AI-Powered Recruiting: The New Watchword for HR Leaders in 2022
Today, artificial intelligence (AI) technology transforms our lives by manifolds.
Like every other industry, this state-of-the-art innovation is gaining a lot of traction on the talent acquisition front. Per a recent survey, nearly 17% of organizations are already utilizing AI-powered solutions for HR operations, which is estimated to increase to 30% in 2022.
The growing trend of AI in HR operations is partly because of its ability to develop personalized strategies to engage the workforce and facilitate employee performance.
To give you a better idea of why hiring managers should consider this technology within their daily workflows if they want to scale their company efficiently, keep reading.
1. Helps You Furnish an Optimal Candidate Experience
Per a recent article, 72% of the potential candidates report their recruitment experience online. If that review is negative, it can cease an organization’s image and prevent further hiring. The article further states that 55% of the candidates avoid a company because of bad reviews. So companies should offer the best experience for active candidates during the hiring process.
Every interaction with the job seeker sends a clear message about the organization’s culture and environment. To improve candidate experience, you can start by humanizing and automating the recruitment process via AI technology.
Since candidate experience is vital for hiring, you can use conversational AI tools. Also, screening job seekers via phone interviews, chatbots, or video calls on conversational AI allows employers to render equal opportunities to all candidates consistently.
Further, communication with applicants improves their experience, thus augmenting your brand in the end. According to a report, 69% of the candidates believe that the response time while waiting for a recruitment decision could be quicker.
Therefore, you can communicate with candidates with AI even though you have many applicants pending on your desk. AI is designed to give answers automatically, and Natural Language Processing (NLP) helps to provide a personalized review to the candidates.
2. Automates Manual Tasks for Greater Hiring Efficiency
Tedious manual tasks such as screening candidates, scheduling interviews, and understanding your evolving team are the last things you want to deal with every day. AI sourcing can assist you in automating your workflows.
Per PWC’s and McKinsey’s report, 20% of the business activities can be automated through today’s technology. PWC anticipates that the automation wave will reach 30% of the job titles by the 2030s. Artificial intelligence is proven to streamline business processes, including hiring.
Utilize scheduling software systems or automated CV checkers to get things done without disturbing your busy schedule.
Automated messaging services or employing chatbots is another way to automate mundane tasks. Candidates receive quick responses through automated conversations for a position, eliminating the need to attend calls or emails to hire candidates. This can be especially advantageous when trying to target passive candidates.
However, a recruitment decision requires quantitative and qualitative criteria and your gut feeling. Automating the final hiring decision isn’t a good idea. Instead, automate your database for filtering relevant resumes.
A recruiter has to enter specific keywords in the database to look through resumes for candidates. This poses a considerable risk for neglecting a potential candidate due to incorrect keywords. AI eliminates the possibility of ignoring a candidate, reviews applicants without using keywords, and looks up candidates through skills and experience.
3. Provides Cost-Effective Hiring in a Short Period
Recruiting an employee is costly as this involves posting job applications, screening candidates, conducting interviews, and training employees post-hiring process. So you should invest in hiring the right person. According to one report, companies spend $4,129 per hire and approximately 42 days to fill an open position.
Further, once a candidate is on board, companies need to spend money to train them so that the employee can start producing profits. Training is an expensive investment for a business. According to a study, companies spend approximately $1,286 annually on each employee.
Employing AI technology for hiring requires additional expenses. However, it’s effective and positively impacts return on investment in the long run.
AI decreases your need to recruit more employees or conduct interviews and assures that you’re capturing the right candidate for the position. You’ll save money on coming up with a practical job description, training, employee turnovers, and other expenses by hiring the right person.
4. Makes it Easier for Recruiting Teams to Attract the Right Talent Pool
Talent acquisition leaders are searching regularly for both active and passive candidates.
Per LinkedIn statistics, 70% of the workforce are passive job seekers, but 87% are actively looking for new job prospects. LinkedIn has the largest talent pool, but it comes with limitations, such as the website having little data on specific industries and roles.
For instance, we all know that an engineer will post a job application on Stack Overflow or GitHub. Your recruiting teams can then leverage artificial intelligence to constantly search the web for passive candidates to build a rich candidate data source from multiple sites.
Further, AI saves trial and error searches by searching through hundreds of relevant keywords, which helps you quickly source candidates from many different places. This technology improves your search by learning about your candidate’s selection. Also, AI captures your preferences and priorities during hiring.
The AI algorithm identifies diversity by combining several data points such as schools, pictures, affiliations, and more. AI helps hire the best talent pool by predicting missing skills in people’s profiles.
5. Enhances Responses Through Chatbot Technology
A recruitment chatbot is designed to mimic human communication capabilities during a hiring process. This is the same as Siri, Alexa, or Google Assistant, and AI chatbots use natural language processing technology to understand messages and respond accordingly.
According to Juniper Research, chatbots save $8 billion in cost savings for businesses, making it ideal for companies to use them for recruitment procedures. A chatbot uses various media such as SMS, email, social media, software like ATS and Slack.
Per a survey, 58% of the jobseekers were comfortable interacting with AI and chatbots during the application process. Also, around 66% of the applicants were satisfied with chatbots scheduling interviews.
A recruitment chatbot can ask questions, collect hiring data from qualified candidates’ resumes, and answer FAQs. This information is gathered and fed into ATS for the recruiter to analyze or follow up.
Crucial Considerations for Leveraging AI in Hiring
1. Having Protocols in Place to Ensure Data Privacy
Just as in the case of any other tech innovation, artificial intelligence has its downsides.
A recent report says that 88% of experts in the cybersecurity field suggest that AI-powered cyberattacks will be inevitable in the near future. Therefore, it is essential that the hiring managers planning on taking the AI recruiting route think about ways to balance out its limitations.
For instance, tools such as Security Information and Event Management (SIEM) and User and Entity Behavior Analytics (UEBA) can deal with data security threats in real-time during the talent acquisition process itself.
Furthermore, a few AI tools also excel at vulnerability management through simple functionalities such as automating system reviews and data analysis. Using the Vulnerability Risk Score that these tools provide, a recruiter can quickly secure candidates‘ data and infrastructure.
2. Thinking About Ways You Can Humanize the Experience
According to one recent survey, as many as 77% of the total surveyed applicants preferred human interaction while searching through job descriptions.
And even as the human touch can never entirely be replaced by technology, the use of AI-powered tools in conjunction with in-person interactions can prove to be extremely useful.
According to a survey, AI chatbots hold the potential to solve the majority of problems recruiters encounter on an everyday basis, and nearly 34% of the respondents suggest that chatbots are an efficient mode of connecting with a human.
You can also teach machine learning algorithms to hold meaningful interactions with job applicants with adequate training. For instance, Microsoft’s AI assistant, Cortana, has been trained to develop a confident, helpful, and caring personality.
There are several other ways AI recruiting can prove to help to hire managers, mitigating unusually long time-to-hire for your company and filtering out candidate profiles to get only the relevant candidates and top talent your way.
To know more about other such innovative technologies that you can use to help your hiring teams find relevant candidates and augment the recruiting process at your company, contact us at Recruiter.com today!
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