Have you already started recruiting using AI? AI recruitment is not just a passing trend; it is transforming the way HR teams are approaching the hiring process. But with AI everywhere now, it feels as if it is becoming a buzzword. Do you actually know how to leverage this new technology to enhance your team’s hiring process?
In this article, we’ll focus on a highly relevant issue: the use of artificial intelligence in hiring processes by managers and HR managers. We’ll examine how AI can be used and focus on the advantages and disadvantages. Next, we’ll look to the future, trying to identify the challenges that still need to be overcome to fully unlock the potential of artificial intelligence, and which software we can rely on.
Bonus: We’ve included a free ebook to learn all about AI in HR management. That way, you can implement AI in more than your recruitment process, but also onboarding, performance management and employee engagement.
How to use AI in the Recruiting Process
Human resources has undergone a radical transformation in the way they handle their daily tasks. With the release of AI tools, more HR teams are able to eliminate the amount of manual tasks they complete. They’ve been able to automate and leverage AI to save time and effort.
The Journal of Society, Economics, and Management found that, increasingly, HR professionals are taking on a more strategic role. This means they are no longer limited to administrative tasks but play a crucial role in the company’s success. Their transition into having more of a strategic impact means making crucial decisions, such as deciding on how the hiring process will be structured.
We cannot ignore the new technologies that are emerging during this phase of digital transformation. These technologies are enabling new methodologies for human resources management. Additionally, it is necessary to adopt advanced talent management strategies. Throughout recruitment, one goal is to quickly identify the best talent, retain them long-term, and maximize their potential. Luckily, thanks to AI recruiting tools, it is possible, for example, to:
- Quickly and objectively identify suitable candidates for your company
- Provide highly personalized training to new hires
- Generate AI-written job descriptions
- Publish job descriptions to multiple job boards at the same time
- Centralize candidate communication
- Continuously evaluate performance and satisfaction levels within the company
How can AI actually improve your Recruitment Workflow?
AI can streamline and optimise numerous administrative and manual tasks related to candidate sourcing, such as screening resumes, scheduling interviews, and onboarding. All it takes is the right tools and the right prompts for ChatGPT or other AI.
AI’s ability to objectively analyze large volumes of data simplifies a complex task for humans, thus making your workflows much more efficient. A recruiter, no matter how qualified, will never be able to analyze every resume with the same care, objectivity, and efficiency as an AI-based system. This means AI recruiting software can save your team time and effort. Ultimately, speeding up the screening processes and leading to you hiring top talent quicker than before.
Furthermore, recruiters and HR professionals can be influenced in their decisions by personal biases. Several studies confirm that factors such as facial expression, clothing, eye contact, body language, and presentation can influence interviewers and impact their final decisions.
But be careful. What we’ve said so far shouldn’t lead to hasty conclusions. AI recruiting is certainly not the solution to all problems. It undoubtedly brings advantages, but there are other considerations to consider. For example, it’s very important to know how to give the AI the correct instructions and concrete prompts because the final result could be of poor quality.
Benefits of using AI in Recruiting
There are numerous benefits of implementing AI to the hiring process. It has been analyzed by Piotr Horodyski in a recent study published in ScienceDirect. The identified advantages are the following:
- Time savings: AI-based software and applications automate numerous recruiting processes. For example, they can be used to screen resumes, identify attractive characteristics in profiles, and conduct initial interviews using AI chatbots. In short, AI eliminates much manual and repetitive work.
- Ease of use: The best AI recruiting tools aim to streamline processes. This means they are easily accessible and usable by any recruiter with good digital skills. Hiring managers don’t need to possess particular skills to complete the recruitment process, just understand how to utilize the platform.
- Greater objectivity in the selection process: AI can help evaluate candidates with complete objectivity. This minimizes the risk of the recruiter, even unconsciously, being biased and evaluating the candidate subjectively. Artificial intelligence can therefore provide concrete assistance in ensuring equal opportunities for open positions, even when you opt for internal recruiting solutions. All of this improves the perception of the company in the eyes of employees, who will be less inclined to believe there is favoritism or bias within the company.
- Improved candidate experience: The role of AI in improving the overall employee experience shouldn’t be underestimated. Candidates receive immediate support and efficient systems that make the application process simple and seamless. This benefit alone could encourage talent to submit their resumes and choose your organisation over other, less technologically advanced ones.
- Improved employer brand: On the other hand, AI also enhances the image of the employer and the company. The organisation is rightfully positioned among the advanced companies, ready to implement progress and innovation. This characteristic could be a distinguishing feature of the company and help attract a greater number of candidates.
💡 See how else AI can benefit your team by reading our free AI in HR management ebook.
Disadvantages of using AI in Recruiting
Using AI in recruitment processes certainly brings benefits, but it still comes with its drawbacks. Issues can easily arise, particularly if you lack the right skills or fail to give proper consideration to the assessments produced by AI-powered systems. Understanding the disadvantages that come with using AI tools will help you be a more responsible user. That way, you can prevent these drawbacks from affecting your hiring process.
ScienceDirect research warns of potential disadvantages that technology can bring to the recruitment process:
- Lack of nuance in judgment: AI-powered candidate analysis must also be evaluated by a qualified recruiter. AI may provide overly blunt assessments, overlooking nuances and details that only an empathetic, emotionally intelligent recruiter can grasp.
- Incorrectly scoring candidates: Some AI recruiting software may disregard the right candidates or allow top candidates to slip through the cracks. This could prolong the recruitment process and cost you your perfect match. Particularly, if the AI system doesn’t understand your candidate preferences correctly.
- Emerging technology: AI recruitment processes are still emerging. Issues such as inaccurate skill assessments and overly rapid assessments that fail to take into account a candidate’s unique circumstances or experiences can arise. This means promising candidates may not advance in your hiring process.
- Data protection: A crucial issue concerns how AI manages and uses information collected on candidates. Improper use of data can raise significant ethical issues. Check out the EU AI Act to ensure you are complying with new regulations. This is especially important as a UK employer conducting business within the EU.
The Challenges of using Artificial Intelligence in Recruiting
So far, we’ve highlighted the effectiveness and usefulness of AI recruiting tools and software. However, they must be used with awareness, recognizing that they are useful tools but still are far from being perfect. These AI tools are best used when paired with critical thinking skills and understanding that solely relying on AI is not recommended.
Some current challenges when it comes to utilizing AI recruitment tools are:
- Building trust: The use of AI in recruiting is divisive. Some embrace it, while others are reluctant to adopt it. The real challenge lies in building trust and presenting AI as a collaborative tool, rather than a replacement for people who have carried out these tasks for decades.
- Better candidate understanding: While AI can effortlessly analyze large amounts of data, it struggles to assess a candidate’s experiences, emotions, and overall personality. The current challenge is finding the right balance between AI and human assessment to best understand each candidate’s strengths and weaknesses.
- Costs and training: One point worth noting is the cost of implementing AI and the associated training costs. If technologies continue to develop at a rapid pace, companies may find themselves constantly having to revise their recruiting processes, investing significantly each year in software and training. These represent costs that not all organisations are willing or able to sustain.
- Adding a human touch: When you automate the hiring process, it can be challenging to ensure you add a human touch to the experience. Especially with a high volume of candidates. HR professionals need to balance an efficient recruitment workflow while also respecting candidates and approaching the process with empathy.
Factorial's AI that Simplifies your Recruiting
If we had to look for a word to describe how to implement AI into recruiting processes, we would choose “balance.” The perfect AI recruitment software would automate and reduce manual tasks while also being fully customisable. HR professionals need an AI recruitment tool that saves time on repetitive tasks while ensuring a smooth and positive candidate experience.
Today’s organisations are tasked with finding a suitable AI recruitment software and implementing their AI tools thoughtfully and carefully. For this reason, choosing the most suitable AI software for recruiting is crucial. Factorial is an all-in-one business software designed to help you implement AI effectively in your company. Its platform respects employee privacy, is non-invasive, and above all, offers truly useful features for successfully implementing AI in the hiring process.
Factorial AI allows you to greatly simplify your hiring process! We’ve got the data to provide it:
- 30% reduction in hiring costs
- Save 14 hours of work every week
- 35% increase in efficiency
Thanks to Factorial, you can say goodbye to wasted time reviewing CVs and candidate screening manually. You’ll be able to filter candidates for an initial interview much more easily and connect with talents who truly match the job description. This makes scheduling interviews a breeze, making the recruitment process more efficient.
And that’s not all; with just a few clicks, you can:
- Extract relevant information from resumes and automatically tag them with the appropriate skills and competencies.
- Optimise your talent pool and find out who is suitable for a particular open position
- Find the perfect candidates with our semantic search system
- Publish job postings to multiple job boards
- Match with top talent faster than ever
All you have to do is try a demo and discover the potential of Factorial + AI firsthand. Join over 600,000+ satisfied customers worldwide today!
👉 Get your free demo and discover all the benefits Factorial can bring to your business.
