Minutes
HR
Published on
December 8, 2022

3 Ways AI is Revolutionizing HR Today and Tomorrow

How will Artificial Intelligence impact Human Resources?
Contributors
Line Thomson
Founder & senior People Partner
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AI is a broad term of all forms of demonstrated intelligence by machines. It encapsulates everything from simple customer-service queries to sophisticated deep learning networks. It has been around since the 1940’s and has become a real hype in the last ten to twenty years. The problem with AI is, is that it is something like the internet in the 1980’s: everybody is talking about it, little people actually know what they are talking about, and even less people are getting business value out of it. Today we find AI in: self-driving cars, chat-bots answering questions, email spam filters and more. In this blog I will try and make an attempt to belong to the second category and show you where AI stands right now in HR and where I believe it will go to.  

Firstly, let’s start off with a quick note for sceptics towards AI and their idea that robots will take over the world, as Hollywood shows us in movies like ‘I, Robot’, ‘Terminator’, and ‘The Matrix’. Experts themselves have no idea when we can achieve Artificial General Intelligence (AGI), as in the movie robots, and are guessing somewhere near the end of this century or even after that. Furthermore, they argue that it is simply impossible for us to create beings which think like us because of one simple reason: we know very little our own brain. In other words; we almost know nothing about our brains, let alone reproducing them. Now that’s out of the way, let’s see where we are today in HR.  

Where we are today

Today AI is being used within HR on a limited scale, let’s start of by looking at recruitment. There are already algorithms who help recruiters source the right candidates and there are also applications which can scan resumes and search for certain key words and sentences indicating that he or she has the right profile. Another feature of AI which is currently being used is in the first stages of contact with a candidate. You can think of automated messaging, scheduling interviews, providing ongoing feedback about the recruitment process and answering their questions in a chat function. The main idea behind these simple tasks is to reduce bias and save recruiters time which they can spend on more important tasks, such as: assessing cultural fit, holding technical interviews and finding qualified referrals.  

AI is also being used within HR as a chatbot for general HR-related inquiries (such as Una from Unilever). These bots function as first-line HR support for all your employees. Another interesting development is the use of VR (Virtual Reality) within HR. It is being used to simulate real-life scenarios and test, measure and improve behaviour. VR is and will be an integral part of training for real-life situations and how your employees will handle them. The idea behind these developments is to, yet again, relieve your HR employees from simple tasks, assignments, and recorded training sessions and let them focus on the harder tasks, such as talent development and culture building.

Finally, there are also early signs of applications which analyse the data and computer activity of employees to predict who is thinking about leaving the company and when. The idea behind it is that with big data analysis you can see which digital office behaviour indicates that somebody is thinking about quitting the company. This will allow your HR employees to take up contact with the individual to see if there is anything that can be done to change the individuals mind or if you need to think about a mutual agreement on ending the employment and start looking for a replacement. In this sense it is important because these early signs can let you be ahead of the curve so you can have a smooth transition from one employee leaving and a new one taking his or her place.  

Want to find more on where AI stands in HR today? Have a look at this article from the HR Exchange Network.  

Where we will go in the future

In the short term the abovementioned methods will become more sophisticated. So automated sourcing, resume scanning, messaging, chatbots, VR training and employee data analysis will be able to direct you towards more specific answers. We all know the frustration of a chatbot which just keeps you sending to the same general page on the topic from the FAQ, while the info you really need is somewhere else. Just as anything in real life, that on its own will take time. The AI will need time learning from the input that we give it.  

More interestingly, I believe that AI will also have a place in face-to-face contact with the first interviews. I think that companies like Future Robotics will also introduce their life-like customer service robots in the realm of HR. This can be via a digital setup or even in person. The robot will deal with the basic questions which get asked in a first interview. Algorithms will then analyse the answers given to see which candidate made the best first impression. Additionally, I also think that VR sessions can be used to test candidates on their capabilities into handling different situations. The upside here is that it takes out all personal bias from a recruiter’s perspective towards the candidate.  

Another thing that AI will bring HR is new jobs. Up until now I have only described AI as a possibility of downsizing activities and how it might replace jobs in the future. On the other hand, it opens up opportunities for HR to be a real tool to increase the productivity of your company. The future of HR will be more focussed towards behaviour, culture, ethics and values and how these can be pointed in the direction which makes sense for your business. Those areas of focus are, not unimportantly, also the main reasons of motivation on how you motivate somebody to JOIN and STAY in your company, so therefore it should be the main focus of your HR department.  

Want to find out more about present and upcoming trends of AI in HR? Have a look at this article from Forbes.  

In conclusion

For now, I am not ready to board the hype train about scientific robots who think and act like humans. I do think however that AI will clear up routine tasks for us which will leave us in HR time to deal with more important issues, such as creating the right culture, stimulating and describing right behaviour and increasing productivity. Do you not want to wait ten to twenty years until AI clears up your HR department’s time for these issues? Contact us and see how we can help you to develop the right culture, motivate right behaviour and increase productivity.

What Work Samples are and why you should use them in recruitment processes

Research has time and time again shown that the best way to asses a candidate is through multiple assessment methods. A combination of different forms of assessment methods with will give you the highest probability of hiring the right candidate. Some forms of assessment methods are quite straight forward, such as structured interviews, behavioural interviews, and personality assessments, but there are others which are a bit harder to understand.

One that consistently shows up in research as being one of the best predicators of whether or not somebody fits the job is a knowledge exam or ability test or "work sample". A work sample is quite simply an example of your skills in a work-related environment. In this blog, we will dig in a bit deeper in work samples, their advantages and disadvantages.

Two types of work samples

In general, there are two types of work samples. The first type focusses on the developmental potential of candidates and in how far they are fit to learn the job at hand. This type of test is often part of the recruitment process for a traineeship or apprenticeship, after which the hired candidate first goes through a trial period where he/she learns the job at hand. Here you can think of examples such as military fitness tests, where potential cadets get tested for their physical and mental condition, or even an auditioning for a role within the music or theatre industry. In both cases potential candidates are not being tested for their current experience or skill but are mostly assessed for their potential to develop.

The second type is a more general work sample and are focussed on testing the prior experience and skillset of the candidate for the job at hand. These are more common and widespread throughout companies. Examples include, a coding work sample for a software engineering job, a use case regarding market expansion for a business development role, a logical puzzle for an analyst position, the list of different roles and work samples can go on and on.

Although the distinction is interesting, it is often so that the two categories are intertwined in the same process: both the present skillset and prior experience as well as the development potential are addressed.

Advantages

Assessing Skills

The first and foremost advantage of work samples is that the result gives an indication on how well a candidate would perform at the job. This is one of the most crucial assessments within a recruitment process. It has been proven that this work samples are crucial to assess whether a candidate possesses the right skills or the ability to train for the right skills. According to Robertson and Downs (1989), and Roth, Bobko and McFarland (2005), work samples increase the accuracy by which recruitment processes can predict whether somebody is fit for the job or fit for learning the job. This alone should be enough of an argument to start using work samples, but there are more arguments which make the case for work samples.

Validation

The second argument for work samples is that it provides validation within the recruitment process. This is not only true for the company, that, of course, needs the validation whether a candidate is truly a good fit for the role, but also for the candidates themselves to get a better understanding of the role, responsibilities, tasks, and their own fit for the role. The work sample exemplifies the competence of the candidate for the company while it also clarifies some aspects of the role for the candidate.

Overcoming Bias

The third advantage of work samples is that the results can be assessed by other members of the team, overcoming subjective opinions or individual biases of the interviewers. The work sample can give an objective answer to one of the most important questions of whether the candidate has the necessary skills to work within the company. Read more about the six most common recruitment biases here.

Contributing to CSR and Inclusion

Corporate Social Responsibility is a quite encompassing field, but basically boils down to that companies should behave socially responsible with regards to people, society, and our environment. Recruitment is also a part of CSR and work samples can contribute to the sense that they are not biased towards ethnicity or gender. Therefore, work samples should be utilized by companies that aim to be an equal opportunity employer as these are a step closer to unbiased recruitment.

Quantifying Results

In recruitment it is difficult to measure how well one candidate would fit versus another. Quantifiable results therefore make it easier to choose with whom to proceed, but also to whom to decline. Quantifiable results allow for informed decisions rather than just trusting your instincts and basing your judgement on individual interviews. According to Gilliland (1995), applicants that receive work samples perceive them as a very fair part of the recruitment process. Therefore, feedback based upon work samples is also perceived as such.

Measuring Recruitment Process

The advantage of quantifiable results is also that it allows for measuring the performance of the different stages of your recruitment process. Again, these results are not based upon the individual impressions of the interviewers, and the results are therefore quite reliable. The results of the measurement can give an indication about the required standards for the role, if you are attracting the right candidates, and about how well your interviewers are filtering out candidates who are not fit for the role. For example, if most candidates easily pass the interviews, but seem to keep dropping off at the work sample, then this might say something about the required standards of the role which perhaps require adjustment or the quality of your interviewers who perhaps must be more attentive.

High Return On Investment

This argument is more applicable to more specific functions which require more specific skills than less specific functions requiring fewer specific skills. The idea is that, although it takes time, money and effort to develop these work samples, it produces clear data by which decisions can be made, saving more time, money and effort on multiple interviews, meetings and other methods which aim to achieve the same results. It is also important to highlight that work samples save you from hiring the wrong candidates, which could end up being the costliest mistake that you can make, in terms of time, money and effort.

Now let’s turn to the disadvantages of work samples, most of which I have briefly highlighted above.

Disadvantages

Time & Effort

The first disadvantage is quite obvious in that it takes time and effort into developing a proper work sample. Time and effort are often not a resource of abundance within a company, especially not when a new position opens up. Most departments would like to see their new employee up and running as soon as possible. Therefore, time and effort should both be minimal, and work sample require both time and effort to create and tailor according to your recruitment profile.

Cost

The argument that often follows behind time and effort is the argument of cost. This is not surprising as both time and effort cost money, in one way or another. Keeping costs low to create operational value should be one of the main objectives of a financial sustainable company. Still, here I would argue it is a matter of perspective. Hiring an employee is an investment. The better you have assessed who the right candidate is, the more sustainable your relationship will be with your future employee. So, whether we are talking time, effort, or money, we would argue that the benefits outweigh the costs, and, we, as Peops Relations, can make them cost-effective.

In conclusion

Work samples have grown out to be a necessary part of every recruitment process. Work samples give an indication on how skilled candidates are, validate the candidate’s competences as well as the candidate’s perception of the role, overcome biases, lead to more inclusive hiring, and have a high return on investment. There is really no good reason not to include work samples in your hiring process, they are vital for a successful process. The only reasons to not include work samples are time, effort and cost, however, we would argue that it is more expensive, and a waste of time and effort, to search aimlessly without any result, or even worse: to hire the wrong candidate. Read more about considerations of work samples here or get in touch with us if you need help setting up your own work samples and overcoming excessive expenses.  

Line Thomson
August 18, 2022
What if the perfect candidate never seems to show up?

Most people see recruitment as a necessary means to an end and perceive the process with a clear starting point (the internal hiring need) and a clear end (the hired candidate). However, in contrary to popular believe, recruitment is a never-ending process. In previous blog I have already explained why recruitment does not stop after you have found the right candidate. But what if you are already stuck before that stage? What if the perfect candidate never seems to show up? In this blog I will discuss 6 tips which help you to find your future candidate and transform your recruitment operations into a continuously developing process.  


Knowing yourself is important to know what you want


Firstly, we are going to start with the basics. Whenever you are looking out for people, you need to make sure that you know what you as a company stand for. In this sense you need to have a thought-out vision and mission of what you aim to achieve with your company. Furthermore, you need to know what kind of internal culture you have and what values are shared in this culture. This is important because most people nowadays are not convinced by just a pure salary raise anymore. Most people are motivated by companies with whom they can identify with and who share their personal values. Now that you have identified your vision, mission, culture and values, it is time to work with them, which brings us to the second tip.  


Translate and communicate your message


Now that your vision, mission, culture and values are set up, it is important to display them. First and foremost, you should of course display this on your website and LinkedIn, but besides that there are also other target group focussed forums. You can think of websites, conventions or breakfast seminars which your potential candidates often visit. Don’t be afraid to be creative, in this sense it is better to be too active than too passive. Have you ever heard of guerrilla marketing? Well, that just might catch the attention of your future employee, against often budget friendly costs. Besides this, your recruiters also need to be well-trained in understanding, translating and identifying your own vision, mission, culture and values. It is therefore important that they work together with staff from your marketing department to gain those skills and to set up the right messaging towards your potential candidates. Furthermore, they are also the ones that need to identify the candidates whose values align with your own.  


Expand your network and nurture candidates


Another thing that you can start to do tomorrow is to get in touch with different recruiters or HR employees from other companies and start making them part of your network to increase the possibilities of a referral. Go to conventions, breakfast seminars and conferences to get in touch with them. In this sense it is important to know that a strong way to expand your network is to do favours for others before you can reap the rewards. This might sound like you are getting more work on your hands, but who knows; what may seem like an impossible profile for somebody else, might just be floating around in your talent pool. When talking about talent pools it is also important to remember to nurture the candidates who you have not hired. An applicant with the wrong profile for a previous vacancy might be the perfect candidate for a new vacancy. You should therefore regularly nurture their excitement for your company and go through your talent pool to see if you can find that hidden gem that you might forgot about. One way to continuously increase your talent pool is to open up ongoing vacancies where people can list their open application.  


Promotion and internal hiring boards


Did you just lose an incredible manager/team leader/senior team member and are you wondering how you will ever fill his or her position? Perhaps an internal promotion is a possibility. Maybe one of the team members is ready to step up and, if he or she is provided with training, be your new amazing superstar. Internal promotion has three advantages over external hiring: it’s cheaper, it’s faster, and the candidate already knows your company/product. Of course, the fact remains that there will be a gap in the team if you promote one of its members, but this, in most cases, is an easier recruitment than the incredible superstar that you lost. If the team members are not an option or if there is not even a team to speak of in the first place, then internal hiring boards could be an option. Internal hiring boards are basically vacancy boards of internal vacancies that not have been externally published yet and where only internal employees can apply for. A lot of managers are cautious for this, because they fear that their best employees might leave their department and they say that this is just a way of moving the problem. I would argue that this is the wrong way of thinking. Firstly, yes, your employee might move from your department, and yes, that moves the problem to your department. However, you should always realize that people are looking for ways to develop themselves, so letting them develop themselves within the company benefits the company as a whole. Again, it might be easier to find somebody for the new gap in your department as it is to find for the gap your company is experiencing right now (there is most likely a very valid reason that somebody is reading this blog right now). Furthermore, I would argue that this shows your employees that there will always be possibilities to develop themselves, which can motivate them to stay instead of leaving for a possibility to develop themselves at another company.  


Internal training and development


Continuing on the previous note, it is important to plan out what your employees are capable of right now and where they want to be in five to ten years. In this sense development plans should be one of the key priorities for any HR department. Firstly, because it simply keeps your employees happy and loyal if they have a sense of development and, secondly, because you can prepare and train them for the more specific and hard-to-fill vacancies which are upcoming in the future. This again intertwines with the first point, that you should know who you are as a company and strategically plan ahead for the future. So organisational charts need to be drawn up, both from the present and where you expect to be. Then you need to identify who can fill the potential upcoming (senior) positions and what he or she needs, in terms of training, to be able to fulfil that position. Actively be engaged with your employees and take them with you on this journey of development. The backend developer of today can be your architect of tomorrow.  


There is a truth in numbers


As with most things in life, there is a certain truth in numbers. The bigger your pool of candidates, the larger the odds that the right candidate is in there. In this sense it might be a good idea to try quantity over quality and expand the parameters that you’ve got from the hiring manager. When you are searching for people the pool of potential candidates increases if you decrease the hiring manager’s requirements. Maybe the candidate does not require a full five years of experience? Maybe experience in a related industry can be equivalent to experience in your own industry? Maybe managing twenty people requires the same type of management skills as it does when managing ten? Try to send through some candidates and resumes with the expanded parameters and see what works for your individual vacancy. It is in this sense also the recruiter’s job to push back a bit on the requirements of the hiring manager, because too often we see that hiring managers are looking for a unicorn that is fluent in five languages, has four degrees, and more than twenty years of experience in the industry. The reality is that unicorns do not exist, but it is our job to show them that and to come with a viable alternative.  


In conclusion


When looking out for your future candidates you should start with the basics and have a good story on who you are as a company and what you are trying to achieve. Then you need to get your message out there, both through online and conventional ways; be creative! After that you need to work with your network, most predominantly: expand it. Find ways to get in touch with fellow HR colleagues in the field and see if you can use their network. Furthermore, don’t forget about internal hiring and promoting your employees, and last, but not least, try to push back on the requirements for the profile and expand the parameters of your search to get a bigger pool of potential candidates.    

Line Thomson
October 19, 2022
Different teams work on branding and culture, however they are two sides of the same coin

Branding and culture are two separated dimensions often run by separated teams. This is problematic because many companies do not realise that branding and culture are part of the same process. So why are branding and culture part of the same process?

In most organisations branding is driven by the marketing department whereas cultural projects are driven by the People (HR) department. Often these two continuous projects (and participants) communicate little or not at all with one another, and that is because they are perceived as separate projects. This goes against our vision of what branding and culture is and how they can reinforce each other. We believe that a brand is determined by culture and that the correct display of a brand will reinforce internal culture. In this blog I will assess the two topics and show you how they intertwine.


Branding


Branding is an integral part of marketing. Branding is a way to steer how the outside world perceives your company and how they interact with your company. Brands can be very personal, very classy, very edgy, very transformative, you name it - and it is out there. The flavours of different brands are endless, which is not surprising as each company is trying to stick out from the crowd by creating their own unique identity. That is why it is not surprising that marketing departments focus on creating an own “brand identity” complete with own colours, values, story lines, slogans, and other components to make an own distinctive brand.


While creating a distinctive brand is important, it is almost similarly important to communicate this brand to the outside world. You can have a beautiful brand identity, but if nobody knows about it, then it is practically useless. In other words, you need to make consumers/potential clients aware of your brand. This part of marketing is, not surprisingly, called “brand awareness” which basically focusses on all the different channels through which you are trying to inform the world out there about your brand identity.


As you can imagine, these are enormous tasks, not only to define a strong brand which really stands out and persuades consumers/potential clients, but also to then get your message out there. It is up to your marketing department to properly formulate and distribute the message that your brand wants to convey.

Culture

Turning now to culture. In its core, culture is the combination of all individual values and behaviours of the people within your company. This is in part influenced by your organisational values, but also by individual beliefs. Culture is therefore not something that you can completely control, you can only partly steer it. With every new person that joins your team, or every person that leaves your team, your culture partly changes. So, in some sense culture is something you cannot control. However, you can stimulate certain behaviours and demotivate others. This way you can move culture in the right direction.


Your culture determines a lot on how your employees communicate and behave internally, but also how they communicate and behave towards the outside world. In part, your culture therefore determines what how the outside world perceives your company and your brand. This hints towards how culture and branding are very intertwined.


The same coin


So how are culture and branding part of the same process? Well, in simple terms branding is a process which determines how you are perceived in the outside world and culture determines how your employees interact with the outside world. In essence they are therefore both part of the same process: interactions with the outside world.


An organisation is its people. I believe that branding should start with assessing your internal culture. You need to know first what your internal culture stands for before you can create a brand accordingly. Why? Simple: consistency. For example: you can create a beautiful brand identity talking about how customer-focussed your organisation is, but let’s assume that your employees are rather more focussed on creating the best products (product-focussed). If your customer interacts with your representatives, which have a different attitude than your brand advertises, this might disappoint or upset them, or even worse; it will make your brand identity questionable, unconvincing, or even unbelievable.


On the flip side, having a brand identity which does not align with the internal culture also causes some problems. You will soon find that your employees do not believe any more about the message you convey to your customers/clients and that they become unhappy about the fact that the company seems to become more and more out of touch with their own employees and the internal culture. This can lead to unhappiness, unproductivity and even with people calling in sick or ultimately leaving the company.


So, what to do?


1. Find out what your culture is.

As with all cultural projects, the first step of assessing your current culture is key. Try to use employee surveys to question your employees what they value in their work, how they feel connected to their colleagues and what motivates them to come to work. Ask them how they communicate towards one-another, if they feel free to speak up during meetings, if they value creativity, how they experience the leadership; and many other questions. Try to find out how they work (together) and what motivates them to work (together).


(optional) 2. Motivate desired behaviours/demotivate undesired behaviours

In case you notice that there are many unwanted behaviours, then you should try and motivate desired behaviours and demotivate undesired behaviours. Use workshops, brainstorming sessions and early adopters to help people see how individual and group behaviour affect the brand in a positive (or negative) way. Bring out their desire to build a strong unique culture and brand. During these sessions you should get a better uniform image of what behaviours everybody wants to motivate. This is also the moment to take the leading role and move people in the right direction to start adopting the desired behaviours.


From these sessions you should also be able to bring organisational values to life. Working bottom-up: individual behaviours can be generalized in a couple of shared attitudes, which in turn can be generalized and highlighted in organizational values.


Don’t forget that organisational values prescribe behaviours. These are things you do. Therefore, your organizational values should be actionable.


3. Create a brand identity that aligns with your culture and promote it.

Now that you have found out what your internal culture stands for, it is time to create a brand identity around it. This is the job of your marketing department, but they need to keep connecting their messaging with the internal culture. If that does not align, then you are saying one thing while doing another. Once your brand identity is established and aligned with your internal culture, feel free to promote it any way you see fit.


4. Celebrate, celebrate, celebrate!

I do not understand why companies keep forgetting this step. Once you have created the right culture, the right brand identity, and you have started promoting it, then celebrate this with everybody involved! Present the results, show of the new polished brand, and how you are promoting it towards the outside world. While you are presenting this to your employees, remind them of how essential their contribution was into the cultural assessment and how they too have created their brand. It is just as much their achievement as it is the achievement of your marketing department. After all, your brand is your company, and your company is your brand. Everyone contributes to that, so every individual is key. Make your employees feel part of this journey and make them feel that they have contributed to this process. This will improve your overall culture, internal atmosphere, and connectivity amongst your employees.


In conclusion


Branding and culture are part of the same process. Culture is an integral part of branding, and you cannot create a solid brand without understanding your culture first. Therefore, I would argue that every brand project should align itself with the internal culture. If your brand does not align with your culture, then it becomes unconvincing and uncredible in the long run. Do you want to change your brand? Or do you want to fine-tune your brand identity? Start looking towards your internal culture and you will find your guidance towards how to change your brand and the overall perception of your company for the better.

Line Thomson
August 30, 2022

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