Human Resources Management After Industry 4.0: Blending AI and HRM

Human Resources Management After Industry 4.0: Blending AI and HRM

Shaista Anayat
DOI: 10.4018/978-1-6684-7494-5.ch005
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Abstract

Artificial intelligence (AI) continues to be a puzzling hypothesis, and it's probable that philosophical zeal might have influenced service standards of AI far beyond reality. This chapter contributes to the domain of AI in HRM, gives in depth theoretical analysis of the field, and opens up new avenues for researchers to examine. While analysis found that AI technologies like machine learning (ML), natural language processing (NLP), machine vision and recommendation systems are being used in HRM functions for distinctive uses. Analysis of the literature also revealed that automation, cost optimisation, and technological development acts as enablers for AI incorporation in HRM domain. Lack of skills, unrealistic standards, privacy and security, and job obsolescence are the factors that act as hindrances during adoption of AI-systems in HRM. Study also revealed that the major applications of AI in HRM are in screening and hiring process; automated induction process; skill development and training; decision making; queries and feedback ; performance appraisal; and employee involvement.
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Introduction

Key points:

  • 1.

    Human Resource is the most significant asset to a company because it incorporates all other resources together and put all resources to work.

  • 2.

    Managing human resource has become more challenging than before because of the globalisation and diversity in personnel.

  • 3.

    Currently the most important aspects influencing human resource management in an organisation is the deployment of technologies like AI and Big data in the workplaces.

  • 4.

    Conventional office environment is changing because of the AI-based systems and so is the employees’ behaviour.

Artificial intelligence technology is becoming more prevalent in modern innovations and, as a result, in our personal and professional lives. But the question is what AI is about. Oxford dictionary defines artificial intelligence as, “The theory and development of computer systems able to perform tasks that normally require human intelligence, such as visual perception, speech recognition, decision-making, and translation between languages.” Even though it was John McCarthy who first coined the term artificial intelligence in 1956 (McCarthy, 2007) but fundamental idea of AI started with English mathematician Alan Turing, when he introduced the Turing machine 1937(Turing, 1950).Turing machine became origin of present day programmable system. Alan Turing also created the Turing test as a method of evaluating artificially intelligent behaviour. Many advances have been made in the area since its introduction including machine learning, NLP, big data, speech recognition, object recognition, robotic systems. Advanced robotics (Liu et al.,2017), and virtual reality (Abou-Zahra et al.,2018) are among the applications of AI used at work to enhance task performance.

Human resource management is concerned with the administration (recruitment, payment, and labour relations) and developmental (coaching, performance appraisal, succession planning, and mentoring) associated to the employees of the company (Alzhrani,2020). The ambit of HRM is wide and multifaceted; it is responsible for planning and establishing the standards for implementing the organisation's crucial policies that have a constant an impact on the workforce. In this view, the aims of HRM rely on organisational goals (but in order to develop these, the organisation should also possess circumstances drawn from the workforce) (Fahad-Sreih,2018).Human resource management functions are the core of any organisation, from recruitment to succession planning it the human resource of an organisation that handles all the process and aligns everything with the goals and objective of the organisation. Human resource management is necessary for the following purposes:

  • a.

    To promote efficient labour relations

  • b.

    To foster organizational dedication among employees

  • c.

    To help employees in adapting to an innovative world

  • d.

    To help in modification of mechanistic culture and promote employee well-being

  • e.

    To motivate and employees to work hard for the organisation.

  • f.

    To provide support and resources for R&D in an organisation

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