It’s no secret that Artificial Intelligence (AI) can boost productivity, reduce human error and streamline the customer experience. And as more AI capabilities flood the market designed to address urgent business challenges (including employee expectations) inquiring minds want to know: how will AI impact Human Resources (HR)?
Dan Beck, President and Chief Product Officer for SAP SuccessFactors reveals all in this exclusive Q&A.
We’ve experienced a monumental shift in AI adoption over the last year. What are the key areas within HR where AI will have the most significant impact?
Beck: We are in a truly transformative moment with the acceleration of AI. After talking about the potential of AI for over a decade, we are finally seeing that come to fruition. There are three key areas where AI is taking off within HR tech.
1. AI-driven insights provide insight on workforce dynamics, which enables data-driven decision-making for talent management.
2. AI streamlines HR processes, from recruitment through onboarding to employee management, enhancing efficiency and reducing administrative burdens.
3. Solutions using AI help craft personalized employee experiences to foster engagement by understanding individual employee needs, wants, and styles.
What are the top AI capabilities leaders can leverage today, specifically within their HR stacks?
Today, AI is already infused across SAP SuccessFactors solutions – which cover core HR, payroll, talent management, employee experience management, people analytics, and more. At a foundational level, we have an AI-powered engine called the talent intelligence hub, which supports an organization’s entire learning and talent strategy. It creates a skill portfolio for each employee and uses AI to infer skills and attributes so that organizations have a better idea of the skills across the workforce and employees can find new opportunities.
Organizations can also take advantage of SAP’s copilot, Joule, to find information, get answers to questions and complete HR-related tasks, such as approving time-off, changing names or personal pronouns, and more.
Additionally, we have generative AI capabilities for specific purposes, such as helping people leaders and recruiters create job descriptions or helping employees find personalized learning recommendations. With the rapid pace of innovation around generative AI, there will be dozens more capabilities released in the next several months.
How can HR leaders take a leadership role in driving adoption of AI across their workforce?
There’s so much new learning happening around the industry that understanding and participating in the conversation is key for any leader. The only wrong move is to do nothing. Here are a couple of immediate areas where HR can be in the driver’s seat in helping organizations adopt AI at scale.
It’s critical that leaders encourage their employees to explore, experiment and really understand how to use AI in their roles. Along with this, they need to communicate the value of AI in practical applications and help assuage concerns that it will replace their jobs with open dialogues about the use of AI.
Encouraging a culture of continuous learning within the organization is crucial, and HR leaders can support this through regular training sessions and resources for employees, like a learning hub. They can also encourage employee involvement in the adoption process, from selection to implementation – which will help build a sense of ownership and enthusiasm for new technologies.
HR can play a pivotal role in driving the organization-wide transformation that will come with the adoption of AI, such as establishing KPIs and measuring employee sentiment, adoption and productivity. There should also be clear plans for reskilling and upskilling for employee growth in AI.
Some of the most useful and widespread uses of AI in the workplace will help employees with common HR tasks. For example, SAP’s copilot Joule will be able to complete tasks such as accessing a pay slip, changing an address, and requesting time off. Implementing AI for these tasks in a way that is relevant, reliable and responsible will help employees experience the value of AI and increase trust.
Practically, HR can implement pilot projects to apply AI in targeted HR processes, offering hands-on learning opportunities. Furthermore, partnerships with tech providers and educational institutions can offer advanced learning opportunities and insights into cutting-edge AI applications in HR.
As AI continues to evolve, how do you envision the future of work and the role of HR changing over the next decade?
The future of work will continue to become more flexible, data-driven, and personalized. HR’s role will pivot towards strategic partnership, focusing on talent development, organizational culture, and leveraging AI for decision-making.
Organizations should start by fostering a culture of agility and continuous learning, enabling employees to adapt to new technologies and roles. For this, investing now in digital infrastructure and ensuring ethical AI use will be crucial. This will ensure organizations can not only navigate the changes AI brings but also harness its potential to create a more engaging, productive, and innovative workplace.
