Keeping the ‘HUMAN’ in HR – a cautious approach to AI

We are now bombarded with articles and thought-pieces on the opportunities for AI in Human Resource Management. Many of these come from the large software and consulting firms who clearly see AI as a future multi-billion dollar income stream to boost flagging revenues.

Whilst these powerful entities explore the operating possibilities for this technology, far less work is being done in looking at the potential impacts of AI to both individuals in the workplace, and society in general.

This should be an area of concern for all those engaged in Human Resource Management. In the rush for a new level of automation and knowledge insights, CHROs should seriously consider the people impact of AI enabled processes in any decisions that they may take. ?This goes well beyond just the consequential impacts of potential savings in manpower and process costs but should also try to predict the impacts on employee engagement levels and resulting changes in organisation cultures which may emerge. These latter may be more important than any of the expected cost and efficiency benefits that are realised.

A recent Gartner article highlighted the breadth of potential deployment of AI in skills data usage: ?

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The critical issue in applying AI in the above areas is whether AI becomes an adjunct to human decision making, or whether it is merely used as a shortcut to reduce the human thought process in such a way as to disassociate decision making from the personal responsibility of the Human Resource team. If the latter is the case, then AI will become the new rationale for explaining/blaming the real-life career impacting decisions for our employees as the result of the operation of an unexplainable algorithm.

Each human being responds uniquely to the events unfolding around them. Each one has different talents and capabilities akin to the uniqueness of a human fingerprint. Each one is facing a unique set of personal circumstances which change over time. We must balance the capabilities of AI enabled processes with the personal empathy and insights into our workforce as unique human beings.

KEEP THE ‘HUMAN’ IN HUMAN RESOURCES ?

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Author’s Bio

Nigel Penny is a leading global expert on strategy, performance and leadership techniques. His focus is to ensure the sustainable future success of clients through effective strategic management processes.

Nigel has over thirty years international experience implementing consulting solutions encompassing all aspects of business and people management. Between 1996 and 2002, he worked closely with Dr. David Norton and Professor Bob Kaplan, the co-founders of the Balanced Scorecard approach, and was Vice President of the Asia practice of Balanced Scorecard Collaborative. Nigel was also partner in charge of KPMG’s performance management practice in Australia, and a member of their team developing global methodologies for Balanced Scorecard development and implementation techniques.

He has worked in UK, USA, Europe, Asia and the Middle East and has lived in UK, USA, Singapore, Malaysia and Australia. Clients include Downer Group, Philip Morris, Tata Group, Kiwirail, Monash University, National Library of Australia, CIMB, Ministry of Defence, Brunei and Qatar Development Bank, amongst many others.??

Nigel has an honours degree in Mechanical Engineering from Imperial College, London, and trained as an accountant with Peat Marwick Mitchell in the UK.