Managing Human Resources in Artificial Intelligence Era 5.0

Introduction

As a consequence of globalization and tremendous advancements in information technology, Human Resources (HR) has continuously progressed, allowing it to transcend numerous barriers that formerly confined it to being regarded a strictly administrative role inside the enterprise. (Mellam, Rao & Mellam, 2015). As a result of this expansion, continual changes in the concentration of HR functions may be observed. The first phase, which looked into the impact of HR processes on employees, became more structured. The HR department expanded its scope in phase two, evaluating entire HR systems rather than individual HR practices. The last phase witnessed a pattern change in HR as a result of the realization that only HR could successfully connect the organization's goals with employee goals as it shifted from HR to Society of Human Resource Management (SHRM) (Wright & Ulrich 2017). However, because knowledge and data are the most critical elements for every plan, playing a strategic role is challenging. This has forced HR to go even farther in order to meet the need for information and adapt to the demands and changes of today's business environment, which is geared around maximizing profits at the lowest possible cost. In order to better their strategic role, HR has developed into a profession that is heavily influenced by technology and data gathered on a daily basis from employees. As a result, E-HRM has evolved, in which HR functions as a platform rather than a person. Technology has progressed from a simple machine meant to reduce human labour to more complex systems capable of much more. Because to a combination of technologies including information technology (IT), web-based apps, and logical models, businesses have been able to interact with their workers more efficiently (Oswal & Narayanappa, 2015). Artificial Intelligence is one of the most powerful technologies that has a common ancestor (AI). AI has been adopted by HR departments all around the world because of its limitless potential and applications. AI and HR are being combined by some of the world's top companies, like IBM, Amazon, and Google, to give innovative solutions to employee HR concerns (Aspan, 2020). According to a poll performed by HR.com, checking employee working hours and turnout, analytics and metrics, hiring and selection, training and development, and compensation are some of the tasks in HR where AI interventions have the most promise (HR.com, 2017). At the same time, there seems to be a reluctance to spend and adapt. AI has become more prevalent in HR operations in enterprises across the world than in other corporate activities such as marketing, finance, and so on (Brin, 2019). In India, AI in HR has not made the same development and integration as AI in other sectors of business. Many HR experts are skeptical of AI, fearing that it would fail to produce acceptable results in areas that need empathy and intuition (PWC, 2017). Despite the fact that many HR decisions are not exclusively based on data, many Indian HR departments still believe that interacting with workers efficiently requires personal connection. The focus on problems like the ethics of making decisions purely on the basis of AI and other technology appears to be fueling resistance (Desai, 2019). As a result, most Indian HR departments have turned a blind eye to the fact that, in this data-driven era, when data is the key to unlocking limitless possibilities, a large amount of data collected from employees is not being used efficiently.