Generative AI could boost HR Productivity up to 30% in the near future!
Nicolas BEHBAHANI
Global People Analytics & HR Data Leader - People & Culture | Strategical People Analytics Design
??There is a lot of speculation about how generative AI will impact HR but for the first time, researchers have quantified the benefits for HR functions.
Generative AI has the potential to drive about 30% increased productivity across the HR value chain in the near term. The impact of Generative AI will be a fundamental transformation towards a more strategic, value-added and knowledge-driven HR organization. Gen AI would also be beneficial for HRBPs to primarily give them a Net Capacity Unlock and reduce HR administrative tasks, according to a new interesting research published by 波士顿谘询公司 using data from BCG support functions benchmarking data for the past 5 years.
?The real impact of GenAI on HR function
Researchers found that this GenAI transformation will have below impacts on the workflow:
??Dramatically increased self-service
??Productivity and experience enhancements across hire-to-retire processes
??Truly personalized and always-on delivery of HR services
??A comprehensive data-driven talent ecosystem to power people decisions and workforce transformation
?Concrete changes in the HR tasks due to implementation of GenAI
Researchers studied some concrete examples of impacts on HR tasks, namely Self-service information, Hire-to-retire processes and Talent ecosystem and the results are stunning as HR can save precious time and devote themselves to other more value-added activities.
Self-service and open-access information
?? Fewer clicks, more answers
?? Better, more conversational chatbots with new GenAI capabilities
?? Faster resolution of employee Q&As
??? 40% reduction in employee request approval time
Tech-enabled, more personalized and productive hire-to-retire processes
??Consumer-grade tech paired with HR professionals who can invest more time in moments that matter
??More personalized and responsive interface, such as nudges or L&D offered within a work rhythm
??60% cost savings to deliver high-quality L&D video content
On talent side, GenAI will help to:
1?? Copilot to redesign work
2?? Automated flags on work demand shifts based on talent and market trends, business results, strategy
3?? Auto-refreshed job-skills matrix incorporating GenAI skills disruption indexes based on job trends
?Impact on HRBPs activity
Researchers discovered that GenAI would also be beneficial for HRBPs to primarily give them a Net Capacity Unlock and reduce HR administrative tasks.
They predict 2 scenarios:
Scenario 1?? : Prioritize near-term efficiency; today’s HRBPs powered by AI (% of total time spent by activity)
Scenario 2??: Reinvest time to deepen insights and engagement; a new talent business strategist
?? But both scenarios create time savings through:
?? Content creation (e.g., generated job postings)
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?? Increased self-service (e.g., chatbots)
?? Scheduling (e.g., interviews)
?? Augmented data insights (e.g., personalized performance)
?? Leading both the HR and the overall transformation
?? Developing broader upskilling programs for work transformation
?? Engaging employees in the change
?? Investing in personal development to support GenAI upskilling
?Majority of CHROs believe that AI will replace workers
Another interesting survey of 135 Fortune 500 CHROs published by Gallup found that 72% of CHROs foresee AI replacing jobs in their organization in the next three years and leaders are also hopeful about the utility of AI, with 65% saying it can be used to improve the performance of most roles in their organization.
?Dual role of HR leaders to drive GenAI
HR managers have a dual role to lead the GenAI transformation for the company and the function: they must both prepare the company for the GenAI transformation but also innovate for HR.
?? Finally, researchers recommend the following actions to the CHRO to support GenAI transformation:
??Create a GenAI cross-functional SWAT team
??Start a broad upskilling program for the top 100 leaders
??Determine the skills mix required for the GenAI squad
??Sketch out workforce transformation themes aligned to the enterprise strategy
??Identify responsible AI points of contact
??Communicate the changes to the organization
??Clarify the North Star vision, incorporating GenAI potential
??Conduct ideation sessions to identify three use cases to start in HR
??Create the GenAI squad for HR, including a point person
??Retain and expand on digital and data skills in the organization
??Ensure that foundational data is in order
??Engage the team to drive excitement and reduce fear
Thank you ?? 波士顿谘询公司 researchers team for these insightful findings: Julie Bedard Katie Lavoie Renée Laverdière Allison Bailey Vinciane Beauchene Jens Stefan Baier Amber Conley, MS, MBA, MA, PsyD Jen Potvin Rajiv Shenoy Dr. Sebastian Ullrich
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Thank you for sharing Nicolas BEHBAHANI
Could you specify which HR functions you mean? It's a Broadway spectrum we're talking about ??
I Help Companies Design & Execute Strategies to Launch, Grow & Scale Sustainably. The Outcome - Alignment, Clarity, Focus to Build High Performing Teams, Create Memorable Experiences, Optimize Value & Maximize Impact.
1 年Thanks for sharing this post Nicolas BEHBAHANI , helps realign the roles and responsibilities; performance measures, put an action plan for up-skilling and re-skilling. Most important prepare people for charge and Whats in it for me
PM & Analytics | Fullstack People expert | MBA | Growth mindset | Intensely curious & a lifelong learner
1 年Nicolas BEHBAHANI When I read this report my only concern was HR community ourselves. To be early adopters of the technology People practitioners should enchance own expertise and upskill in the matters of genAI in the first place. There might be brilliant people analytics/hris/hrpm whatever team, but to utilize this 30% potential is a job on its own.
People Specialist en GDH
1 年Isaac Gonzales