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Will Generative AI Change the Work of HR Management?

Generative artificial intelligence (GenAI) is reshaping human resources processes, from talent acquisition to employee training and development.

Yet, while adopting this technology has potential pitfalls and challenges, industry leaders envision GenAI as an opportunity to empower and engage employees throughout the enterprise. SHRM, for instance, quotes CEO Tom Gimbel who calls GAI “one of the most significant shifts we anticipate in 2024.” Gimbel adds that, “contrary to fears of job displacement, companies are embracing this technology to alleviate administrative burdens, freeing up valuable time for employees to engage in more innovative and fulfilling tasks.”

The Master of Business Administration (MBA) with an emphasis in Human Resource Management online program from the University of West Florida (UWF) prepares business professionals to use generative AI in human resources (HR) space and to anticipate the field’s changes.

What Is Generative AI?

ChatGPT, the most widely known GenAI platform, gained 1 million users in its first week of online release. Usage increased to 1.6 billion visitors in 2023 and settled at 100 million active users.

The open-source chatbot and similar platforms launched by companies such as Google, Microsoft and IBM are powered by large language models (LLMs). These are pre-trained with billions of bits of text data and continue to expand their datasets as they are accessed. The result: they can carry on diverse, virtual conversations with users based on their queries.

McKinsey & Company research predicts that GenAI will continue its widespread integration in HR as the platforms continue to learn. McKinsey & Company emphasizes important functions of GenAI, such as its ability to personalize recruiting for underrepresented groups, “dramatically increasing the number and diversity of applications” and matching “new hires with mentors and coaches.”

As those imperatives continue to gain importance, demand is increasing for HR professionals with expertise in GenAI, leadership, team-building and problem-solving skills. UWF’s online MBA in Human Resources Management program prepares graduates for leadership roles in emerging strategic issues and business technologies. For example, the curriculum’s Strategic Issues in Human Resources Management course focuses on applying emerging HR management principles and technologies, such as GenAI, to achieve organizational goals.

How Could Generative AI Impact Hiring and Talent Acquisition?

HR professionals are leveraging GenAI’s ability to respond to users’ inquiries in natural language to find high-performing new hires through various strategies. UKG lists a few examples:

  • Optimizing job descriptions by writing them based on inputs regarding position responsibilities
  • Glean insights that provide hiring teams with data points about organizational culture
  • Reduce administrative tasks to free up time for innovative and strategic activities

According to UKG, GenAI has the potential to “create efficiencies, reduce the number of manual tasks performed, and provide access to data insights that help leaders make better decisions.”

Benefits and Challenges of Integrating Generative AI Into HR Management

The International Data Corporation (IDC) notes that enterprises invested $16 billion in GenAI in 2023. GenAI investment “is expected to reach $143 billion in 2027 with a compound annual growth rate (CAGR) of 73.3% over the 2023-2027 forecast period.” Among the drivers of that expansion are strategies to improve productivity through:

  • Giving remote workers chances for deeper connections to help them work more efficiently
  • Improving the effectiveness of collaboration
  • Translating content to increase clarity and accessibility

While acknowledging the benefits of integrating GenAI into HR processes, Fresh HR Insights warns of pitfalls that could produce negative results, including:

  • Bias: LLM datasets typically are not owned by organizations using GenAI, which can leave them open to discriminatory hiring practices based on how they are trained and learn.
  • Inaccurate information: GenAI is only as accurate as the LLM data that drives it. If the platform does not understand user queries, it can produce results leading to reputational damage.
  • Data breaches: Malicious actors can shape inquiries to hack an enterprise GenAI platform unless it is protected by encryption and access controls.

“Knowing how to overcome potential challenges is key to harnessing the full potential of GenAI in HR,” Fresh HR Insights advises. Its recommended strategies to safeguard GenAI integration include:

  • Guaranteeing diverse, unbiased learning sets
  • Regularly monitoring outputs for accuracy
  • Ensuring staffers are trained to spot and resolve problems

Through UWF’s online MBA with an emphasis in Human Resources Management program, students develop the skills to leverage resources like GenAI in their work as HR leaders.

Learn more about UWF’s online MBA with an emphasis in Human Resources Management program.

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