There are three global macro trends that are changing the world of business: Globalization, Digitization and an aging population, Holger Muller, Vice President and Principal Analyst of Constellation Research said. Although India still has a relatively young population currently, within a few decades, companies will have a surplus of aging workers.
Addressing the audience on Day 2 of the People Matters TechHR conference and exhibition, Holger spoke about how the potential of infinite computing and how AI enabled tools are changing the landscape of HR technology.
There are five clusters of trends in AI – infinite connectivity, infinite data and answers, infinite computing (including cloud), machine learning and deep learning. To make the most of innovations, companies will have to balance business best practices and technology capabilities.
Lessons from sports
Drawing analogies from sports, Holger spoke about three key lessons one can draw from the American Sailing Cup.
1) Think out of the box: Whether it’s finding innovative solutions or effective strategies, companies need to think out of the box. Holger shared the example about how one of the teams participating in the boat sailing competition had leveraged cycling power to win a sailing race.
2) Evaluate Organizations: Companies need to evaluate their own technology within their company to make the most of their strategy.
3) Take risks: Just as in sports, it’s necessary to experiment and take risks. But evaluate circumstances before taking risks.
AI Changes everything
Among the top HR activities and complaints, AI is already enabling employees to: 1) Find information – Using voice based bots and 2) Enter information – Using voice based bots. In terms of addressing complaints, Chat based tools are helping meet users where they work and to make decisions.
AI augments manual processes and it can have radical implications on different processes of the employee life cycle. “AI will change recruiting forever” Holger said. He was also of the view that recruiting will become a function which will, for the most part, become automated.
Compensation management will be greatly improved, while learning will be revolutionized, workforce management will be easier.
The imperative for organizations would be to understand the potential of these advanced systems while making the most of them. Companies will also need to pay attention to emerging trends like gig work and understand how to use the ‘digital exhaust’ – the traces of data that could enable businesses to succeed.