR teams that may not have extensive experience with digital transformation. However, by taking a structured approach, HR professionals can gradually and effectively introduce AI to their operations. Here are some practical steps HR teams can take to begin their AI journey.

1. Assess your Digital Maturity

Before diving into AI, it's essential to assess your organisation’s current digital maturity. Many companies struggle to fully utilise the software and tools they already have, and jumping straight into AI without a solid digital foundation can lead to confusion and inefficiency. A digital maturity assessment helps HR professionals understand where they stand in terms of technology adoption and how well their systems are integrated.

Start by evaluating your current HR processes and technology stack. For example, is your applicant tracking system (ATS) working efficiently? Are your employee records fully digitised? Identify areas where AI could add value, such as automating repetitive tasks like applicant screening or improving data analysis in areas like performance management or diversity and inclusion.

A case study from Unilever illustrates the importance of assessing digital maturity before scaling AI initiatives. Unilever began its AI journey by first digitising its HR processes against three core pillars: human experiences, simple interactions, and meaningful impact. By laying this groundwork, the company was able to streamline AI integration without disruption, creating the ‘Employee Universe’ and transforming the employee experience at Unilever.  

2. Develop a Robust AI Policy

As AI becomes more integrated into HR processes, it is crucial to have a clear policy in place. A robust AI policy outlines the parameters for how AI will be used, who is responsible for managing AI tools, and how data will be protected. This policy should also cover ethical considerations, such as ensuring AI-driven decisions are fair and unbiased.

Given the increasing concerns around AI and bias, HR professionals should work closely with legal experts and IT specialists to craft policies that promote transparency and accountability. AI tools like those used in recruitment must be audited regularly to ensure that they are not perpetuating historical biases in hiring decisions. By establishing clear guidelines, HR can protect sensitive employee data and ensure that AI is used in a way that aligns with the organisation’s values and complies with data protection laws.

3. Start Small and Scale Gradually

Implementing AI in HR doesn't have to be an all-or-nothing venture. In fact, one of the best strategies is to start small and scale gradually. Rather than overhauling entire processes at once, focus on areas where AI can deliver quick wins. For instance, AI-driven chatbots can be used to handle routine employee enquiries, automating administrative tasks like leave requests or benefits management. These simple applications can help HR teams build confidence and demonstrate the immediate value of AI.

A great example is Hilton Worldwide, which implemented AI to improve its recruitment process. The company introduced AI-driven tools to automate parts of the hiring process, such as screening candidates and scheduling interviews. Once the AI system proved effective, Hilton expanded AI's role to include employee retention analytics. This step-by-step approach enabled Hilton to integrate AI smoothly without overwhelming its HR teams.

4. Invest in Training and Upskilling

AI is a powerful tool, but it’s only as effective as the people who use it. HR professionals need to invest in training and upskilling to ensure they can leverage AI effectively. This doesn’t mean that HR professionals need to become data scientists, but they do need to understand how AI works, what it can do, and how to integrate it into their day-to-day roles.

Training should focus on developing AI literacy, understanding data privacy issues, and learning how to collaborate with AI tools to enhance decision-making. According to a 2020 report from the Chartered Institute of Personnel and Development (CIPD), 28% of employees who anticipate some degree of automation in their roles have received training to prepare for the change. By investing in ongoing training, organisations can ensure that their HR teams are equipped to work effectively with AI.

5. Stay Informed and Engaged

AI is a rapidly evolving field, and staying informed is crucial for long-term success. HR professionals should regularly review industry reports, attend AI-related conferences, and engage with thought leaders to stay ahead of the curve. As new AI technologies emerge, organisations need to stay agile, adapting to technological developments that can further enhance HR functions.

Engagement with external AI forums or industry associations can also be valuable. For example, the AIHR (Artificial Intelligence in Human Resources) Academy offers courses designed to help HR professionals gain practical AI skills, including data-driven decision-making and HR Metrics and Dashboarding. Additionally, conferences such as the Future of AI Summit provide a platform for HR leaders to exchange knowledge and learn from organisations that have successfully implemented AI, and how to develop it responsibly.

Conclusion

While the prospect of implementing AI in HR may seem overwhelming, taking a structured approach can make the process more manageable. By assessing digital maturity, developing a robust AI policy, starting small, investing in training, and staying informed, HR professionals can successfully integrate AI into their organisations and unlock its full potential. AI offers tremendous opportunities to enhance decision-making, improve efficiency, and elevate the employee experience. By following these practical steps, HR leaders can ensure that AI is implemented effectively and ethically, delivering lasting value for both employees and the organisation.